Net refers to the full amount due on the invoice, and 30 is the number of days the customer has to pay it. The seller delivers first and waits for the money, so net 30 is a form of trade credit. Other terms, such as due on receipt and EOM, and the legal limits on long terms are covered under payment terms.
How to calculate a net 30 due date
Count 30 calendar days from the invoice date, weekends and public holidays included. The invoice date is day 0, so an invoice dated June 10, 2026 is due on July 10 and overdue from July 11. Unless your terms say otherwise, the 30 days start on the invoice date, not when the customer receives or approves the invoice.
| Term | When the days start | Due date for an invoice dated June 10, 2026 |
|---|---|---|
| Net 30 | Invoice date | July 10 |
| 30 days from receipt | The day the invoice arrives, here June 15 | July 15 |
| Net 30 EOM | The last day of the invoice month | July 30 |
| 2/10 net 30 | Invoice date | June 20 with a 2% discount, July 10 without |
| Net 60 | Invoice date | August 9 |
When day 30 falls on a weekend, many customers pay on the next business day, so say in your terms whether you treat that as on time. Print the actual due date next to the term on every invoice, because accounts payable systems do not all count the same way.
Net 30 vs net 60 and 2/10 net 30
Net 60 doubles the wait. A customer that buys $50,000 a month and pays on the due date owes you about one month of sales on net 30 and two months on net 60, so the longer term ties up roughly another $50,000. At an illustrative borrowing cost of 8% a year, that extra $50,000 costs $4,000 a year. Between businesses in the UK and the EU, terms over 60 days face legal limits.
2/10 net 30 adds an early payment discount. The customer can take 2% off by paying within 10 days or pay the full amount by day 30. Giving up the discount to keep the money 20 more days costs the buyer about 37% a year, so many buyers take it when they have the cash, and for the seller it is an expensive way to be paid sooner.
Should you offer net 30 terms?
Business customers often expect time to check and approve an invoice, so net 30 can help you win and keep accounts. The price is cash you wait for and the risk that a customer never pays. Before you offer it, cover these points.
- Ask for a credit application. A credit application gives you the company details, references and the credit the customer wants.
- Check the customer. Look at a credit report, filed accounts and what other suppliers say about how it pays.
- Set a credit limit. A credit limit caps how much can be unpaid at once, counting invoices that are not yet due.
- Put the terms in writing. Include them in the contract or the terms the customer accepts with its first order, together with what happens if it pays late.
- Start small. Ask new customers to pay on receipt or in advance for the first orders, then move them to net 30 once they have paid on time.
When a net 30 invoice is paid late
An invoice unpaid after day 30 is an overdue invoice. In the US, late fees or interest between businesses generally depend on what your contract allows and on state law, so set them out before the sale. In the UK, a business customer that pays late owes statutory interest of 8% above the Bank of England base rate plus fixed compensation, unless your contract sets a different rate.
A short reminder email a few days before day 30 catches invoices stuck in approval, and a follow-up the day after shows the customer that the term means 30 days. Your days sales outstanding tells you whether customers on net 30 really pay in about 30 days on average.
Net 30 accounts for buyers
For a buyer, a supplier that offers net 30 is lending for a month at no interest, as long as the invoice is paid on time. Some suppliers report payment history to business credit bureaus, so paying net 30 invoices on time can help a young company build a business credit record, while late payments can show up on it.
Sunbay reads each invoice and its due date from your ERP or accounting system and runs the reminder sequence you set around that date, by email and SMS before and after it. Every customer reply and promise to pay stays next to the invoice, and reminders stop once the payment is matched. See how automated reminders and escalations work.
Frequently asked questions
Does net 30 include weekends?
Yes. Net 30 counts calendar days, so weekends and public holidays are included. An invoice dated June 10 is due on July 10 whatever day of the week that is.
When does net 30 start?
On the invoice date, unless your terms say the days run from receipt of the invoice, from delivery or from the end of the month. If you use one of those, state it on the invoice together with the due date.
What is the difference between net 30 and 2/10 net 30?
Net 30 asks for the full amount within 30 days. 2/10 net 30 asks for the same but lets the customer take 2% off if it pays within 10 days of the invoice date.
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