Abacus Accounting features two methods of general ledger (G/L) closing. Each functions to prevent adding or editing entries to the G/L prior to the date of closing, but how they do this varies. They are compared below.
Month End Closing
Because Month End Closing is intended to be used for closing the books month-by-month, it can be thought of as a soft close, and can be easily unclosed later. Month End Closing is best used when you wish to close the books, but have not fully audited them, and wish to be able to reopen them, if needed.
While it is called Month End Closing, Month End Closing closes any months PRIOR to the month closed as well, and it can therefore also be used to perform a soft close on any time period.
To perform a Month End Closing, follow the steps below:
- Navigate to G/L > Month End Closing.
- Select the month and enter the year that you want to close (this will also close any months prior to this month).
- Under Report Group to Run, highlight the report group that you wish to run when the closing is performed.
- The reports included in these reports groups can be changed, or new report groups can be added, by navigating to Reports > Report Groups.
- Click Done. The reports in the report group will generate and appear on-screen, then a window will appear stating “Month end process completed”.
Unclosing a Month
To undo a Month End Closing, so that you can add or modify entries before the date of the last closing, follow the steps below:
- Navigate to G/L > Unclose Month.
- In the Last Month-End Closing Date field, enter the last date that you want to remain closed. Any date AFTER the date entered in that field will be unclosed.
- Viewing this screen can also tell you when the last Month End Closing was performed, as the date filled in by default is the last date closed.
- Click Begin. After it is completed, a window will appear stating “GL Closing Information Updated Successfully.”
Year End Closing
Year End Closing should not be performed lightly! Unlike Month End Closing, it CANNOT be unclosed, not even with assistance from a support technician.
Year End Closing is intended to be used to close the books on a year after they have been fully audited, reconciled, and verified.
To perform a Year End Closing, do the following:
- Reconcile ALL bank accounts for the entire year, if you have not already done so. Since Year End Closing cannot be undone, it is imperative to ensure that your books are reconciled and accurate!
- Run all reports listed in this guide, and verify the information in them.
- Back up AbacusLaw! Since Year End Closing cannot be undone, if any error occurs during the closing process, or a bookkeeping error is found after the closing is performed, the only way to correct this may be to have a backup to restore. Read this guide for more info on how to perform a backup and restore.
- Navigate to G/L > Year End Closing.
- The Start Date field is the day after the last Year End Closing (typically, this displays 01/02/1900 if it has never been performed before).
- Enter the last date that you want to close in the End Date field (typically, December 31 of the year that you wish to close).
- Click Begin
- A window will appear with the message “Are you sure you want to close the entered time period?” Click Yes.
- Closing is complete when a window appears that states “Successfully Closed the requested time period.”