Accounts Receivable Troubleshooting Guide ( MLS 2026 )

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Accounts Receivable Troubleshooting Guide ( MLS 2026 )

Even with a well-defined workflow, issues can occur in Accounts Receivable that require special handling.

This section outlines common problems, their likely causes, and the steps to resolve them.

👉 Use this guide whenever something “doesn’t look right.”


1. A Single Client Needs a Statement

Symptoms

•Need to print a statement for one client only

Cause

•Statements are processed by billing cycle

Fix

1.Go to Receipts → Edit

2.Change the client’s Billing Cycle to a temporary code (e.g., X)

3.Run Reports → Statements for cycle X

4.Print the statement

5.Restore the original billing cycle

Tip

Assign frequent-request clients their own billing cycle.


2. A/R Totals Don’t Match the General Ledger

Symptoms

•A/R total ≠ G/L A/R account

•Totals appear incorrect

Likely Cause

•Transactions not tied to valid accounts or billing cycles

Fix

1.Run Transaction Report (wide date range)

2.Look for:

oMissing billing cycles

oVery old transactions

oAccounts not closed

3.Assign affected accounts to a temporary cycle

4.Re-run balances and statements

5.Close the period

6.Close outdated accounts


If the Problem Persists

•Run dSalvage on aartrn.dbf

•Corrects file issues (e.g., stray end-of-file markers)


3. Returned Check (NSF)

Symptoms

•Payment reversed by the bank

Fix

•Post negative payment (e.g., -125.00)

•Apply to original invoice

If invoice is already cleared

•Post as a negative credit


4. A Credit Needs to Be Applied

Preferred Method: Credit Invoice

Why

•Adjusts income correctly

•Provides printed record

•Maintains audit trail

How

•Enter negative part (Credits)

•Enter negative labor with explanation


Alternative Method (Not Recommended)

•Enter negative charge in A/R

⚠️ Limitations

•Must manually assign G/L account

•Does not adjust parts/labor/profit


5. A Posting Error Was Made

Symptoms

•Wrong amount, date, invoice, or G/L


Correction Logic

Was the invoice cleared?
        ↓
   YES         NO
    ↓           ↓
Post difference   Reverse entire entry
only              (negative transaction)
                 then re-enter correctly


Steps

1.Enter reversing transaction (all negative)

2.Enter correct replacement


6. A Client Won’t Pay (Bad Debt)

Symptoms

•Account is uncollectible

Fix

1.Create negative invoice

2.Document collection efforts

3.Post to A/R (no payment)


Result

•Account balances to zero

•Cleared during next closing

Important

•Set Flag = HOLD


7. Write-Offs Required

Symptoms

•Uncollectible balances remain

Fix

1.Go to A/R Tools → Write Offs

2.Select account

3.Double-click invoice

4.Enter write-off amount

5.Repeat as needed

6.Select Process

Tip

•Set account to HOLD after write-off


8. Overdue Accounts Are Increasing

Symptoms

•Growing number of late accounts

•Cash flow pressure

Fix

•Review Overdue screen weekly

•Document all contact attempts

•Follow up consistently

•Flag repeat offenders (HOLD)

•Adjust credit limits if needed

Pro Tip

•Use a headset for faster note entry


9. Workorder Did Not Transfer to A/R

Symptoms

•Closed workorder missing from A/R

Likely Causes

•A/R account not created

•Incorrect A/R number

•Alternate Billing not set


Recovery Flow

Check A/R account exists
        ↓
Correct account if needed
        ↓
Press REFRESH in A/R
        ↓
System pulls missing balance


10. Statements Don’t Match Client Records

Symptoms

•Missing or duplicate charges

•Missing payments

Fix

•Run Individual Account Report

•Use full date range

•Provide to client for review


11. Closing Was Missed or Done Late

Symptoms

•Aging incorrect

•Statements don’t match balances

•Completed items missing


Reality

Late closing breaks the link between:

•Statements

•Account history

•Aging


Fix

1.Re-run statements for affected cycle

2.Close the period immediately

3.Review aging and overdue accounts

4.Document discrepancies in Notes