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Accounts Receivable

How Long Is Too Long? Reading Your AR Aging Report

An AR aging report isn’t just a list of unpaid claims. It’s a timeline of how quickly a problem is being caught and worked, or quietly left to sit.

Most practice management systems break accounts receivable into aging “buckets,” typically 0–30, 31–60, 61–90, and 90+ days. On its own, a dollar figure in each bucket doesn’t say much. What matters is the shape of the report: where the balance is concentrated, and whether it’s moving toward resolution or just getting older.

What each bucket is actually telling you

The shape matters more than the total

Two practices can have the same total AR balance and be in very different positions. A balance concentrated in the 0–30 day bucket is simply claims in normal transit. The same total concentrated in the 90+ day bucket is a practice with a backlog that’s actively losing value the longer it sits. Reading the report means looking at where the weight is, not just the bottom-line number.

When to intervene

As a general rule, a growing 61–90 day bucket is the earliest clear signal that follow-up isn’t keeping pace with submissions. It’s usually easier to fix at that stage than to wait until balances have pushed into 90+. Once a claim crosses into the 90+ bucket, it needs to be triaged by dollar value and payer, since not everything sitting there is equally worth the effort to chase, and appeal or timely-filing deadlines may already be close.

What a healthy AR process looks like

See how much is sitting in your aging AR

We can run an AR aging review and show you what’s realistically recoverable.

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