How to Create a Professional Invoice in 2025

Look, creating an invoice isn't rocket science. But there's a difference between throwing together a Word doc and sending something that actually gets you paid on time. Let's talk about what makes a professional invoice.

What Actually Needs to Be on an Invoice?

Here's what you absolutely need:

Your Information

Your business name (or your name if you're freelancing)

Your address

Your contact details (email and phone)

Tax ID or business registration number (if applicable)

Their Information

Client's name or business name

Their address

Their contact person (if it's a company)

The Money Stuff

A unique invoice number (just number them sequentially: INV-001, INV-002, etc.)

Invoice date

Payment due date (more on this below)

List of services or products

Price for each item

Any taxes

Total amount due

Payment Details

How they can pay you (bank transfer, PayPal, credit card, etc.)

Your account details or payment links

That's it. Everything else is optional.

Payment Terms That Actually Work

Here's where people get confused. "NET 30" sounds professional, but do you really want to wait a month?

Common payment terms:

Due on Receipt - Pay immediately (best for new clients)

NET 7 - Pay within 7 days (reasonable middle ground)

NET 15 - Pay within 15 days

NET 30 - Pay within 30 days (standard for larger companies)

Pro tip: The faster you send the invoice, the faster you get paid. Send it the same day you complete the work if possible.

Common Mistakes People Make

1. Vague descriptions

Don't write: "Design work - $500"

Do write: "Logo design including 3 concepts and 2 revision rounds - $500"

Being specific prevents the "I didn't know that was included" conversation later.

2. Not numbering invoices

You need a system. Even if it's just INV-001, INV-002, etc. This helps both you and your client track payments.

3. Missing payment information

Sounds obvious, but people forget to include their payment details. Make it easy for clients to pay you.

4. No due date

If you don't specify when payment is due, clients will pay whenever they feel like it. Be clear.

Making Your Invoice Look Professional

You don't need fancy design skills. Clean and readable beats fancy every time.

Keep it simple:

Use a clean font (Arial, Helvetica, or similar)

Plenty of white space

Clear sections

Bold the total amount

Add your logo if you have one (but it's not required)

What NOT to do:

Don't use Comic Sans (please)

Don't make it a rainbow of colors

Don't use tiny font sizes

Don't make it multiple pages if you can avoid it

The Follow-Up Game

Here's the reality: Sometimes you need to follow up. It's not personal, people just forget.

Simple follow-up timeline:

Day of due date: Send a friendly reminder

7 days overdue: Second reminder, slightly more direct

14 days overdue: Phone call or more formal email

30 days overdue: Consider stopping work and/or late fees

Keep it professional but firm. You did the work, you deserve to be paid.

Tools vs. DIY

You can absolutely use Excel or Word templates. But if you're sending more than a few invoices a month, dedicated invoicing software saves time.

Benefits of using software:

Automatic numbering

Professional templates

Tracks what's paid and unpaid

Sends automatic reminders

Creates reports for tax time

When Excel is fine:

You send 1-2 invoices per month

You're just starting out

You don't mind manual tracking

Tax Considerations

I'm not a tax professional, but here's what you should know:

Keep copies of all invoices (for 7 years in most places)

Track which invoices are paid

Note which ones include tax

Talk to an actual accountant about your specific situation

Different countries and regions have different tax rules. Don't guess—ask a professional.

Getting Paid Faster: Real Tips

1. Make payment easy

The more payment options you offer, the faster you get paid. PayPal, bank transfer, credit card—offer them all if you can.

2. Send immediately

Don't wait until the end of the week. Send the invoice as soon as the work is done.

3. Follow up promptly

Don't wait 60 days to ask about a late payment. Follow up on the due date.

4. Consider deposits

For bigger projects, ask for 25-50% upfront. This ensures the client is serious and reduces your risk.

5. Be clear about late fees

State on the invoice: "Late payments incur a 5% fee after 30 days" (or whatever your terms are). Then actually enforce it.

The Bottom Line

A professional invoice is just one that's clear, complete, and easy to pay. You don't need fancy design or complicated software—you just need the right information in a readable format.

Start simple, be consistent, and follow up when needed. That's it.

Need to create an invoice right now? Try our free invoice generator—no signup required to test it out.