Introduction

Use the Financial Period Manager to open or close financial periods, to review the status of financial periods plus the opening and closing history.

The Sales, Purchase, and General Ledgers can be closed independently, but both the Sales and Purchase Ledgers must be closed before you can close the General Ledger. Likewise, re-opening the Sales or Purchase Ledger will automatically re-open the General Ledger.

Closing Ledgers at the end of each financial period prevents any postings to that period that could render the financial statements inaccurate. If you try to post a transaction to a closed period, the system will warn you that the period has been closed and allow you to edit the date or keep the transaction date and post it to the next open period.

Closing the Financial Year (or the general ledger for period 12) automatically creates year end journals:

• Rolling over balances in any Assets or Liability Accounts (Balance Sheet).
• Zeroizing all Revenue and Expenditure (Profit and Loss Accounts).
• Accumulating the net value of the profit and loss accounts into Revenue Reserve Account in the Balance Sheet

Re-opening any period from a previously closed year, will automatically reverse previously posted year end journals.

See:

Manage Financial Periods

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Closing Periods

1. To close an open period, go to Setup > Manage Financial Periods. The current status of the ledgers will be displayed. 
2. Delete

   Info: Our New Look

   If you are using our new look navigation, Manage Financial Periods can be found in the GL tab in the new sidebar:

3. To close an open period, click the relevant period and ledger's Open status to change it to Closed.
   
   

Closing the General Ledger will automatically close the Sales and Purchase Ledgers for the period selected if they are not already closed.

Each period must be closed sequentially, for example, it is not possible to close period 10 leaving period 9 open. If period 9 is open when you close period 10, the system will automatically close both periods 9 and 10 for the ledgers selected.
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Re-opening Periods

1. To open a closed period, go to Setup > Manage Financial Periods. The current status of the ledgers will be displayed.
2. Delete

   Info: Our New Look

   If you are using our new look navigation, Manage Financial Periods can be found in the GL tab in the new sidebar: 
   

   
   

3. To open a closed period, click the relevant period and ledger's Closed status to change it to Open.
   
   

Opening the Sales or Purchase Ledger for the period selected will automatically re-open the General Ledger if it is closed.

Each period must be re-opened sequentially, for example, it is not possible to open period 6 leaving period 7 closed. If period 7 is closed when you open period 6, the system will automatically re-open both periods 6 and 7 for the ledgers selected.

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Closing the Year

To close a financial year, click Close the Year or Period 12 of the General Ledger.

Closing the Financial Year (or the General Ledger for period 12) automatically creates year end journals:

• Rolling over balances in any Assets or Liability Accounts (Balance Sheet).
• Zeroising all Revenue and Expenditure (Profit and Loss Accounts).
• Accumulating the net value of the profit and loss accounts into Revenue Reserve Account in the Balance Sheet

The year end journals are reversed automatically when any periods in a previously closed year are re-opened. Delete

Viewing History

View a log of each time period have been closed or opened in the History tab. The system records the details of who opened or closed periods and when, plus the reason (where entered). Users are prompted to enter a reason whenever they re-open a period or close more than one period at a time. 

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User Permissions

In the Manage Menu Profiles ‍screen, check Manage Financial Periods to allow users to view, close, or open periods, and close financial years.

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