What it is
The workbook ages open customer invoices and vendor bills as of a date you set, in buckets you choose, and ties each total to the general ledger control account. Enter one row per open item with the invoice or bill date and terms; the due date, days past due and the five bucket amounts calculate. Credit memos and unapplied payments go in as negatives so the aging agrees to the ledger.
The Summary tab shows bucket totals and percentages for receivables and payables, the past-due share and the ledger differences, and carries a worked reserve calculation for receivables in which the loss rates are inputs. An aging schedule is one method the credit loss standard, ASC 326-20, illustrates for estimating expected credit losses on trade receivables; the rates come from your own history and forecasts.
When to use it
- Month-end or year-end support for the receivables and payables control accounts.
- Audit or review of the allowance for credit losses and of the search for unrecorded liabilities.
- Collections and cash planning, where the buckets show what is past due and what is disputed.
What’s inside
- Settings: as-of date, three bucket limits, ledger control balances
- AR Aging and AP Aging: 60 rows each with due date, days past due, five buckets and a data check
- Disputed flag on bills, with a disputed total
- Summary with percentages, past-due share and ledger tie-outs
- Illustrative reserve calculation with loss rates as inputs
Standard cited
This template follows ASC 326-20; AU-C 330. It is written in our own words, except for phrases the standard requires the document to contain, with [bracketed placeholders] for client details, amounts in USD and dates as MM/DD/YYYY. Check it against the current standard and your firm’s methodology before use. See AU-C 330 explained.
Questions
Is the aging by invoice date or due date?
By days past due: the as-of date less the due date. Items not yet due land in the first bucket. Days since the invoice date is also shown on each row for terms analysis.
How should I enter credit memos and unapplied cash?
As negative open amounts, so the total agrees to the control account. Unapplied cash left in the current bucket overstates both the receivable and the past-due balance, so apply it or list it separately.
Where do the loss rates come from?
From the entity’s own history adjusted for current conditions and reasonable and supportable forecasts. The workbook provides the mechanics only; the rates are yours to support, and the auditor tests them.
What does the ledger difference tell me?
A difference between the aging and the control account usually means a missing invoice, an unapplied payment, a manual journal entry to the control account or a cutoff problem. The tie-out turns red above a cent.
Related templates
- Accounts Receivable Aging and Allowance Workpaper
- Accounts Receivable Confirmation Letter (Positive)
- Search for Unrecorded Liabilities Workpaper
- Accrued Expenses Schedule (Excel)
Last updated 11/05/2026. All free templates.