How your first invoice comes together
You write an invoice in five steps: enter your own details and your customer’s, give it a sequential number and a date, describe the service with its date and price, work out net, VAT and gross, and send it to your customer. Payment terms and your bank details make sure your customer knows by when and where to pay.
Nobody tells you whether to write the invoice in a word processor, a template or invoicing software. What matters is that the mandatory details are complete, because your customer needs them to deduct input tax.
What belongs on the invoice
§ 14 (4) UStG lists the details every invoice must show. In short:
- your full name and address, and your customer’s
- your tax number or your VAT ID
- the invoice date and a sequential invoice number
- what you delivered or did, with quantity and type
- when you performed the service
- the net amount per tax rate, the tax rate and the tax amount
The full list with every special case, such as the small-amount invoice up to €250 gross under § 33 UStDV, is in the guide to invoice requirements. For your first invoice it is enough to put these points into your template or profile once. After that they appear on every invoice by themselves.
Number, invoice date and service date
The invoice number must be unique and assigned sequentially (§ 14 (4) sentence 1 no. 4 UStG). A format such as RE-2026-0001 is common, and letters and years are allowed. How to set up a numbering system and what applies to gaps is in the guide to invoice numbers.
The invoice date is the day you issue the invoice. The service date is the day or period in which you did the work. It belongs on the invoice even when it matches the invoice date. For a project over several weeks you state the service period, for example “September 1 to 30, 2026”.
Net, VAT and gross
You price each line item as quantity times unit price. The sum of the line items is the net amount. VAT is added on top, in most cases 19%, for certain services 7% (§ 12 UStG). If both rates appear on one invoice, you show them separately.
| Line item | Amount |
|---|---|
| 8 hours of web development at €95.00 | €760.00 |
| Setup fee | €240.00 |
| Net total | €1,000.00 |
| VAT 19% | €190.00 |
| Total | €1,190.00 |
Your customer pays the total. The €190.00 is not yours; it goes to the tax office with your VAT return. It is wise to set it aside right away.
As a small business
If you use the small business rule under § 19 UStG, you show no VAT. Since 2025 it applies if your turnover was no more than €25,000 in the previous year and does not exceed €100,000 in the current year. Instead of the tax you add a note to the invoice, such as “Gemäß § 19 UStG wird keine Umsatzsteuer berechnet.”
Payment terms and bank details
Payment terms are not mandatory, but they help a lot. A line such as “Please transfer the amount by October 23, 2026 to the account below.” leaves no questions open. 14 or 30 days are common. Without a fixed date, a business customer is in default at the latest 30 days after the invoice is due and received (§ 286 (3) BGB). For consumers this only applies if the invoice points out this consequence.
Your IBAN goes into the footer or below the total. Early payment discounts and other payment terms are explained in the guide to payment terms.
How to send the invoice
For services up to the end of 2026 you may send business customers in Germany a paper invoice or, if they agree, a PDF by email (§ 27 (38) UStG). For services in 2027 this only applies if your total turnover in the previous year was no more than €800,000. For services from January 1, 2028 every business customer in Germany gets an e-invoice from you, meaning XRechnung or ZUGFeRD. Consumers keep getting a normal PDF, and as a small business you may keep invoicing this way permanently (§ 34a UStDV).
You have had to be able to receive e-invoices since January 1, 2025. That applies to every business, including you as a freelancer. The steps in detail are in the guide to the e-invoicing mandate.
If you send an invoice by email, you attach it as a PDF and write a few lines with it. Keep the invoice in the form in which you sent it. Once an invoice has gone out you no longer change it; you correct it with an invoice correction or a cancellation invoice.
When you have to issue an invoice
If you work for another business, you must issue an invoice within six months of the service (§ 14 (2) sentence 2 UStG). For consumers you usually do not have to; services connected with real estate are an exception. You may always write one anyway, and your own books need a record of every income in any case.
In practice you don’t wait six months. If you invoice right after the service, you get paid sooner and forget nothing.
This guide explains the rules in general. Whether a different tax rate or an exception applies to your service is a question for your tax advisor if in doubt.
Common questions
Can I write an invoice in Word or Excel as a freelancer?
Yes. The law prescribes the details, not the software. Make sure every number appears only once and that you never change invoices after sending them. From 2027 or 2028 you need software that writes e-invoices for business customers, unless you are a small business.
Do I charge VAT to consumers too?
Yes. VAT depends on your service, not on whether your customer is a business. The difference is that a consumer cannot reclaim it as input tax. You only leave VAT off if you are a small business or an exception such as reverse charge applies.
What do I do if something on my invoice is wrong?
An invoice you sent stays as it is. You write an invoice correction that refers clearly to the original invoice, or you cancel it and write a new one.
Do I need a VAT ID for my first invoice?
No. For customers in Germany your tax number is enough. You mainly need a VAT ID for business with companies in other EU countries, see apply for a VAT ID.