Aging Report
An Aging Report is a basic but important financial tool that shows how long customers have owed money to a business. Think of it like a calendar that groups unpaid bills into time periods (usually 30, 60, 90 days). Bookkeepers and accountants use this to help businesses keep track of who needs to pay them and how overdue these payments are. It's sometimes called an "Accounts Receivable Aging Report" or "A/R Aging Report." This report helps businesses manage their cash flow by showing which customers they need to follow up with for payment.
Examples in Resumes
Created weekly Aging Report analysis to improve collection rates by 35%
Managed accounts receivable using Aging Reports to reduce overdue payments
Implemented new procedures for A/R Aging Report monitoring and collection
Supervised collection efforts using Accounts Receivable Aging Report tracking
Typical job title: "Bookkeepers"
Also try searching for:
Where to Find Bookkeepers
Professional Organizations
Online Communities
Job Resources
Example Interview Questions
Senior Level Questions
Q: How would you handle a situation where a major client consistently appears in the 90+ days column of the aging report?
Expected Answer: A senior bookkeeper should explain their process for escalating collection issues, including setting up payment plans, involving management when needed, and maintaining good client relationships while ensuring payment.
Q: How do you use aging reports to improve a company's cash flow management?
Expected Answer: Should discuss analyzing payment patterns, implementing early payment incentives, creating collection strategies, and using the report to forecast cash flow.
Mid Level Questions
Q: What information do you look for when reviewing an aging report?
Expected Answer: Should mention checking for patterns in late payments, identifying high-risk accounts, verifying correct aging categories, and ensuring proper documentation of collection efforts.
Q: How often should aging reports be reviewed and what actions should be taken based on them?
Expected Answer: Should explain typical review frequencies (weekly/monthly), follow-up procedures for different aging brackets, and when to escalate collection issues.
Junior Level Questions
Q: What is an aging report and why is it important?
Expected Answer: Should explain that it's a tool showing unpaid customer invoices grouped by time periods, helping businesses track who owes money and for how long.
Q: What are the typical aging periods in an aging report?
Expected Answer: Should know the standard aging periods (Current, 30, 60, 90+ days) and explain why these timeframes are used to track receivables.
Experience Level Indicators
Junior (0-2 years)
- Basic report generation and reading
- Simple collection calls
- Data entry accuracy
- Understanding payment terms
Mid (2-5 years)
- Collection strategy development
- Payment plan negotiation
- Report analysis and interpretation
- Customer relationship management
Senior (5+ years)
- Advanced collection strategies
- Cash flow forecasting
- Team training and supervision
- Policy development and implementation
Red Flags to Watch For
- Unable to explain basic aging categories
- No experience with accounting software
- Poor understanding of collection procedures
- Lack of attention to detail
- No knowledge of basic accounting principles
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