The easiest way to choose is to ask what is happening now. Use an estimate when cost is still uncertain, a quote when you are proposing a defined scope and price, an invoice when payment is due, a receipt after payment is confirmed, and a credit note when an earlier billed amount needs to be reduced or corrected.
Those labels can have different legal, tax, or contractual effects depending on the country and agreement. Use this page as practical workflow guidance and check local requirements when they matter.
Reviewed: 11 September 2026
| Document | Use it when | Do not confuse it with | Action |
|---|---|---|---|
| Estimate | You can give an informed expected cost, but scope, quantities, or effort may still change. | A quote, which is normally used when the proposed scope and price are more definite. | Create an estimate |
| Quote | You are proposing a defined scope, price, assumptions, and validity period before the customer accepts the work. | An invoice, which requests payment rather than proposing future work. | Create a quote |
| Invoice | You are billing for supplied goods, completed work, an agreed milestone, or another amount now due. | A receipt, which records payment already received. | Create an invoice |
| Receipt | You have confirmed that payment was received and want to document it. | An invoice, which is a request for payment. | Create a receipt |
| Credit note | An earlier invoice or transaction needs a documented reduction or correction. | A refund, which is the separate movement of money back to the customer. | Create a credit note |
A proforma invoice is a preliminary document with a different purpose. InvoiceCraftly does not currently provide a dedicated proforma document type.
A quote belongs before the payment request. It sets out what you propose to supply and the expected commercial terms. An invoice belongs when there is an amount to bill under the agreed work, delivery, or milestone.
Example: a designer can quote a fixed price for a brand package before approval, then issue an invoice when the agreed billing point is reached.
An estimate communicates an expected cost when important inputs may still move. A quote is better when you can state the proposed scope, price, assumptions, and validity more precisely. Your agreement and local rules determine the legal effect of either document.
Example: a contractor may estimate a renovation before hidden conditions are known, then prepare a quote once scope and materials are sufficiently defined.
An unpaid invoice asks the customer to pay. A receipt records payment after you have confirmed the money was received. Do not issue a receipt merely because you sent an invoice or expect a transfer.
Example: a consultant invoices €1,000 after a workshop. After confirming the client paid the €1,000, the consultant can provide a receipt that records that payment.
A credit note documents a reduction or cancellation connected to an earlier invoice or transaction. A refund is the separate act of returning money. Depending on what has already been paid, you may need a credit note without a refund, or both a credit note and a refund.
Example: if an invoice overstated a service by €200 before payment, a €200 credit note can document the reduction. If the customer had already paid the overstated amount, returning the €200 is a separate payment action.
Choose the document type for the job first. Then choose a visual starting point for the profession, layout, and example content you want to adapt.
The glossary explains each document in more detail and links back into the relevant generator.
