And yes, the name sounds a bit like a fantasy character, but it’s actually the abbreviation for this type of e-invoice.
What Is ZUGFeRD?
ZUGFeRD stands for “Central User Guide of the German Electronic Invoice Forum” and is a hybrid invoice format that combines both PDF and XML data. A ZUGFeRD invoice therefore consists of two parts:
- PDF document: This is the visible invoice document that the recipient can read and print.
- XML file: This file contains the structured invoice data that can be automatically processed by accounting programs.
An example: When a company creates an invoice in this format, the human recipient can read the invoice as usual in PDF format. At the same time, the XML file can be read and processed by the recipient’s accounting software without the need for manual input.
ZUGFeRD’s Strengths
The key advantage of this format is its ability to make invoices readable for both humans and machine-based systems. Another major strength lies in its choice of PDF version: ZUGFeRD uses PDF/A-3, a specialized PDF format designed for long-term archiving.
This makes ZUGFeRD an essential building block for implementing electronic invoicing, which has been mandatory for businesses in Germany since January 1, 2025.
Why use ZUGFeRD?
ZUGFeRD offers numerous advantages, particularly in terms of the efficiency and automation of invoicing processes. By combining PDF and XML, invoices can be processed automatically by accounting programs without the need for manual input. This saves time and reduces the error rate.
Advantages of ZUGFeRD
- Automation: Invoices can be processed automatically, which increases efficiency and reduces errors.
- Transparency: All relevant invoice data is clearly structured and easily accessible.
- Compliance: ZUGFeRD meets the requirements of the EU standard EN 16931, which facilitates compliance with legal regulations.
- Flexibility: The format is suitable for both small and large companies and can be integrated into various accounting programs.
The ideal ECM software for e-invoices complements automated invoicing processes with intelligent control of the remaining manual processes through digital workflows. In addition, the ECM system enables central storage and management of all company documents, including invoices.
An invoice format for the future
ZUGFeRD is a forward-looking invoice format that significantly simplifies and automates electronic invoicing. With the support of ECM software, companies can further optimize their handling of ZUGFeRD invoices and ensure that all legal requirements are met. This not only contributes to increased efficiency, but also to the improvement of general business processes.