What is an aged debtors report?

Definition of aged debtors report

An aged debtors report is a totalled list of all the invoices your customers haven’t yet paid you for, less any credit notes you’ve issued to your customers and not yet refunded them for.

The report usually sorts the invoices and credit notes by customer and by date, and groups together unpaid invoices that are due in various time periods. It subtotals invoices and credit notes by customer and by time period so that you can see how much you can expect to receive from each customer, and the total amount that should reach you by a specific date.

If you’re registered for VAT, the report will show your invoices and credit notes inclusive of VAT because that’s how much money you will receive from your customer – even though you don’t get to keep it all.

The aged debtors report usually divides out unpaid invoices that are due to be paid to you within 30 days, in 30 to 60 days, in 60 to 90 days and in more than 90 days.

How to see your aged debtors report

FreeAgent automatically generates your aged debtors report whenever you or your accountant want to take a look.