Best Practices
AR Aging Buckets for Contractors: Why the Standard 30-60-90 Doesn't Fit Construction
Standard AR aging reports use 30-60-90-120+ day buckets — built for industries where receivables over 90 days mean collection problems. Construction receivables routinely age 120+ days through normal contract mechanisms (retention, closeout cycles, change-order reviews) without anything being wrong. The right aging structure for contractors separates normal-aging from problematic-aging, and tracks them differently.
Sarah Blake6 min read