diff --git a/db/migrate/001_create_contracts.rb b/db/migrate/001_create_contracts.rb
new file mode 100644
index 0000000..3099b9e
--- /dev/null
+++ b/db/migrate/001_create_contracts.rb
@@ -0,0 +1,31 @@
+class CreateContracts < ActiveRecord::Migration
+  def self.up
+    create_table :contracts do |t|
+      t.string :name
+      t.integer :account_executive_id # User
+      t.references :project
+      t.date :start_date
+      t.date :end_date
+      t.boolean :executed
+      t.decimal :billable_rate, :precision => 15, :scale => 2
+      t.string :discount
+      t.string :discount_type # $ or %
+      t.text :discount_note
+      t.string :payment_terms
+      t.text :client_ap_contact_information
+      t.string :po_number
+      t.text :details
+      t.timestamps
+    end
+
+    add_index :contracts, :name
+    add_index :contracts, :account_executive_id
+    add_index :contracts, :project_id
+    add_index :contracts, :start_date
+    add_index :contracts, :end_date
+  end
+
+  def self.down
+    drop_table :contracts
+  end
+end