Customer Age Analysis |
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Customer Age Analysis (Accounts Receivable)
Go to: Customer > Age Analysis
Overview
The Customer Age Analysis provides an overview of outstanding customer balances, showing how long invoices and other amounts have remained unpaid.
It helps you monitor overdue accounts, identify customers who are falling behind with payments, manage credit risk and improve debt collection.
Quick Overview: For a summary of Accounts Receivable, see: File Dashboard > Customer tab.
The Customer Age Analysis form includes interactive fields that provide access to additional information.
Hover the mouse over the different fields on the form. If the cursor changes to a hand () , click to get more information.
Age Analysis Columns Explained |
Current / 30 / 60 / 90 / 120 / 150 / 180+ These columns show how long outstanding amounts have been unpaid, grouped into ageing periods. Example: The 180 column means the invoice is unpaid for 180 days or more.
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To allocate Displays unallocated customer payments or amounts that have not yet been matched against specific invoices. These amounts can still be allocated to outstanding invoices.
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Due Amount Displays the amount currently due from the customer, calculated according to the customer's payment terms. Example: Total: R12,243.19 – R2,287.64 (Current + 30 days) = Due: R9,955.55 |
Terms Days Displays the customer's agreed payment terms with your company. To assign or change a customer's payment terms, go to: Customer > Financial Info
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Tip: Write Off Small Amounts
Small balances, such as uncollectable interest, rounding differences, or minor discrepancies, can be written off directly from the Age Analysis form without processing a Customer Journal.
How to write off an amount:
1. Locate the relevant customer.
2. Double-click the 180+ day column.
3. Enter the amount to be written off.
4. Click OK
Accounting Entries
Smart-IT processes the following journal entries:
•Debit: Bad Debt
•Credit: Debtor Control
Default Bad Debt Account
Set the default Bad Debt account under: Ledger > Account Options
Additional Options
Right-click on various fields within the Age Analysis form to access additional actions and shortcuts.
What You Can Learn from Age Analysis
1.Outstanding Balances – View total unpaid amounts by aging periods.
2.Payment Trends – Track how long customers take to pay.
3.Credit Risk – Identify risky customers based on overdue patterns.
4.Problem Detection – Spot bad debts or consistent delays.
5.Collection Efficiency – Measure how well your team is collecting.
6.Decision Support – Help adjust credit limits or follow-up strategy.
7.Customer Segmentation – Group customers by behavior or risk.
Additional Features of the Age Analysis Form
The Customer Age Analysis form includes several tools that help you manage customer accounts efficiently without opening each customer individually.
Bulk Emails and SMS
Send account reminders, statements, or other communications to multiple customers directly from the Age Analysis form.
Bulk Suspend / Unsuspend Customers
Temporarily suspend customers or restore their active status.
To Suspend or Unsuspend Customers
1. Select the customers to suspend or unsuspend.
2. Click Suspend or Unsuspend
3. The customer status is updated accordingly.
What Happens When a Customer is Suspended
•The customer is marked as Suspended on the Customer Main form.
•New invoices cannot be processed for the customer.
•A warning message will be displayed when attempting to invoice the customer.
Allocate Payments
Allocate unallocated customer payments or credits against outstanding invoices directly from the Age Analysis form.
Look for the To Allocate / Credit column
Alternatively, you can allocate payments from:
•Customer > Statements and Allocation and select Allocations.
•Customer > Statements and Allocation and select Customers That Must Be Allocated to view customers with unallocated receipts or credits.
Key Accounts Receivable Metrics
For a quick management overview of Accounts Receivable, go to: File > Dashboard
The Accounts Receivable Dashboard provides management with key indicators to monitor outstanding customer balances and collection performance.
Use the Dashboard for a quick overview of the Customer > Age Analysis.
Best Practice: Review the Dashboard regularly for overall trends, and use the Customer Age Analysis to identify specific customers that require follow-up or credit control action.
https://bit.ly/SI_Age_Analysis
