Create a professional invoice in minutes

How do I make an invoice?

Making an invoice takes five steps. This invoice generator walks you through each one and does the math for you.

1. 1Add your business details. Name, address, phone, email, and Tax ID or EIN. Upload your logo if you have one.
2. 2Add your client. The company or person paying, at the address their accounting team uses.
3. 3Set the invoice number and dates. A unique number, the invoice date, the due date, and the client's purchase order number if they gave you one.
4. 4List your line items. One row per product or service with a description, quantity, and unit price. The amount, subtotal, sales tax, and total calculate automatically.
5. 5Add payment terms and download. Say how and when to pay, add a note, and download the finished PDF to email to your client.

What should an invoice include?

An invoice is a request for payment that lists what you delivered and what the customer owes. In the United States there is no government form for it, but clients and their accounting software expect the same elements every time:

• Your business details: legal or trade name, address, phone, email, and your Tax ID or EIN.
• Your client's details: the name and address the payment will be recorded under.
• A unique invoice number and the invoice date.
• A due date and the payment terms behind it.
• Itemized line items: a description, quantity, unit price, and amount for each product or service.
• Subtotal, sales tax, and total so the amount due is unambiguous.
• How to pay: bank transfer details, accepted payment methods, or a payment link.
• Terms and notes: late fees, warranties, or a simple thank you.

This invoice template covers all of these fields, so you only have to fill in the details.

What is an invoice number and how do I assign one?

An invoice number is the unique ID of one bill. It keeps your records straight, lets a client refer to a specific invoice, and shows the IRS an unbroken sequence if you are ever audited. Any system works as long as every number is unique and never reused. Common patterns:

• Sequential: 001, 002, 003. Simple, and the easiest way to prove no invoices are missing.
• Year prefix: INV-2026-001. Resets each year and tells you at a glance when the work was done.
• Client code: ACME-014. Useful when you invoice the same few customers month after month.

Whichever pattern you choose, write it the same way on the invoice, in your bookkeeping, and in the email you send. Consistent numbers make tax time and any payment disputes far easier.

What payment terms should I put on an invoice?

Payment terms tell the client when the money is due. State them on every invoice; without them, most customers default to their own schedule. The most common US terms:

• Due on receipt: payment is expected as soon as the client gets the invoice. Common for one-off jobs and small amounts.
• Net 15, Net 30, Net 60: payment is due 15, 30, or 60 days after the invoice date. Net 30 is the standard term for US business-to-business work.
• 2/10 Net 30: the client may take a 2% discount if they pay within 10 days, otherwise the full amount is due in 30. This template does not calculate discounts, so state the discounted amount in your notes.
• Deposit or milestone: part of the total is billed up front or at agreed stages, typical for construction and larger projects.

For new clients and small businesses, Net 15 or due on receipt keeps cash flowing. Offer Net 30 to established customers who ask for it.

How long does a client have to pay an invoice?

As long as your payment terms say. There is no federal deadline for paying a private invoice; the due date on the invoice, or the contract behind it, is what counts. If the invoice names no terms, courts generally treat payment as due within a reasonable time, which is why you should always print a due date.

• Late fees and interest are allowed in most states if the client agreed to them in advance. Many states cap the rate, so check yours before charging more than about 1% to 1.5% per month.
• Government and construction work is often covered by state prompt payment laws that set a deadline and interest for late payment.
• Unpaid invoices can be pursued in small claims court, usually for amounts up to a few thousand dollars depending on the state, or sent to collections.

Put your late fee policy in the terms and conditions section so it is on the invoice itself.

Do I have to charge sales tax on an invoice?

In the United States, sales tax is set by states, counties, and cities, not by the federal government. Whether you must collect it depends on what you sell and where your customer is:

• Physical goods are taxable in almost every state that has a sales tax.
• Services are exempt in many states, but several states tax specific services such as repairs, installation, or digital products. Rules change, so confirm yours.
• Out-of-state customers may trigger tax in their state once your sales there pass that state's threshold.
• Five states have no statewide sales tax: Alaska, Delaware, Montana, New Hampshire, and Oregon. Some Alaska localities still charge a local tax.

Enter your combined state and local rate in the sales tax field and the invoice calculates the tax amount and total for you. Leave the rate at zero when no tax applies. lumr does not determine your tax obligations; check with your state department of revenue or a tax professional if you are unsure.

Can I send an invoice without a registered business or EIN?

Yes. In the US anyone can invoice for work they performed. If you have not formed an LLC or corporation, you are a sole proprietor by default and can invoice under your own name.

• Name: use your legal name, or your trade name if you have registered a DBA with your state or county.
• Tax ID: an EIN is optional for a sole proprietor with no employees, but it keeps your Social Security number off invoices and W-9s. The IRS issues EINs online in minutes.
• Payments: a personal bank account is legal, but a separate business account makes bookkeeping and tax time far simpler.

Leave the Tax ID line blank if you do not want to print one; the client can request a W-9 if they need it.

Is an invoice a legally binding document?

An invoice on its own is not a contract; it is a formal request for payment under an agreement that already exists. That agreement can be a signed contract, an accepted quote, a purchase order, or even an email exchange. The invoice becomes strong evidence of that agreement and of the amount owed.

• Before the work, get the scope and price agreed in writing, even briefly. The invoice should mirror it.
• On the invoice, repeat the key terms: due date, late fee, and what was delivered.
• After sending, keep a copy and the delivery confirmation. Together they are what a court or collections agency will look at.

How do I get paid faster on an invoice?

A clear invoice is the first step. These habits shorten the wait between sending it and seeing the money:

1. 1Send it the same day. Invoice as soon as the work is delivered, while it is fresh in the client's mind.
2. 2Name a real due date. A date such as October 8 gets paid sooner than the phrase 30 days.
3. 3Make paying easy. List the ways you accept payment: ACH or bank transfer, Zelle, check, or card. Include the details needed for each.
4. 4Match their paperwork. Include the client's purchase order number and address the invoice to the person or department that approves payment.
5. 5Follow up politely. A short reminder a few days before the due date, and another the day after, keeps you at the top of the pile.
6. 6Keep your copy. Your invoice stays saved in your account so you can reopen it, adjust it, and download it again at any time.

What is the difference between an invoice, a quote, and a receipt?

These documents look alike but do different jobs, and clients notice when the wrong one arrives.

• A quote or estimate comes before the work. It proposes a price and is not a request for payment.
• An invoice comes after the work, or at an agreed milestone. It lists what was delivered and asks for payment by a due date.
• A receipt comes after payment. It confirms the amount received and the date.

If you quoted the job, turn the quote into your invoice: reuse the same line items and note the quote number so the client can match them up.

How do I invoice as an independent contractor?

Invoice the same way a business does: your name or business name, the client, a unique number, itemized work, and payment terms. As a freelancer or independent contractor, your invoices are also the record of your self-employment income, and two IRS forms sit alongside them:

• Form W-9: a business that pays you may ask for your W-9 before paying the first invoice. It gives them your name, address, and Taxpayer Identification Number.
• Form 1099-NEC: a client that pays you 600 dollars or more in a year reports it to the IRS on a 1099-NEC and sends you a copy in January.

Use the same business name and Tax ID on your invoices as on your W-9, so the client's 1099 matches your records. Bill hourly work with the hours as the quantity and your rate as the unit price; bill project work as one line with a quantity of one.

How long should I keep invoices for taxes?

The IRS generally has three years from the date you file to audit a return, so keep every invoice for at least three years. Keep them longer in these cases:

• Six years if you underreported income by more than 25%, since the IRS can look back that far.
• Seven years for invoices tied to bad debt you wrote off.
• Indefinitely for invoices that document the cost of equipment or property you still own and depreciate.

Digital copies are accepted. Your invoices stay in your lumr account, and the downloaded PDFs can be filed with your bookkeeping records.

Can I edit an invoice after I create it?

Yes, until you send it. Reopen the invoice from your account, change any field, add or remove line items, and download a fresh PDF. Totals recalculate as you type. You can fill it two ways: the guided mode asks one question at a time, or open the document view and type straight into the fields on the page.

• Pick one currency for the invoice: USD, EUR, GBP, CAD, or AUD.
• Long invoices flow onto extra pages, with the totals fixed on the last page.
• Once a client has the invoice, do not overwrite it. Issue a corrected invoice with a new number, or a credit note, so both sets of books stay in sync.
• Your invoice is created in English and saved to your account, ready to reuse for the next job.