1. Start with the accepted scope
Find the accepted quote and its description of included work, exclusions, price and terms. Identify the exact item or condition that changed. Keep that accepted version available so the extra can be understood without reconstructing the original agreement.
- What changed? Describe the observed condition or the requested work in plain language. Keep uncertain conditions marked for review. A photo can support the record but cannot establish hidden damage or dimensions.
- Why is it additional? Point to the affected scope item or exclusion. Explain what will be added, replaced or omitted, and any effect on access, materials, sequence or dates.
- What needs confirmation? Identify undecided products, finishes, quantities, responsibilities and timing before presenting a firm proposal.
2. Price the incremental work from your own costs
Build the extra’s materials, labor hours, equipment, subcontractors and allocated overhead. Count only the costs attributable to that change; do not charge the original work twice. Review the cost of omitted work separately when proposing a reduction.
A fictional extra with 80 of materials, two labor hours at 30, and 20 of allocated other costs totals 160. At a chosen 20% margin, 160 ÷ 0.80 gives a 200 proposed extra. These are illustrative values in one currency, not renovation rates.
Use the margin calculator to review the price. Keep private costs and margin assumptions out of the customer scope; the customer needs a clear description of the changed work and its proposed price.
3. Record agreement before treating the extra as approved
Review the changed scope, price and timing with the customer. Keep the proposal distinguishable while it is still pending, and record the actual agreement yourself before treating it as approved work.
ScopeRate lets you record proposed extras and manual approval notes against the saved job. It does not obtain a customer response, send a change order automatically or provide an electronic signature. Your note should reflect what you actually confirmed, including the date and relevant details, rather than implying a delivery or approval that did not occur.
Retain the original accepted quote alongside the separately recorded change. If the proposal is rejected or needs revision, review the proposal rather than silently rewriting that original quote.
4. Follow the invoice, credit and receipt trail
Review the agreed work included in each milestone invoice. Check its captured currency, amounts, tax and discount entries before issue. Keep issued records and subsequent credits or receipt adjustments distinguishable, so a later correction does not obscure the earlier record.
In a fictional zero-tax example, an accepted 1,000 quote plus a 200 approved extra gives a 1,200 invoice. A 50 credit reduces the invoice to 1,150. If recorded receipts total 1,200 and a recorded refund is 50, net receipts are 1,150 and the balance is zero. A credit reduces the amount owed; the separate refund records money you say was returned.
ScopeRate records invoices, credit notes, payments and refunds manually. It does not process customer cards, transfer a refund or prove that money reached a bank account. Check your external payment records before entering or correcting a receipt.
5. Review the actual result explicitly
Record the finished work’s actual costs, including the extra, then review the revenue you intend to recognize after relevant credits. Do not confuse a cash receipt, an invoice total and a job-profit result.
Continuing the fictional example, owner-confirmed actual revenue of 1,150 and actual costs of 800 give 350 profit and a 30.43% margin. This calculation depends on those entered costs and revenue; it is not evidence of money earned by a real business.
ScopeRate keeps your recorded outcome until you explicitly review and save a change. Use the completed-job profit calculator as a check, and retain a full local backup before replacing or deleting business records. For repeat site work, the landscaping checklist separates the initial job from recurring visits.
Questions people ask
Does a proposed extra count as approved revenue?
No. Keep the proposal distinct until the customer agreement has actually been reviewed and recorded. ScopeRate does not obtain approval for you or treat a draft proposal as a customer response.
Does this checklist provide a binding change-order contract?
No. It is a practical scope, cost and record-review checklist. It does not supply contract terms, an electronic signature or a determination of what is legally required for your project.
What is the difference between a credit and a refund?
A credit reduces an invoice amount. A refund record documents money you say was returned. They are separate records; neither makes ScopeRate transfer money. Check the invoice and payment trail before entering either.
Will a new credit silently rewrite a saved profit result?
No. Review the billing change and explicitly update the job’s recorded outcome when appropriate. A saved actual result needs your review; recording a credit is not proof that the actual revenue or profit has been revised.