Inventory how-to
How to read an inventory aging report
An inventory aging report groups your stock by how long it has sat on the shelf, usually in buckets like 0-30, 31-60, 61-90, and 90+ days.
Short answer: An inventory aging report groups your stock by how long it has sat on the shelf, usually in buckets like 0-30, 31-60, 61-90, and 90+ days. You read it by scanning the older buckets first, since that is where cash is stuck and markdown risk lives. The goal is to spot slow movers early, before they turn into dead stock.
What the report actually shows
An aging report lists each SKU or variant with the quantity on hand split into time buckets based on when that stock arrived or was last received. A shirt with 50 units in the "90+ days" bucket has been sitting for three months or more with no sign of clearing. The report does not tell you why it is not selling, only that it is not moving.
How to read the buckets
Start at the oldest bucket and work backward. If a SKU has most of its stock in 90+ days, that is a candidate for a discount, a bundle, or a stop on reordering. If stock is spread evenly across buckets, that usually means steady, predictable turnover, which is healthy. Watch for SKUs where new stock keeps arriving on top of old stock that never sold, since that pattern hides a real problem under a rising total.
Connect it to reordering decisions
Use the aging report alongside your sales rate, not instead of it. A SKU with 90 days of aged stock and strong recent sales might just be a large order that is still working through normally. A SKU with 90 days of aged stock and weak recent sales is the real warning sign. Pause purchase orders on the second type until the aged units clear.
Common mistakes
Do not treat every item in the 90+ bucket as dead. Seasonal goods, pre-orders, or large one-time buys will naturally sit longer. Also do not look at the report once and forget it. Check it on a regular schedule, like monthly, so aging stock gets caught while there is still time to act with a promotion instead of a writeoff.
Step by step
- Pull or export your inventory aging report by SKU or variant.
- Sort by the oldest bucket (90+ days) first and list every SKU with meaningful quantity there.
- For each one, check recent daily sales to see if it is actually slow or just a large recent order.
- Flag true slow movers for a markdown, bundle, or supplier return if your terms allow it.
- Pause or shrink future purchase orders for SKUs with both aged stock and weak sales.
- Re-check the report on a fixed schedule, such as the first of each month.
- Note any supplier or season pattern behind repeat aging, like overordering before a slow quarter.
Worked example
A store has 120 units of a winter hat SKU. The aging report shows 20 units in 0-30 days, 10 in 31-60, 10 in 61-90, and 80 in 90+ days. Recent sales are only 1 unit per day, so the 80 aged units represent 80 days of stock at the current rate, far more than needed. The owner marks those 80 units down 30 percent to clear them and stops reordering that SKU until the aged stock sells through.
How SteadyShelf helps
SteadyShelf does not generate an inventory aging report or track how long specific units have sat on the shelf. It forecasts demand and tells you when to reorder based on recent sales, so it can help you avoid adding to a slow mover, but you still need your store's own aging or inventory valuation report to see what is already stuck.
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Related guides
- How to rebuild purchase orders after leaving Stocky
- How to receive inventory against a purchase order
- How to reconcile a supplier invoice with a purchase order
- How to prioritize which products to reorder first
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FAQ
Can an aging report replace a reorder point calculation
No. An aging report looks backward at how long stock has sat, while a reorder point looks forward at when you will run out. Use aging to catch slow movers and reorder points to avoid stockouts on fast movers. They answer different questions.
How often should a small store check inventory aging
Monthly is usually enough for a small or mid-size store. Checking weekly rarely shows new information since aging changes slowly, and checking only once or twice a year lets dead stock pile up unnoticed.
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