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Setting Up Aging Buckets

Overview

Collectors use Aging Buckets to track the billing history of invoices. When you define Aging Buckets in eCredit, you enable collectors to track the client's payment trends according to your organization's standards for aging unpaid invoices.

eCredit calculates current aging as any invoice with a due date that is less than aging bucket 1.

Note: You cannot delete or change the aging bucket setup after invoice data is entered into eCredit.

Aging calculation configurations

eCredit can configure your Subscriber Setup so that your aging bucket calculations occur daily or only at the end of the collections period that you define using the Collection Period Setup feature. In either case, the aging buckets are calculated using the number of days from the calculation date you define for each aging bucket. The calculation date can be either the invoice date or invoice due date, and is specified in your Open Invoice Interface Setup.

Where collectors view aging data

Collectors view the aging buckets you define in the A/R Data feature of the Customer Analysis module, the Exposure and Aging section of the Business Relationship Hierarchy screen (if you are maintaining hierarchy data), and the Aging tab of the Customer Profile in the collections Work Queue module.

Defining Past Due Amount (Days)

You can customize the calculation used for the Past Due Amount (Days A total amount past due that your business administrator can customize by entering the number of days past due an invoice must have to be included in this total, and whether the field is calculated as of the current date, or as of the end date of the current period. This amount can be customized for all customers (Aging Bucket Setup feature), and for particular customers (Special Account Setup). The (Days) is the number of days past due used to calculate the field. This field appears on the Work Queue Summary screen if your business administrator selects it.) This field appears on the Work Queue Summary screen. It is a total amount past due that your business administrator can customize by entering the number of days past due an invoice must have to be included in this total, and whether the field is calculated as of the current date, or as of the end date of the current period. This amount can be customized for all customers (Aging Bucket Setup feature), and for particular customers (Special Account Setup). The (Days) is the number of days past due used to calculate the field. field that appears on the Work Queue Summary Search Results section.

Here's how this works:

Select the Past Due Amount (Days) field as one of the fields you want to show in the Work Queue Summary Search Results. (Use the Display Labels feature to do this). More
Enter the number of days past due an invoice must have to be included in this total, and whether the past due amount is calculated based on the current date or on the period end date. (Use the Aging Bucket Setup feature to do this). More

Note: You define your period end date as quarterly or monthly using the Admin module's Collection Period feature.

To set a different number of past due days for targeted customers use the Special Accounts feature. More

Formulas for Past Due Amount (Days) field

The past due balance as of the current period end date is calculated using the following formula:

Sum of amount due for all open invoices where (current period end date - invoice calculation date)> n where n is the default number of past due days you specify.

The past due balance based on the current date is calculated using the following formula:

Sum of amount due for all open invoices where (current date - invoice calculation date) > n
where n is the default number of past due days you specify.