Statement of Account vs Invoice: A Worked Example for Service Businesses

An invoice requests payment for specific work. A statement of account summarizes a customer’s invoices, payments, credits, and balance over a stated period. Send the invoice when work becomes billable under your agreement; use a statement when the client needs a view across several transactions.

Prepared September 4, 2026. This guide includes an original, fictional account example in US dollars. The distinction between the documents is also explained in Stripe’s invoice and statement guide.

When does a client need a statement of account?

A statement helps when a repeat client asks, “What do we still owe?” after several jobs and payments. It gives the client a way to compare your records with theirs. A single unpaid invoice usually needs the original invoice and its payment history, rather than a new summary document.

A statement should make the original invoices easier to find. It should not create a second charge for the same work. Label it “Statement of account” and retain the invoice numbers your client already has.

How do you calculate the statement balance?

Use this reconciliation: opening balance + new charges − payments applied − credits applied = closing balance. Keep the period and currency consistent. Investigate payments that have arrived but have not yet been matched to an invoice before telling the client an invoice is overdue.

Here is a fictional August account for a business that buys repeat maintenance visits. All listed invoice amounts are final amounts for this example.

The August closing balance is $650: $300 + $450 − $300 + $250 − $50. That is the account balance, not automatically the amount overdue. Check the original invoice due dates to show which part, if any, is past due. A credit in this example is an adjustment to the amount owed, not proof that cash was refunded.

What information should the statement show?

• Your business details and the customer name used on the invoices.
• A clear statement period and preparation date.
• The opening balance, supported by earlier unpaid transactions.
• Dated invoice, payment, and credit entries with references.
• The closing balance and the currency.
• Original due dates or a separate list of overdue invoices.
• A contact for questions and access to the underlying invoices.

For an open-invoice statement, state that it lists outstanding invoices as of a particular date. Do not call it a full transaction history if it omits paid invoices and other activity.

What if your client’s balance does not match yours?

Compare the records by invoice number and payment reference. First check the statement cutoff: a payment made after August 31 would not belong in an August statement, but it should change any current payment request. Next look for an unapplied payment, a duplicated invoice, a credit entered on only one side, or a payment assigned to another customer.

Ask the client for the payment date, amount, and reference. Avoid requesting full card or bank credentials by email. Once the difference is resolved, send the corrected summary with a short explanation of what changed.

How should you share the statement?

Use a message that tells the client what they are reviewing. For example:

Attached is your account statement for August 1–31. It shows a closing balance of $650 and lists the invoices and payments included. This is a summary of existing invoices, not an additional invoice. Please let me know if your records show a payment or credit that is missing.

Replace the example dates and balance with reconciled figures before using this draft. If you also request payment, identify the actual open invoices and their due dates.

Where does WaffleInvoice fit?

WaffleInvoice is an invoicing product. Use the feature overview to review its invoice and payment-tracking workflow. This article’s statement is a manual reconciliation example; it does not describe a dedicated WaffleInvoice statement generator.

Need to create the underlying bill? Make an invoice with WaffleInvoice’s free tool, or read the itemized invoice example first.