Free Purchase Order Template and Generator

Fill in a purchase order for your vendor, check the totals, and download a numbered PDF ready to send or print.

What a purchase order is and when to use one

A purchase order (PO) is a document a buyer sends to a vendor before anything is delivered. It lists what you want to buy, how many, at what price, where to ship it and when you expect it. When the vendor accepts it, both sides have the same written record of the order.

Small businesses use purchase orders when they:

• Order inventory or materials from a supplier on credit terms.
• Need an approval step before money is committed, for example a manager signs off on orders over a set amount.
• Work with a vendor who requires a PO number on every order.
• Want a clear paper trail to match against the vendor’s bill later.

Purchase order vs invoice

The two documents mirror each other. The purchase order comes from the buyer before delivery and says “this is what we want to buy.” The invoice comes from the vendor after delivery and says “this is what you owe.” A good invoice quotes your PO number so you can match the two quickly. If you are the one selling and need to bill a customer, use the invoice generator instead.

The three-way match

Many businesses check three documents before paying a vendor:

1. The purchase order: what you ordered and the agreed price.
2. The packing slip or receiving record: what actually arrived.
3. The vendor invoice: what you are being charged.

If the quantities and prices agree across all three, the bill is approved. If not, for example only 8 of 10 cases arrived, you sort it out with the vendor before you pay. Even a one-person business benefits from this habit, because it catches billing mistakes early.

How to create a purchase order

1. Enter your business details as the buyer and upload your logo. Click “Save as template” to reuse them next time.
2. Add the vendor: name, address and contact details.
3. Check the PO number and date. Numbers fill in as PO-0001, PO-0002 and so on.
4. Set the delivery date you need the goods by.
5. Choose payment terms: Net 7, Net 15, Net 30, Net 60, due on receipt or custom terms you agreed with the vendor.
6. Enter the ship-to address if it differs from your business address, such as a job site or warehouse.
7. List the items: one line per item with a clear description, quantity and unit price. Include the vendor’s part or SKU number where you have it.
8. Add any discount, tax and shipping. The discount is applied before tax, and tax applies once to the lines marked taxable.
9. Sign the “Authorized by” line or leave it for the person who approves orders.
10. Download the PDF or print it and send it to the vendor.

What to include on a purchase order

• PO number: unique, and quoted on every related invoice and packing slip.
• Buyer and vendor details: names, addresses, contact person.
• Order date and requested delivery date.
• Ship-to address.
• Line items: description, part number, quantity, unit price and line total.
• Discount, tax and shipping, shown separately.
• Order total.
• Payment terms.
• Authorization: who approved the order.
• Notes: delivery instructions, receiving hours, or “partial shipments allowed”.

PO numbering tips

Keep one sequence for the whole business and never reuse a number, even for a cancelled order. Mark cancelled POs as void instead of deleting them. Some businesses add a year or department prefix, such as PO-2026-0042. Pick a format and stick with it so orders are easy to find.

Worked example: office supply order

A small office orders supplies from a regular vendor:

• Copy paper, 10-ream case: 10 × $42.50 = $425.00 (taxable)
• Toner cartridge: 4 × $68.00 = $272.00 (taxable)
• Office chair: 2 × $189.00 = $378.00 (taxable)
• Subtotal: $1,075.00
• Discount (5% vendor discount): −$53.75
• Taxable amount after discount: $1,021.25
• Tax (example rate of 8%): $81.70
• Shipping: $35.00 (not taxed in this example)
• Order total: $1,137.95
• Terms: Net 30

When the vendor’s invoice arrives, it should show the same PO number and, if everything shipped, the same total. Whether supplies and shipping are taxable depends on your state and locality, and some businesses buy items for resale tax-free with a resale certificate. Check with your state revenue agency or a tax professional before choosing a rate.

Tips for using purchase orders

• Get the price in writing first. Use the vendor’s quote as the source for unit prices.
• Be specific. “Toner” is vague; “Toner cartridge, black, model 26A” is not.
• Ask the vendor to confirm. A short reply email accepting the PO is useful if questions come up later.
• Keep copies together. Store the PO, the packing slip and the invoice in one folder per order.

The generator runs in your browser and nothing is sent to a server. Drafts and the PO counter are saved in your browser’s local storage, so clearing browser data removes them. Save each PDF you send. You can pick Letter or A4 and one of three designs: Classic, Modern or Compact.

If the order is for work done on site rather than goods, a work order may fit better. For the vendor side of the deal, see the invoice template. For how your data is handled, see the privacy page.

Written by Legit50 Editorial Team· Updated Oct 19, 20260

Legit50 provides free document tools for general business use. They are not legal, tax or accounting advice, and you are responsible for the accuracy of the documents you create. Sales tax rules vary by state and locality. Learn more.