What a receipt is for
A receipt is proof that someone paid you. Customers need it for their records, expense claims, warranty and tax purposes; you need a copy for your bookkeeping. It differs from an invoice, which asks for payment that hasn’t happened yet. Once an invoice is paid, you can send a receipt that refers to it.
What to put on a receipt
- Your business name, address and contact details.
- A receipt number and the date of payment.
- Who paid (name, and address if the customer needs it).
- What was bought: each item or service, quantity and price.
- Tax, if you charged it, shown separately.
- The total paid and the payment method (card, cash, bank transfer, check number).
The receipt shows a PAID stamp when the amount received covers the total. For a part payment, enter the amount actually received under “Amount paid”; the receipt then shows what is still owed.
Receipts for tax and expenses
Keep a copy of every receipt you issue. In the US the IRS expects records that support your income; in the UK HMRC expects records for at least five years after the filing deadline, and in Germany receipts and invoices must be kept for eight years.
Only for real payments
Make receipts only for payments that actually happened, with the real date and amount. A receipt for a payment that didn’t take place is a false record and can be fraud.
Receipts for part payments and deposits
When a customer pays a deposit or an instalment, give a receipt for exactly that amount and show what is still owed. Put the full price as the line item and the money received under “Amount paid”; the receipt then shows the balance. When the last payment arrives, issue a final receipt that shows the balance as zero.
Cash receipts
Cash leaves no bank trail, so a receipt is the only proof for both sides. Number cash receipts in the same sequence as your other receipts, write the payment method as “Cash”, and keep your copy with the day’s takings.
Related calculators
- Free Invoice Generator: Make a professional invoice and download the PDF.
- Rent Receipt Template: Receipt for rent paid by a tenant.
- Quote Maker: Send a price quote clients can accept.
Questions people ask
What is the difference between a receipt and an invoice?
An invoice requests payment; a receipt confirms payment was received. Many businesses send an invoice first and a receipt after the client pays.
Do I need to sign a receipt?
Usually not. A clear business name, number, date, amount and payment method is enough for most purposes. Some customers and some countries prefer a signature on cash receipts; add it after printing if needed.
Formula checked October 2026 · How we calculate