Developed and maintained by ProWorkstack · Development and review process
Model collections and reserve allocation for an entered overdue invoice balance without sending reminders.
Your results
Enter your inputs and select Calculate.
How this calculator works
Gross scenario payments received = overdue original unpaid amount × collection fraction. Net allocation base = max(payments received − administration cost, 0). Reserve allocation = net base × entered reserve fraction. Remaining allocation = net base − reserve.Worked example
An overdue 5,000 balance at 80% collection gives 4,000 gross payments received. Less 150 administration leaves 3,850. A verified scenario reserve of 25% allocates 962.50, leaving 2,887.50.Assumptions
Defaults are illustrative. Replace them with your own measured quantities and documented assumptions. Use matching periods and a consistent currency wherever monetary amounts are entered.Interpreting your results
This sends no reminders and determines no tax obligation, collection rights or late fees. The reserve percentage is user supplied. If collection costs exceed payments received, the economic loss must be considered separately; the allocation base is floored at zero.Calculation formulas
- gross
balance*collect/100- net
MAX(gross-cost,0)- held
net*reserve/100- Expected payments after admin costs and reserve
net-held- Money to set aside
held- Expected payments before costs
gross- Invoice amount outside your collection estimate
balance-gross
Frequently asked questions
What should I check before using the result?
Use the agreed due date and check disputes, credits and payments received posted after your cutoff. Exclude future installments. A collection percentage is a scenario assumption, not a probability assigned by this tool.
Does this tool connect to my records?
No. This is a local calculation from the figures you enter. It does not scan accounts, import private records or verify legal, regulatory or exam requirements.
Maintained by ProWorkstack · Last reviewed: 2026-10-04 · Development and review process