Line Item
A line item is a single row on an invoice describing one product or service.
Each line item lists a distinct product or service with its quantity, unit price, and extended total. Clear line items let the customer verify every charge and make the invoice auditable. Grouping unrelated charges into one vague line is one of the most common causes of invoice disputes.
Example
An invoice lists 'Website design — 1 unit — $2,000' and 'Hosting setup — 1 unit — $150' as two line items.
Related terms
Frequently asked questions
How much detail should a line item have?
Enough for the customer to recognise and verify the charge: what it is, how many, and at what rate. Add dates or references for time-based work. If a customer has to ask what a line means, it was not detailed enough.
Can a line item show a negative amount?
Yes — discounts and adjustments are often shown as negative line items. Alternatively, issue a separate credit note. Either way, keep the arithmetic visible.
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