A/R Aging
What customers owe you, grouped by how many days past due.
The A/R aging report groups what customers owe by how overdue it is: current, 1–30, 31–60, 61–90 and 90+ days. It shows who owes you and how likely you are to collect.
Read it before chasing payments. Lenders and accountants ask for it too.
Reading the report
- Check the tie-out
The line under the buckets confirms the total ties to your Accounts Receivable account, including adjustments posted without an invoice. If it doesn't tie, a warning links to the ledger.
- Read across the buckets
Click a bucket to show only those invoices. Current is normal. 90+ may never arrive.
- Read down the customers
Concentration matters as much as age. One customer holding 60% of receivables is a bigger risk than thirty holding 2% each.
- Act on it
Send a statement, follow up directly, or write off what won't be collected. Ask the assistant for everything past a given age.
Writing off bad debt
Receivables sit on your balance sheet at full value on the assumption they'll be collected. The older they get, the less likely that is.
To write one off, open the invoice, choose Record payment, then Write off. By default it debits bad debt expense and credits accounts receivable. Leaving uncollectible invoices open overstates your assets.
Good to know
- The report reads posted entries live. Draft invoices aren't included.
- Export downloads it as PDF, Excel or CSV.
Common questions
- What counts as overdue?
- Anything past its due date, which comes from the customer's payment terms. A Net 30 invoice issued today is current for thirty days.