Many freelancers in Spain ask whether they can invoice in dollars and, if so, which exchange rate they should use. The short answer is yes, you can, but you must record the euro value of each invoice for your tax returns and decide who carries the currency risk.
The short answer: you may issue an invoice in US dollars to any client. For VAT, where VAT is charged, the amount must also be shown in euros. For income tax and accounting, you convert the income to euros using a reasonable, consistently applied exchange rate, and you keep the evidence. Ask your gestor which rate to use, because the choice should be documented and used the same way every time.
Exchange-rate rules for tax purposes depend on the type of income, the accounting method and the moment the income is recognised. This guide is general information, not tax advice. Agree a method with your gestor.
Key takeaways: invoice in dollars
- You can invoice in dollars from Spain; state the currency clearly on every invoice.
- For tax you need the euro value, using a documented and consistent exchange rate.
- Using the European Central Bank reference rate on the invoice date is a common and easy-to-prove choice; confirm it with your gestor.
- Currency risk sits with you unless you add a rate clause or invoice in euros.
- Keep the invoice, the payment record and the rate used for every transaction.
In this guide
- Key takeaways: invoice in dollars
- Can you invoice in dollars from Spain?
- Why clients ask for dollars
- Which exchange rate to use when you invoice in dollars
- Example: invoice in dollars and record the euro value
- How to reduce currency risk when you invoice in dollars
- Invoice in dollars or in euros: which is better?
- What to write on the invoice
- Common currency mistakes to avoid
- Frequently asked questions about invoice in dollars
- Final thoughts on invoice in dollars
- Sources and further reading
- Related guides
Can you invoice in dollars from Spain?
Yes. Spanish rules do not require you to issue invoices in euros. You can invoice in dollars, pounds or any other currency, as long as the invoice contains the mandatory information. Where an invoice shows VAT, the VAT amount must also be expressed in euros. For services to clients outside Spain, normally no VAT is charged, but your accounting and tax returns still need the euro equivalent.
For the wider rules on invoice content, read how to invoice a foreign company as a freelancer in Spain.
Why clients ask for dollars
- The client expects it. US companies and many global platforms budget in dollars.
- It avoids client-side conversion. The client pays a clear dollar amount and does not worry about how its bank converts.
- You can receive and hold dollars. A USD account or multi-currency account lets you choose when to convert. See USD bank account options for freelancers.
The trade-off is currency risk: if the dollar falls against the euro between invoice and payment, you receive fewer euros.
Which exchange rate to use when you invoice in dollars
Spanish tax rules require income to be recorded in euros. There is no single rate that every freelancer must use in every situation, so the key is to pick a reasonable source and apply it consistently. These are the common options:
| Option | How it works | Pros and cons |
|---|---|---|
| ECB reference rate on the invoice date | Use the official euro foreign exchange reference rate published by the European Central Bank for the invoice date | Public, easy to prove and easy to repeat; may differ from the amount you actually receive |
| Rate on the payment date | Convert at the rate on the day the money arrives | Closer to cash received; requires tracking each payment |
| Actual conversion rate | Use the euro amount you receive after converting at your bank or provider | Matches your account; includes the provider’s margin and fees |
Ask your gestor which option fits your accounting method. Whatever you choose, write it down and use it consistently so your records are easy to defend.
Example: invoice in dollars and record the euro value
You invoice a US client USD 3,000 on 15 October and are paid on 14 November. The figures below are illustrative only.
| Date | Event | Rate (USD per EUR) | Euro value |
|---|---|---|---|
| 15 Oct | Invoice issued: USD 3,000 | 1.10 | ≈ €2,727 |
| 14 Nov | Payment received: USD 3,000 | 1.15 | ≈ €2,609 |
The dollar weakened against the euro, so the same USD 3,000 is worth about €118 less when you are paid. That is the currency risk of dollar invoicing. Your gestor will tell you how to record the difference, and whether it is treated as a gain or a loss, under your accounting method.
How to reduce currency risk when you invoice in dollars
- Get paid sooner. Shorter payment terms mean less time for the rate to move. Ask for a deposit.
- Convert on receipt. If you need euros, convert the dollars when they arrive instead of waiting.
- Add a rate clause. For long projects, agree that the price adjusts if the exchange rate moves beyond an agreed band.
- Offset expenses. If you pay costs in dollars, keep part of your income in dollars to cover them.
- Use a provider with a low margin. Compare the real cost of conversion. See how to get the best exchange rate as a freelancer.
Invoice in dollars or in euros: which is better?
| Question | Invoice in dollars | Invoice in euros |
|---|---|---|
| Who bears currency risk? | You | The client |
| Is it easier for a US client? | Yes | Sometimes less convenient |
| Is the euro amount predictable? | No, it changes | Yes, it is fixed |
| Bank costs | Low if paid to a USD account | The client’s bank may add a poor conversion rate |
If the client is comfortable, euro invoices give you certainty. If the client insists on dollars, accept it but build the currency risk into your price or contract. The US-specific details are in how to invoice a US client from Spain.
What to write on the invoice
- Show the currency in words and symbols: «USD 3,000.00 (three thousand US dollars)».
- Add «All amounts in US dollars» near the total.
- If VAT is charged, show the VAT amount in euros as well.
- Include your bank details for dollar payments and say who pays bank charges.
Our freelance invoice template in English already has a currency line.
Common currency mistakes to avoid
- Not recording the euro value or the rate used.
- Changing the method of conversion from one invoice to the next.
- Using the rate your bank app shows without saving evidence.
- Forgetting to account for the exchange difference when payment arrives later.
- Not stating the currency clearly on the invoice.
- Ignoring the fees and margin that reduce the dollars you receive.
Frequently asked questions about invoice in dollars
Can I invoice in dollars as a freelancer in Spain?
Yes. You can issue invoices in any currency. State it clearly, and record the euro value for your tax returns.
Which exchange rate should I use when I invoice in dollars?
Use a reasonable, documented rate and apply it consistently. Many freelancers use the ECB reference rate for the invoice date. Confirm the method with your gestor.
Does VAT have to be in euros?
Where an invoice shows VAT, the VAT amount must also be expressed in euros. Services to clients outside Spain normally carry no VAT.
Who bears the currency risk when I invoice in dollars?
You do, unless you add a rate clause, shorten the payment time or invoice in euros.
What if the exchange rate changes between invoice and payment?
The euro value you receive may be higher or lower. Record the exchange difference as your gestor advises.
Is it better to invoice in euros?
Euros give you certainty. Dollars may be easier for a US client. Choose based on the client and your risk tolerance.
Final thoughts on invoice in dollars
You can invoice in dollars from Spain without any problem, but you must treat the euro value as part of your bookkeeping. Choose one documented exchange-rate method, keep your evidence and manage the currency risk with short terms, fast conversion or a rate clause. If you invoice in dollars with a clear method, the paperwork stays simple and your tax records stay solid.
Sources and further reading
- European Central Bank: euro foreign exchange reference rates
- Agencia Tributaria (Spanish tax agency)
- Boletín Oficial del Estado (BOE)
Related guides
- How to Invoice a Foreign Company as a Freelancer in Spain
- How to Invoice a US Client from Spain: VAT, Currency and What to Include
- How to Get Paid in Dollars from Spain Without Losing Money on Fees
- How to Get the Best Exchange Rate as a Freelancer
Disclaimer: This article is for general information only and is not tax, legal or financial advice. Rules, fees and thresholds change often and differ by country; always confirm current details with the tax authority and a qualified adviser. Some links may be affiliate links, which means we may earn a commission at no extra cost to you.