Invoicing is the part of freelancing nobody teaches you, and it decides when (and whether) you get paid. This guide walks through the whole process, from the first invoice to tax time. Each section is short and links to a detailed guide if you want to go deeper.
Key takeaways
Agree on your rate, deposit and payment terms in writing before you start. The invoice should only confirm what the client already expects.
A freelance invoice needs your details, the client's details, a unique number, the invoice date, a specific due date, itemized work, the total and clear payment instructions.
Invoice the day you deliver. For bigger projects, take a deposit and bill at milestones.
Make paying easy: offer one or two methods the client already uses, such as card and bank transfer.
Follow up on a schedule, starting the day after the due date. Late fees only work if you agreed on them up front.
Keep a copy of every invoice and payment. In the US, report all freelance income, whether or not you get a 1099.
Before you invoice: agree on the money first
Most invoicing problems start before the invoice exists. If the client is surprised by the amount, the due date or the late fee, you'll spend weeks sorting it out.
Before you start any project, agree on these in writing (an email reply that says "agreed" counts as writing in most cases):
The price and how it's calculated: hourly, daily, per project or per deliverable.
What's included and what costs extra: number of revisions, rush fees, expenses.
The billing schedule: deposit, milestones, monthly or on completion.
Payment terms: when payment is due after the invoice, and any late fee.
Who receives invoices: often it's an accounts payable inbox, not your contact.
Some places require this. In New York City and, since August 28, 2024, across New York State, the Freelance Isn't Free Act requires a written contract for freelance work worth $800 or more (including work that adds up to $800 within 120 days), and if no payment date is set, the client must pay within 30 days of completion.
If you send a price first, that's usually an estimate or a quote, not an invoice. Here's the difference between an estimate and an invoice and when to send each.
What a freelance invoice must include
A freelance invoice is a request for payment for work you've done or a stage you've reached. It doesn't need to be fancy. It needs to be complete, so the client can approve it without writing back to ask questions.
Section | What to put there |
|---|---|
Your details | Your name or business name, address, email, and a tax or VAT ID if you have one |
Client details | The client's company name, contact person, billing address, and their VAT ID for international B2B work |
Invoice number | A unique, sequential number (for example 2026-014). Never reuse one |
Dates | The invoice date and the date of the work or delivery |
Due date | A real date, such as "Due November 6, 2026", not just "Net 30" |
Line items | A description of each service, quantity (hours, days, items), rate and line total |
Totals | Subtotal, any discount, tax if it applies, and the total due, with the currency |
Payment instructions | How to pay: a card payment link, bank details, or both |
Reference | A PO number or project name if the client uses them |
Two things make the biggest difference to how fast you get paid: an itemized list of work the client recognizes, and a specific due date. If your line items use the same names as your quote or contract, the client can match them in seconds. See how to write an itemized invoice for a worked example.
UK and EU. In the UK, every invoice must include a unique number, your details, the customer's details, a description of the work, the supply date and invoice date, the amounts and total, and VAT if it applies. Sole traders must also show their own name next to any business name. If both you and your client are VAT registered, you need a full VAT invoice. In the EU, when you bill a VAT-registered business in another EU country for services, you usually don't charge VAT; the client pays it in their country under the reverse charge, and your invoice should show both VAT numbers.
Want the step-by-step version? Read how to make an invoice, or fill in the free invoice generator and download a PDF in a few minutes. If you prefer a document you can edit, start from the freelance invoice template.
When to invoice: four billing schedules
There's no single right time to bill. Pick the schedule that fits the size and length of the project, and agree on it before you start.
1. Upfront deposit
For any project that will take more than a week or two, or where you block out dates for the client, ask for part of the fee before you start. A deposit protects you if the client cancels, and it filters out clients who aren't serious.
Deposits of 20–50% of the total are common: lower for small jobs, higher for big projects or work that reserves a date, like a wedding shoot. Say clearly whether the deposit is refundable and that it counts toward the final total. Send the deposit as its own invoice and don't start until it's paid. Our guide on whether photographers should charge deposits covers percentages and cancellation wording in detail, and most of it applies to any freelancer.
2. Milestones
For long projects, split the fee into stages tied to deliverables: for example 30% to start, 40% when the first draft is approved and 30% on final delivery. You get paid as you go, and the client only pays for work they've seen. Write the milestones into your agreement so each invoice is a formality.
3. On completion
For short, one-off jobs, one invoice at the end is fine. The key is to send it the same day you deliver. Every day you wait is a day added to when you get paid, and a late invoice looks like you don't mind waiting. If you're already behind, here's how late you can send an invoice and how to do it without awkwardness.
4. Retainers and ongoing work
For ongoing clients, bill on a fixed schedule. Two common setups:
Retainer: the client pays a fixed amount at the start of each month for an agreed amount of work or availability.
Monthly billing in arrears: you invoice on the first of the month for the work done in the previous month.
If you do several small jobs for one client during a month, put them all on one consolidated invoice with one line per job. It's easier for the client to approve one bill than five.
Payment terms: set the due date
Payment terms tell the client how long they have to pay. The most common ones:
Term | Meaning | Good for |
|---|---|---|
Due on receipt | Pay now | Deposits, small jobs, new clients |
Net 7 / Net 15 | Pay within 7 or 15 days of the invoice date | Most freelance work |
Net 30 | Pay within 30 days | Larger companies with monthly payment runs |
Net 60 | Pay within 60 days | Some corporate clients; avoid it if you can |
Shorter is better for you, but big companies often have fixed payment cycles you can't change. Ask about the client's process before you agree, and if they insist on longer terms, ask for a deposit to compensate. For a full breakdown, see Net 30 and other payment terms explained.
Three rules that apply whatever terms you choose:
Write the actual due date on the invoice. "Due November 6" gets paid faster than "Net 30", because nobody has to count days.
Put any late fee in the agreement first. A late fee that appears for the first time on an overdue invoice is hard to enforce and annoys the client.
Know the default where you are. In the UK, if no date was agreed, a business payment is late 30 days after the client receives the invoice or the work is delivered, whichever is later. In the EU, B2B terms over 60 days are only allowed if expressly agreed and not grossly unfair to you.
More on getting paid faster in our invoicing tips for freelancers.
How to send a freelance invoice
You have three common options, and you can combine them:
Email with a PDF attached. The standard. Many clients' accounts teams still want a PDF for their records.
A shareable link. The client opens the invoice in a browser and, if you've set it up, pays on the same page. Nothing to download, and fewer "I can't find the attachment" replies.
PDF uploaded to a client portal. Some larger companies make you submit invoices through their vendor system. Ask about it in the first week, not when the invoice is due.
Keep the email short: what the invoice is for, the amount, the due date and how to pay. Use a subject line like "Invoice 2026-014 from Jane Doe, due Nov 6" so it's easy to find later. If the client has an accounts payable address, send it there and copy your main contact. Our guide on how to write an invoice email has five templates you can copy.
In Onigiri, you can send an invoice by email to several recipients at once, share it as a link, or download it as a PDF, and the invoice moves from Draft to Sent so you can see what's outstanding.
How to get paid: bank transfer, card and more
The best payment method is the one your client already uses. Offer one or two options, not ten.
Bank transfer (ACH or wire in the US, a local bank transfer in the UK and EU) is the usual choice for business clients. It's cheap or free for you, but slower, and the client has to type your details correctly. Put your bank details on the invoice itself, not only in the email.
Card payments are the fastest for most clients: they click a link and pay with a debit or credit card, Apple Pay or Google Pay. You pay a processing fee. On Stripe's standard US pricing, that's 2.9% + 30¢ per domestic card payment, with an extra 1.5% for international cards and 1% if currency conversion is needed (checked October 2026). Stripe's ACH Direct Debit costs 0.8%, capped at $5. Use the Stripe fee calculator to see what you'll actually receive, and decide whether to build the fee into your rates.
Payment apps and marketplaces like PayPal or Venmo work for some clients, but check their business fees and terms. Our guide on how to get paid as a freelancer compares the main options by fees and speed.
International clients need a few extras: a clear currency code (USD, not "$"), full legal details, VAT or tax IDs where they apply, and a payment method that works across borders. Agree up front on the currency and who covers conversion and transfer fees. See how to invoice international clients.
With Onigiri, you can add your bank details to any invoice, and on the Pro plan clients can pay by card, Apple Pay or Google Pay straight into your own Stripe account. Onigiri never holds your money, takes a 0% platform fee on Stripe payments, and marks the invoice as Paid automatically when the card payment goes through.
Following up on late payments
Late payment is usually about busy inboxes and payment cycles, not bad clients. A calm, regular follow-up routine fixes most of it.
A simple schedule:
A few days before the due date: a short, friendly heads-up with the invoice attached. Optional, but it works well with new clients.
The day after the due date: a polite note that the invoice is now overdue, with the amount, invoice number and payment link.
One week overdue: a firmer email, or a phone call if emails go unanswered.
Two to three weeks overdue: remind them of any late fee in your agreement, and consider pausing further work.
30+ days overdue: a final notice with a deadline, then formal options like a demand letter or small claims court.
Before each reminder, check your side: was the invoice sent to the right person, with the right PO number and correct bank details? A surprising number of "late" invoices are stuck in someone's approval queue.
For the full process, including phone and text scripts, read how to remind someone to pay you. For ready-to-send wording, use these friendly reminder email templates.
Late fees. In the US, you can generally charge a late fee if it's in your agreement and on the invoice, but limits depend on your state, so keep it reasonable. In the UK, for business clients you can claim statutory interest of 8% plus the Bank of England base rate, plus a fixed recovery sum of £40, £70 or £100 depending on the size of the debt, unless your contract sets a different rate. In the EU, the Late Payment Directive allows interest of at least 8 percentage points above the reference rate and a minimum of €40 in recovery costs. See how to charge a late fee on an invoice for wording, and use the late fee calculator to work out the amount.
Taxes and records: the basics
This is general information, not tax advice. Talk to an accountant about your situation.
Charging tax on your invoice.
US: there's no federal sales tax. Most states don't tax most freelance services, but some states tax certain services, so check with your state's revenue department. If you charge sales tax, show it as a separate line.
UK: you only charge VAT if you're VAT registered, and then you need to issue VAT invoices to VAT-registered clients.
EU: charge VAT under your country's rules. For VAT-registered business clients in another EU country, the reverse charge usually applies instead.
Paying tax on what you earn (US).
Clients that pay you $2,000 or more for services in 2026 generally have to send you a Form 1099-NEC by January 31, 2027. (The threshold was $600 for earlier years.) Clients will often ask for a Form W-9 with your taxpayer ID before they pay you.
You must report all your income, whether or not a client sends a 1099. Your invoices are your best record of what you earned.
If your net self-employment earnings are $400 or more, you owe self-employment tax of 15.3% (12.4% Social Security and 2.9% Medicare) on top of income tax. The self-employment tax calculator gives you a rough figure.
If you expect to owe $1,000 or more for the year, pay estimated tax quarterly. For 2026, the due dates are April 15, June 15 and September 15, 2026, and January 15, 2027.
Keeping records.
Keep a copy of every invoice you send and a record of every payment received, matched by invoice number.
US: the IRS's general rule is to keep tax records for 3 years, longer in some cases: 6 years if you under-report income by more than 25%, and 7 years for a bad-debt deduction. Many freelancers simply keep everything for 7 years.
UK: sole traders must keep records for at least 5 years after the 31 January Self Assessment deadline for that tax year.
A habit that saves stress at tax time: when each payment arrives, move a fixed share of it into a separate savings account for taxes. Our freelancer's guide to tax season has a full checklist and a month-by-month calendar.
Common freelance invoicing mistakes
Most late payments trace back to one of these:
Sending the invoice days or weeks after the work is done.
"Net 30" with no actual date, or no due date at all.
Vague line items like "Design work", which the client has to ask about.
Missing payment details, or bank details with a typo.
Duplicate or missing invoice numbers.
Sending the invoice to your contact when it should go to accounts payable.
Adding a late fee the client never agreed to.
Each one has a simple fix. See common invoicing mistakes to avoid.
Freelance invoicing checklist
Copy this list and run through it before you send each invoice.
Before the project
Rate, scope and billing schedule agreed in writing
Payment terms and late fee (if any) agreed
Deposit invoiced and paid, for larger projects
Billing contact, PO number and invoicing process confirmed
On the invoice
Your name or business name, contact details and tax/VAT ID if you have one
Client's legal name and billing address
Unique, sequential invoice number
Invoice date and date of the work
Specific due date
Itemized lines with quantity, rate and line total
Discount and tax lines checked, with the currency shown
Total that matches the agreed price
Payment instructions: card link, bank details or both
VAT details or "reverse charge" wording for UK/EU clients, if needed
Sending and after
Sent the day the work or milestone was delivered
Short email with the amount, due date and how to pay
Sent to the right person (accounts payable, with your contact copied)
Reminder dates in your calendar: the day after the due date, then one week later
Payment recorded and matched to the invoice number when it arrives
A share of the payment set aside for taxes
Start invoicing today
You don't need special software for your first invoice. The free invoice generator or one of the free invoice templates will do the job. When you're sending invoices every month and want to see at a glance what's sent, overdue and paid, an invoicing app saves real time.
Onigiri is a simple invoicing app made for freelancers. The free plan includes 3 invoices a month, unlimited clients and shareable invoice links, with no credit card required. Create your free account and send your first invoice in a few minutes.
