How to invoice as a freelancer in the US
The project is shipped and the client says: "Send us an invoice." In the US that usually means a W-9 first, net-30 terms, and a reminder to yourself that nobody is withholding tax from this money.
This guide covers the invoice itself, then the parts that are particular to the United States. It is not tax advice.
- Every invoice needs a number, dates, both parties, one line per item, the total in dollars or the agreed currency, and how to pay.
- Clients ask for a Form W-9 before they pay you.
- From payments made in 2026, a client files a 1099-NEC only when they pay you USD 2,000 or more in a year. You owe tax on every dollar either way.
- Agree the payment terms before you start, and write the due date.
- Keep every invoice and proof of payment.
What every invoice needs
These are the basics, wherever you are:
- The word "Invoice" and a number in sequence: 0001, 0002, 0003.
- The date you issue it, and the date it is due.
- Your details: your name or trading name, email, phone and address.
- Their details: the company's registered name and the person or department who pays.
- One line per item, with what you delivered and when.
- The total, in dollars (USD) or the currency you agreed.
- How to pay: a pay link, your bank or wallet details, or both.
- Their purchase order number, if they gave you one. Many companies cannot pay without it.
W-9s, 1099s and sales tax
- Form W-9: most US clients ask for one before the first payment. It gives them your name and taxpayer ID.
- 1099-NEC: the reporting threshold rose from USD 600 to USD 2,000 for payments made in 2026 (Patriot Software). It changes what the client files, not what you owe.
- Sales tax: there is no federal VAT. Some states tax some services, and the rules differ by state, so check your state's revenue department for what you sell.
- No withholding: clients do not take tax out of a freelancer's pay. The IRS expects estimated payments if you will owe USD 1,000 or more for the year (IRS).
What companies ask for
A US company's accounts payable team often asks for:
- A completed Form W-9.
- Your bank details for ACH, through their vendor portal.
- A contract or statement of work, and sometimes a purchase order number for the invoice.
- A certificate of insurance, for some larger clients and on-site work.
Ask early: "Who should I invoice, and what do you need to set me up as a supplier?" It saves weeks of waiting later.
An example invoice
Daniel, a freelance developer in Chicago, invoices a start-up for a website build:
| Item | Amount |
|---|---|
| Website build, eight pages | USD 3,000 |
| Content management setup and training | USD 1,000 |
| Extra round of changes | USD 500 |
| Total | USD 4,500 |
| Deposit paid on January 8 | − USD 2,250 |
| Due by February 7 | USD 2,250 |
A deposit makes the first invoice easier to send. Here is how to ask for a deposit, and how to split one job into a deposit invoice and a balance invoice.
Getting paid
Most US businesses pay by ACH, card or check, often on net-30 terms. Card processing costs the seller: Stripe lists 2.9% + 30 cents per domestic card payment, and 0.8% (capped at USD 5) for ACH Direct Debit, as checked on 20 October 2026. Agree the terms in the contract and write the due date on the invoice.
Then, for every invoice:
- Send it the day you deliver, or on the date you agreed.
- Check the money has arrived in your account, not a screenshot of a transfer.
- Send a receipt once it lands. It closes the job cleanly.
- Chase late payers in steps: a reminder three days before the due date, a check-in on the day, a direct question a week later.
Working with a brand as a creator? How to invoice a brand covers usage, exclusivity and agency invoices, and what influencers charge in the United States helps you set the price first.
Keep records
The IRS expects you to report all self-employment income, 1099 or not:
- every invoice, numbered in order;
- every payment record;
- every 1099 you receive, to check against your own records;
- what you spent to do the work, for Schedule C.
Self-employment tax is 15.3% once net earnings reach USD 400 (IRS).
Where Piku fits
In Piku, an invoice starts from your Rate, in dollars, with a PDF and a pay link. The client pays by card, the receipt sends itself when they pay, and reminders go out at 3, 7 and 14 days late. Piku's fee is 2% of each paid invoice, never more than $25.
Plain limits in the United States today:
- Piku's plan is USD 15 a year for founding members, USD 50 standard.
- The client pays by card through Bachs checkout. Clients who prefer ACH or a check need your details from you.
- The Piku wallet, where paid invoices will collect before they go to a US bank by ACH, is opening soon. It is not live yet.
- Piku does not file 1099s or work out sales tax.
Questions
Do I need an LLC to invoice clients?
No. You can invoice as a sole proprietor under your own name. An LLC is a legal and tax choice to discuss with a professional.
What is the 1099 threshold for 2026?
For payments made in 2026, a client files a 1099-NEC when they pay you USD 2,000 or more in the year, up from USD 600. You still owe tax on all your income.
Do I charge sales tax on services?
It depends on your state and what you sell. Many services are not taxed, some are. Check your state's revenue department.
What does net 30 mean?
The client pays within 30 days of the invoice date. Agree it before you start and write the exact due date on the invoice.