What to write in the service description
German invoices require a clear description of the service delivered. Vague entries like "Consulting" or "Design work" are not sufficient — you need enough detail that both parties can identify what the invoice relates to. Here are examples for handwerker (tradesperson) work:
Labour + materials itemised
Elektroinstallation Wohnzimmer: Arbeitsleistung 6 Std. à €65 = €390 / Material (Kabel, Dosen): €120 / Gesamt netto: €510
Flat project rate with labour split
Badezimmerrenovierung – Fliesenlegen, Sanitärinstallation: Arbeitsleistung €1.200, Material €840
Emergency call-out
Notdienst-Einsatz 22:00 Uhr – Rohrbruch Behebung: Anfahrt €40, Arbeitsleistung 1,5 Std. à €90, Material €35
Required fields on a German invoice
German law (§14 UStG) specifies exactly what must appear on every invoice. Missing any of these can make the invoice legally non-compliant and give the client grounds to delay payment.
Full name and address
Your legal name and address as registered with the Finanzamt. If you trade under a business name, include both.
Client name and address
The full legal name and address of the recipient — not just a trading name or contact name.
Invoice date (Rechnungsdatum)
The date the invoice was issued. Not the date the work was completed, unless they are the same.
Invoice number (Rechnungsnummer)
A unique, sequential number. Must not be repeated. Gaps are allowed; going backwards is not.
Service description (Leistungsbeschreibung)
A clear description of what was delivered and when. Vague entries are not compliant.
Net amount (Nettobetrag)
The amount before VAT. If you are a Kleinunternehmer, this is also the total — no VAT line needed.
VAT amount or §19 disclaimer
VAT-registered: show 19% MwSt. Kleinunternehmer: include the §19 UStG disclaimer instead.
Your Steuernummer or Umsatzsteuer-ID
Mandatory on every invoice. Kleinunternehmer use their Steuernummer. VAT-registered businesses use their Umsatzsteuer-ID.
IBAN for payment
Not legally required but universally expected. Include your IBAN so the client can pay by bank transfer.
VAT for handwerker (tradesperson)s in Germany
Most self-employed Handwerker work with 19% MwSt — trade work exceeds the €22,000 Kleinunternehmer threshold quickly. The Kleinunternehmer option exists and is used by part-time tradespeople or those just starting out. Important: clients can only claim the Handwerkerleistungen tax deduction (§35a EStG) if your invoice clearly separates labour costs from material costs — a bundled total prevents their deduction.
§19 UStG disclaimer (required if you are a Kleinunternehmer)
Gemäß §19 UStG wird keine Umsatzsteuer berechnet.
Invoicing tips for handwerker (tradesperson)s
Always separate labour from materials
Under §35a EStG, private clients (homeowners) can deduct 20% of your labour costs from their income tax — but only if your invoice shows labour and materials as separate line items. A combined price makes this impossible. Splitting labour and materials is not just best practice — it actively helps you win private jobs because clients save real money.
Include the property address for residential work
For the §35a EStG tax deduction, your client needs to prove the work was done at their home address. Include the address of the property where the work was carried out in the invoice description. This is required by the Finanzamt when the client claims the deduction.
Bank transfer required — no cash for the §35a deduction
The §35a EStG deduction for Handwerkerleistungen only applies if the client pays by bank transfer. Cash payments do not qualify. It is worth informing clients of this when you issue the invoice — most will happily pay by transfer to get the tax benefit.
Invoice promptly after completion
German trades invoices are due within 30 days unless otherwise agreed. Issuing the invoice on the day of job completion is standard practice — waiting weeks increases the risk of non-payment and makes it harder for the client to remember the details of the work.
Frequently asked questions
What is the §35a EStG Handwerkerleistungen deduction?
§35a EStG allows homeowners to deduct 20% of labour costs for household-related crafts and maintenance services (Handwerkerleistungen) from their personal income tax — up to €1,200 per year (i.e. up to €6,000 in qualifying labour costs). Material costs do not qualify. The deduction applies to private clients only, not businesses. Your invoice must clearly separate labour and materials, and the client must pay by bank transfer.
Do I need to be in the Handwerksrolle to invoice as a tradesperson?
It depends on your trade. 41 trades in Germany are zulassungspflichtig (require a Meisterbrief or recognised equivalent to operate independently). These include electricians, plumbers, roofers, and heating engineers. Other trades are zulassungsfrei (free entry) — e.g. tilers, painters, floor layers. You can still invoice for work in zulassungsfreie trades without a Meisterbrief. Operating a zulassungspflichtiges Handwerk without qualification is illegal.
Am I a Freiberufler or Gewerbetreibender as a Handwerker?
Almost certainly Gewerbetreibender. Trades (Handwerk) are commercial activities, not liberal professions. You register a Gewerbe at the Gewerbeamt and pay Gewerbesteuer above the €24,500 exemption threshold. You also register with the Handwerkskammer (HWK) for your district.
Can I charge for travel to the job site?
Yes — Anfahrtskosten (travel costs) are a normal invoice line item. The standard approach is to charge a flat call-out fee or an hourly rate for travel time plus fuel costs. Some Handwerker charge only for jobs beyond a certain radius. State your policy in your quote (Angebot) before the job — do not surprise the client with travel charges on the invoice.
What is the warranty period on trades work in Germany?
The statutory warranty (Gewährleistung) for construction and trades work in Germany is 5 years under BGB §634a. This is not displayed on the invoice, but it applies regardless. If a client raises a warranty claim within 5 years, you are obligated to rectify defects at no additional charge. Documenting the scope of work clearly on your invoice and keeping a job record helps you handle warranty disputes.
Related guides
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