PayPal Invoicing

What PayPal Invoicing does

PayPal Invoicing lets freelancers, consultants, service professionals and small businesses create and send invoices, collect online payments and track when invoices are sent, opened and paid.

Invoices can include a business name, logo, brand colors, taxes, discounts, shipping details and notes. You can send them by email, text message, messaging apps, social media or QR code. Recurring templates and automatic reminders support repeat billing.

Fees and plans

The Free plan has no setup or subscription fee for creating and sending invoices. Transaction fees apply when customers pay. PayPal also lists a free-invoicing option, but does not list a separate price; creating and sending invoices is included with a PayPal account.

The PayPal and Venmo plan is listed at $3.49 one-time and is billed at 3.49% plus $0.49 per transaction. The fixed fee varies with the currency received, and international transactions may add a percentage-based fee.

The Pay Later plan is listed at $4.99 one-time and is billed at 4.99% plus $0.49 per transaction. Its fixed fee varies with the currency received, and international transactions may add a percentage-based fee.

Where it runs

PayPal Invoicing runs on the web, iPhone and Android. The PayPal app lets users create and manage invoices from a mobile device; desktop access is also listed.

It supports online payments, recurring payments, multi-currency invoicing and payment reminders. There is no offline mode, and no card reader is required. PayPal lists availability in more than 200 markets and 24 currencies, while another product listing gives 130 supported currencies.

Protection and rules, as PayPal publishes them

PayPal says invoice payment links sent by email are encrypted. It also says its business platform uses fraud protection, transaction encryption and 24/7 fraud analysis.

PayPal states that Seller Protection applies to eligible transactions. The provider lists PayPal, Venmo, cards, digital wallets, bank transfers, vouchers, buy now pay later and cryptocurrency among local payment methods.

Strengths

The service combines invoice creation, payment collection, reminders and payment-status tracking. Customers do not need a PayPal account to pay an invoice.

Recurring invoice templates, automatic reminders and stated QuickBooks and Xero syncing can reduce repeated manual work. Invoices can be customized and shared through several channels.

Catches to check

A PayPal account is required to create and send invoices. Transaction charges apply on the free plan, and the listed paid plans include percentage charges plus fixed fees that vary by currency.

International payments may add another percentage-based fee. Availability, currencies and payment methods vary by market; PayPal lists more than 200 markets and 24 currencies in one description and 130 supported currencies elsewhere.

The service has no offline mode. PayPal says Seller Protection is limited to eligible transactions, so eligibility and the applicable fee should be checked before use.

Who may want another option

Businesses that need offline invoicing, a clearly published single currency schedule or different payment rails may want to compare Payment gateways and Payment link apps.

Readers looking for other providers can also review DOKU or Dojo.

Verdict

PayPal Invoicing fits a business that wants to issue branded invoices, accept several payment methods and manage recurring billing from the web or a phone. The free plan removes setup and subscription charges, but payment fees still apply, with additional conditions for currencies and international transactions.

It is less suitable for businesses that work offline or need one simple fee across markets. The need for a PayPal sender account, the different paid-plan charges and the mixed currency figures make the pricing and coverage worth checking for the business's location.

Questions