A Small Rant About Invoicing Clients
March 11, 2008 by Deb
Filed under Freelance Writing
I don’t have too many gripes when it comes to the freelance life. When you consider you can make your own hours, pick your own clients and get from the job what you put into it, there’s not too much to complain about. I do have a pet peeve today, however. Invoices are making me crazy.
Mind you, I don’t mind creating invoices to send to my clients. Indeed nothing makes me happier than to send out invoices at the end of the month. I know from my publishing days most writers won’t get paid without invoicing their clients. This doesn’t bother me.
My problem with invoices is how my stock invoice template won’t do. It seems as if just about every client has a specific format to follow. Everyone wants the same information, what different does the format make?
Most businesses request name, address, phone number, itemized list of work, issue/date the work appeared and cost of said work. No matter what format I send this information, I will inevitably receive it back from a new client with a note requesting I use their invoice template. Now, this may seem like a small matter, but when you handle multiple clients having to use a different template for each can be a pain in the butt.
I understand accounting likes what they like, but does it matter what line each bit of information falls on, if you have all the information you need?
Monday Markets will return next week. I have a five year old with strep and an ear infection and I’m having a hard time sitting down to focus on one thing.
I store each clients’ invoices in their individual folders in an invoice file. When it’s invoice time, I open up their most recent one, save as the new invoice number, delete old info, add new info and save. It really doesn’t take any more time than if I use my own templates.
Arg, this makes me nuts. The big problem is that when I’m using a million client templates and ALSO have to enter everything into my accounting program. Hmm, do I get to bill the clients for the extra time it requires to do double the work to invoice them?
Actually, what I’ve done has been to create customized templates within my QuickBooks that closely mimic the client templates, and that has worked as a good compromise: They get the info in approximately their format, and I only have to do it once.
kk
You’ve really hit the nail on the head here — individualized invoicing really irritates me quite a bit.
It’s not just the format, though. I have clients who request that I invoice them through specific websites, such as Paypal or Blinksale. What’s wrong with a good old-fashioned invoice? Who needs a web app?
I do what Marijke does. I keep each seoerate invoice in the clients folder so I always have one to make into a new invoice. It seems to work for me.
@Thursday – yes, how ANNOYING! I have specific information that I need on invoices when I use vendors, but I don’t care how they send it as long as they send the info I need.
@Pamela/@Marijke – Do you then enter everything into a central document or program? In other words, how do you track your overall income, payments received, etc?
Deb,
Hope your child feels better. Strep is nothing to mess with — it killed Jim Henson.
On invoicing, like Kristen, I use QuickBooks, using PDF images to e-mail to clients. I don’t remember the last time there was a complaint. Sometimes a client asks for a paper copy, but I still keep a PDF for my own records.
Oh don’t get me wrong. It’s no problem for me to use each client’s individual template – I have files and save it as well. It’s that I have to.
If I send and invoice with the same exact information, why does it have to be sent back because they prefer the date to be under the address or over the name? It’s silly and it wastes everyone’s time. All the necessary information is right there, it should be acceptable.
@Phil – thanks.
I’m just thrilled there was a FULL FEED!!! YES!! *happy dance in the end zone!* Who cares about the invoicing when I can read the full post in ONE place!!!
Interestingly enough, I have exactly one client out of hundreds that wants an invoice. I can’t say template invoicing is an issue for me.
I don’t customize my invoices. They’re my invoices and that’s it. If they were getting invoices from Microsoft do you think they would ask them to customize them? Umm No!
If they want ME to do the work then they pay me off my invoices period!
Kristen,
Used the link to go to your site, tried to leave a comment on something and the system didn’t let me.
@James – Know why I shorten the post? The main reason is because it cuts down on content theft. But also because it cuts down on Google’s duplicate content penalties and also it ensures more page views. Plus I get more advertising revenue when I shorten the posts(giving you a partial feed) than if I left it long.
I’m sorry it’s an inconvenience, but it’s working out well for me and I’d rather not mess with the formula.
@Phil – can you e-mail me and let me know where the problem occurred so I can fix it? kristen at kristen king freelancing dot com (delete spaces, replace symbols, you know the drill)
kk
@ Deb – That’s a common fear… though I’m not sure why you feel that you’d be penalized for duplicate content. Full feeds don’t penalize you, as far as I know.
Google attributes ownership to the first site and penalizes those that republish by discrediting the content. Since you’re the original post publisher, anyone else republishing generally doesn’t see any PR advantage from your content.
As for scrapers… you can’t prevent them. It’s not worth the inconvenience to others, in my mind, but that’s my personal opinion.
Ad revenue by forcing people to visit does work. I hear you on that one.
Oh well. I can keep hoping that one day, things may change.
Kristen,
Just sent it to you.
Sorry about your child. Organic white tea kills strep bacteria. I drink it when I start to feel sick and it always seems to shorten the cycle for me over others who get the same illness.
I have been pretty lucky with most of my clients. Most of them just take my PayPal invoice but I do work with an agency that has several templates depending on who their client is. It can be tricky to manage.
I rarely have to invoice my clients. Usually they issue all payments directly from the quote that I’ve sent them, and which they’ve signed. Often, they even pay in full, forgoing the deposit.
I do offer invoicing, but that’s really nothing more than the quote with the word “quote” changed to read “invoice.” And then there’s my favorite client who requires no quoting or invoicing, just sends projects, then pays me through PayPal. Talk about minimizing administrative tasks!
It seems to me that asking a freelancer to provide a specific format for invoicing is kind of like telling the cashier at the market that you need the receipt printed in a particular way. Or telling the phone company they need to format the bill differently.
Anyway, I highly recommend setting up your quoting system so that your quotes can double as invoices. Saves a lot of time!
heya deb:
I created an access database for all my invoicing (I do mostly transcription work). I put the same info for every client (project name, price, date, etc) then in the “reports” tab, i created specific invoices for each client, which pulls in the info I need into whichever format they want. so, when Jane doe needs an invoice, i enter the info, then select the Jane Doe-Smith report, which differs a bit from John Doe report. Actually, I don’t use different formats all that much, i kinda did it to get the practice using access..
I have to totally disagree with you on this one. At one time, I had over 20 writers working for me, and yes, it does make a difference if the date is over the address. Right now, I do not, and it doesn’t make a big difference if three or four people don’t use my format.
But let’s say I have 20 writers that I pay twice a month. At the end of the month, I have 40 invoices to organize into my files. Can you imagine how long that would take if I had to hunt for information on 20 different formats? I tried this the first month and spent lots of time with three colors of highlighters before I could even start filing. You taking one extra minute to use my invoice saves me an hour or more of work at the end of the month.
It’s like every office having their own punch in/out system – telling your boss that you aren’t going to use it and that you’re instead going submit a time sheet in your own format is unreasonable. I’m a writer as well as a business person, so I understand your side of things. It does take a bit of organization, but after you set up your own files, it doesn’t take any more time than sending your own format.
Allison, why are you highlighting anything? If you just entered each job in a spreadsheet, you can manage everything in a more organized manner, and then just check off each job in the spreadsheet once when the invoice comes in and once when it gets paid. Seems like you’re making more work for yourself with all that paper filing.
Why don’t these customers just fill out a PO with the info just the way they want it…give you that number and then when your invoice comes in attach it to their PO and send it to their accounting office who can pull all that info from the PO? When I was a list buyer I had to do this all the time. I would have never asked my brokers or managers to submit an invoice XYZ.
I’d say charge a fee if they make you resubmit. Doctors’ offices charge fees if they have to invoice you. Many professionals do.
Melissa, I keep hard copies and computer copies of my paperwork. I’m just a very organized person and want to have an invoice on hand in case someone disputes something. It has happened in the past, and believe me, it has come in handy.
But even if I didn’t, I’d have to take the extra time to look for information on my computer screen to enter into a spreadsheet.
I’m not trying to be argumentative here – I agree with things said on this website the majority of the time, and I see where you’re coming from. It is a pain to set up multiple invoice folders instead of just one. I just wanted to chime in with the opposing perspective. Something that is a small pet peeve for one person can actually be a pretty big deal for another person. I couldn’t imagine a client that was working with, say, 100 writers even considering accepting 100 difference invoice formats. If you’re the only contractor, sure it’s a bit ridiculous for your client to insist on a format, but if you’re one of many, its simply considerate to submit an invoice as asked.
I’ve never had a client as me to customize an invoice to their template. I’ve never even heard of such a thing. That’s madness, and I wouldn’t do it.
Now I’ve had more than one client with selective memory who’ll come back and ask me to break something down. And that’s annoying. But to send my own invoice back and ask me to rearrange my date? I’d think they were joking. Honestly. Better you than me on that one!
Hope the little guy feels better. I’m not good with strep at 28.
I’d like to note, that I do think it’s ridiculous for a client to send an invoice back to you and ask you to redo it. They should redo it themselves, send the new version back and politely ask that you follow that format in the future.
@ Deb: Hope the little guy is feeling better soon. If you aren’t sure he is getting better within a couple of days, get him back to the doctor pronto. My oldest daughter had a severe strep infection last fall that spread into the soft tissues of her face. She was on a heavy dose of antibiotics and we went back and forth to the doctor daily for several days to make sure it was being controlled. It took quite awhile for her energy levels to return to normal; she was only allowed to go to school half days for a couple of weeks after it cleared up.
I have a few clients who pay through Paypal and their invoicing system makes it easy for me to customize them to each company’s specific needs. More Focus sent a copy of the invoice template that they prefer, so I use that one strictly for them.
For the others, I find my generic template works, but I have a “notes” box where I put the information that each needs in order to process the invoice.
I’m having issues with invoices right now. My only problem is when I send an invoice only to hear back that they have a specific form I need to fill out, then fax to them. This bothers me quite a bit when their payment is 30 days past due and I could have been told this, plus given a copy of their invoice form when we agreed on the job details.
@Julie – Ugh, I agree. If you have specific requirements, make them known up front. DON’T use them as an excuse for late payment.
kk
Ugh! I just got a note back from a client. I swear I checked everything over. This is my first time invoicing this particular company. I looked at their guide and had it all. Now, I got a form letter saying (not specifically what was wrong) that I had one of these 8 things not done correctly.
How about a letter saying, “We just need you to fill in this one space, please.” ???
Right on, Deb!
@Deb
“why does it have to be sent back because they prefer the date to be under the address or over the name?”
Two likely reasons here… (I haven’t read all the replies so it may have been covered
)
1) They’re putting off paying you. Could be any number of reasons why.
2) They’re accounting system is automated* and/or they’re putting the burden of compliance on you.
*I have designed databases to read data using comma separated values (or CR/LFs or Tabs or..) from outside sources and the order of data is important.
QB should to allow you to create different invoices for different clients. You could also do it in MS Access if you want more control.
*ack*
“their” accounting system
I have been working as an accountant for over 10 years. No, it doesn’t matter what your invoice format is as long as it has the date, purpose of the invoice and when the work was done, to whom the check should be written, payment terms, address to mail the check.
I must say that I don’t understand this at all. I work for a motor repair company and we have literally hundreds of vendors and customers. Every single one of our vendors have their own invoice that they send to us. It would be incredibly unrealistic of us to require that each vendor create a separate invoice simply for the company I work for. On the other side, we send the same invoice to every customer. With over 100 customers there is no way we could format our invoice in over 100 different ways simply to suit different filing/organing methods in different companies.
It is simply ridiculous for a client to expect a writer to do different invoices for each client. I would think you have a contract between the writer and the client, so they can’t refuse to pay you if they don’t like your invoice. They’re paying you to write, not create 30 different invoice templates. Writers have some power within the writer/client relationship and if clients are “forcing” you to change your invoice to suit them, then I would be charging them for the work it takes you to use their template.
@(army)wife – Amen! I agree 100%.
While I agree that it may seem silly to have different invoicing requirements, in this time of e-everything, standard invoices that can be read by standard systems, rather than by humans, is the way of the world. I write about this quite a bit in financial services and related pubs.
Granted, many firms using such systems are much larger than many of us, but technology like this has a way of trickling down to smaller users. Heck, I remember paying $80 for a simple calculator.
Even if human interaction is still required, a standard invoice is going to cut time in processing, which is important if dealing with several invoices a month, as someone mentioned earlier.
I think it is unreasonable of the client to insist upon their invoice template being used because they are a business, because we are each (running) a business, as well.
Do brick and mortar businesses get to make all the companies they do business with use their particular template? Which business gets to pull rank and decide?
Each business has the right to use the invoice they use, just as each business has the right to decide if they are so perturbed by a particular account’s invoice they are willing to not work with them again. If they want to be petty they can – but its poor business sense, and hassling other businesses to get them to conform to one way is not a good way to do business. IMHO.
I have never (thus far) had a client hassle me over my invoicing template (thank goodness!)but it is something I will now consider how to handle in the future.
I am leaning more towards ‘this is how it is done, get over it’ since that is pretty much how brick and mortar businesses work, and I expect to be treated just as fairly and professionally.
I certainly don’t go around insisting those I do business with have to invoice me using MY template. Dealing with multiple styles of invoicing is just part of doing business, and something seasoned accountants are used to.
PS. A friend who has successfully run his own business for the past 25 years recently gave me a tip about dealing with difficult people. He tells them he will have to talk to his ‘accounting department’ or ‘accountant’ (or whatever is applicable). Then he mulls it over (he is his own accountant – but his clients don’t know that), and gets back to them with what ‘the accounting dept/accountant’ said. He noted that he gets less heat and more understanding when he handles it that way, then when the client hears the decision coming straight from him/his authority. I found that interesting.
WOW, Deb, I have never had a client turn down an invoice (mine is plain text in the body of an email) until recently and even then, they just asked for a PDF in a more standard looking invoice format. Oh, and one time, when I changed software, it went from an hours/price per format to a price only and didn’t notice. They wanted the one with hours (and so did I!).
Anyway, can’t say I’ve ever had that problem. I use a standard invoice. They get to live with it. It’s not like I’m an employee. I like (army)wife’s idea. Simply charge them an hourly fee for “custom invoice preparation.” I get a giggle thinking about how quickly they’ll stop asking for anything but a standard invoice.
I make it a point to not get too iritated at anyone who may be inclined to send me money. Paperwork is evil, of course, but it’s never going away. You just have to be careful what you sign. I just sent back a $16,000 (relax, I’m not keeping it all; most goes to venders and subcontractors) contract today because the client wanted me to do final sign off on the press blue-lines. Hopefully, they will pull that part out of the document and we can get on with it. If not, I’ll duck the job.
Amen to this post! I’m tired of having my payment delayed due to the “wrong invoice” stall tactic.
Deb, for ear infections, try this – heat a small plate in the oven (not the microwave) for about ten minutes. Wrap it in a thick towel and let your kiddo hold it to the ear in question. Oftentimes the heat from the plate will cause the pressure in the ear to subside. Worked for my kids.
Dani,
Regarding your question, “do brick and mortar businesses…,” the answer for many big businesses is yes.
Phil;
I guess I’ve just been lucky, because that has never been my experience on either side of the fence in dealing with big businesses (as an in-house employee dealing with incoming invoices or as an outside vendor/contractor/freelancer submitting invoices).
Except for the in-house insistence of using one form to account for/reimburse expenses, outside vendors/contractors/freelancers were never expected nor required to submit invoices in a special template/style. As long as all the relevant information was present, the invoice was accepted and paid.