What you set per subscription
Per client, set a few things and put them in the quote or agreement too:
- What you deliver and for which amount, excluding VAT.
- The period: month, quarter or year.
- In advance or in arrears. Invoicing in advance means the money is there before you deliver. In arrears is usual for work you use per period.
- The start date, and possibly an end date.
- The term and the notice period.
More on handling subscriptions in your records is in subscriptions in your bookkeeping.
Pick a fixed day
A fixed day per month, for example the first, keeps things clear for you and your client. Choose a day up to the 28th, then it exists in every month. If a subscription starts in the middle of a period, charge part of the amount for the first period, or agree that the first invoice covers a full period.
Put the period on the invoice
An invoice that says Hosting and maintenance without a period raises questions for your client and your accountant. Add what the invoice covers, for example Hosting and maintenance October 2026. That prevents the question of whether an invoice is a duplicate and keeps your records readable.
Checking or sending automatically
Do you still need to look at every invoice, or may it go out by itself? Checking remains sensible as long as amounts can vary, for example with hours you settle afterwards. If the amount is the same every period, automatic sending saves work. A safe rule is that you always look at and send the first invoice of a new subscription yourself.
Announcing a price rise
Costs rise, so your subscription price will rise at some point too. First check what your terms say about changing prices and what the agreement says about indexation. Announce a rise well ahead in writing, with the old and the new amount and the date it takes effect. The sooner your client knows, the less resistance you meet.
An example: an invented hosting company raises the monthly amount from € 25 to € 27.50 excluding VAT on 1 January. In October it sends a short letter with the reason and the new amount, so clients have two months to respond.
Pausing, stopping and VAT
Clients sometimes want to pause a subscription for a while. Agree what happens then: does the term keep running, and do you catch up on skipped periods or do they lapse? Put that in writing, so you do not have to decide again for every client. The VAT rate of a subscription can differ per client, for example for a client abroad, so check it per subscription. See invoicing abroad.
An example of a subscription
An invented web agency has a client with a maintenance subscription. The agreement: € 120 a month excluding VAT for hosting, updates and an hour of support, invoiced in advance on the first of the month, with a notice period of two months after the first year.
- Invoice title: Hosting and maintenance November 2026
- Amount: € 120.00 excluding VAT, VAT at 21 per cent € 25.20, total € 145.20
- Payment term: 14 days
- Unused support hours do not carry over, and that is stated in the agreement
Because everything was agreed beforehand, the agency only has to check each month whether anything has changed, for example an extra service that has been added.
Frequently asked questions
Which day of the month should I choose?
Choose a day up to the 28th, for example the first. That day exists in every month and is easy to remember.
Do I invoice in advance or in arrears?
In advance gives you certainty that you are paid before you deliver. In arrears fits work you use per period. Put the choice in your agreement.
May I raise the price of a running subscription?
That depends on what you agreed with your client. Check your agreement and terms and announce a rise well ahead in writing.
How do I keep an overview of my recurring revenue?
Keep amount, period and end date per subscription, and add them up to a monthly amount. Then you see what comes in with certainty every month.
This explanation is general information, not legal, tax or accounting advice. Rules change and your situation may differ. If in doubt, ask your accountant or adviser, or check with the Dutch Tax Administration (Belastingdienst) or the Chamber of Commerce (KvK).
