KNOWLEDGE CENTER

Stop Chasing Payments: Master Receivables in QuickBooks® Online

When tax season hits or client work piles up, unpaid invoices can quickly slip through the cracks, especially for busy small business owners. But managing accounts receivable isn’t just about getting paid; it’s about maintaining cash flow, staying compliant, and building trust with your clients. If you're an accounting or tax professional advising clients on bookkeeping best practices, QuickBooks® Online has tools built right in to help them stay ahead of what they’re owed, without spending hours chasing payments.

Why Receivables Matter More Than Ever

Inconsistent cash flow is one of the most common reasons small businesses struggle. According to a 2024 QuickBooks® study, 60% of small businesses experience cash flow issues at least once a year, and late payments are often the culprit. Helping your clients manage receivables efficiently not only stabilizes their operations—it puts you in a proactive advisory role.

How to Track Receivables in QuickBooks® Online

QuickBooks® Online makes it easy to track outstanding invoices, overdue balances, and customer payment history. Here’s how:

1. Use the Accounts Receivable Aging Report

Navigate to:
Reports > Who owes you > Accounts Receivable Aging Summary

This report groups outstanding invoices by how long they’ve been overdue (e.g., 1–30 days, 31–60 days, etc.). It's an essential tool for assessing client risk and prioritizing follow-ups.

2. Set Up Automatic Invoice Reminders

Navigate to:
Gear Icon > Account and Settings > Sales > Reminders

QuickBooks® can send polite, automated nudges to customers who haven't paid by the due date. This feature cuts down on awkward email chains and helps clients avoid letting invoices go stale.

3. Customize Payment Terms and Due Dates

For clients with multiple service tiers or retainers, customize invoice terms for each customer under their individual profile. This ensures expectations are clear upfront and tracked properly.

Pro Tip: Create a Receivables Workflow

Encourage clients to check their A/R Aging Summary report at least once a week. Pair that with regular reconciliation of bank feeds to match payments received. If you’re managing their books, consider setting alerts for accounts over 60 days due, so you can prompt follow-up or recommend collections strategies before year-end.

When Receivables Become a Problem

If overdue balances start piling up, it’s a sign that your client may need tighter invoicing policies or better contract enforcement. You can recommend:

  • Requiring partial deposits for larger projects

  • Incentivizing early payments with small discounts

  • Charging late fees (within legal and ethical guidelines)

  • Offering recurring billing options through QuickBooks® for subscription-based services

Helping your clients track who owes them (and when) isn't just good bookkeeping—it’s smart business. With the right QuickBooks® Online tools and guidance from you as their trusted advisor, they can reduce stress, improve cash flow, and avoid awkward conversations about late payments.

Share this article...

HAVE A QUESTION ABOUT THIS TOPIC?

Please enter your question below.

I confirm this is a service inquiry and not an advertising message or solicitation. By clicking “Submit”, I acknowledge and agree to the creation of an account and to the and .
I consent to receive SMS messages and agree with the

NEVER MISS A STORY.

Sign up for our newsletters and get our articles delivered right to your inbox.

I confirm this is a service inquiry and not an advertising message or solicitation. By clicking “Submit”, I acknowledge and agree to the creation of an account and to the and .

LONG ISLAND OFFICE

350 Motor Parkway, Ste 204
Hauppauge, NY 11788
(631) 273-9532
(631) 273-0448 (fax)
info@eshelcpa.com
9 AM - 6 PM

NEW YORK CITY OFFICE

14 East 38th Street, 7th Floor
New York, NY 10016
(212) 302-7900
(03) 372-0951 (from Israel)
(212) 683-1516 (fax)
info@eshelcpa.com

FLORIDA OFFICE

1250 E. Hallandale Beach Blvd. Suite 407
Hallandale Beach, FL 33009
(754) 231-0004
(212) 898-0320
info@eshelcpa.com