Freelance Invoice Templates

Who Should Use Hourly Professional Invoice Templates?

Any freelancer, contract employee, or small business owner who charges clients based on an hourly rate can use an hourly rate invoice template format rather than simply using a Google doc. Not only is it more professional, but it saves you from any mistakes. Be sure to send professional invoices using a free template that will help you and your client track and calculate the total amount of hours spent on a job – ensuring that you get paid the right amount. 

Remember to clearly state the exact tasks you accomplished and how long each task took. 

Some examples of those who could use our free invoice template include: 

• Writers
• Graphic designers
• Virtual assistants 
• Business Owners
• Contractors 
• Photographers 
• Moving companies 
• Cleaners 
• Consultants 

What Items are on an Hourly Invoice in South Africa?

A professional invoice will include features that are common among most invoices, as well as some custom features that will only apply in certain situations. Therefore, you can customise your invoice to suit your needs.

Common features:

All invoices for South Africa clients share some common features, including: 

• Company name
• Business logo
• Contact details including email address
• An invoice number
• The words “Tax Invoice”, “VAT Invoice” or “Invoice”
• Value of the supply, the amount of tax charged and the consideration of the supply
• Client name
• Bank details, including IBAN and SWIFT code
•  The registered Value Added Tax (VAT) number
• The net amount in R (for example, R1,000)

Custom Features:

Your hourly invoice also requires a few custom features. These include:

Type of service rendered

If you’re a virtual assistant, for example, your invoice should reflect the task you perform (i.e. creating a database of constituents for a political client). Any other tasks carried out should also be itemised and added to the invoice in the same manner.

Hourly rate 

The amount you charge by the hour for that type of task, and how many hours you spend on the task, followed by the total charge for that specific task. Subtotal your charges for each task.

Forms of accepted payment

Payment methods might include checks, bank drafts, debit cards, or credit cards.

Terms of payment

Payment terms outline how, when, and with what method your customers or clients provide payment to your business.

Taxes in South Africa

As per the South African Revenue Service (SARS) regulations, if your business is registered for Value Added Tax (VAT), you must create a full tax invoice. Here are some other requirements to know:

• If you’re registered for VAT and the invoice amount is over South African Rand (R)5,000, you’ll need to create a full tax invoice.
• For amounts between R50 and R5,000, you can use an abridged tax invoice.
• If the invoice amount is R50 or less, a tax invoice isn’t required.

You must register for VAT and collect it on your invoices if your annual turnover exceeds or is likely to exceed R1 million. You can also choose to register for VAT voluntarily if your turnover in the past 12-month period has exceeded R50,000. 

If your business is registered for the turnover tax you don’t need to charge VAT on your invoices.

What Type of Charges Should Be Reflected on Your Invoice Template for Hours Worked? 

Your hourly invoice is a little different than the usual “products sold” type of invoice because of how you itemise your charges. Consultants who charge per-project fees are able to modify a generalised invoice – but for certain types of freelancers, this format doesn’t quite work. Here’s why:

• A writer can charge a per-blog fee or a bill per word. If the writer is performing bulk work, sometimes they offer a discount. Therefore, the invoice a writer creates can have multiple lines for different types of work completed. There are freelance writing invoice templates that make this very easy for your freelance writing business.
• A virtual assistant invoice template can incorporate different hourly fees depending on the nature of the requested task.

To price your service correctly, estimate how long it takes you to complete a project, then multiply hours by the average hourly pay for that service, and set a flat fee accordingly. You may or may not have to pay taxes on your earnings come year-end, so adding a small amount for tax into your flat fee should be considered.

How Should You Send Your Invoice for Freelance Work?

Many people who work from home today send invoices digitally – writers and VAs find their clients online, perform the tasks requested, and when it’s time to ask for a payment, they create invoices online and email them to their clients. While you may mail or hand-deliver your invoice if clients live nearby, it is perfectly acceptable to send it to your client via email or to use a software program like QuickBooks to prepare and send your invoices. If you need a simpler way to invoice your clients, try QuickBooks invoicing software now.