Payment Due Date Calculator

Why payment terms matter

Payment terms set the expectation for when an invoice should be paid, and they directly affect your cash flow — a business waiting on multiple Net 60 invoices can look profitable on paper while struggling to pay its own bills on time. Getting the due date right (and clearly stated on the invoice itself) also removes ambiguity that can delay payment or create disputes with a client.

How the due date is calculated

The due date is simply Invoice Date + Term Days, counted in calendar days. The status badge compares that due date against today's date to show whether payment is upcoming, due today, or already overdue, and by how many days.

Worked example

An invoice dated March 1 with Net 30 terms is due on March 31. The same invoice under Net 15 terms would be due on March 16 instead — half the time to collect payment, which is why shorter payment terms are often requested when cash flow is tight, and longer terms are sometimes offered as a negotiating point to win a client's business.

Worked example: the MSME 45-day limit

If the supplier is a micro or small enterprise, section 15 of the Micro, Small and Medium Enterprises Development Act, 2006 overrides longer terms. The buyer must pay by the date agreed in writing, and that date can't be more than 45 days from the day the buyer accepts the goods or services. With no agreed date, payment is due before the "appointed day", the day after 15 days from acceptance. If the buyer raises no written objection within 15 days of delivery, the delivery day itself counts as the day of acceptance.

The clock runs from acceptance, not from the invoice date, so enter the acceptance date in the Invoice Date box. Say a small manufacturer delivers on 10 March 2026, the buyer accepts the goods that day, and the purchase order says Net 60:

• Net 60 as written: Saturday, May 9, 2026. Section 15 doesn't allow it.
• The legal limit: choose Custom and keep 45 days. The due date is Friday, April 24, 2026, 15 days earlier than the purchase order says.
• If nothing had been agreed in writing: choose Net 15. Payment is due by Wednesday, March 25, 2026; the appointed day is 26 March.

Paying late has a cost the contract can't remove. Under section 16 of the same Act, the buyer owes compound interest with monthly rests at three times the bank rate notified by the Reserve Bank of India, from the day after the due date (or from the appointed day), whatever the agreement says. A supplier can take an unpaid invoice to the state's Micro and Small Enterprise Facilitation Council under section 18. Writing your Udyam registration number on the invoice tells the buyer's accounts team the limit applies.

Frequently Asked Questions