All 21 Aging Analysis questions
More in Aging Analysis
What is the difference between AR aging and AP aging? How are aging buckets determined—by invoice date or due date? What does the 90+ days bucket typically signify and how is it treated? How do you read an AR aging summary at a glance? What is a weighted-average days overdue and why is it useful? How is Days Sales Outstanding (DSO) calculated and what does it indicate? What is Days Payable Outstanding (DPO) and how does it relate to aging? What is the cash conversion cycle and how do AR/AP aging feed it? How is aging used to prioritize collections activity? How do you reconcile the aging report to the general ledger control account?
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Accounts Payable & Receivable › Aging Analysis

What does it mean when receivables are 'current' versus 'past due'?

Beginner

Answer

'Current' means within the agreed payment terms—not yet due—so no action is needed. 'Past due' means the due date has passed without payment, triggering collection activity. The split, based on due-date aging, separates normal open balances from those needing follow-up.
Real-world example An invoice on Net 30 is 'current' for 30 days, then becomes 'past due' and enters the collections cadence.

Common follow-ups: What determines current vs past due? | When does collection activity start?

Collections & Bad Debts Credit Control Aging Analysis
All 21 Aging Analysis questions