These three documents are often confused, but each has a different job. Using the right one keeps your records clear and avoids disputes.
Estimate (or quote)
An estimate tells a customer what a job is likely to cost before work starts. It is an offer, not a request for payment. Estimates usually describe the work, the expected price and how long the offer is valid. Once the customer agrees, the estimate can become an invoice.
Invoice
An invoice is a request for payment sent after goods or services are delivered, or sometimes before. It shows what was provided, the amount due, tax and the payment deadline. It is the document that starts the payment process.
Receipt
A receipt is proof that payment has been received. It confirms the amount, date and payment method. You send it after the customer pays.
How they work together
- You send an estimate and the customer accepts.
- You do the work and send an invoice.
- The customer pays and you issue a receipt.
Quick comparison
- Estimate: before the work, an offer, no payment due yet.
- Invoice: asks for payment, with a due date.
- Receipt: confirms payment was received.
Try the tools
You can make each one with our free tools: Estimate Generator, Invoice Generator and Receipt Generator.
