Creating an Interior Design Quotation: A 7-Step Guide

February 11, 2025

There’s an epidemic in the interior design industry: inaccurate quotations.

When an interior design quotation is wrong it leads to frustration on the designer’s side, but more importantly, the client’s.

Why? A study found that there are several root causes of overruns in interior design project costs, including underestimation of actual costs and unforeseen complications.

Plus, rising material and labor costs have driven renovation expenses higher, with many renovators overshooting their budgets. 

To mitigate these issues, implementing accurate and detailed interior design quotations is a must.

What Is an Interior Design Quotation?

An interior design quotation is a detailed document that outlines the estimated costs and scope of an interior design project. It breaks down expenses for materials, labor, design fees, and any additional services required.

The interior design quotation sets clear expectations between the designer and the client at the beginning of a project; it shows transparency in pricing, deliverables, and timelines. 

An interior design quotation usually includes:

  • Project scope: A summary of the work.
  • Cost breakdown: Estimated expenses, like materials, furnishings, labor, tools, and design fees.
  • Timeline: Start and end dates for the project.
  • Payment terms: Milestone-based, upfront fees, or hourly.
  • Terms & conditions: Number of revisions, cancellation rules, and additional charges.

Why Is an Interior Design Quotation Important?

When an interior designer lays out all the financial project details, it puts the client and designer on the same page, avoiding confusion and helping both move forward with confidence.

In this guide, we’ll walk you through each part of the interior design quotation development process so you can walk away knowing how to effectively bill for your interior design process.

How to Charge for Interior Design Services: Step-By-Step Guide

1. Understand Client Needs

Before drafting an interior design quotation, start by gathering all necessary information about the project. Use the initial consultation to learn about your client’s vision, budget, and expectations.

Key questions to ask in the initial consultation:

  • What is the scope of the project? (Full home, specific rooms, commercial space?)
  • Do you have a specific budget range in mind?
  • What design style are you drawn to? (Modern, minimalist, industrial, traditional?)
  • Are there any must-have elements (Custom furniture, specific color palettes, sustainable materials)?
  • What is the timeline for completion?
  • Encourage clients to provide inspirational images, floor plans, and any relevant references to ensure you fully grasp their vision.

2. Define the Scope of Work

Once you understand the client’s needs, define the scope of work. This eliminates ambiguity about what is and isn’t included in your services.

What to include in the scope of work:

  • Design services (Concept development, space planning, 3D renderings, mood boards, etc.)
  • Material and furniture sourcing (Selection, procurement, vendor coordination)
  • Project management (Coordination with contractors, site visits, quality control)
  • Installation oversight (Supervising furniture placement, styling, and finishing touches)

3. List Materials and Furnishings

A clear breakdown of the materials and furnishings you’ll purchase helps clients understand where their budget is going.

Breakdown of materials to include:

  • Flooring (tiles, hardwood, carpets)
  • Wall treatments (paint, wallpaper, panels)
  • Lighting fixtures
  • Furniture (custom vs. off-the-shelf)
  • Decor accessories (art, rugs, curtains)

For flexibility, you can offer different pricing tiers:

  • Budget-friendly options
  • Mid-range selections
  • Luxury/premium recommendations

Pro tip: List what’s not included, such as major renovations, construction work, or permits—unless your firm offers these services.

4. Estimating Labor and Service Costs

Labor and service costs vary based on project complexity. Outline these costs upfront to avoid surprises later.

Include fees for:

  • Design consultation
  • 3D renderings and sketches
  • Project management and site visits
  • Contractor and subcontractor costs (painters, carpenters, electricians)
  • Delivery and installation charges

If any pricing is variable, provide a range or state that costs will be confirmed once vendor quotes are received.

5. Structuring the Pricing Breakdown with Interior Design Quotation Sample

Here’s what an interior design billing format should look like once you have your materials and services itemized:

Example of an interior design billing format:

Make sure to specify whether these costs are fixed or subject to change based on availability, shipping fees, or custom orders.

6. Setting Payment Terms and Conditions

To avoid disputes, clearly define your payment structure. Most interior designers use milestone-based payments rather than a lump sum.

Common payment structures:

  • 50/30/20 split: 50% deposit upfront, 30% mid-project, 20% upon completion.
  • Phase-based payments: Payments tied to project milestones (e.g., design approval, material ordering, installation).
  • Hourly billing: For consultations and advisory roles.

Additionally, outline:

  • Late payment penalties
  • Refund policies (if any)
  • Terms for extra work outside the agreed scope

7. Reviewing and Finalizing the Quotation

Before sending the final interior design quotation, proof every detail:

  • Are all services and costs accurately listed?
  • Have you accounted for contingencies (e.g., material availability, price fluctuations)?
  • Is the language clear, avoiding jargon that clients might not understand?

Once finalized, send it to the client with a cover email summarizing key points and inviting them to ask any questions.

Looking Past the Interior Design Quotation

By clearly outlining the scope of work, materials, labor costs, and payment terms with an interior design quotation, you set the stage for a smooth and transparent design collaboration with your clients.

However, as you refine your process for creating an interior design quotation, having the right tools in place can make all the difference. 

That’s where Punchlist comes in.

Punchlist is the ultimate collaboration tool for interior designers, helping streamline project workflows and ensuring clear communication, accountability, and efficient delivery of interior design projects to clients. With Punchlist, you can centralize all client feedback, keep track of approvals, and eliminate the chaos of scattered emails and back-and-forth conversations.

Ready to simplify your interior design workflow and keep every project on track? Sign up for a 30-day free trial with Punchlist and experience the most seamless way to communicate throughout your interior design projects.

Frequently Asked Questions

What is the typical cost for an interior designer?

An interior designer typically costs between $2,000 and $12,000 per project. The low-end hourly rate for an interior designer is $50 per hour, while the high-end hourly rate is $200 per hour.

What is a realistic budget for interior design?

The realistic budget for an interior design project depends on the value of your property. A common guideline is that an interior design project should cost between 7-10% of the property’s overall value.

For example, if your house costs $200,000, you should budget $14,000-$20,000 for the interior design project.