Invoice templates / independent contractors
Contractor Invoice Template
A contractor invoice bills a client for work done under an agreement, not as an employee. It should name the project, the period or milestone, and the rate, so the client's accounts team can pay it without a phone call.
Example line items for contract work
These are examples of how to word lines, not prices. Use your own rates.
Project work, 1 to 31 March, 80 hours
State the period and the hours or the milestone.
Milestone 2: prototype delivered
For fixed-price work, bill against the milestone in the agreement.
Expenses: software licence
Show reimbursable expenses apart from your fees, with receipts if the client asks.
Travel to client site
List travel separately if the agreement allows it.
What to put on a contract work invoice
- The client's name and the project or contract reference
- The period or milestone billed
- Hours and rate, or the agreed fixed fee
- Reimbursable expenses as separate lines
- Your tax or registration number where your country asks for one
For the basics every invoice needs, see what to put on an invoice.
Payment terms
Contractors commonly use Net 14 to Net 30. Put the terms in the contract before the work starts and repeat them on the invoice. A contractor who invoices monthly should use a regular date.
Type Net 30 (or Net 7, Net 15) in the Payment terms box and the due date fills in. Payment terms explained.
Questions
- What is the difference between a contractor and an employee invoice?
- An employee is paid through payroll and does not send an invoice. A contractor bills the client, and is usually responsible for their own taxes.
- Should I add my tax number?
- Where your country asks for it on invoices, yes. Check with your tax office or an accountant.