How to invoice as a sole trader or tradie in NZ
Last updated 10 September 2026
There's no special licence needed to send an invoice in New Zealand — the day you start working for yourself, you can bill for it. But there are a few things an invoice has to show, a couple that depend on whether you're GST-registered, and some habits that make the difference between being paid this week and chasing the money next month.
What every invoice should show
- Your business name (and trading name if you use one)
- An invoice number — sequential, so nothing goes missing
- The date you issued it
- Who it's for — your customer's name, and their address or email for larger jobs
- What the work was — clear enough that the customer recognises the job (“Replace hot water cylinder, incl. parts”, not “labour”)
- The amount, and its GST treatment (more below)
- A due date, and how to pay
An example
A GST-registered sparky, one afternoon's work with materials:
12 Rimu Street, Riccarton, Christchurch 8041
Labour 4.5 hrs @ $95.00/hr 427.50
Materials (consumer unit, RCBOs) 312.00
GST 15% 110.93
Total due $850.43
If you're not GST registered, the same invoice loses three things: the GST number line, the GST line, and the word “TAX” in the heading. The total becomes simply $739.50. Nothing else changes — see invoicing when you're not GST registered.
If you're GST-registered
Since April 2023, IRD's rules talk about “taxable supply information” rather than the old “tax invoice” — in practice, for most small-business invoices it means also showing your GST number, and making the GST amount clear: either the GST as its own line, or the total with a statement that it includes GST. For sales over $1,000 you also need the buyer's name and an identifier like their address. Charge GST at 15% on top of your GST-exclusive price — our GST calculator does the arithmetic both directions, and our free invoice template puts all of it on the page for you and hands back a PDF.
If you're not GST-registered, don't mention GST at all — no “GST included”, no GST line, nothing. Charging GST without being registered is the one genuinely serious invoicing mistake, because you'd be collecting a tax you can't pass on.
Deposits and progress payments
On anything long or materials-heavy, one invoice at the end is the riskiest possible arrangement — you fund the whole job and find out at the end whether you are being paid for it.
A deposit covering materials, then either progress payments at agreed stages or a single balance at completion, spreads that risk. Say so on the quote so it is agreed before you start, rather than appearing as a surprise on the first invoice. Customers are used to it; a tradie who asks for materials up front reads as organised, not as short of money.
Keep every invoice for seven years
Inland Revenue requires business records — invoices included — to be kept for seven years. Digital copies are fine. This is a reason to number invoices sequentially and store them somewhere that isn't a glovebox: at tax time, your invoices are the record of your income.
Getting paid on time
- Invoice immediately. The single biggest factor in how fast you're paid is how fast you send the invoice. Same day as the job, ideally from the van.
- Short due dates. “Due on the 20th of the month following” is a habit from big-company terms. For small jobs, 7 days is normal and reasonable.
- Make paying trivially easy. A bank account number in the footer means the customer has to open their banking app and type everything in. A pay-by-card link gets tapped on the couch that evening.
- Chase politely and promptly. A friendly reminder the day after the due date, then every few days. Most late payment is disorganisation, not refusal.
When none of that works, what to do when a customer won't pay covers letters of demand, interest and the Disputes Tribunal.
Common questions
What has to be on an invoice in New Zealand?
Your business name and contact details, an invoice number, the date, the customer's name, a description of the work, the total in NZD, a due date and how to pay. If you are GST registered, add your GST number and make the GST amount clear.
Is a tax invoice different from an invoice?
Yes. A tax invoice supports a GST claim, so it only applies if you are GST registered — and since April 2023 IRD's rules talk about “taxable supply information” rather than the old prescribed tax invoice. If you are not registered, head the document simply “Invoice”.
What payment terms should I use?
For small jobs, seven days is normal and reasonable. “The 20th of the month following” is a habit borrowed from large-company terms and can leave you waiting seven weeks on a job done on the 1st. Whatever you choose, put an actual date on the invoice rather than a number of days.
Do invoice numbers have to be sequential?
There is no law requiring it, but do it anyway. Sequential numbers are how you notice one has gone missing, how you find a job from two years ago, and how an accountant checks nothing has been left out of your income.
When should I send the invoice?
The same day you finish, if you can. The strongest single predictor of how fast you are paid is how fast you send it — while the job is fresh, the customer is pleased with the work, and nobody has to remember what it was for.
Or let the software do it
PayMint does all of the above by default: sequential invoices with your details and GST handled correctly, emailed with a pay-by-card button, automatic overdue reminders, and a GST report at tax time. 1% per paid invoice (plus Stripe's card fee), no monthly cost.
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General information, not tax or legal advice — for your specific situation, talk to an accountant or check ird.govt.nz.