Understanding the accounts payable (A/P) aging report
An accounts payable aging report, also known as an A/P aging report, groups unpaid bills based on the number of days they are outstanding or due. In Chapter 8, Recording Expenses in QuickBooks Online, we covered how to record expenses. Similar to the A/R aging report that we saw in the previous chapter, there are five main groups of bills: Current, 1-30 days, 31-60 days, 61-90 days, and 91 days and over. QuickBooks calculates the age of a bill by using the bill’s due date. To stay on top of bills, business owners should review this report on a weekly basis and take the necessary steps to pay bills that are nearly due. For bills coming due, you should go ahead and process the payment online with your financial institution or write a check directly from QuickBooks to ensure they arrive by the due date. In Chapter 8, Recording Expenses in QuickBooks Online, we showed you how to pay bills.
