Nordlet for the self-employed

How a sole trader or freelancer in Europe can use Nordlet for invoices, expenses, bank payments, VAT and the German cash-basis profit statement.

You work for yourself. You send invoices, pay for things your business needs, and file tax returns. Nordlet keeps these records in one place.

When you add your business to Nordlet, you choose its country and its legal form. For most European countries, the list includes the form for a person who trades alone. Examples are the e.K. in Germany, the FIE in Estonia, the EI in France, the eenmanszaak in the Netherlands and the IĮ in Lithuania.

What Nordlet does

Invoices. You create an invoice, check it and press Issue. Nordlet gives it the next number from your number series. See the list of fields an invoice must show.
Repeat invoices. A schedule can create the same invoice every week, month, quarter or year, and send it by e-mail.
Pay now links. The invoice e-mail can carry a Pay now button that opens your payment page with the unpaid amount filled in.
Reminders. When a customer pays late, Nordlet can e-mail them a list of overdue invoices, at most once every seven days. This is called dunning.
Credit notes. A credit note is a document that reduces or cancels an invoice you already sent.
Expenses. You forward supplier invoices to your company's own e-mail address. They appear on the capture page, ready to register.
Bank payments. You connect your bank or import a statement file. Nordlet matches payments to invoices by invoice number. See the guide on bank connections.

VAT

VAT is the tax added to the price of most sales in Europe. If you are not registered for VAT, you untick "VAT payer" on the company profile. Your invoices then carry no VAT.

If you are registered, Nordlet adds VAT to your invoices and works out the figures of your VAT return. How the return goes out depends on the country:

In some countries Nordlet sends it for you.
In others Nordlet builds a file that you upload in the tax office's portal.
In a few, Nordlet shows the figures and you type them in.

The filing support table lists each case, country by country. The EU VAT guide explains how Nordlet picks the VAT treatment of each sale.

Cash-basis profit in Germany

Many self-employed people in Germany work out their profit from money received and money paid out, not from invoices issued. This is the Einnahmenüberschussrechnung. The glossary explains cash basis and accrual accounting.

In Nordlet, you tick "Cash-basis accounting" when you create the company. You cannot change it later. Then:

Nordlet fills the lines of the Anlage EÜR and the Anlage AVEÜR from the year's customer payments, supplier payments, bank entries and your fixed asset register.
If you are not a VAT payer (Kleinunternehmer), all income goes into one line, gross.
You find the figures under Declarations, ELSTER returns, and can download them as a CSV file.
You type the figures into ELSTER yourself. Nordlet does not send this form.
The tax calendar shows the deadline: 31 July of the following year.

The guide for German companies lists the other German returns.

Frequently asked questions

Can I use Nordlet without being registered for VAT?

Yes. Untick "VAT payer" on the company profile. Nordlet then issues invoices without VAT.

Does Nordlet send my German Anlage EÜR to the tax office?

No. Nordlet shows the lines and amounts of the Anlage EÜR and the Anlage AVEÜR and lets you download them. You enter them into ELSTER yourself.

Can I switch an existing German company to cash basis?

No. The cash-basis setting is chosen when the company is created and cannot be changed afterwards.