Free tool

What Is Late Payment Costing You?

Late invoices cost more than the delay. Add up what you are paying to bridge the gap and the hours you spend chasing — then compare it with what the law lets you claim.

100% freeNo signupYour real numbers
Late invoices
What it costs you
Your overdraft or credit card rate. Use 0 if you cover it from savings at no cost.
Late payment is costing you
Financing the gap
Time spent chasing
Total cost
You could claim back

The hidden costs of late-paying clients

The invoice amount doesn't change when a client pays late, but your costs do:

  • Financing: if late payments push you into your overdraft or onto a credit card, you are paying interest to fund your client's delay.
  • Time: every hour spent writing reminders and checking your bank is an hour you can't bill.
  • Opportunity: work you can't take on, or bills you pay late yourself. Hard to measure, so we leave it out.

Making the client pay instead

For business clients, the Late Payment of Commercial Debts (Interest) Act 1998 lets you charge statutory interest (11.75% a year at the moment) plus £40–£100 fixed compensation per invoice. Work out the exact figure with the late payment interest calculator.

The cheapest fix is to cut the chasing time to zero: reminders that send themselves. That's what AutoChase does.

FAQ

Frequently asked questions

What costs does this include?

Financing (an overdraft, card or loan used to cover the gap, at the rate you enter) and admin (your time chasing, valued at your hourly rate). It does not guess at less tangible costs like stress or work turned down.

What rate should I use for financing?

Whatever you actually pay to cover the shortfall — an arranged overdraft or credit card rate. If you cover it from savings, use the interest you are giving up.

Can I recover these costs from the client?

For B2B invoices you can claim statutory interest plus fixed compensation, and reasonable recovery costs above that. The calculator shows that figure alongside your costs.

Keep going

Related free tools

Late Payment Interest CalculatorStatutory 8% + base rate interest, daily rate and the £40–£100 fixed fee.Open tool → Invoice Reminder Email GeneratorPolite, firm or final-notice emails written for your invoice.Open tool → Freelance Day Rate CalculatorThe day and hourly rate you need to hit your target income.Open tool →

Stop chasing invoices yourself

AutoChase sends gentle, follow-up and final reminders automatically — and stops the moment your client pays.

Get started free — no card needed