This other liabilities days calculator is used to estimate the number of days expenses included in other liabilities at the end of an accounting period. Other liabilities days is one of the assumptions entered into the financial projections template and shows the average number of days the business is taking to pay for operating expenses, finance costs and income tax expenses.
In our tutorial on how to determine other liabilities days outstanding we discuss the calculation of other liabilities days, and its use in the Financial Projections Template.
Using the Other Liabilities Days Calculator
The Excel other liabilities days calculator, available for download below, calculates the other liabilities days outstanding by entering details as follows:
1. Enter the Expenses
Enter the operating expenses, finance costs, and income tax expenses from the annual accounts or management accounts. Include all expenses other than those included in cost of sales and depreciation related expenses.
2. Enter the Period
Enter the number of days in the accounting period the expenses entered in #1 relate to. For annual accounts 365 days is used. The days expenses outstanding calculator calculates the average daily expenses for the period.
3. Enter the Other Liabilities
Enter the amount of other liabilities shown in the balance sheet of the financial statements used. If the beginning and ending balances are available then the average other liabilities can be used.
The other liabilities days calculator calculates the average number of days expenses outstanding in other liabilities.
Other Liabilities Days Calculator Download
The other liabilities days calculator is available for download in Excel format by following the link below.
The other liabilities days figure calculated by this template can be used as one of the input assumptions for our Financial Projections Template, which provides the financial section for a business plan.
Users use the other liabilities days outstanding spreadsheet to calculate other liabilities days at their own risk. We make no warranty or representation as to its accuracy and we are covered by the terms of our legal disclaimer, which you are deemed to have read. This is an example of an other liabilities days forecasting software that you might use when drawing up a business plan. It is purely illustrative of an other liabilities days formula calculator. This is not intended to reflect general standards or targets for any particular company or sector. If you do spot a mistake in the other liabilities days business plan template, please let us know and we will try to fix it.
About the Author
Chartered accountant Michael Brown is the founder and CEO of Plan Projections. He has worked as an accountant and consultant for more than 25 years and has built financial models for all types of industries. He has been the CFO or controller of both small and medium sized companies and has run small businesses of his own. He has been a manager and an auditor with Deloitte, a big 4 accountancy firm, and holds a BSc from Loughborough University.