How to Configure Bill-Wise Outstanding Tracking and Reports
Managing business finances becomes messy when you only rely on total ledger balances. You might know how much a customer owes—but not which invoice is still unpaid. That’s exactly where bill-wise outstanding tracking helps.
Instead of guessing or manually checking invoices, this method lets you track each bill separately. You’ll clearly know what’s paid, what’s pending, and what’s overdue.
In this guide, you’ll learn:
What bill-wise tracking is Why it matters for your business How to configure it step-by-step How to generate reports easily
Let’s break it down in a simple way 👇
What is Bill-Wise Outstanding Tracking?
Bill-wise outstanding tracking is an accounting method where each invoice is tracked individually instead of just showing a total balance in the ledger.
For example:
Customer A owes ₹10,000 total Instead of just showing ₹10,000 You’ll see: Invoice 1 → ₹4,000 (pending) Invoice 2 → ₹6,000 (overdue)
This gives you full clarity on which bills need attention.
Why is Bill-Wise Tracking Important?
If you’re running a business (even small), this feature is a game-changer.
1. Identify unpaid invoices instantly
You don’t need to check multiple entries manually. Everything is clearly listed.
2. Better receivables and payables control
You know exactly:
Who needs to pay you Whom you need to pay 3. Faster follow-ups
Instead of saying “You have a balance,” you can say: 👉 “Invoice #102 is pending from last month”
Much more professional.
4. Reduces accounting errors
Manual reconciliation mistakes are reduced because everything is linked bill-by-bill.
5. Improves cash flow planning
You can plan your expenses better because you know expected inflows.
How to Enable Bill-Wise Outstanding Tracking
Most modern billing software (like TallyPrime) makes this easy. Follow these simple steps:
Step 1:
- Open
- Company
- Accounting
- Settings
- Login to your billing software
- Open the company/account you want to manage
- Go to
- Settings or
- Features
- Step 2: Enable
- Advanced
- Accounting
- Features
- Look for options like: Accounting
- Features
- Invoice
- Configuration
- Turn
- ON advanced settings if they are disabled
This unlocks bill-wise functionality.
Step 3:
- Activate
- Bill-Wise
- Tracking
- Find option: Maintain balances bill-by-bill
- Set it to
- Yes / Enable
Now your system will track each invoice separately.
Step 4: Configure Bill Adjustment Options
This is very important.
You’ll see options like:
Adjust payments against bills Keep balance as “On Account”
Choose based on your business need:
If you want strict tracking → adjust bills directly If flexible → allow on-account entries Step 5: Save the Settings Save the configuration Apply changes
From now on, every transaction will include bill references.
Step 6: Verify the Setup
Before using it fully:
Create a sample invoice Record a payment Check if bill references appear
If yes → your setup is correct ✅
How Bill-Wise Tracking Works (Simple Example)
Let’s say:
You create 2 invoices:
Invoice A → ₹5,000 Invoice B → ₹3,000
Customer pays ₹5,000
Now system shows:
Invoice A → Paid Invoice B → Pending ₹3,000
No confusion. No manual checking.
How to Generate Bill-Wise Outstanding Reports
Once tracking is enabled, reports become very powerful.
Steps to Generate Reports 1. Open Reports Section
Go to:
Display / Reports menu 2. Select Outstanding Reports
Choose:
Receivables Payables 3. Choose Bill-Wise View
Select:
Bill-wise Bill breakup 4. Apply Filters
You can filter by:
Party name Date range Ageing (30/60/90 days) 5. Export or Print Export to Excel/PDF Share with your team Use for follow-ups Benefits of Bill-Wise Reports Clear financial visibility
You see exact pending invoices—not just totals
Better decision making
You know when money is coming in
Easy follow-ups
Your team can contact customers with precise details
Audit-friendly records
Everything is organized and traceable
Pro Tips for Using Bill-Wise Tracking Always enter correct invoice references Don’t mix “on-account” and bill adjustment randomly Review outstanding reports weekly Use ageing reports to prioritize collections Train your team to use the system properly Common Mistakes to Avoid
❌ Not enabling bill-wise tracking from start ❌ Forgetting to adjust payments to invoices ❌ Ignoring ageing reports ❌ Using only ledger balance for decisions
Role of Accounting Automation
Bill-wise tracking becomes even more powerful when combined with accounting automation.
Automation helps you:
Auto-generate invoices Track payments in real time Send reminders automatically Reduce manual work
This saves time and improves accuracy.