ZUGFeRD format – definition, advantages, and creation

What is ZUGFeRD?

ZUGFeRD stands for “Central User Guide of the Electronic Invoice Forum Germany” and describes a standardized invoice format that is intended to facilitate the exchange of electronic invoices between companies and public authorities. What makes it special is that the ZUGFeRD format contains both a visually readable PDF and an embedded XML file with structured invoice data. This approach ensures that invoices can be displayed and processed automatically without the need for additional software. The ZUGFeRD format offers enormous advantages, especially in accounting, where efficiency is key.

What does the abbreviation ZUGFeRD stand for?

The abbreviation ZUGFeRD is often misinterpreted, but it stands for Zentraler User Guide des Forums elektronische Rechnung Deutschland (Central User Guide of the German Electronic Invoicing Forum). It refers to its origin in the German Electronic Invoicing Forum (FeRD), which has set itself the goal of establishing a uniform standard for electronic invoice exchange. This makes the ZUGFeRD format much more than just a file type – it is a central element of a comprehensive digitization project in accounting.

The idea behind the ZUGFeRD format is to bridge the gap between paper-based invoices and purely machine-readable formats. By combining a visually readable PDF with an embedded XML file, invoice exchange becomes efficient for both humans and software. Companies benefit from faster processes, lower error rates, and easier integration into existing IT systems.

In addition, the ZUGFeRD format contributes significantly to standardization and harmonization in international trade. Since it complies with European standards, invoices can be processed without any problems, not only within Germany but also in other EU countries. This greatly facilitates cross-border business transactions and secures long-term competitive advantages for companies.

What is the significance of ZUGFeRD in accounting?

The significance of ZUGFeRD in accounting today cannot be underestimated. The ZUGFeRD format enables the complete automation of booking processes, as all relevant invoice information is available in a structured XML file. This allows ERP and accounting systems to read the data directly without employees having to enter it manually. This not only reduces the amount of work involved but also minimizes potential sources of error during data entry.

Another advantage of the ZUGFeRD format is legal certainty. Since the structure is clearly defined and standardized, every correctly created ZUGFeRD invoice complies with legal requirements and European standards for electronic invoicing. This makes it easier for companies to comply with compliance requirements and ensures that invoices are recognized both nationally and internationally.

In addition, the use of the ZUGFeRD format has a direct positive impact on the efficiency and profitability of companies. Seamless integration into existing IT systems reduces processing times, lowers administrative costs, and accelerates business processes. This makes the ZUGFeRD format a central component of the digital transformation in accounting.

When did the ZUGFeRD invoice become mandatory?

There is currently no general obligation for all companies in Germany to use the ZUGFeRD format. However, the ZUGFeRD format has been mandatory in the public sector since November 2020: All public authorities must be able to receive and process electronic invoices in certain standardized formats, including the ZUGFeRD format. This regulation is part of the implementation of EU Directive 2014/55/EU, which aims to standardize electronic invoice exchange in public procurement.

In the private sector, especially in the B2B area, there is no legal obligation to use the ZUGFeRD format, but the trend is moving in this direction. Many companies are already relying on ZUGFeRD to digitize their processes, simplify exchanges with business partners, and meet the growing demands of the digital economy in the long term.

How can you recognize a ZUGFeRD invoice?

A ZUGFeRD invoice is relatively easy to identify if you know what to look for. It is a PDF file with an XML file embedded in the background. This XML file complies with the ZUGFeRD XML schema and contains all relevant invoice information in machine-readable form. While the PDF view is intended for humans, the XML file is used for automated processing in accounting or ERP systems.

Whether an invoice complies with the ZUGFeRD format can be easily checked with a ZUGFeRD viewer or suitable software. The PDF is opened, and the embedded XML is read. Many modern ERP systems perform this check automatically in the background and import the ZUGFeRD format directly into the corresponding accounting processes.

What is the standard ZUGFeRD invoice format?

The most widely used ZUGFeRD invoice format is the PDF/A-3 file with an embedded XML file. The PDF ensures a visually readable display, while the XML file contains all structured data that can be processed automatically. This combination makes the ZUGFeRD format particularly flexible, as it meets the requirements of both human users and automatic data processing.

Which ZUGFeRD versions are currently in use?

Currently, ZUGFeRD 2.0 and ZUGFeRD 2.2 dominate the market. Both versions are compatible with the European standard EN 16931, which means they meet the legal requirements for electronic invoices in the EU. This means that companies using the ZUGFeRD format are well equipped for international invoicing.

In addition to versions 2.0 and 2.2, ZUGFeRD 2.3 is also becoming increasingly important. This further development of the standard primarily brings detailed improvements to the data structure and extended profiles for specific industry requirements. Furthermore, compatibility with international e-invoicing standards has been further expanded, making exchanges with business partners outside the EU even smoother. For companies that want to future-proof their processes, ZUGFeRD 2.3 is therefore a sensible investment.

What does a ZUGFeRD invoice look like?

Visually, a ZUGFeRD invoice hardly differs from a conventional PDF invoice. It contains the same information, such as invoice number, customer data, service description, and payment details. The key difference lies in the invisible but structured XML data embedded in the background.

This XML file ensures that the invoice can be automatically read by software. For humans, the document remains clear and easy to understand – for machines, however, it is a structured collection of data that can be imported without errors.

A suitable ZUGFeRD example

A typical example of a ZUGFeRD format is a PDF file that displays the logo and invoice number at the top, followed by the customer's address details, a detailed list of items, and payment information at the bottom. At the same time, the XML file containing the same information is located in the background, only in a structured, machine-readable form.

Thanks to this duality, the ZUGFeRD format is suitable for both manual checking and fully automated further processing. This makes it a versatile tool in modern accounting.

The ZUGFeRD XML schema explained

The ZUGFeRD XML schema is the technical set of rules in the ZugFeRD format that defines how XML data is structured within a ZUGFeRD file. Among other things, it defines field names, data formats, and mandatory information so that every ZUGFeRD file remains machine-readable and can be processed by different systems.

Only if the XML file complies with the official schema can it be read without errors by ZUGFeRD validators or accounting software. It is therefore important to ensure compliance with these specifications when creating a ZUGFeRD invoice.

How is a ZUGFeRD invoice received?

Receiving a ZUGFeRD invoice works in the same way as receiving any other PDF file. It can be sent by email, made available via a special invoice portal, or transferred via automated interfaces between ERP systems. For the recipient, this means that no complicated download process is required to receive the invoice.

However, the receiving software must understand the ZUGFeRD format. Only then can the embedded XML file be read and used for automatic processing. Modern accounting programs usually recognize a ZUGFeRD invoice immediately and integrate the data directly into the booking workflow.

How can a PDF be converted to ZUGFeRD?

Converting an existing PDF to ZUGFeRD format is easy with the right tools. Special ZUGFeRD software or an online converter is used for this purpose. The typical process is as follows: The PDF is uploaded, missing invoice data is added or automatically read, and then an XML file is created according to the ZUGFeRD XML schema and embedded in the PDF.

The result is a PDF/A-3 file that is both readable and machine-processable. Some providers even offer ZUGFeRD invoice creation free of charge, which is particularly interesting for smaller companies that want to gain initial experience with electronic invoices.

How can a ZUGFeRD invoice be created?

Creating a ZUGFeRD invoice requires the right software solution. The program must process invoice data in the correct ZUGFeRD format, generate an XML file according to the official schema, and embed it in a PDF/A-3 file. Many modern ERP and accounting programs already offer this function as an integrated feature.

If you don't want to use complex software, you can use online tools that create the ZUGFeRD format. It is important that the result complies with legal requirements and is checked by a ZUGFeRD validator before it is sent to customers or authorities.

What should the ZUGFeRD software be capable of?

Powerful ZUGFeRD software should offer much more than just simple invoice creation. It must be able to generate XML files that comply exactly with the official ZUGFeRD XML schema and validate them before sending to avoid errors or missing mandatory information. Equally important is the ability to generate PDF/A-3 files that contain the machine-readable XML file, thus preserving the dual nature of the ZUGFeRD format. The conversion of existing PDF invoices into the ZUGFeRD format is also a function that is frequently required in practice.

In addition, good software should be able to check incoming ZUGFeRD invoices and automatically import their data into the respective ERP or accounting system. A flexible import and export function is crucial for exchanging invoices between different systems and partners without any problems. Additional functions, such as an integrated ZUGFeRD validator or template management, can further simplify everyday work and significantly increase efficiency in accounting.

XRechnung vs ZUGFeRD: What is the difference?

The difference between XRechnung and ZUGFeRD lies primarily in the way the invoice data is presented and transmitted. The ZUGFeRD format combines a visually readable PDF file with an embedded XML file that is machine-readable. This makes the ZUGFeRD format suitable for both direct human verification and automated processing in ERP and accounting systems.

XRechnung, on the other hand, consists exclusively of a structured XML file without a visual representation. It is, therefore, purely technically oriented and cannot be read directly by humans without additional software.

XRechnung is often preferred in the public sector in particular, as it complies with the strict requirements of EU Directive 2014/55/EU. Public authorities often rely exclusively on this format to standardize the receipt and processing of electronic invoices. In the B2B sector, on the other hand, the ZUGFeRD format scores points for its user-friendliness and lower implementation costs.

ZUGFeRD Viewer free of charge – solution for digital invoice verification

With our free ZUGFeRD Viewer, you can open and check ZUGFeRD and XRechnungen invoices directly in your browser. No installation or registration required. Simply upload the PDF file in e-invoice or ZUGFeRD format, and our viewer will display the embedded XML data in a clear, structured view.

Our viewer supports all common ZUGFeRD versions, including 2.0, 2.1, and 2.2, as well as XRechnung. It automatically checks for compliance with the relevant standards and displays any errors or deviations. This allows you to ensure that your invoices meet legal requirements and can be processed without any problems.

Use our ZUGFeRD Viewer free of charge for quick and easy checking of your digital invoices. Ideal for companies that occasionally work with ZUGFeRD or XRechnungen and are looking for a simple solution for validation.