When managing accounts receivable, knowing who owes you, how much, and for how long is key. That’s where the aged trial balance comes in — a snapshot that helps finance teams keep customer payments on track and cash flowing.
What Is An Aged Trial Balance For Accounts Receivable?
An aged trial balance for accounts receivable is a report that breaks down outstanding customer invoices by age. It typically groups receivables into time periods — for example:
- 0–30 days
- 31–60 days
- 61–90 days
- 90+ days
This lets you see at a glance which invoices are current and which are overdue. It’s especially helpful for identifying slow-paying customers and planning your collections strategy.
Why An Aged Trial Balance Matters
Late payments affect cash flow, and poor visibility can cause problems to go unnoticed. An aged trial balance helps you:
- Prioritise which invoices to follow up
- Spot potential payment risks early
- Measure how long it takes to get paid (DSO)
- Build more accurate cash flow forecasts
Instead of reactive chasing, you can be proactive with your collections — and more strategic about credit terms.
Automating The Process
Manually compiling an aged trial balance takes time — and with high volumes, it’s easy to make mistakes. That’s why many businesses now rely on automated accounts receivable tools.
With B2BE’s Accounts Receivable solution, you can automatically generate aged trial balance reports from live invoice data. The system flags overdue accounts, helps track dispute reasons, and links documents like proof of delivery — giving your AR team everything they need to act quickly and reduce days sales outstanding (DSO).
A Simple Way To Stay In Control
Think of the aged trial balance as your AR pulse check. It’s simple, powerful, and essential for financial health. The better your visibility, the faster you can collect — and the easier it becomes to manage working capital effectively.
About B2BE
B2BE delivers electronic supply chain solutions globally, helping organisations to better manage their supply chain processes, providing greater levels of visibility, auditability and control. We’re driven by a passion for what we do, inspired by innovation, and underpinned by a wealth of knowledge. With over 20+ years of experience, the B2BE teams operate worldwide.
For more information, visit www.b2be.com.