NOTE: * ALWAYS MAKE A BACKUP OF YOUR DATA BEFORE MAKING ANY CHANGES *
- If you are closing previous years and you have made journal entries to close your books you will need to make a reversing journal entry before closing the final month in the financial period that you are attempting to close. (If you don't reverse the journal entry OneSource will roll up your revenue and expense accounts to your chosen equity account and basically duplicate the journal entry).
- When closing previous years you will want to reprint your financial reports to compare to your tax returns for those years. Check to make sure that you have not made any material changes to your final account balances that will conflict with your tax returns.
- Do not close any Financial Periods until you have read and checked all of the following Items:
- When ready you will go to the Accounting Menu and select Financial Periods.
- Navigate to the year that you wish to close and select the first month and click on close period.
- Repeat this process until you come to the final month.
- When you select the last month of the fiscal year you will get a pop-up warning you that you are about to close the final month. Click OK, then select the equity account that you want OneSource to consolidate the net Profit or Loss into.
- You will be given an option to Compress ALL of the line items in the GL into net totals--per account--per day, thus keeping your financial statements, per day, the exact same net totals. Compressing reduces the amount of data in the GL Transactions table by 90% or more. (Please note: this process cannot be easily reversed).
- Alternatively, you can select the option to not Compress the GL which leaves all GL data as-is. You loose the benefit of compressing the data, but retain the ability to see GL detail when necessary. (NOTE: If database size is an issue, OneSource now has a new 'distributed database' feature that allows you to distribute (split up) your single Company Data file into 14 smaller Company Data files--which will allow you to have 10x or more data in your OneSource Company Data file(s). So, unless you have some other compelling reason, it is recommended now that you NOT select the Compress ALL option).
If you are nervous about performing the year end closing, please keep in mind that if you follow our instructions to create a backup before performing the year end closing, you can always rename (or delete) your
Company Data file and restore your data file from your backup.
Balance Sheet in Balance?
o If not see…Balance Sheet KBA
q GL Transactions posted (including each individual Bank Account)
o If not…open the Batch Post GL Transactions form. (Click on the Accounting menu > select the Batch Post GL Transactions option).
q Balance Sheet look right?
o 0 balance in the Undeposited Funds?
o AR Balance = Summary of AR Historical? (What to do if the AR Summary Doesn't Match the AR on the Balance Sheet. When the AR Summary and the Balance Sheet Don't Agree))
o AP Balance = Summary of AP Historical report. (What to do if the AP Summary Historical report doesn't match the AP figure on my Balance Sheet). What if my A/P Summary and the Balance Sheet don't agree?
o Inventory Balance = Inventory Valuation – Historical Summary report. (When Inventory Valuation and the Balance Sheet Don't Agree)
o Bank Account Balances = Check Bank Account Balances (listed in the Check Register as of x date). Reconciling Bank Accounts
o If any of the items above do not then…
- Option 1: GL to Subledger Reconcilation, various exception reports, etc…
- Option 2: If option 1 seems like the cost will outweigh the benefit to reconcile months or years of transactions please contact OneSource to discuss your situation. You may want to determine the differences between each of the subledger totals (on the reports outlined above) and then create a single journal entry for the differences that you have determined, so your Balance Sheet equals the actual figures printed out on the reports above. (Contact your Accountant for assistance with this Journal Entry).
q Income Statement
o Print out an Income Statement for the full year and look at each value.
§ Do your sales look right?
§ Do your COGS look right?
§ Do your Expenses look right?
§ Does the bottom line total look right?
q Before closing periods…
o Print out Balance Sheet as of the last day of the period/fiscal year.
o Print out Income Statement for the full fiscal year.
o Backup ALL ONESOURCE files (OneSource.mdb, and your Company Data Files(s)).
§ How… see How to backup OneSource.
q Close your Financial Periods, recreate a set of new Financial Periods
o Close each period, month by month.
§ How… Closing Financial Periods
o Create a new list of Financial Periods.
§ How…Setting Up Financial Periods
q Final Reconciliation Steps…
o Reprint your Balance Sheet and Income Statement as of the 1st day of the new Fiscal year and double check to see that the beginning balances look correct (ie, Expense accounts set to 0, etc…)
