AR Job Description: Salary, Top Companies, and Future

AR Job Description Summary: Accounts Receivable (AR) professionals handle the lifeblood of a company’s cash flow by creating and sending invoices, processing incoming payments, and maintaining the AR ledger. They reconcile accounts, investigate discrepancies, promptly post receipts, and generate aging reports. By collaborating with sales and finance teams and handling customer billing queries, they ensure accurate financial records and compliance.

In this article, you’ll explore a detailed Accounts Receivable job description, including key roles and responsibilities, skills, qualifications, salaries, and future job outlook.

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What is AR (Accounts Receivable) Role?

What Does an AR Person Do? An Accounts Receivable professional safeguards a company’s cash inflows by enforcing payment terms and monitoring customer credit. These workers review outstanding balances, follow up on overdue invoices, and analyze payment trends to spot potential issues. 

Beyond processing receipts and issuing statements, they also partner with credit, sales, and finance teams to tighten credit limits, negotiate payment plans, and ensure accurate cash forecasting.

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Types of Accounts Receivable Jobs

AR functions span entry-level through leadership roles, each demanding different expertise and decision-making authority. 

Key positions include the following:

• Accounts Receivable Clerk: They process daily billing activities by generating invoices and applying customer payments in accounting systems. Clerks reconcile minor discrepancies, maintain organized payment logs, and assist with routine aging analyses to uphold data accuracy.
• Accounts Receivable Specialist: They investigate complex billing disputes and negotiate payment arrangements with clients. Specialists evaluate credit risks, produce in-depth receivables reports, and recommend procedural enhancements to accelerate collections and reduce outstanding balances.
• Accounts Receivable Manager: They oversee end-to-end AR operations, define collection strategies, and track performance metrics such as days sales outstanding. Managers lead teams by developing credit policies, conducting staff training, and collaborating with senior leadership to optimize the order-to-cash cycle.

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AR Job Description - Roles and Responsibilities

Accounts Receivable teams keep the revenue engine running by handling every step from billing through cash application. Their work spans generating invoices and statements, ensuring payments land in the right accounts, and reconciling any mismatches. 

This section breaks down each core duty that an AR professional undertakes.

Below are the comprehensive responsibilities that define every AR role:

• Creating and Managing Invoices: Draft and distribute client invoices that reflect delivered goods or services; ensure all division-specific billing is accurate and sent on schedule.
• Processing Incoming Payments: Receive and post payments promptly; apply cash to appropriate customer accounts to maintain up-to-date records.
• Payment Collection and Follow-Up: Monitor outstanding balances; send reminders and make collection calls for overdue invoices; track payment commitments.
• Customer Query Resolution: Investigate billing questions and discrepancies raised by customers; provide clear explanations and corrective actions.
• Account Reconciliation: Compare invoice records against payments; identify and resolve discrepancies, credit memos, refunds, or write-offs.
• Ledger and System Maintenance: Maintain the AR ledger and billing system; organize accounts receivable files and ensure data integrity.
• Cash Application and Bank Deposits: Prepare and execute bank deposits; record cash receipts and reconcile deposits to ledger entries.
• Reporting and Analysis: Generate daily, monthly, and period-end reports, such as aging analysis, overs/unders accounts, and management summaries; assist in preparing financial statements and document all transactions.
• Compliance and Credit Control: Enforce company billing procedures, perform credit checks on new customers, and escalate long-overdue accounts to debt collectors with complete backup.
• Systems Auditing and Period-End Closing: Audit daily postings for accuracy; prepare closing reports and balance AR to the general ledger.
• Cross-Functional Collaboration: Liaise with sales, customer service, and finance teams to support special projects, resolve interdepartmental queries, and streamline the order-to-cash cycle.

What Skills Do You Need to Be an AR?

Accounts Receivable professionals must blend technical know-how with interpersonal skills to keep cash flowing and disputes resolved. 

Below are the core skills that every AR professional needs:

• Spreadsheet & Office Suite Mastery: Proficient use of Excel (pivot tables, VLOOKUP, macros) and familiarity with Word and Outlook to manage data and communications.
• Accounting Software Expertise: Hands-on experience with billing systems, ERPs, QuickBooks, or HMS for invoice generation, payment posting, and ledger maintenance.
• Core Accounting & Bookkeeping Principles: Solid grasp of debits and credits, cash application, credit memos, refunds, and period-end closing procedures.
• Attention to Detail: Vigilance in spotting mismatches between invoices and payments, ensuring error-free reconciliations and accurate aging analyses.
• Analytical & Problem-Solving Abilities: Capability to investigate discrepancies, negotiate resolution paths, and recommend process improvements.
• Effective Communication: Clear, professional interactions with customers on billing queries, and close collaboration with sales, finance, and customer-service teams.
• Organizational & Time-Management Skills: Prioritizing high-volume tasks such as daily postings, bank deposit preparation, and month-end close activities.
• Customer Service Orientation: Empathy and tact when following up on overdue accounts and resolving payment disputes.
• Data Analysis & Reporting: Building and interpreting aging reports, cash-flow forecasts, and management summaries to support strategic decisions.
• Compliance & Credit Control: Executing credit checks for new accounts, enforcing company billing procedures, and escalating long-overdue invoices to collections.
• Database & Communication Systems Familiarity: Comfort using MySQL or comparable databases alongside email and phone systems for client outreach.
• Team Collaboration: Seamless coordination with accounts payable, sales, customer service, and other departments.

Important Tools for AR Professionals

Accounts Receivable teams depend on specialized software and platforms to streamline billing, payment posting, and reporting. These tools ensure accuracy, speed up collections, and provide real-time visibility into cash flow.

Below is a list of essential tools that AR professionals use to execute their duties effectively:

• Microsoft Excel: Enables data organization, pivot-table analyses, VLOOKUP lookups, and macro automation for aging reports and cash-flow forecasts.
• Microsoft Word & Outlook: Facilitates drafting professional communications, sending customer reminders, and maintaining email records for billing inquiries.
• QuickBooks: Provides small-business accounting functionality for invoice creation, payment posting, and general ledger maintenance.
• Quicken: Offers personal and small-firm bookkeeping features, including expense tracking and basic invoice management.
• ERP & Billing Systems: Centralizes order-to-cash workflows, from invoice generation through cash application, ensuring data consistency across finance modules.
• Hotel Management System (HMS): Integrates front-office postings with AR ledgers in hospitality settings, handling folio transfers, group invoicing, and rebate entries.
• MySQL & Other Databases: Stores customer and transaction data; supports custom queries and automated report generation via SQL.
• Email & Telephony Platforms: Manages client communications for payment follow-ups, dispute resolution, and credit-control outreach.
• Accounts Receivable Ledger Software: Tracks all receivables, posts adjustments, and maintains audit trails for compliance.
• AR Automation Platforms: Uses AI and machine learning to automate invoice matching, predict late payments, and optimize collection strategies.
• Robotic Process Automation (RPA) Tools: Automates repetitive tasks, such as data entry, statement generation, and deposit reconciliations, to reduce manual errors.
• Business Intelligence & Reporting Tools: Generates dashboards and visualization of key metrics (DSO, turnover ratios, and aging buckets) for management review.
• Credit Risk Assessment Software: Evaluates customer credit profiles, sets credit limits, and flags high-risk accounts for proactive monitoring.

What is the Qualification of an AR? Educational Background Explored

AR roles require a mix of formal education and practical know-how. Some employers value degrees while others focus on proven experience.

To clarify the typical educational paths and training options, consider the following:

• Bachelor’s Degree in Relevant Fields: Many AR positions require a bachelor’s degree in accounting, finance, business administration, economics, or mathematics to build foundational knowledge of bookkeeping, financial statements, and credit principles.
• Master’s Degree & Advanced Credentials: Roles that involve greater responsibility often prefer a master’s in accounting, finance, or business administration. Those aiming for leadership may pursue a 15-month MBA from Golden Gate University or a 14-month MBA from Edgewood College to deepen strategic finance and managerial skills.
• Professional Certification: Earning a CPA license or equivalent credential demonstrates expertise in accounting rules, tax regulations, and audit procedures. It also signals commitment to professional standards.
• On-the-Job Experience & Internal Training: Employers may waive formal degree requirements for candidates with hands-on AR experience, especially when they have mastered invoice processing, reconciliation, and collections under existing credit policies.
• Specialized Management Programs: For accelerated career growth, the PGDM at BIMTECH equips AR professionals with advanced financial management and leadership capabilities.
• Continuous Upskilling: Staying current with new billing software, compliance updates, and AI-driven automation platforms through workshops, webinars, or upGrad’s finance courses ensures lasting competitiveness in AR.

What is the Salary of an AR Professional in India in 2025?

Average Annual Accounts Receivable Salary in 2025: INR 3.3L

Compensation for AR roles varies by experience and specialization, reflecting the critical value of managing cash flow and credit control. 

Below is the typical pay scale you can expect.

AR Professional Salary by Experience

Here’s a breakdown of the average annual salary range of AR workers in India:

Source: AmbitionBox

AR Professional Salary by Industry 

Let’s check out the salaries based on the industry: 

Source: AmbitionBox

AR Professional Salary by Geography

Here’s a simplified breakdown of AR professionals’ salaries in different parts of India:

Source: AmbitionBox

AR Professional Salary in India vs The World 

Here’s a snapshot of how salaries for AR workers in India compare to salaries in the US, UK, Germany, Canada, and Australia. 

*Please Note: The global salaries for AR professionals can vary based on fluctuations in the currency conversion charges in real time. 

Source: Glassdoor, AmbitionBox, PayScale

How to Become an AR Professional?

Launching a career in accounts receivable hinges on combining targeted learning with real-world practice and continuous upskilling.

Follow these steps to map out your path into AR:

• Step 1: Develop Your Educational Foundation: Complete a bachelor’s in accounting, finance, business administration, or a related field.
• Step 2: Gain Hands-On Experience: Secure internships or entry-level finance roles where you process invoices, post payments, and reconcile accounts.
• Step 3: Master Essential Tools: Build proficiency in Excel, QuickBooks or similar accounting software, ERPs, and billing systems.
• Step 4: Earn Professional Credentials: Pursue a CPA or equivalent certification to demonstrate expertise in accounting principles and regulations.
• Step 5: Hone Soft Skills: Strengthen communication, organization, and customer-service abilities to handle client queries and collaborate across teams.
• Step 6: Upskill Through Advanced Programs: Deepen your finance and leadership knowledge with an MBA from Golden Gate University or Edgewood College, or a PGDM from BIMTECH.
• Step 7: Network Strategically: Join finance and accounting associations, attend industry events, and connect with AR professionals on LinkedIn.
• Step 8: Apply for AR Roles: Target opportunities in BPOs, retail chains, SaaS firms, and finance departments to build a diverse portfolio of AR experience.
• Step 9: Embrace Automation: Learn AI-driven and RPA platforms to streamline invoice matching and payment processing, keeping you ahead in modern finance teams.

AR Professional Career Progression

Accounts Receivable roles evolve as professionals build expertise in transaction processing, reconciliation, and strategic credit control. Over time, increased responsibility leads to broader leadership and analytical duties.

Below is a typical progression path with relevant experience levels:

• Accounts Receivable Clerk (0–2 years): Handles day-to-day invoice generation, receipt posting, and basic reconciliations. Clerks ensure accurate payment applications and maintain organized AR files. Their average annual salary in India in 2025 is INR 4L.
• Accounts Receivable Specialist (2–5 years): Investigates complex payment discrepancies, negotiates collection terms, and produces detailed aging analyses. Specialists begin identifying process improvements to accelerate cash flow. Their average annual salary in India in 2025 is INR 5L.
• Accounts Receivable Supervisor (5–7 years): Leads a small AR team, oversees training, and monitors performance metrics like DSO. Supervisors implement best practices and coordinate with finance to support the month-end close. Their average annual salary in India in 2025 is INR 8.8L.
• Accounts Receivable Manager (7–10 years): Defines credit-control policies, sets collection targets, and manages end-to-end AR operations. Managers collaborate with senior leadership on cash-flow forecasting and strategic initiatives. Their average annual salary in India in 2025 is INR 13.2L.
• Finance Controller (12+ years): Leads the entire Order-to-Cash cycle or broader finance organization. In this executive role, professionals guide cash-management policies, integrate AR with treasury functions, and shape company-wide financial strategy. Their average annual salary in India in 2025 is INR 20L.

Which Companies Hire ARs in India? Top Organizations to Explore

Accounts Receivable opportunities span across multiple sectors, from global IT service providers to shared-services hubs that process millions of invoices each year.

Below are the key industries actively recruiting AR talent:

• IT Services & Consulting
• BPO & Shared Services
• Professional Services
• Retail
• Manufacturing
• Healthcare

Here are some of the top employers that hire AR professionals:

Source: Glassdoor

Future Job Outlook for ARs: Growth in India and Worldwide

🚀 There’s excellent news for AR Professionals from the job front: Employment for accountants and auditors, including AR roles, will expand steadily over the next decade. The US Bureau of Labor Statistics projects a 6% growth in these occupations from 2023 to 2033. During this period, approximately 1,30,800 openings per year are expected as organizations replace retiring professionals and accommodate business expansion.

There’s more!

🚀 As per data on Glassdoor, there are currently more than 5,600 open job vacancies for AR professionals in India! 

Here are the key factors fueling this positive outlook:

• Rising Demand for Cash-Flow Expertise: Companies prioritize precise billing and collections to support working capital efficiency.
• Regulatory Complexity: Stricter financial reporting standards and audit requirements increase the need for skilled AR practitioners.
• Global Expansion: Businesses operating across borders require AR teams to manage diverse payment terms and currency conversions.
• Technological Adoption: Automation and AI tools generate new roles focused on system oversight and exception handling.
• Focus on Financial Resilience: Economic uncertainties push organizations to strengthen receivables management to safeguard liquidity.

Conclusion

Accounts Receivable professionals play a vital role in keeping businesses cash-healthy and resilient. Their ability to close the books accurately, resolve disputes swiftly, and use data insights ensures steady revenue flow and builds stakeholder confidence. As companies embrace digital transformation, AR experts become strategic partners, safeguarding liquidity, strengthening customer relationships, and driving sustainable growth.

To elevate your AR career, consider upGrad’s MBA courses, which are designed to sharpen your financial leadership and analytical skills through real-world projects. You can also benefit from our free career counseling calls, which provide personalized guidance to map out your next steps and maximize your professional potential.

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