Darla M. Pilgrim, EA, ATA, ATP, Partner, Gray Pilgrim and Associates, LLC
Accounts Receivable is a very important item to keep track of to keep it from getting out of hand. The work has been done, now all you need to do is collect the money. Generally, once you bill the patient, it goes into accounts receivable and only gets zeroed out by a payment or a credit issued for various reasons. Accounts Receivable is generally measured by age such as current, 31-60 days old, 61 to 90 days old; 91 to 120 days, and over 121 days. The older it is, the less likely you are to be able to collect, so earlier efforts generate more results.