What is included on a payment ledger?
Payment ledgers can be brief and include only basic information or detailed depending on the organization's needs. If you need information for further data analysis, you may need to go beyond the basics. Here is some information you may find in typical ledger entries.
All payment ledgers should have client details, including names, addresses, and any other relevant information you may need for business purposes. The needs of a landlord may differ from those of a community fundraising project.
Payment information may include the following:
The date when the payment is initially due and also the date when it is finally paid out.
If your organization has multi-payment channels, you should indicate the mode of payment used in the transaction (e.g., PayPal, credit card, bank transfer). The data gathered here will help you know whether any charged fees for particular payment methods are worth it or whether it makes more sense to drop some options.
It's good to indicate the status of a transaction, particularly when it's past the due date. The payment ledger can indicate whether it was completed, paid, failed, or a refund was given. Based on this information, you can monitor your company's churn rate and come up with a better strategy for recovering lost payments.
Sometimes, you may want to know how much business a particular client brings you. By including other transactions made by the same client, you can easily calculate your monthly recurring revenue (MRR).
For organizations hoping to use information for data analysis, it is prudent to segment customers into groups that make sense for your industry. You can segment based on a variety of characteristics, including nationality, pricing tier, or company size.
If you lose a link to an entry in your payment ledger, it may be difficult to track down pertinent information when you need it. Assigning a transaction number to each ledger entry makes tracking easy.
When you need to enhance customer experiences through emails, personalization is everything. A personal note specific to the customer in question will help you deliver an extra experiential touch. This also helps if you need a reminder about the client in the future.