Guide · Collections
Statement of account: when and how to send one
When a customer owes you for several invoices, a single page that lists them all is easier to act on than five separate reminders. That page is a statement of account.
What a statement of account is
A statement is a summary, not an invoice. It lists the invoices that are still open, the amounts, the due dates and the total balance, and it repeats the payment instructions. It does not create a new charge and it does not replace the invoices themselves.
When to send one
- At the end of the month, as a routine reminder for business customers.
- When a customer has more than one invoice open and the balance is getting hard to track.
- After a partial payment, so both sides agree on what is left.
- Before a collections conversation, to put the whole balance in one place.
What to put in it
- Your business details and the customer’s legal name.
- The statement date and a statement number.
- One row per open invoice: number, invoice date, due date, original amount, paid and balance.
- The total balance due and the payment instructions.
- A note that the statement is a summary and the invoices remain the legal record.
What not to put on it
Do not add new charges, interest that was not agreed, or a demand for payment on an invoice that is not due yet. Do not include paid invoices in the total, and do not use the statement to change a price. If a correction is needed, issue a credit note first; the statement should summarise the ledger, not rewrite it.
Aging, without a spreadsheet
If the customer has an AP team, group the balance by age — current, 1–30 days, 31–60, 61–90, over 90. If it is a small client, a simple list ordered oldest first is enough. Do not add columns the reader will not use.
Statement vs reminder
A statement shows the whole balance; a reminder asks for a specific payment on a specific invoice. If one invoice is badly overdue, send the reminder — or both — rather than a statement on its own. The statement is context; the reminder is the ask.
An email you can copy
Keep it consistent with the ledger
The total on the statement should match your accounting records and the invoices themselves. If a payment is missing, fix the allocation before sending the statement. A statement that disagrees with the invoice it lists costs you credibility.
The statement generator lists the invoices and totals the balance; the blank statement template is the printable version. For the reminder sequence, see payment terms and late payment.
Related
Payment terms and late payment
Net 30, due dates and a reminder sequence that works.
Late payment reminder emails
Three emails, a phone call and when to escalate.
Invoice numbering
Sequences that hold up when a client or auditor checks.