Accounts Receivable Clerk

The Accounts Receivable Clerk is responsible for processing accounting receivables and incoming payments in compliance with financial policies and procedures. The clerk performs day-to-day financial transactions, including verifying, classifying, computing, posting, and recording accounts receivables' data. Additionally, the clerk prepares bills receivable, invoices, and bank deposits.

Duties of an Accounts Receivable Clerk

The Accounts Receivable Clerk processes accounts and incoming payments in compliance with financial policies and procedures. The clerk performs day-to-day financial transactions, including verifying, classifying, computing, posting, and recording accounts receivables' data. Other duties include:

• Preparing bills, invoices, and bank deposits
• Reconciling the accounts receivable ledger to ensure that all payments are accounted for and properly posted.
• Verifying discrepancies by and resolving clients’ billing issues
• Facilitating payment of invoices due by sending bill reminders and contacting clients
• Generating financial statements and reports detailing accounts receivable status

Qualities and Skills Necessary for an Accounts Receivable Clerk

The following qualities and skills are necessary for an Accounts Receivable Clerk:

• Solid understanding of basic accounting principles, fair credit practices, and collection regulations
• Proven ability to calculate, post and manage accounting figures and financial records
• Data entry skills along with a knack for numbers
• Hands-on experience in operating spreadsheets and accounting software (JDE or other full-scale ER software)
• Proficiency in English and in MS Office
• Customer service orientation and negotiation skills
• High degree of accuracy and attention to detail
• BS degree in Finance, Accounting, or Business Administration

What Skills Do You Need to Be an Accounts Receivable Accountant?

To be an Accounts Receivable Accountant, you need to have a solid understanding of basic accounting principles, fair credit practices, and collection regulations. You should also have the ability to calculate, post, and manage accounting figures and financial records. Additionally, data entry skills along with a knack for numbers and hands-on experience in operating spreadsheets and accounting software are required.

Three Main Issues Associated with Accounts Receivable

The three main issues associated with accounts receivable are:

• Late payments: Accounts receivable that are not paid on time can cause cash flow issues for a company.
• Bad debts: Accounts receivable that are not collectible due to the customer going out of business or filing for bankruptcy can lead to losses for the company.
• Inaccurate records: Inaccurate records of accounts receivable can lead to errors in financial reporting and mismanagement of cash flow.

What Is a Simple Example of Accounts Receivable?

A simple example of accounts receivable is when a company sells products or services to a customer and sends an invoice for payment. The amount owed by the customer is recorded as an accounts receivable on the company's balance sheet until the customer pays the invoice. Once the payment is received, the accounts receivable balance is reduced accordingly.