How to Create an Invoice: Step-by-Step Guide
A practical, no-fluff walkthrough of building a professional invoice from scratch. Each step links to the relevant field in the Invoice Generator so you can follow along in real time.
Last updated 2026-09-17.
Before you open the generator
Collect these seven pieces of information. Having them ready means you fill the form once and download a complete, payable invoice.
- 1
Your business identity
Legal or trading name, address, email, phone, and tax registration number (VAT/GST) if you have one.
- 2
Client details
Full company name, billing address, and the accounts-payable email (often different from your day-to-day contact).
- 3
Invoice number
Pick a sequential scheme (e.g.,
INV-2026-0001) and never reuse or skip a number. - 4
Dates
Issue date (today) and due date. Net 14 or Net 7 gets paid faster than Net 30.
- 5
Line items
Description, quantity, unit price. Be specific — “Website redesign” is vague; “Website redesign — Phase 1: research & wireframes (12 hrs × GBP 85)” is not.
- 6
Tax treatment
Rate (0%, 5%, 20%, etc.) and label (VAT, GST, Sales Tax). If you are not registered, leave it at 0 — do not invent a tax line.
- 7
Payment instructions
Bank name, account number, sort code/IBAN/SWIFT, and the currency you expect to be paid in.
Step-by-step in the Invoice Generator
1. Upload your logo (optional)
Drag a PNG or JPEG (≤ 512 KB) into the logo area. It embeds as a base64 data URL in the PDF — no external hosting required. The generator shows a live preview.
2. Fill in “Your details”
Business name, email, phone, tax ID, and address. Line breaks in the address textarea are preserved in the PDF.
3. Fill in “Bill to”
Client name, email, and address. If the client gave you a purchase-order number, enter it in “PO or reference” — many finance teams will not pay without it.
4. Set “Invoice details”
- Invoice number: Use your sequential scheme. The generator suggests
INV-YYYY-0001based on today's year. - Issue date / Due date: Defaults to today and today + 14 days. Change if your terms differ.
- Currency: Pick the client's currency. The symbol updates everywhere — form, totals panel, PDF.
- Tax label & rate: Choose VAT, GST, Sales Tax, or Service Tax. Enter the rate (e.g., 20). If you are not tax-registered, set it to 0.
- Discount %: Applied to the subtotal before tax. This matches how most ledgers work.
- Shipping: Added after tax (never taxed by this tool). Move it into a line item if it is taxable in your jurisdiction.
5. Add line items
Click “+ Add line item” for each row. Enter description, quantity, and unit price. The line total calculates instantly. Blank rows are ignored in the subtotal.
6. Notes, payment details, and branding
- Notes & terms: State your late-payment terms here (e.g., “Payment due within 14 days. Late payments carry 8% annual interest.”). This is what makes them enforceable later.
- Payment details: Bank account information the client needs to pay you.
- Accent colour: Pick one of six presets. It colours the PDF header bar, table headings, and total-due box.
7. Review the summary panel
The right-hand panel shows:
- Subtotal (sum of line amounts)
- Discount (if any)
- Taxable base (subtotal − discount)
- Tax amount (taxable base × rate)
- Shipping (if any)
- Total due — the figure the client pays
Any missing required fields (your name, client name, invoice number, at least one line item) are listed under “Before you download”.
8. Download the PDF
Click “Prepare PDF download” (first time loads the ~700 KB engine), then “Download PDF invoice”. The file is a true vector PDF — text is selectable, searchable, and prints sharply at any size. Nothing is uploaded; the PDF is generated entirely in your browser.
Worked example: a 3-line UK invoice
This is the exact scenario used in the tool's built-in guide:
| Design retainer (1 × 2,400.00) | 2,400.00 |
|---|---|
| Landing page build (12 h × 85.00) | 1,020.00 |
| Stock photography, passed through (1 × 30.00) | 30.00 |
| Subtotal | 3,450.00 |
| Early-payment discount (5%) | −172.50 |
| Taxable base | 3,277.50 |
| VAT at 20% | 655.50 |
| Total due | 3,933.00 |
Takeaway: The 20% VAT is charged on 3,277.50 (after discount), not on 3,450.00. Applying tax before the discount would overcharge the client by 34.50 and leave you owing tax you never collected.
Common mistakes to avoid
- !Vague descriptions. “Design work” gets queried; “Homepage redesign — 3 concepts, 2 revisions” does not.
- !Missing PO number. The single biggest reason invoices sit in a queue without being rejected.
- !Tax on the wrong base. Tax applies to the discounted subtotal, not the original subtotal.
- !Inventing a tax number. Charging VAT/GST without a registration is a serious offence in most jurisdictions.
- !Not downloading the PDF. Drafts live in this browser only. Clear site data, switch devices, or open a private window and the draft is gone.
Related guides
- Invoice Numbering: Best Practices for Freelancers
- What an Invoice Must Contain (Legal Requirements)
- Invoice vs Receipt vs Quote: What is the Difference?
- Tax Exclusive vs Tax Inclusive: The Mistake Everyone Makes
- Payment Terms That Get You Paid Faster
Open the tool and try it
The Invoice Generator is on the homepage. Your draft saves automatically in this browser — no account, no upload, no server.
This guide explains how the Invoice Generator works. It is not accounting or legal advice. Invoice requirements vary by country and tax scheme — check the rules that apply to you, or ask your accountant.