Invoice in € vs £

[ashleymoran]

Hi

To anyone that has billed work to Europe - did you invoice in euros or pounds? If you invoiced in euros, was that a demand of the client or did you do it to make life easier for them?

Are there any accounting issues with foreign invoices? (I've done personal book-keeping involving two currencies, but not commercial book-keeping.)

I think we established in my earlier thread that VAT is not a problem though

TIA Ashley

[NotAllThere]

I always invoice in the clients' currency.

[ASB]

Always used to bill in euro. Also used to receive payments direct into a sterling account with Abbey National. This worked out pretty cheap and generally a decent exchange rate.

From an accounting perspective basically you account in sterling, so when you post an invoice use the official exchange rate from HMRC to calculate the nominal sterling value. [You could probably pick whatever rate you like, ultimately the value of the invoice will be what it was paid as]

Obviously the amount you are actually paid will depend upon prevailing rate at the time. This may be more or less.

Set up an income account "gain on exchange" and an expense account "loss on exchange".

journalise the gain/less as appropriate.

[tim123]

I invoice in what the agency tell me to invoice in.

Currently that is Euro, despite that not being the currency of the client's location (or head office).

Previously it was the currency of the client's location (same client, different agency) and before that the same (different client).

But the first time that I worked in Europe I invoiced in Pounds.

tim