How do I process a year end?

Summary

The following article explains how to process a financial year end.

More Information

Things to Consider Before Closing the Year

If you use an external accountant or accountancy firm to prepare your accounts for submission to HMRC, they will give you a list of adjustment journals to be done. In most instances, these adjustments will only be available after the year has been closed, and should be posted as prior year adjustments in the current year if this is the case.

Something else to bear in mind is if you wish to have your Profit to Date (Z995) figure to be zero at the beginning of the new year, you will need to do a manual journal from Profit to Date (Z995) to Retained Profit and Reserves (19901) before the year end is ran. This process is optional. For Help with this, please refer to the Posting Cashbook entries article in the See Also section below.

A backup MUST be taken once all pre year end procedures have be done, marked Year End and the year that you are dealing with e.g. Year end 10-11 and put aside for seven years.

Closing the year

After carrying out all the necessary processes outlined in the month end article for the final month of your financial year, and you are happy with all printouts, you need to run the following 2 clear downs:

Profit & Loss Report

• Go to " Nominal Ledger Profit & Loss Change Report Range".
• In the "Start Date:" and "End Date:" fields, enter the date range for your entire financial year.
• Press <Esc> and then run "Audit Trail & Clear Down".

Balance Sheet

Go to " Nominal Ledger Balance Sheet Audit Trail & Clear Down".

Once these are completed, then carry out the following:

• Go to " Reports & Settings End of Year".

You will see the message : "Current Financial Year is 01/<start month>/<year> to 31/<last month>/<year>. Continue (Y/N)".

• Press "Yes" to close off the year.

If you get a message that says "Unprocessed data found in the Sales, Purchase or Nominal Ledger" click here to take you to the article that outlines how to clear down the unprocessed data.

See also

• Clearing any unprocessed transactions at a year end
• Setting up the Platinum Backup Program
• How do I send a Printout to a File?
• How to process a month end
• What should I consider at month end?

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