Comparing Dates in If/Then formula field

Comparing Dates in If/Then formula field

Hi,
I'm writing a formula field to return a Status string (return type is String).  

It first checks a checkbox, and that part of the formula is working.
Next, it compares today's date less 60 days to another field and returns a string value, else it returns a different string value.

If(${Accounts.Cancelled},'Cancelled',
If(Subdate(Datepart(Now()),60,'DAY')<${Accounts.Test Date},'Pending Renewal',
'Active'))

I'm receiving an "Incorrect data type of argument" error.