Landing your first client in the UK, Germany, or Australia feels great, right up until you sit down to write the invoice. Do you bill in dollars or euros? Who eats the $35 wire fee? Does VAT apply to you?
None of this is hard once you know the conventions. An international invoice is still just an invoice, with a few extra decisions made explicit so nobody argues about them later. This guide walks through each one, with wording you can copy.
The quick version
To invoice an international client from the US:
- Bill in USD by default and say so on the invoice ("All amounts in USD"). If the client insists on their currency, quote a fixed amount and accept that the dollars you receive will vary with the exchange rate.
- State who pays transfer fees, e.g., "Client covers all bank and transfer fees; the full invoice amount must arrive net of fees."
- Offer at least one low-friction payment method (online payment link or card) alongside wire details. Invoices with online payment options get paid up to twice as fast (Xero, 2024).
- On tax: a US freelancer billing a foreign business generally doesn't charge US sales tax, but VAT/GST rules belong to the client's country — often the client self-accounts for it. Verify with a tax professional.
- Anchor the due date to a date, time zone, and currency: "Due July 25, 2026 (11:59 PM ET), $2,400.00 USD."
Decision 1: Bill in USD or the client's currency?
Billing in USD means you know exactly what you'll receive. Invoice $3,000, get $3,000 (minus any fees; more below). The exchange-rate risk sits with your client: if the dollar strengthens between signing and paying, the project costs them more in local terms. Most US freelancers bill in USD, and most international clients are used to it.
Billing in the client's currency shifts that risk to you. Agree to £2,400 and the pound weakens before payment lands, and you receive fewer dollars than planned. The upside: a client who budgets in euros loves seeing a fixed €2,800 instead of a dollar figure that drifts with the market.
A practical middle ground: USD for short projects, the client's currency for long retainers with a review clause like "Rates quoted in EUR, reviewed every 6 months."
Whichever you choose, put the currency code on every amount. "$" alone is ambiguous: US, Canadian, Australian, and Singapore dollars all use it. Write $3,000.00 USD, never just "$3,000."
Showing two currencies on one invoice
Some clients ask for a reference amount in their own currency. That's fine, as long as the invoice makes clear which figure is binding:
Total due: $2,400.00 USD (Approx. €2,210 at time of issue — reference only. The USD amount is payable.)
Never present two amounts as equally valid: exchange rates move daily, and you don't want a client paying a three-week-old reference figure.
Decision 2: Who pays the transfer fees?
International payments almost always cost something, and if your invoice is silent about who pays, it's you. The classic scenario: you invoice $2,000. The client's bank charges a sending fee, an intermediary bank quietly takes $15–25 in transit, and your own bank charges an incoming-wire fee. You expect $2,000 and find $1,942. Nobody did anything wrong; the invoice just never said who covers the friction.
Fix it with one line in your payment terms:
All bank, wire, and transfer fees are the responsibility of the client. Please ensure the full invoice amount of $2,000.00 USD arrives net of any fees.
For wires, clients can usually instruct their bank to send with "OUR" fee handling (sender pays all charges) rather than "SHA" (shared). If a client pushes back, split the difference, build an extra $25–40 into your rate, or steer them to a method with lower fixed fees. Just don't absorb the fee silently: on a $500 job, a $40 round-trip in fees is a real haircut.
Decision 3: How will they actually pay you?
You only need one or two methods that work for the client's country, listed clearly on the invoice. The broad options:
| Method | Typical speed | Cost pattern | Best for |
|---|---|---|---|
| International wire (SWIFT) | 1–5 business days | Fixed fees at both ends, possible intermediary fees | Large invoices |
| Card / online payment link | Instant to 2 days | Percentage-based processing fee | Small-to-mid invoices, one-click payment |
| Online transfer services | Hours to 2 days | Lower fixed fees, exchange margin on conversion | Regular billing in the client's currency |
Two rules of thumb. First, match the method to the invoice size: a fixed $45 in wire fees is trivial on a $10,000 invoice and brutal on a $300 one, while percentage fees work the other way. Second, always offer one low-friction option, since the alternative is your client hand-typing your SWIFT code into a bank form.
Put payment details on the invoice itself, not in a separate email: account name, bank name, account details, SWIFT/BIC code for wires, and the payment link if you offer one. For everything else, see our checklist of what to include on an invoice.
The tax questions everyone asks
Three topics come up on nearly every first international invoice. Here's the general lay of the land. Verify your specific situation with a tax professional, because rules vary by country and by state.
US sales tax. When a US freelancer sells services to a foreign client, there's generally no US sales tax to charge; it mostly applies to in-state transactions, and services to foreign buyers typically fall outside it. Sales tax on services is a state-by-state patchwork, though; our post on whether freelancers charge sales tax walks through how to check your state.
VAT and GST. Your client's country may apply VAT (Europe, UK) or GST (Australia, Canada, elsewhere) to the transaction, but that's typically their compliance problem, not yours. In many business-to-business cases the client self-accounts for the tax under their local rules (often called a reverse charge) and simply needs a proper invoice showing both parties' names, addresses, and a clear service description. If they ask for a line like "VAT to be accounted for by the recipient," confirm the exact wording with them or a tax advisor. If a client needs explicit tax fields, use a tax invoice generator.
W-8 and W-9 forms. These IRS forms certify tax status so the payer knows how to treat the payment: a W-9 is what US persons provide, while W-8 series forms are what foreign payees give to US payers. Being asked for one is routine paperwork, not a red flag.
For services, a standard invoice is all you need. Shipping physical goods internationally requires customs paperwork; see our comparison of proforma vs. commercial invoices.
Time zones, due dates, and putting everything in writing
A due date of "July 25" means different moments in Los Angeles and Singapore. That rarely causes a real dispute, but "the wire went out on time, your bank is slow" absolutely does. Kill the ambiguity in one line:
Payment due by July 25, 2026, 11:59 PM Eastern Time (US). Payment is considered made when funds arrive in our account.
The second sentence matters more than the time zone. International transfers can take days in transit, so define "paid" as funds received, not transfer initiated. A client who knows the wire takes three days will send it three days early.
A few more habits that pay off across borders:
- Use unambiguous date formats. "04/07/2026" is April 7 to you and July 4 to most of the world. Write July 4, 2026 or 2026-07-04.
- Favor shorter terms for new international clients. Net 14 with a named calendar date beats Net 30; see Net 30 vs. Net 15.
- Consider a deposit on larger projects. A $500 deposit on a $2,000 job is common practice, and even more sensible when your client is eight time zones away.
- Time reminders for their workday, so follow-ups land in the client's morning, not at 3 AM their time. The templates in our past-due reminder guide work internationally unchanged.
The stakes are real: 56% of US small businesses are owed money from unpaid invoices, averaging about $17,500, and 47% report invoices already more than 30 days past due (Intuit QuickBooks 2025 US Small Business Late Payments Report). Distance and currency confusion only widen the gap between "invoice sent" and "money received," which is why the explicit terms above are worth three extra lines.
Ready to send one? Invoity's free invoice generator supports multiple currencies with correct symbols and formatting, lets you add custom payment-terms text, and gives you an instant PDF download with no signup to start, so your first international invoice looks as polished as your tenth.
Frequently asked questions
Should I invoice international clients in USD or their local currency?
Bill in USD by default: you know exactly what you'll receive, and the exchange-rate risk sits with the client. Consider the client's currency for long retainers, with a rate-review clause so you're not locked in. Either way, label every amount with a currency code like USD or EUR, never a bare "$".
Do I charge sales tax or VAT when invoicing a foreign client from the US?
Generally, a US freelancer selling services to a foreign business doesn't charge US sales tax on that invoice, and any VAT or GST is handled under the client's country's rules — often the business client self-accounts for it. You typically just need to provide a complete invoice with both parties' details. Rules vary by state and country, so verify with a tax professional.
Who should pay the international transfer fees on an invoice?
Whoever the invoice says — which is why you should say it. The standard freelancer-friendly wording is that the client covers all fees and the full invoice amount must arrive net of fees; for wires, the client can ask their bank for sender-pays handling. If a client objects, build an allowance into your rate rather than silently absorbing the charge.
What should I put on an invoice for an international client?
Everything a domestic invoice needs — your details, the client's details, invoice number, itemized services, total, and due date — plus four extras: a currency code on every amount, a due date with a time zone, a line stating who pays transfer fees, and payment instructions including a SWIFT/BIC code for wires. A note that payment counts when funds arrive, not when the transfer is initiated, prevents the most common cross-border dispute.