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Scope, delivery and payment

What is a SOW?

SOW or Statement of Work defines the work that is to be done and when. It defines acceptance and cost. SOW is commonly used by freelancers, consultants and contractors to establish the scope of a project.

Pocket Invoice Editorial Team · November 6, 2026

What belongs in a statement of work?

Part of the SOWInformation to agree
Parties and referenceCustomer, service provider, project name, SOW number and version.
Scope and deliverablesTasks, outputs, quantities, included revisions and excluded work.
Timing and responsibilitiesMilestones, dates, customer inputs and the person responsible for each approval.
AcceptanceReview criteria, reviewer, feedback period and the completion record.
Price and paymentsFixed price or hourly rates, approved expenses, invoice triggers and payment terms.
ChangesWho can approve changes and how scope, price and dates are updated.

SOW, scope of work, quote and invoice

The scope is the description of tasks and the scope boundaries. The full SOW ties this scope to responsibilities, timeline, acceptance and cost. Using reference numbers makes it easier to tie SOW, quote, purchase order and later invoices to the same project.

DocumentIts role in the project
Scope of workThe tasks and boundaries within the project description.
Statement of workScope connected to delivery, acceptance, responsibilities and payment.
QuoteThe proposed price for a defined scope.
Purchase orderThe purchase authorized by the buyer.
InvoiceA request for the amount due under the agreement.

Worked example

A three-page website project

Project referenceSOW-WEB-104, version 1
PagesHome, services and contact.
Customer inputsExisting logo and approved text, supplied before kickoff.
DeliverablesThree working pages and one handover session.
RevisionsTwo consolidated rounds.
Separately agreed workOngoing maintenance, paid plugins and additional pages.
Acceptance checksAll three pages open, content matches the approved copy, contact form submissions reach the agreed inbox and handover material has been provided.
Review periodAgreed before delivery; customer feedback after delivery within that period.

Connect each invoice to a milestone

Invoice triggerReferenceUSD amount
Project kickoffSOW-WEB-104 · milestone 1900.00
Customer approves page draftsSOW-WEB-104 · milestone 21,200.00
Pages completed and acceptedSOW-WEB-104 · milestone 3900.00
Project total3,000.00

Record acceptance and scope changes

Agree on scope change before starting the extra work.

Additional page
Online booking page, priced and scheduled as an addition.
Approval record
Added tasks, price, revised dates, authorized approver and original SOW reference.

Carry the agreed work into your estimate

  1. Create estimate based on agreed scope.
  2. You can generate PDF of the priced work using Pocket Invoice estimate tool.
  3. Then based on the agreed invoice milestone, prepare invoice with the project and SOW reference.