How to Make a Contract & Receipt

Satisfy and protect both parties with a good contract.

When entering a business agreement, a contract is a good way to protect both parties involved. Contracts will vary in length, based on the details of the agreement. If both parties agree on the terms and sign the document, it legally becomes a contract. However, that doesn't mean you shouldn't understand the important nuances that go into a contract. If someone is paying you for work, they will likely want a receipt for your services rendered. Many programs, such as Microsoft Word, already have standard receipt templates that you can simply fill out and print.

Instructions

Writing a Contract

1. Include your business and/or contact information at the top of the contract.

2. Describe in plain terms all of the obligations the parties to the contract are expected to fulfill. If the other party is a freelance employee, describe in detail the job you are contracting him to do, how much you will pay and when the work should be done. If you are the freelancer, make sure these elements are covered in the contract.

3. Include the risks and responsibilities of each party in the contract. Enumerate what the employer will pay if something goes wrong and what will be the responsibility of the other party. Be clear about ownership rights and when the contract expires.

4. Include a space where both you and the other party can sign and date the contract.

Making a Receipt

1. Print out a receipt template from Microsoft Word, or download a free, printable receipt from an online source, if you are the party providing the service. Fill in the information.

2. Create a heading with your contact information for a more in-depth receipt.

3. Itemize and list all the things you charged your employer for on the receipt. Put in any specific details to clarify your charges.

4. Include any sales tax in the receipt, if necessary. Add all of the expenses for a grand total, and present the receipt to your employer.

Tips & Warnings

• If you are entering a complicated contractual situation, discuss the terms with an attorney before signing.

References

• AllBusiness: How to Write Effective Business Contracts
• Nolo: Contracts 101: Make a Legally Valid Contract
• Hoover Web Design: Free Printable Receipt Forms
• Microsoft Office: Receipt Templates