What’s on the independent contractor invoice template
Extra fields on this template: Contract / PO no., Period.
| Service | Qty | Rate | Amount |
|---|---|---|---|
| Contract hours: [project name]Week of [date] | 22 | $85.00 | $1,870.00 |
| Contract hours: [project name]Week of [date] | 18 | $85.00 | $1,530.00 |
| Milestone 2: [deliverable]Fixed fee per contract | 1 | $1,200.00 | $1,200.00 |
| Expense: software licenseReimbursable at cost, receipt attached | 1 | $49.00 | $49.00 |
| Total | $4,649.00 | ||
Example prices in US dollars. Replace them with your own; in the generator, any currency works.
What to put on an independent contractor invoice
- Your legal or business name and contact details, exactly as on your W-9, so the client’s accounts team can match the payment to you.
- The client’s company name and the person or department that approves invoices.
- The contract, statement of work or PO number. Many companies won’t pay an invoice without it.
- The period covered and, for hourly work, the hours per week or per task.
- Fixed fees and milestones on their own lines, named as in the contract.
- Reimbursable expenses at cost, if the contract allows them, with receipts attached.
- Payment terms and how to pay: the due date, bank details or payment link, and any late fee your contract allows.
For more on terms, rates and chasing late payment, read the contractor invoice guide or the freelance invoice guide.
Taxes for independent contractors
Clients don’t withhold income tax or Social Security from what they pay an independent contractor, so the invoice shows the full amount. In return you pay self-employment tax and usually estimated quarterly tax yourself. The client will ask for a Form W-9 before the first payment and, once its payments to you pass the IRS reporting threshold for the year, reports them on Form 1099-NEC. Keep your invoices: they are how you reconcile the 1099 with what you were actually paid.
Most professional services aren’t subject to sales tax, but some states tax certain services. Check your state before adding tax.
Getting paid on time
- Invoice on a fixed rhythm, weekly, every two weeks or monthly, as the contract says, so the client expects it.
- Send it to the right inbox. Larger clients often have an accounts payable address or a supplier portal.
- Quote the PO number in the email subject as well as on the invoice.
- Follow up the day after the due date, politely, with the invoice attached again.
Frequently asked questions
Should I put my Social Security number on the invoice?
No. Give your SSN only on the W-9, which goes to the client’s payroll or accounts team. If you’d rather not use it at all, get a free Employer Identification Number (EIN) from the IRS and use that instead.
Do independent contractors charge sales tax?
Usually not for professional services, but some states tax specific services. Check your state’s rules for the work you do.
What payment terms should a contractor use?
Whatever your contract says. Net 15 or Net 30 is common with companies; for new or small clients, ask for a deposit up front.