Invoice vs receipt
Updated
An invoice is a request for payment sent before the customer pays. A receipt is proof of payment given after they have paid. The invoice shows what is owed and when it is due. The receipt shows what was paid, when and how.
The difference at a glance
| Invoice | Receipt | |
|---|---|---|
| Purpose | Requests payment | Confirms payment |
| When it is sent | Before payment | After payment |
| Shows | Amount due and due date | Amount paid, date and payment method |
| Title | Invoice / Tax Invoice | Receipt |
When do I send an invoice?
Send an invoice when you have delivered goods or finished work and expect to be paid later, which is typical for business clients, freelancers and contractors.
When do I give a receipt?
Give a receipt when payment is made on the spot, as in shops, cafés and market stalls, or after an invoice is paid if the customer asks for proof.
What about a proforma invoice?
A proforma invoice is a quote in invoice form, sent before the sale is confirmed. It is not a demand for payment and is not used for tax.
How do I make a receipt here?
Open the invoice generator, change the document title to Receipt, and enter the full amount under Amount paid. The PDF then shows a balance due of zero.
Make one now: the free invoice generator creates a PDF invoice in your browser, with no sign-up.
Questions people ask
Can an invoice be used as a receipt?
A paid invoice can work as a receipt if you mark it as paid and show the payment date and method. In the invoice generator, enter the payment under “Amount paid” so the balance due shows zero, or change the title to “Receipt”.
Do I need to send a receipt after an invoice is paid?
It is not always required, but customers often need one for their records or expense claims. It is good practice to send one.