Working with someone overseas can be a lovely reminder that your work travels further than your desk. The admin gets easier when you agree a few details early.
The most helpful distinction is between the amount you charge, the amount the client sends and the amount that reaches your account. Those can be different numbers without any of them being a mistake.
Agree the currency before agreeing the number
Write ‘USD 1,000’ or ‘AUD 1,000’, rather than only ‘$1,000’. Confirm which currency you will invoice in, which currency the client will send, who covers transfer fees and when payment is due. Share payment instructions appropriate to the chosen method.
Ask for the billing entity, country, accounts contact and any purchase-order reference. If a client needs extra tax forms or supplier onboarding, learn about that before the invoice is due. Avoid sending sensitive details through an unverified email request.
Keep the exchange-rate story visible
Suppose an invoice is USD 1,000. A payment provider converts it at an illustrative A$1.50 per US dollar, producing A$1,500 before fees. If a separately identified A$20 fee is deducted, A$1,480 reaches your bank.
The invoice is still USD 1,000. The deposit is A$1,480, and the fee helps explain the difference. Treat the rate and fee in this example as invented numbers, not a current quote. Keep the actual provider’s conversion and fee records for the real transaction.
Separate an estimate from a recorded transaction
A dashboard conversion is a useful common measuring stick when invoices use different currencies. Like checking distances in kilometres instead of miles, it helps you compare the totals. It does not change the original invoice currency.
Lufu’s home-currency dashboard estimates use the latest available reporting rates. They are not a substitute for the rate, date and method required for accounting or tax records. Keep the original amounts and check the actual settlement details when matching a payment.
Check GST for the actual work
Some exports are GST-free when the relevant conditions are met, but an overseas customer does not automatically make every sale GST-free. The kind of supply, where the customer is and how the work is provided can matter. Check the ATO guidance or ask a registered tax agent about your circumstances.
For a taxable sale invoiced in foreign currency, the tax invoice must show the GST in Australian currency or provide sufficient information to determine it in Australian currency. A home-currency estimate on a dashboard does not by itself supply that information on the client’s invoice.
Close the loop when the payment arrives
Match the invoice with the payment confirmation, conversion details, fees and bank deposit. If a shortfall remains, check whether it is an agreed fee, an exchange difference or an underpayment before asking the client for more money.
For your next project, reuse the agreed currency and payment instructions only after confirming they still apply. A minute at the beginning can save a much longer conversation across time zones later.
A little context: this is general information for Australian businesses, not advice for your individual tax or legal position. Tax details were checked against the linked official guidance on 1 November 2026. For decisions about your circumstances, a registered tax agent or qualified adviser can help.