If you're a tradie in New Zealand, you know the drill: finish a job, write up an invoice, chase payment, repeat. It's time-consuming, tedious, and takes you away from what you do best—the actual work. The good news? Invoicing automation can save you hours every week while ensuring you get paid faster and stay GST-compliant.
Why Automate Invoicing?
Manual invoicing isn't just boring—it's costing you money. Here's why automation makes sense for Kiwi tradies:
- •Save 2-5 hours per week: No more manually typing up invoices or chasing paperwork.
- •Get paid faster: Automated reminders mean clients pay on time, improving your cash flow.
- •Stay GST-compliant: Automated systems calculate GST correctly and generate compliant invoices every time.
- •Reduce errors: No more typos, missing line items, or incorrect totals.
Step 1: Choose the Right Tool
The foundation of invoice automation is choosing software that integrates with your existing workflow. For NZ tradies, the most popular options are:
Xero
The go-to accounting software for Kiwi businesses. Xero handles invoicing, expense tracking, and GST returns all in one place. It's cloud-based, so you can send invoices from your phone on-site.
Best for: Tradies who want an all-in-one accounting solution.
MYOB
Another popular NZ option with strong invoicing features and payroll integration. MYOB is particularly good if you have employees.
Best for: Tradies with teams who need payroll and invoicing in one system.
Tradify
Built specifically for tradies. Tradify combines job management, quoting, and invoicing. You can create a quote on-site, convert it to a job, and send the invoice—all from one app.
Best for: Tradies who want job management and invoicing in a single, tradie-focused platform.
Step 2: Set Up Automated Invoice Generation
Once you've chosen your tool, it's time to automate the actual invoice creation. Here's how:
Create Invoice Templates
Set up templates with your business details, logo, and standard payment terms. Most tools let you customize templates to match your branding. Include:
- •Your business name and GST number
- •Client details
- •Job description and line items
- •GST breakdown (15% in NZ)
- •Payment terms (e.g., "Payment due within 7 days")
- •Bank account details for direct deposit
Link to Job Management
If you're using a platform like Tradify or ServiceM8, link your job management to invoicing. When you mark a job as "complete," the system can automatically generate and send the invoice. No manual data entry required.
Step 3: Automate Payment Reminders
Chasing late payments is one of the worst parts of running a trade business. Automation fixes this:
- •Send automatic reminders: Set up reminders to go out 3 days before the due date, on the due date, and 7 days after if unpaid.
- •Personalize messages: Use templates that sound professional but friendly: "Hi [Client Name], just a friendly reminder that invoice #[Number] is due on [Date]."
- •Track payment status: Most tools show you which invoices are paid, pending, or overdue at a glance.
Step 4: Integrate with Xero for GST Returns
If you're GST-registered (and most tradies are), Xero makes GST returns painless. Here's how it works:
- Automatic GST calculation: Xero calculates GST on every invoice (15% in NZ).
- Track GST collected and paid: The system tracks GST you've charged clients and GST you've paid on expenses.
- File GST returns directly: When it's time to file your GST return, Xero generates the report and lets you file it directly to IRD with one click.
Pro tip: Set up bank feeds in Xero so your transactions import automatically. This means your GST tracking is always up-to-date without manual data entry.
Step 5: Go Further with AI Agents
If you want to take automation to the next level, consider using AI agents. These aren't just tools—they're autonomous systems that can:
- •Auto-generate invoices from photos: Take a photo of your completed work, and the AI creates an itemized invoice based on your pricing rules.
- •Sync with your calendar: When you mark a job as done in your calendar, the AI sends the invoice automatically.
- •Handle follow-ups: The AI can send personalized payment reminders and even escalate to you if a payment is seriously overdue.
- •Reconcile payments: When a payment comes in, the AI matches it to the invoice and updates your books in Xero.
Real-World Example: Dave's Electrical
Dave runs a one-man electrical business in Auckland. Before automation, he spent 3-4 hours every week writing invoices and chasing payments. Now:
- •He uses Tradify to manage jobs and auto-generate invoices when he marks a job complete.
- •Tradify syncs with Xero, so his GST tracking is automatic.
- •Automated reminders mean 90% of clients pay on time (up from 60%).
- •He's saved 3 hours per week—time he now spends on billable work.
"I used to dread invoicing. Now I don't even think about it. The system just works." – Dave
Common Mistakes to Avoid
- •Not including GST details: Every invoice must show your GST number and the GST amount separately. Xero and other tools handle this automatically.
- •Forgetting to set payment terms: Be clear about when payment is due (e.g., "Payment due within 7 days"). This reduces confusion and late payments.
- •Not following up: Even with automation, check your overdue invoices weekly and escalate personally if needed.
Getting Started: Your Action Plan
Ready to automate your invoicing? Here's your step-by-step plan:
- Choose your tool: Start with Xero if you want accounting + invoicing, or Tradify if you want job management + invoicing.
- Set up templates: Create invoice templates with your branding and GST details.
- Link to your workflow: Connect invoicing to your job management or calendar so invoices generate automatically.
- Turn on payment reminders: Set up automatic reminders for before, on, and after the due date.
- Test it: Send a few test invoices to yourself to make sure everything looks right.
- Go live: Start using it for every job and watch your admin time drop.
Need Help Getting Set Up?
At Agentic NZ, we help tradies automate invoicing and other admin tasks with custom AI agents. We'll analyze your workflow, set up the right tools, and build automation that works for your business.
Final Thoughts
Invoicing automation isn't just about saving time—it's about getting paid faster, reducing errors, and staying compliant with NZ tax law. Whether you choose Xero, MYOB, Tradify, or go all-in with AI agents, the key is to start now.
The sooner you automate, the sooner you can focus on what you do best: delivering quality work for your clients.
Ready to automate? Start with one of the tools above, or reach out to us for a custom solution built specifically for your business.