The short answer
A retainer is an agreement to do a defined kind of work every month for a fixed fee. Write down what is included each month, what happens to time or work that isn't used, how much notice either side gives, and what counts as extra work. That is what stops a retainer turning into unlimited work at a fixed price.
What to agree
- What is included each month. A list of deliverables (four blog posts, a monthly report) or a number of hours. Say which you are selling.
- What isn't. Anything outside that list is extra work, priced separately and agreed before you start it.
- Unused time. Most retainers say unused hours or deliverables don't carry over. If they do, say for how long.
- The monthly fee and when it is paid. Many freelancers invoice in advance, at the start of each month.
- Start date and how long it runs. Usually month to month after the start date, with or without a minimum term.
- Notice. 30 days is common, longer if you would need time to replace the income. Say whether notice can be given during a minimum term.
- What you need from the client. Information, access and approvals in good time, and that delays on their side don't count against you.
- Late payment. Whether you may pause the work until an overdue invoice is paid.
- Ownership and confidentiality. When the client owns what you make (see who owns the work) and what each side must keep private.
Hours or deliverables?
Deliverables suit work where the output is clear, such as a fixed number of posts or a monthly update. Hours suit work where the demand moves around, such as support and advice. An hours cap is easier to enforce, since both sides can count, but it can pull the relationship towards billing by the hour. Whichever you choose, name a rate for extra work and require the client to approve it first.
Minimum term and notice
A minimum term, such as three or six months, protects you from a client who leaves after one month and leaves a hole in your income. Make sure it is clear whether notice can be given during the minimum term, and what the client pays if they leave early.
Does a retainer make you an employee?
Not by itself. A monthly fee for defined services is normal for self-employed people. What matters is how the work really runs: who controls how and when it is done, whether you can send someone else, and whether you are treated as part of the client's team. HMRC's guidance is at gov.uk; see also IR35 and your freelance contract.
In AgreeVia
The Agency Retainer Agreement (Pro) is a template for a fixed monthly fee, with terms for the services, payment, notice and ownership. For a one-off project, use the Freelance Services Agreement instead. It is free.
Questions people ask
Should a retainer be paid in advance?
Often, yes. Many freelancers invoice at the start of each month. Say so in the agreement.
What happens to hours the client doesn't use?
Whatever the agreement says. Most retainers say unused hours don't carry over; if you want them to roll over, say so.
Can I pause work if the client doesn't pay?
Only if your agreement allows it, so say so in writing before you start.
This guide explains the general position in the UK as we understand it on 25 October 2026. The law differs between England and Wales, Scotland and Northern Ireland, and it changes. If something important turns on it, talk to a solicitor or an accountant.
Templates and tools for this
Send your first agreement free
Send a retainer that says what each month includes, and have your client sign it from a link.
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