A sole trader invoice tells the customer who is charging, what the work was and how much to pay. Give every invoice a unique reference, include the right details and state the agreed payment terms. You can create one with our free tool, then keep a copy alongside your business records.

See the end of year Self Assessment report or explore quarterly reports.

Create your invoice

Open the free sole trader invoice generator →

Use it to prepare an invoice with your own details and the customer’s agreed charges. Check the finished document before sending it. This guide focuses on a non-VAT-registered sole trader; VAT invoices have additional requirements.

What must a sole trader invoice include?

• A unique invoice number.
• Your own name, any trading name, business address and contact details.
• An address where legal documents can be delivered if you use a business name.
• The customer’s name and address.
• A clear description of the work or goods.
• The supply date and the date the invoice is issued.
• The charges, any VAT where applicable and the total owed.

Also show the payment due date and agreed payment method to reduce confusion. An email address is useful, but it does not replace the required address details. Check GOV.UK’s invoice requirements for your circumstances.

A completed non-VAT invoice example

All names, addresses and references below are fictional illustrations.

Add your actual agreed payment instructions securely. Never copy fictional details into a real invoice. The total is £120 plus £25, giving £145. This example is not a VAT invoice.

Use a numbering system you can follow

INV-001, INV-002 or INV-2026-001 can all be workable approaches. The key is a unique reference that lets you identify and trace each invoice. Keep a copy and avoid reusing a number for a different customer or job.

If you correct an invoice, retain a clear record of what changed and use an appropriate correction or credit process. Do not silently overwrite a sent invoice and lose the history.

How to show a deposit and remaining balance

Suppose agreed work totals £500 and the customer has already paid a £100 deposit. Show the full job amount and the £100 already paid clearly, leaving £400 outstanding. Link the deposit record to the job so you do not ask the customer to pay it twice.

Your financial record also needs to avoid duplicate income. Under cash basis, £100 received upfront and £400 received later gives £500 total income, with each receipt recorded in its correct period. Traditional accounting uses different timing.

An invoice is not the same as payment

Keep an unpaid-invoice list so you can follow up overdue balances. Sending a £300 invoice does not mean £300 arrived in your bank. When payment arrives, match it to the reference and record cash or bank receipts as appropriate.

If a provider deducts a fee from your customer payment, check gross income and the separately charged fee rather than automatically treating the net payout as the full sale. See how to track income and expenses.

Do I charge VAT or put my UTR on it?

Do not charge VAT if you are not VAT registered. If you are registered, follow VAT invoice requirements and check the correct treatment. Read our VAT registration guide if you are approaching the threshold.

A UTR or National Insurance number is not one of the general invoice details listed by GOV.UK. Do not add sensitive identifiers simply to make an invoice look official. CIS contractors may need information separately for verification; that is a different process.

Keep the invoice with your year-end records

Keep issued invoices, payment evidence and the expenses behind the work. The free invoice generator helps with the document; regular bookkeeping keeps the figures useful.

Bring recorded income and costs together in an end of year Self Assessment report or quarterly report. These reports support your preparation; they do not submit a tax return or MTD update.

Sources and further help

Checked 25 October 2026. Invoice requirements · Business records · Cash basis. Guidance for straightforward sole traders; individual circumstances can change the answer.