Closing the Month Overview
Closing the month finalizes the accounting data for the period. The program saves the closing balances for General Ledger accounts when you close the month. Closing the month helps prevent back-dated entries. After you close the month, you cannot post, change, or delete entries in the closed month. You need to reopen a closed month before you can post entries in it.
You do not need to close the month immediately after the month ends, but you need to close all the months within a year before you can close the year. The program prompts you to close the year after you close twelve consecutive months without closing the year.
The following list includes the benefits of closing your months regularly:
- You promptly identify and correct errors.
- It is easier to manage Bank Reconciliations.
- The program prevents you from back-dating entries into a closed or reconciled period.
- You can purge entries that you no longer need to retain.
The following articles provide steps for closing the month in the three different accounting methods:
You can also view a Just in Time Training Tutorial Video about Closing the Year. To begin the video, open the site, log in, and register for the class. A link to the Just In Time Training Tutorials topic will be listed on your My Courses page in LexisNexis® University.