Accounting

What Is Write-Off?

Removing an uncollectible receivable or worthless asset from the books.

Detailed Explanation

Follow policy and tax rules. Document collection efforts before writing off bad debt.

Example

After legal demand fails, you write off a $2k client balance.

Why It Matters

Stops overstating assets and clarifies true AR.

Related Resources

Related Accounting Terms

Get invoicing tips that actually help

Join 5,000+ freelancers and small business owners. One email per week with practical invoicing advice, tax tips, and product updates.

No spam, ever. Unsubscribe anytime.