Whether you're a small business owner, or a corporate professional, knowing how to make an invoice in Excel is critical. Invoices are essential for financial transactions, facilitating the smooth flow of revenue and ensuring clarity in business dealings. Microsoft Excel is an efficient spreadsheet software that can help craft professional invoices and enhance organization and professionalism. In this guide, we'll show you step-by-step, how to create professional invoices using Microsoft Excel.
Part 1: What Is an Invoice?
An invoice is a commercial document issued by a seller to a buyer, outlining the products or services provided, the quantities, prices, and agreed-upon terms of sale. Essentially, it serves as a formal request for payment, outlining the amount owed by the buyer to the seller for the goods or services rendered.
A typical invoice is required to have some basic information such as invoice number, payment due date, payment terms, seller and buyer information, description of goods and services, and more.
An example in daily life where invoices are important is for small business owners. Whether they operate online stores, or retail shops, or provide services like plumbing or landscaping, small business owners often use invoices to request payment from customers for goods sold or services provided. It helps them effectively keep track of the amount of money that goes in and the amount that goes out.
Additionally, event planners and coordinators often create invoices for clients to outline costs associated with organizing events, including venue rental, catering, entertainment, and other services.
Part 2: What Elements Should the Invoice Contain?
To know how to make an invoice in Excel, you must know the basic elements that an invoice should contain. A professional invoice should be clear, legible, and easy to understand while giving a buyer all the information he or she needs to know about the services you're providing and how to make the payment. Here are a few things an invoice should include:
1. A label marking the document as an invoice
2. If applicable, the kind of invoice (pro forma invoice, credit invoice, interim invoice, etc.)
3. Your business contact information
4. Your client’s business contact information
5. A unique invoice ID or number
6. An invoice date
7. Payment terms
8. Payment due date
9. An itemized list of goods or services rendered
10. Subtotals for all goods or services
11. The total amount due
12. Any applicable taxes or fees
Part 3: How to Use Templates to Make an Invoice in Excel?
One of the fastest ways of creating quality invoices is using invoice templates in Excel. Below is a step-by-step guide on how to make an invoice in Excel using the Excel invoice templates:
Step 1: Open Microsoft Excel
To create an invoice using a Microsoft Excel invoice template, you first need to open Microsoft Excel.
Step 2: Look for a suitable invoice template
Next, go through the available invoice templates and select your preferred template. You can do this by typing the word “Invoice” in the search bar. Excel will provide you with a list of available templates to choose from. However, ensure you are connected to the internet when performing your search.
Step 3: Select your preferred Invoice Template
Check out the various invoice template options available in Excel. You can choose from a variety of templates, such as sales invoices, service invoices, shipping invoices, and more.
Select the invoice template that best suits your business needs and includes a design that matches your company's branding. Once you have selected the invoice template that best suits your needs, click on it to view it, and then click on the ‘Create’ button to open your Excel template in the new window.
Step 4: Edit the Template
Once you have opened the new spreadsheet using the template you have chosen, you will need to modify the invoice to include the information about your project. Include the following:
Company logo (if you have one)
Business contact information (Name, Address, Phone Number, and Email)
Client contact information
Invoice date
Uniform invoice number
Payment due date
Itemized list (short description, hours worked, quantity, and rate)
Subtotal (total amount due for each service)
Payment terms (payment methods, late fee details)
Total amount due for invoice (including applicable taxes)
Step 5: Save the invoice
Once you have added all the required information to your current invoice template, transfer the finished spreadsheet to your PC. Save the spreadsheet in .xlxs format so that you can modify it later.
Next, save the spreadsheet as a PDF file and send that PDF to your client. Alternatively, you can print out the hard copy file and give it to the client directly. This may be perceived as more formal and professional, enhancing the credibility of the transaction.
Part 4: How to Make an Invoice from Scratch in Excel?
If you're looking for an Excel invoice template but can't find one among the available ones and want to start from scratch, here's how to make an invoice in Excel from scratch:
Step 1: Open an Empty Worksheet in Excel
When you open Microsoft Excel, you will be taken to a document gallery. Then, select “Blank Workbook” to open a new Excel worksheet.
Step 2: Remove the Gridlines
Next, remove the gridlines. On the menu bar, click on the "Page Layout" menu. Scroll to the "sheet option" section and uncheck "view" under the gridlines.
Step 3: Add a header
In the header format, type "Invoice" to identify the document. In the Insert menu, find the "Text" section in the right-hand menu tools. In the header & Footer, type "Header" to insert the header. You can change the font, size, and color of the header to your liking.
Adding Header
Once the header has been added, you can paste your logo on the header line or in the cell below the header line. Next, paste your company name, address, and contact information.
Step 4: Add all the necessary details
Add your invoice date, due date, and invoice number correspondence to your business name and contact details. Next, underneath your information, add the information of your client to whom you’re invoicing. Make sure to start this section with ‘To,’ ‘Invoiced to’ or ‘Billed to’. Your client’s information should include their name, address, and contact information, including email, fax, and contact number.
Step 5: Create an Itemized List
Use Table to create an Itemized List of Goods and Services. In the Insert menu, select a table and select the location and number of lines and columns that you want to include in the table. You can also change the style of the table under the "Table Design" menu that will pop up after adding a table.
Include all the important elements including the name of each product, prices per unit, quantity, etc. When you're done, you can use the AutoSum option which automatically adds the total cost of all the goods in your invoice.
Step 6: Include payment terms
Finally, add your payment terms and conditions. The terms can include the days to pay the due amount and your preferred mode of payment. You can also add a note of thanks to make your clients feel appreciated. Afterward, you can save your invoice and send it to your client.
Part 5: Use Efficient Tools to Make an Invoices
Another very effective tool for making invoices is the WPS Spreadsheet from the WPS Office. WPS Spreadsheet is a free Excel Editor for effortless sheet creation, editing, saving, and sharing. You can seamlessly process Excel spreadsheets across multiple platforms with full compatibility with Microsoft Office.
With WPS Spreadsheet, you can effortlessly maintain the integrity of your data, formulas, formatting, charts, and other elements, ensuring seamless preservation throughout your work.
How to use Invoice Maker to create an invoice in the WPS Office?
The Invoice Maker within WPS Spreadsheet allows you to create high-quality, custom invoices quickly and easily, saving you time and making sure your financial transactions are accurate.
With its easy-to-use interface and full functionality, this feature simplifies your invoicing process and allows you to focus on your core business operations while maintaining a professional appearance.
To create invoices using the invoice maker in WPS Office, you can follow the guidelines below:
Step 1: Open WPS Spreadsheet
Launch the WPS Spreadsheet in WPS Office and select a blank document.
Step 2: Go to Invoice Maker
On the Menu bar, click on “Tools”, then select “Invoice Maker”.
After opening Invoice Maker, you’ll be given a free template for you to fill out all the required details including details of your company, your client, the goods being purchased, and more.
Step 3: Customize your Invoice to your taste
After entering the values of your goods and services and their respective quantities, the invoice maker helps you calculate the total automatically. Then, you can proceed to choose your preferred layout and style for the invoice till it suits your taste.
Step 4: Export your Invoice
You can now save your invoice in your preferred file format and send it to your client. Select your preferred document type and export, or you can email it directly to the recipient.
FAQS:
1. What is the difference between Word Invoice and Excel Invoice?
Word and Excel are both good processors for making invoices. However, The Excel invoice has the AutoSum feature which can instantly help you calculate the total of all the quantities and prices of the goods and services in your invoice.
Also, compared to MS Excel, Word has an easy and more approachable interface. However, even with MS Word invoicing, you’ll need a little more knowledge to get your sum calculated automatically and be accurate.
2. Is Word better than Excel for creating invoices?
The answer to this question depends on your company’s needs and preferences. Word is easier to use and has a more laid-back structure, while Excel is better suited for complicated invoicing tasks. Excel has more features, such as formulas and automatic totals.
3. How do I save an invoice as a PDF in Excel?
To Save an Invoice in Excel, click File > Save As. Then, select the PDF (.*pdf) option from the drop-down menu in the Save as type drop-down menu.
Summary
Invoices play a vital role in financial transactions. They provide clarity, transparency, and accountability for business transactions. Whether you’re an independent freelancer, small business owner, or corporate professional, learning how to make an invoice in Excel is essential. It’ll aid cash flow, professional relationships, and long-term business success.
However, we recommend WPS Office as a more efficient and free tool for creating quality invoices for your business or brand.
