diff --git a/.gitignore b/.gitignore
index 012f2eeb..830c0a03 100644
--- a/.gitignore
+++ b/.gitignore
@@ -1,3 +1,4 @@
+/var/
 /vendor/
 /node_modules/
 /composer.lock
diff --git a/CHANGELOG-2.0.md b/CHANGELOG-2.0.md
index c68dbd6f..22127eec 100644
--- a/CHANGELOG-2.0.md
+++ b/CHANGELOG-2.0.md
@@ -1,5 +1,10 @@
 # CHANGELOG
 
+### v2.0.3 (2025-10-21)
+
+- [#373](https://github.com/Sylius/InvoicingPlugin/pull/373) Add configurable invoice sequence scope (`monthly`/`annually`/`global`)
+  via SYLIUS_INVOICING_SEQUENCE_SCOPE ENV ([@tomkalon](https://github.com/tomkalon))
+
 ### v2.0.2 (2025-07-03)
 
 - [#373](https://github.com/Sylius/InvoicingPlugin/pull/373) Add sylius/test-application ([@Wojdylak](https://github.com/Wojdylak))
diff --git a/UPGRADE-2.0.md b/UPGRADE-2.0.md
index 052c0a91..667c4aa9 100644
--- a/UPGRADE-2.0.md
+++ b/UPGRADE-2.0.md
@@ -1,3 +1,17 @@
+# UPGRADE FROM 2.0 TO 2.1
+
+## Changes
+
+1. Added support for configurable invoice sequence scoping via the SYLIUS_INVOICING_SEQUENCE_SCOPE environment variable:
+
+- monthly: resets invoice numbering each month
+- annually: resets invoice numbering each year
+- global or unset (default): uses a single global sequence (as previously)
+
+## Deprecations
+
+1. Not passing the $scope argument (of type InvoiceSequenceScopeEnum) to the constructor of SequentialInvoiceNumberGenerator is deprecated and will be required starting from version 3.0.
+
 # UPGRADE FROM 1.X TO 2.0
 
 1. Support for Sylius 2.0 has been added, it is now the recommended Sylius version to use with InvoicingPlugin.
diff --git a/config/config.yaml b/config/config.yaml
index 87569df3..47fe4ced 100644
--- a/config/config.yaml
+++ b/config/config.yaml
@@ -5,6 +5,8 @@ imports:
 parameters:
     sylius_invoicing.invoice_save_path: "%kernel.project_dir%/private/invoices/"
     sylius_invoicing.filesystem_adapter.invoice: "sylius_invoicing_invoice"
+    sylius_invoicing.sequence_scope: '%env(default::SYLIUS_INVOICING_SEQUENCE_SCOPE)%'
+    env(SYLIUS_INVOICING_SEQUENCE_SCOPE): 'global'
 
 sylius_invoicing:
     pdf_generator:
diff --git a/config/doctrine/InvoiceSequence.orm.xml b/config/doctrine/InvoiceSequence.orm.xml
index ed04a5e4..4d6591d2 100644
--- a/config/doctrine/InvoiceSequence.orm.xml
+++ b/config/doctrine/InvoiceSequence.orm.xml
@@ -11,6 +11,9 @@
         </id>
         <field name="index" column="idx" type="integer" />
         <field name="version" type="integer" version="true" />
+        <field name="year" type="integer" nullable="true"/>
+        <field name="month" type="integer" nullable="true"/>
+        <field name="type" enum-type="Sylius\InvoicingPlugin\Enum\InvoiceSequenceScopeEnum" nullable="true" />
     </mapped-superclass>
 
 </doctrine-mapping>
diff --git a/config/services/generators.xml b/config/services/generators.xml
index cfca0642..c01a26b6 100644
--- a/config/services/generators.xml
+++ b/config/services/generators.xml
@@ -22,6 +22,7 @@
             <argument type="service" id="sylius_invoicing.factory.invoice_sequence" />
             <argument type="service" id="sylius_invoicing.manager.invoice_sequence" />
             <argument type="service" id="clock" />
+            <argument key="$scope">%sylius_invoicing.sequence_scope%</argument>
         </service>
 
         <service id="sylius_invoicing.generator.invoice_identifier" class="Sylius\InvoicingPlugin\Generator\UuidInvoiceIdentifierGenerator" />
diff --git a/src/Entity/InvoiceSequence.php b/src/Entity/InvoiceSequence.php
index 064eb8e8..a8ec4226 100644
--- a/src/Entity/InvoiceSequence.php
+++ b/src/Entity/InvoiceSequence.php
@@ -13,6 +13,8 @@
 
 namespace Sylius\InvoicingPlugin\Entity;
 
+use Sylius\InvoicingPlugin\Enum\InvoiceSequenceScopeEnum;
+
 /** @final */
 class InvoiceSequence implements InvoiceSequenceInterface
 {
@@ -23,6 +25,12 @@ class InvoiceSequence implements InvoiceSequenceInterface
 
     protected ?int $version = 1;
 
+    protected ?InvoiceSequenceScopeEnum $type = null;
+
+    protected ?int $year = null;
+
+    protected ?int $month = null;
+
     /** @return mixed */
     public function getId()
     {
@@ -48,4 +56,34 @@ public function setVersion(?int $version): void
     {
         $this->version = $version;
     }
+
+    public function getType(): ?InvoiceSequenceScopeEnum
+    {
+        return $this->type;
+    }
+
+    public function setType(?InvoiceSequenceScopeEnum $type): void
+    {
+        $this->type = $type;
+    }
+
+    public function getYear(): ?int
+    {
+        return $this->year;
+    }
+
+    public function setYear(?int $year): void
+    {
+        $this->year = $year;
+    }
+
+    public function getMonth(): ?int
+    {
+        return $this->month;
+    }
+
+    public function setMonth(?int $month): void
+    {
+        $this->month = $month;
+    }
 }
diff --git a/src/Entity/InvoiceSequenceInterface.php b/src/Entity/InvoiceSequenceInterface.php
index a263fe9a..51efcd57 100644
--- a/src/Entity/InvoiceSequenceInterface.php
+++ b/src/Entity/InvoiceSequenceInterface.php
@@ -15,10 +15,23 @@
 
 use Sylius\Component\Resource\Model\ResourceInterface;
 use Sylius\Component\Resource\Model\VersionedInterface;
+use Sylius\InvoicingPlugin\Enum\InvoiceSequenceScopeEnum;
 
 interface InvoiceSequenceInterface extends ResourceInterface, VersionedInterface
 {
     public function getIndex(): int;
 
     public function incrementIndex(): void;
+
+    public function getType(): ?InvoiceSequenceScopeEnum;
+
+    public function setType(?InvoiceSequenceScopeEnum $type): void;
+
+    public function getYear(): ?int;
+
+    public function getMonth(): ?int;
+
+    public function setYear(?int $year): void;
+
+    public function setMonth(?int $month): void;
 }
diff --git a/src/Enum/InvoiceSequenceScopeEnum.php b/src/Enum/InvoiceSequenceScopeEnum.php
new file mode 100644
index 00000000..110876b9
--- /dev/null
+++ b/src/Enum/InvoiceSequenceScopeEnum.php
@@ -0,0 +1,21 @@
+<?php
+
+/*
+ * This file is part of the Sylius package.
+ *
+ * (c) Sylius Sp. z o.o.
+ *
+ * For the full copyright and license information, please view the LICENSE
+ * file that was distributed with this source code.
+ */
+
+declare(strict_types=1);
+
+namespace Sylius\InvoicingPlugin\Enum;
+
+enum InvoiceSequenceScopeEnum: string
+{
+    case GLOBAL = 'global';
+    case MONTHLY = 'monthly';
+    case ANNUALLY = 'annually';
+}
diff --git a/src/Generator/SequentialInvoiceNumberGenerator.php b/src/Generator/SequentialInvoiceNumberGenerator.php
index 89e41349..b5754949 100644
--- a/src/Generator/SequentialInvoiceNumberGenerator.php
+++ b/src/Generator/SequentialInvoiceNumberGenerator.php
@@ -18,6 +18,7 @@
 use Sylius\Component\Resource\Factory\FactoryInterface;
 use Sylius\Component\Resource\Repository\RepositoryInterface;
 use Sylius\InvoicingPlugin\Entity\InvoiceSequenceInterface;
+use Sylius\InvoicingPlugin\Enum\InvoiceSequenceScopeEnum;
 use Symfony\Component\Clock\ClockInterface;
 
 final class SequentialInvoiceNumberGenerator implements InvoiceNumberGenerator
@@ -29,7 +30,17 @@ public function __construct(
         private readonly ClockInterface $clock,
         private readonly int $startNumber = 1,
         private readonly int $numberLength = 9,
+        private readonly ?string $scope = null,
     ) {
+        if (null === $this->scope) {
+            trigger_deprecation(
+                'sylius/invoicing-plugin',
+                '2.1',
+                'Not passing the "%s" argument to "%s::__construct()" is deprecated and will be required in version 3.0. Pass a valid scope explicitly (e.g. "monthly", "annually", or "global").',
+                'scope',
+                self::class,
+            );
+        }
     }
 
     public function generate(): string
@@ -56,15 +67,47 @@ private function generateNumber(int $index): string
 
     private function getSequence(): InvoiceSequenceInterface
     {
-        /** @var InvoiceSequenceInterface $sequence */
-        $sequence = $this->sequenceRepository->findOneBy([]);
-
-        if (null != $sequence) {
+        $now = $this->clock->now();
+        $scope = InvoiceSequenceScopeEnum::tryFrom($this->scope ?? '') ?? InvoiceSequenceScopeEnum::GLOBAL;
+
+        $criteria = match ($scope) {
+            InvoiceSequenceScopeEnum::MONTHLY => [
+                'year' => (int) $now->format('Y'),
+                'month' => (int) $now->format('m'),
+                'type' => $scope,
+            ],
+            InvoiceSequenceScopeEnum::ANNUALLY => [
+                'year' => (int) $now->format('Y'),
+                'type' => $scope,
+            ],
+            InvoiceSequenceScopeEnum::GLOBAL => [
+                'year' => null,
+                'month' => null,
+            ],
+        };
+
+        /** @var InvoiceSequenceInterface|null $sequence */
+        $sequence = $this->sequenceRepository->findOneBy($criteria);
+
+        if (null !== $sequence) {
             return $sequence;
         }
 
         /** @var InvoiceSequenceInterface $sequence */
         $sequence = $this->sequenceFactory->createNew();
+
+        if (isset($criteria['year'])) {
+            $sequence->setYear($criteria['year']);
+        }
+
+        if (isset($criteria['month'])) {
+            $sequence->setMonth($criteria['month']);
+        }
+
+        if (isset($criteria['type'])) {
+            $sequence->setType($criteria['type']);
+        }
+
         $this->sequenceManager->persist($sequence);
 
         return $sequence;
diff --git a/src/Migrations/Version20251021074051.php b/src/Migrations/Version20251021074051.php
new file mode 100644
index 00000000..c8933206
--- /dev/null
+++ b/src/Migrations/Version20251021074051.php
@@ -0,0 +1,35 @@
+<?php
+
+/*
+ * This file is part of the Sylius package.
+ *
+ * (c) Sylius Sp. z o.o.
+ *
+ * For the full copyright and license information, please view the LICENSE
+ * file that was distributed with this source code.
+ */
+
+declare(strict_types=1);
+
+namespace Sylius\InvoicingPlugin\Migrations;
+
+use Doctrine\DBAL\Schema\Schema;
+use Doctrine\Migrations\AbstractMigration;
+
+final class Version20251021074051 extends AbstractMigration
+{
+    public function getDescription(): string
+    {
+        return 'Add year, month and type columns to sylius_invoicing_plugin_sequence table';
+    }
+
+    public function up(Schema $schema): void
+    {
+        $this->addSql('ALTER TABLE sylius_invoicing_plugin_sequence ADD year INT DEFAULT NULL, ADD month INT DEFAULT NULL, ADD type VARCHAR(255) DEFAULT NULL');
+    }
+
+    public function down(Schema $schema): void
+    {
+        $this->addSql('ALTER TABLE sylius_invoicing_plugin_sequence DROP year, DROP month, DROP type');
+    }
+}
diff --git a/tests/TestApplication/.env b/tests/TestApplication/.env
index 657afa80..8ce5f4f4 100644
--- a/tests/TestApplication/.env
+++ b/tests/TestApplication/.env
@@ -9,3 +9,6 @@ WKHTMLTOPDF_PATH=/usr/local/bin/wkhtmltopdf
 ###< knplabs/knp-snappy-bundle ###
 
 TEST_SYLIUS_INVOICING_PDF_GENERATION_DISABLED=false
+TEST_SYLIUS_INVOICING_PDF_GENERATION_DISABLED=false
+
+SYLIUS_INVOICING_SEQUENCE_SCOPE='monthly'
diff --git a/tests/Unit/Generator/SequentialInvoiceNumberGeneratorTest.php b/tests/Unit/Generator/SequentialInvoiceNumberGeneratorTest.php
index f04a331e..21f7c89d 100644
--- a/tests/Unit/Generator/SequentialInvoiceNumberGeneratorTest.php
+++ b/tests/Unit/Generator/SequentialInvoiceNumberGeneratorTest.php
@@ -21,6 +21,7 @@
 use Sylius\Component\Resource\Factory\FactoryInterface;
 use Sylius\Component\Resource\Repository\RepositoryInterface;
 use Sylius\InvoicingPlugin\Entity\InvoiceSequenceInterface;
+use Sylius\InvoicingPlugin\Enum\InvoiceSequenceScopeEnum;
 use Sylius\InvoicingPlugin\Generator\InvoiceNumberGenerator;
 use Sylius\InvoicingPlugin\Generator\SequentialInvoiceNumberGenerator;
 use Symfony\Component\Clock\ClockInterface;
@@ -69,7 +70,10 @@ public function it_generates_invoice_number(): void
         $dateTime = new \DateTimeImmutable('now');
         $this->clock->method('now')->willReturn($dateTime);
 
-        $this->sequenceRepository->method('findOneBy')->with([])->willReturn($sequence);
+        $this->sequenceRepository
+            ->method('findOneBy')
+            ->with(['year' => null, 'month' => null])
+            ->willReturn($sequence);
 
         $sequence->method('getVersion')->willReturn(1);
         $sequence->method('getIndex')->willReturn(0);
@@ -96,7 +100,10 @@ public function it_generates_invoice_number_when_sequence_is_null(): void
         $dateTime = new \DateTimeImmutable('now');
         $this->clock->method('now')->willReturn($dateTime);
 
-        $this->sequenceRepository->method('findOneBy')->with([])->willReturn(null);
+        $this->sequenceRepository
+            ->method('findOneBy')
+            ->with(['year' => null, 'month' => null])
+            ->willReturn(null);
 
         $this->sequenceFactory->method('createNew')->willReturn($sequence);
 
@@ -119,6 +126,139 @@ public function it_generates_invoice_number_when_sequence_is_null(): void
 
         $result = $this->generator->generate();
 
-        $this->assertSame($dateTime->format('Y/m') . '/000000001', $result);
+        self::assertSame($dateTime->format('Y/m') . '/000000001', $result);
+    }
+
+    #[Test]
+    public function it_generates_invoice_number_with_monthly_scope(): void
+    {
+        $sequence = $this->createMock(InvoiceSequenceInterface::class);
+
+        $dateTime = new \DateTimeImmutable('2025-10-15');
+        $this->clock->method('now')->willReturn($dateTime);
+
+        $generator = new SequentialInvoiceNumberGenerator(
+            $this->sequenceRepository,
+            $this->sequenceFactory,
+            $this->sequenceManager,
+            $this->clock,
+            1,
+            9,
+            'monthly'
+        );
+
+        $this->sequenceRepository
+            ->method('findOneBy')
+            ->with(['year' => 2025, 'month' => 10, 'type' => InvoiceSequenceScopeEnum::MONTHLY])
+            ->willReturn($sequence);
+
+        $sequence->method('getVersion')->willReturn(1);
+        $sequence->method('getIndex')->willReturn(0);
+
+        $this->sequenceManager
+            ->expects(self::once())
+            ->method('lock')
+            ->with($sequence, LockMode::OPTIMISTIC, 1);
+
+        $sequence
+            ->expects(self::once())
+            ->method('incrementIndex');
+
+        $result = $generator->generate();
+
+        self::assertSame('2025/10/000000001', $result);
+    }
+
+    #[Test]
+    public function it_generates_invoice_number_with_annually_scope(): void
+    {
+        $sequence = $this->createMock(InvoiceSequenceInterface::class);
+
+        $dateTime = new \DateTimeImmutable('2025-11-15');
+        $this->clock->method('now')->willReturn($dateTime);
+
+        $generator = new SequentialInvoiceNumberGenerator(
+            $this->sequenceRepository,
+            $this->sequenceFactory,
+            $this->sequenceManager,
+            $this->clock,
+            1,
+            9,
+            'annually'
+        );
+
+        $this->sequenceRepository
+            ->method('findOneBy')
+            ->with(['year' => 2025, 'type' => InvoiceSequenceScopeEnum::ANNUALLY])
+            ->willReturn($sequence);
+
+        $sequence->method('getVersion')->willReturn(1);
+        $sequence->method('getIndex')->willReturn(0);
+
+        $this->sequenceManager
+            ->expects(self::once())
+            ->method('lock')
+            ->with($sequence, LockMode::OPTIMISTIC, 1);
+
+        $sequence
+            ->expects(self::once())
+            ->method('incrementIndex');
+
+        $result = $generator->generate();
+
+        self::assertSame('2025/11/000000001', $result);
+    }
+
+    #[Test]
+    public function it_generates_invoice_number_when_monthly_sequence_is_null(): void
+    {
+        $sequence = $this->createMock(InvoiceSequenceInterface::class);
+
+        $dateTime = new \DateTimeImmutable('2025-10-15');
+        $this->clock->method('now')->willReturn($dateTime);
+
+        $generator = new SequentialInvoiceNumberGenerator(
+            $this->sequenceRepository,
+            $this->sequenceFactory,
+            $this->sequenceManager,
+            $this->clock,
+            1,
+            9,
+            'monthly'
+        );
+
+        $scope = InvoiceSequenceScopeEnum::MONTHLY;
+
+        $this->sequenceRepository
+            ->expects(self::once())
+            ->method('findOneBy')
+            ->with(['year' => 2025, 'month' => 10, 'type' => $scope])
+            ->willReturn(null);
+
+        $this->sequenceFactory->expects(self::once())->method('createNew')->willReturn($sequence);
+        $sequence->expects(self::once())->method('setYear')->with(2025);
+        $sequence->expects(self::once())->method('setMonth')->with(10);
+        $sequence->expects(self::once())->method('setType')->with($scope);
+
+        $this->sequenceManager
+            ->expects(self::once())
+            ->method('persist')
+            ->with($sequence);
+
+        $sequence->method('getVersion')->willReturn(1);
+        $sequence->method('getIndex')->willReturn(0);
+
+        $this->sequenceManager
+            ->expects(self::once())
+            ->method('lock')
+            ->with($sequence, LockMode::OPTIMISTIC, 1);
+
+        $sequence
+            ->expects(self::once())
+            ->method('incrementIndex');
+
+        $result = $generator->generate();
+
+        self::assertSame('2025/10/000000001', $result);
     }
 }