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Fast and secure invoice processing for every organization.
Fast and secure invoice processing for every organization
If you’re running a business, knowing how to create an invoice is essential for staying organized and getting paid on time. Whether you’re just starting out as a freelancer or managing an established company, sending a clear and accurate invoice helps maintain professional relationships and ensures healthy cash flow.
In this article, you’ll learn everything about how to create an invoice, with a practical example and helpful tips.
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An invoice is more than just a request for payment. It’s a formal record of the transaction and proof of income for tax reporting purposes. If your invoice contains errors or missing information, it can lead to payment delays or issues with tax authorities.
That’s why learning how to create an invoice properly is key — especially if you’re billing as an individual and need to understand what’s legally required.
Creating an invoice template that meets legal standards helps streamline your workflow. A professional invoice should include:
If you’re not registered for sales tax or VAT, make sure to state that clearly on the invoice.
Visit our page about invoice requirements for more information.
Keep it sequential and unique (e.g., 2025-001, 2025-002) to maintain a clear record.
Before you begin, make sure you have the client’s full details, project description, and agreed-upon rates or pricing.
You can use Word or Excel, but these are prone to mistakes. The best way to create an invoice is with invoicing software that automates calculations and numbering.
If you’re on the go, you might ask: Can I create an invoice on my iPhone? Yes, many invoicing apps let you generate and send invoices directly from your mobile device.
Make sure the totals are correct, tax is calculated properly, and all required details are present. Small errors can lead to big delays.
Send your invoice in PDF format via email and track payment status. Include a polite reminder of the due date and follow up if needed.
While knowing how to create an invoice is important, managing unpaid invoices is just as critical. That’s where Payt comes in.
Payt is specialized accounts receivable software that helps you:
With Payt, you stay in control without sacrificing customer relationships.
Curious what Payt can do for you? Download our brochure below or schedule a demo right away.
Yes, for occasional freelance work, but be sure to include your personal details and clearly state that you’re not tax-registered.
Start with a simple template. Include all key fields like invoice number, date, item description, and total due.
You can, but it’s easy to make mistakes. Using invoicing software helps ensure accuracy and saves time.
If you’re not required to collect tax, clearly state this on the invoice: e.g., “No sales tax due” or “Tax-exempt.”
A proforma invoice is a preliminary invoice used for customs or informational purposes. It’s not a request for payment, but it outlines what will be delivered.
