Invoice Statuses Explained: Draft, Sent, Overdue, Paid, Void
An invoice status is a quick label for where a payment stands, and keeping them accurate is what makes an accounts receivable list useful instead of just a pile of PDFs. Most invoicing systems use some version of the same handful of statuses.
Draft
The invoice exists but hasn’t been sent yet — you can still edit anything freely. Nothing about a draft is binding, and it shouldn’t be counted in your expected income until it actually goes out.
Sent
The invoice has gone to the client and the payment clock — whatever your terms specify — has started. At this point, avoid changing line items or amounts without a clear conversation with the client, since it now represents an agreed request for payment.
Overdue
The due date has passed with no payment recorded. This status is your trigger to start (or continue) your follow-up process — a reminder, then escalating steps if it stretches on.
Partially paid
Some, but not all, of the invoice amount has been received — common with deposits, installment plans, or a client paying in parts. Track the remaining balance clearly so it doesn’t get mistaken for either fully paid or fully outstanding.
Paid
Full payment has been received and confirmed. This closes the invoice out of your active accounts receivable — it’s worth issuing a receipt at this point if the client needs one.
Void / cancelled
The invoice is no longer valid — issued in error, superseded by a corrected one, or cancelled by agreement. Don’t delete a voided invoice or reuse its number; mark it void and move on, so your numbering sequence and records stay intact for anyone auditing them later.
FAQ
What’s the difference between "void" and "cancelled"?
Different tools use the terms slightly differently, but both generally mean the invoice is no longer active or expected to be paid. The key practice either way is the same: don’t delete it or reuse its number.
Should a partially paid invoice show as overdue if the remaining balance is late?
Ideally, yes — many systems track these as separate states, or show "partially paid, overdue balance," so it’s clear both that some payment came in and that the rest is still late.
Can I edit an invoice after marking it sent?
Technically often yes, but it’s bad practice unless you clearly communicate the change to the client — an invoice they already have a copy of shouldn’t silently change on your end.
How long should a paid invoice stay in my records?
Retention requirements vary by jurisdiction and business type, but many businesses keep records for several years for tax and audit purposes. Check your local requirements for a specific number.
Put this into practice with a real invoice.
Try the free Invoice GeneratorRelated Guides
- Invoice Aging Report: What It Is and How to Use One
Learn what an invoice aging report is, how to read the aging buckets, and how to use it to prioritize collections and get paid faster — with a sample report.
- How to Number Your Invoices (Without Losing Track)
A simple, sustainable invoice numbering system — sequential, date-based, or client-based — plus how to fix a numbering system that’s already inconsistent.