United States small business payment times & late payment statistics
Small businesses in United States waited an average of 29.1 days to be paid in June 2026, with invoices settled 8.3 days late on average.
Explore payment times and late payment trends by state, monthly from 2017 to today. Data: Xero Small Business Insights, analysed by Paidnice.
Time to be paid
29.1days
+1.6 days vs a year ago
Paid late by
8.3days
-0.1 days vs a year ago
Sales growth (y/y)
+4.8%
+4.5% a year ago
American small businesses are waiting longer to be paid than they were a year ago, bucking the improving trend in Australia and New Zealand. The spread between states is wide: a business in New York waits roughly two weeks longer than one in California to see the same invoice paid.
How long does it take to get paid in United States?
Monthly averages, January 2017 to June 2026. Pick a metric, zoom the range, and overlay states to compare against the national line.
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Time to be paid and late payment days are seasonally adjusted. Sales, jobs, and wages are year-over-year growth. Shaded marker: COVID-19 pandemic onset (March 2020).
Context:
Average payment times by state in United States
How long businesses wait to be paid across United States's states, June 2026. Click a column heading to sort.
State
Time to be paid
Change vs a year ago
New York
38.7 days
+8.5d
Texas
36.6 days
+2.0d
Illinois
33.9 days
-1.2d
Georgia
33.0 days
+0.8d
Colorado
31.6 days
+4.3d
North Carolina
31.4 days
-3.1d
Arizona
30.2 days
-4.1d
DC, Maryland & Virginia
30.2 days
-0.1d
Washington
29.5 days
+4.3d
Massachusetts
29.3 days
-6.7d
Michigan
29.3 days
-3.1d
Pennsylvania
28.7 days
+1.9d
Ohio
27.7 days
+0.4d
Tennessee
27.7 days
-1.5d
Delaware
27.6 days
+1.6d
Utah
27.4 days
-3.5d
Florida
25.8 days
+1.2d
California
24.1 days
+0.6d
Slowest: New York
Businesses in New York waited 38.7 days on average to be paid in June 2026.
Fastest: California
California leads at 24.1 days, 14.6 days ahead of New York.
United States payment trends since 2017
Average days from invoice to payment, every month since January 2017, with the record months marked.
Right now
29.1 days
June 2026
Five-year average
28.9 days
now 0.2d slower
Fastest month
25.3 days
July 2021
Slowest month
34.7 days
March 2024
Overdue range
5.8–15.3 days late
now 8.3 days
The cost of money. The Federal funds rate (effective, monthly avg) stood at 3.63% in June 2026. The cost of credit shapes how aggressively customers stretch their payables; use the context panel under the explorer chart above to overlay the full rate history.
Frequently asked questions: United States payment times
How long do small businesses in United States wait to be paid?
As of June 2026, small businesses in United States waited an average of 29.1 days from issuing an invoice to receiving full payment (+1.6 days vs a year ago). This is the actual observed payment time across anonymised Xero invoices, not the stated payment terms.
How late are invoices paid in United States?
Invoices in United States were paid an average of 8.3 days after their due date in June 2026 (-0.1 days vs a year ago). The historical range runs from 5.8 days (June 2021) to 15.3 days (March 2024).
Which state has the slowest payment times in United States?
New York is currently the slowest, with businesses waiting 38.7 days on average to be paid. California is the fastest at 24.1 days, a gap of 14.6 days.
Are payment times in United States getting better or worse?
Payment times are getting slower. The average wait of 29.1 days in June 2026 compares with 27.5 days a year earlier and a five-year average of 28.9 days.
Where does this data come from?
All figures come from Xero Small Business Insights (June 2026 release), which aggregates anonymised data from hundreds of thousands of small businesses using Xero. Payment metrics are calculated from invoices marked fully paid in the month, weighted by invoice value, and seasonally adjusted. Paidnice presents the data with independent analysis; the underlying dataset is published by Xero.
Can I charge late fees on invoices in the US?
There is no federal statutory late fee for business-to-business invoices. Late fees and interest are governed by your contract terms and, in some cases, state usury laws that cap interest rates. See our usury laws by state guide for the caps in each state.
What are typical payment terms in the US?
Net 30 remains the most common B2B payment term in the United States, with net 15 and due-on-receipt increasingly used by smaller service businesses. The 29.1-day average time to be paid means a typical invoice on net 30 terms is settled right around its due date, but the 8.3-day average lateness shows many invoices still run well past it.
Methodology, definitions & sources
Time to be paid
Average days from invoice issue to full payment, calculated from invoices marked fully paid in the month, weighted by invoice value and firm-level sample weights, and seasonally adjusted. Invoices without payment terms are excluded.
Late payments
Average days an invoice is paid beyond its due date, seasonally adjusted. An average of 8.3 days late means the typical invoice dollar arrives 8.3 days after the agreed terms.
Sales growth
Year-over-year growth rates from anonymised, aggregated small business accounting data. These show the demand backdrop against which payment behaviour moves.
Payment dataXero Small Business Insights, June 2026 detailed results for United States. Paidnice's analysis (rankings, comparisons, and commentary) is independent of Xero.
Interest ratesFederal funds rate (effective, monthly avg): FRED series FEDFUNDS. Retrieved 2026-07-31.
Citing this page? You're welcome to use these statistics with attribution:
United States small business payment statistics, analysed by Paidnice. https://www.paidnice.com/accounts-receivable-statistics/united-states
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