How to Invoice for Freelance Work (Rates, Scope, and Timing)

To invoice for freelance work, agree on your rate, scope and billing schedule with the client before you start. Then, when the work or a payment point is reached, send an invoice that shows your details and the client's, an invoice number and date, a line for each piece of work with its price, the total, the due date and how to pay. The clearer each line is, the fewer questions the client's accounts team has before paying.

Billed publishes this page. The US tax points below are quoted from the IRS, and the Billed details from Billed's own product pages, all opened on October 29, 2026. This is general information, not tax advice; ask your accountant how the rules apply to you.

Agree on rates, scope and timing first

Before the first invoice, put these in your agreement or estimate:

• Rate: a fixed fee, an hourly or daily rate, or a monthly retainer.
• Scope: what's included, the number of revision rounds, and how extra work is priced.
• Billing schedule: for example, a deposit at the start and the balance on delivery, an invoice at each agreed stage, or a monthly invoice for ongoing work.
• Payment terms: when payment is due, such as 15 days after the invoice date, and any late fee your agreement allows. See invoice payment terms explained.

What to put on a freelance invoice

• Your name or business name, address and contact details.
• The client's business name, address and contact person.
• A unique invoice number, plus the invoice date and due date.
• The client's purchase order number, if they use one.
• A line for each piece of work, with a quantity and price.
• Expenses you pass on, on their own lines.
• Any deposit already paid, the total and the amount due.
• How to pay, and the payment reference to use.

For more on layout, see how to create a professional invoice.

Describe the work so it gets approved

Name the deliverable, not only the effort. Homepage wireframes, version 2 tells the client what they're paying for; Design work doesn't. Include the quantity (hours, pages, rounds) and the rate, and refer to the agreement or estimate the work comes from. If the client asked for extra work, put it on its own line with a note that it was requested, rather than adding it to an existing line. For hourly work, see the guide to hourly invoicing.

Deposits

For a new client or a large project, you can ask for a deposit before you start. Invoice it as its own invoice, and on the final invoice show the deposit as already paid, with the deposit invoice number, so the client pays only the balance.

Retainers and repeat work

For a client you bill the same amount on a schedule, a recurring invoice saves time. Billed's recurring invoices page says "Invoices are created automatically and sent to your customers according to your settings." State what the retainer covers and how extra work is billed.

Expenses

Put expenses such as licenses, stock images or travel on separate lines from your fees, and attach receipts if the agreement asks for them. If you add a markup to expenses, say so in the agreement.

Taxes (US)

• Report all income: the IRS page Manage taxes for your gig work (last reviewed or updated June 28, 2026) says "You must report all income on your tax return, even if you don’t receive Forms 1099 from the businesses that pay you." Keeping a copy of every invoice helps you match payments to income.
• Form W-9: US business clients may ask you for a Form W-9 before they pay you. The IRS page About Form W-9 (last reviewed or updated June 27, 2026) says: "Use Form W-9 to provide your correct Taxpayer Identification Number (TIN) to the person who is required to file an information return with the IRS to report, for example: Income paid to you."
• Sales tax: whether your services are taxable depends on your state. Check your state's tax agency or ask your accountant before adding a sales tax line.

Worked example: a final invoice with a deposit

The freelancer, client and figures here are a sample, invented for this example.

A designer agreed on a $3,000 fixed fee for a logo and brand guide, with a 50% deposit at the start: $3,000 × 50% = $1,500, billed on invoice INV-1001 and paid. On delivery, the designer sends final invoice INV-1002:

• Logo design, 3 concepts and 2 revision rounds: $1,800.
• Brand style guide, 12 pages: $1,200.
• Stock photo license, passed on at cost, receipt attached: $60.
• Subtotal: $1,800 + $1,200 + $60 = $3,060.
• Less deposit paid (INV-1001): −$1,500.
• Amount due: $3,060 − $1,500 = $1,560, due 15 days after the invoice date.

The fee lines add up to the agreed $1,800 + $1,200 = $3,000, so the client can check them against the agreement at a glance. This sample has no sales tax line; whether one applies depends on your state.

Send it on time and follow up

Send the invoice as soon as the work or stage is done, because the due date runs from the invoice date. If payment is late, send a short reminder with the invoice number, amount and due date; see how to write invoice payment reminders. If the client questions a line, see the guide to resolving invoice disputes.

Where Billed fits

Billed's invoice software page says you can "Choose an invoice template, add your logo and business details, and save the products and services you sell so you can pull them into an invoice instead of retyping them." It also says you can "convert an approved estimate into an invoice, and bill for time you have tracked," and that "Invoice reports show which invoices are paid, partially paid or past due, and you can see who owes you money and send them a payment reminder."

For payment, Billed's accept payments page says "Billed integrates with Stripe to enable online payments on invoices," and "Add your Paypal account to Billed to start accepting payments via Paypal on your invoices." See also how to accept online payments. For a single invoice, Billed has invoice templates and an invoice generator.

When this guide isn't for you

This guide is for US freelancers and small businesses doing their own invoicing. If you bill clients in other countries, see how to invoice international clients. If you run a firm with a finance team and an ERP system, your process will differ.

Related Articles

• How to Create a Professional Invoice
• Guide to Hourly Invoicing
• How to Accept Online Payments

Frequently Asked Questions

When should a freelancer send an invoice?

Send it as soon as the work, or the stage your agreement names, is delivered. For ongoing work, invoice on the same day each period, such as the first of the month.

What should a freelance invoice include?

Your details and the client's, a unique invoice number, the invoice date and due date, a line for each piece of work with its price, any expenses on separate lines, any deposit already paid, the amount due and how to pay.

Should freelancers ask for a deposit?

That's your choice, and it's set in your agreement. If you take a deposit, show it on the final invoice as already paid. In the sample on this page, a $1,500 deposit on a $3,000 fee left $1,560 due, including a $60 expense.

Do I have to report income if the client doesn't send a Form 1099?

In the US, the IRS says: "You must report all income on your tax return, even if you don’t receive Forms 1099 from the businesses that pay you." Ask your accountant how this applies to you.

How do I invoice for extra work outside the agreed scope?

Agree on the extra work and its price in writing first, then bill it on its own line with a note that the client requested it, rather than adding it to an existing line.