As a freelancer, getting paid can be a hassle. In this guide, we’ll explain how you can easily create an invoice for freelance work to help you get paid on time.
Regardless of what freelance work you do, it’s essential that you get paid for your work. In most cases, to get paid you have to send your customers an invoice.
In this guide, we’ll give you a brief introduction to what you should include when creating an invoice for freelance work and how to create one, step-by-step.
How to create a freelance invoice
As a freelancer, you have a few different options for creating an invoice for freelance work, each with its own pros and cons. Here is a brief overview of the most popular alternatives:
Make your own invoice template
Many freelancers create their own invoice template in Google Docs, Microsoft Excel or Word. When creating a template, you can tailor your invoice to your needs and you have complete control over the design of the invoice. The main downside, however, is that it can be very time-consuming.
Use an existing invoice template
Some websites offer free invoice templates that you can use to create and send professional-looking invoices. You can download the templates in a variety of formats and customize them to your needs quickly and easily. There are, however, several limitations to using such templates.
The main downside is that an invoice template does not assign invoice numbers automatically, which is a legal requirement in some markets. It can also be a hassle to follow up on your invoices when you have them all in Excel or Word.
Try invoicing software
With cloud-based invoicing software, such as our free invoicing software for freelancers, you can create, send and track invoices from your browser. In most cases, invoicing systems are easy to use, with smart features such as recurring billing and automatic payment reminders. Another benefit with invoicing software is that it safely stores all your invoices, and you can easily see which invoices you need to follow up on.
A limitation, however, is that invoice softwares can be costly, and you may not have control over the design of your invoices. That’s why you should look into free invoicing software.
Freelancer and ready to send your first invoice?
Get started with free invoicing5 things you should include in a freelance invoice
To ensure quick and correct payment, your invoice for freelance work should include all of the relevant information. There are five key elements that you need to make sure to include
1. Contact details
Ensure that the invoice clearly identifies the parties involved by including the following information for both the seller and the customer:
- Company name
- Business address
- Contact name
- Phone number
2. Invoice number
All invoices should have a unique invoice number for accounting and tax purposes. In many countries, a unique invoice number is required by law.
If you use invoicing software, this number is added automatically. Alternatively, you can start with a low five-digit number and increase it by one for each invoice or credit note you send.
3. An itemized list of goods and services
Clearly state what the customer is paying for in the form of a detailed list of the goods or services, along with the quantity and price of each item, as well as tax and discounts, if applicable.
4. Payment terms
Explain how you want the customer to make the payment and when the payment is due. Also remember to mention other payment terms, such as late payment fees that will be added if the customer does not pay on time.
5. Total amount due
It’s important to include the total cost of the goods or servicesalong with any applicable taxes or fees.
What’s the best way to send an invoice for freelance work?
The most popular and the quickest method of sending an invoice is by email. You can send it directly from Conta or download the invoice as a PDF-file and attach to the email you send your costumer or print it and send it in the mail.
With invoicing software, invoice emails and payment reminders are sent automatically. Alternatively, you can use this email template when invoicing for freelance work:
Subject: Invoice for services rendered – [invoice date]
Dear [Customer],
Attached to this email, you will find the invoice for the services that were provided to you on [Date of Service].
The invoice includes a breakdown of the services rendered, the total hours worked, and the hourly rate. The total amount due is indicated at the bottom of the invoice.
If you have any queries or there are any issues, please contact us. We’re happy to address any issues or offer further details.
Thank you for doing business with us! We look forward to continuing to serve you in the future.
Sincerely,
[Your name]
[Your company name]
Useful tips when customers don’t pay on time
As a freelancer, it’s important to ensure financial stability while maintaining good client relationships. When a customer fails to pay on time, that balancing act can be daunting.
However, there are steps you can take to reduce the risk of customers paying late, and to handle the situation in a professional manner if it does happen.
One way to reduce the risk is to clearly communicate your payment terms and expectations before starting the work, in the form of a contract which lists the total cost of the work, the payment schedule and consequences for late payments.
If a customer doesn’t pay on time, it’s important to follow up promptly via email or phone. If the customer is still unable or unwilling to pay, you can consider offering a payment plan, hiring a collections agency to assist you or taking legal action.
Pro-tip: Manage your outstanding invoices for free
Conta’s free invoicing software gives you an overview of overdue invoices. It’s easy to keep track of your finances and follow up with your customers. Create, send and manage your invoices all in one place.