Why an invoice's status is a consequence of payment allocation rather than something a user sets, what makes the Overdue chip appear, and how an overdue invoice reaches Collections.
Overdue is a condition, not a separate status
Every sent invoice with a balance is Unpaid. An invoice is additionally Overdue when it is past its due date and still has an outstanding balance. Overdue is a subset of Unpaid rather than a fourth status, which is why the Unpaid tab contains both and why the two counts cannot be added together.
Aiwyn evaluates the Overdue condition live in UTC. There is no grace period after the due date.
The due date is calculated by adding the firm's Net Terms to the Invoice Start Date. The firm chooses its Net Terms during Payments Implementation. For Aiwyn Payments, the Invoice Start Date can be either the date the invoice was posted in the practice management system or the date it was sent to the client through the Aiwyn Invoice Email routing process.
An invoice leaves Overdue when the balance is settled or removed by a credit or write-off. A partial payment that leaves any balance does not end the condition.
Invoice Age is not the same thing
The Invoice Age column counts days since the invoice was sent, not days past due. A ninety-day-old invoice on ninety-day terms is not overdue. Age is a prioritization signal; the Overdue chip is a statement about payment terms.
Allocation, not payment, drives status
Recording a payment in Accounts Receivable does not by itself change an invoice. A payment becomes connected to an invoice only when it is allocated. The invoice reads Paid once allocations cover the full balance and remains Unpaid while any balance remains. Partially paid invoices therefore remain Unpaid rather than moving to a separate partially-paid status. There is no control for manually setting an invoice to Paid.
Reversing an allocation restores the invoice balance and reverts its status. If the invoice is past due and has an outstanding balance after the reversal, it is also Overdue.
Why money can arrive and nothing happens
An unallocated payment sits in Accounts Receivable against the client, not against the invoice. The invoice keeps its balance and its Overdue chip if it is past due. From the Invoices list, no payment and an unallocated payment look identical. Diagnose a stuck invoice in Accounts Receivable.
Outstanding is the real indicator
Outstanding shows the remaining balance. It changes with every allocation, credit and write-off, while the status chip changes only when the balance reaches zero.
How overdue invoices feed Collections
An invoice that remains unpaid past its due date becomes eligible for triggering a collection statement, however keep in mind that ALL unpaid invoices will be shown on a Collection reminder, not just invoices that are overdue. Invoices cannot be excluded from Collections eligibility.
There are no default collection trigger settings. Firms create and manage them from either Collections → Settings or Settings → Collections; both paths open the same settings.
Collection statements are drafted per client rather than per invoice. A client with several overdue invoices receives one statement covering them.
Related
- Invoice status reference
- Clear an invoice that still shows Overdue after the client paid
- Record a payment received outside Aiwyn
- Send a collection statement for an overdue invoice
- Work with the invoices list