Prior year adjustments occur when you record an entry to an income statement account with an accounting date in the prior fiscal year. When this happens, your ledger reports may be out of balance until you close the prior year adjustments to retained earnings or reverse them.

1. Before closing the fiscal year, make a backup of your data.
2. Have all users exit Sage 300 CRE.
3. Go to General Ledger, Tasks, Close Fiscal Year.
4. Click Yes.
5. If you use prefixes, select the correct prefix. Click OK.
    NOTE: The period end and fiscal year dates are displayed for reference. Close Fiscal Year only closes prior year adjustments if you aren’t at the end of the year or if you have adjustments to close. This doesn’t close your current fiscal year.
6. You should receive a message stating there are prior year adjustments and prior year adjustments will be closed. Click OK.
7. Note the amount in the Close Fiscal Year - Earnings Distribution window. This is the net amount of prior year adjustments posted to income statement accounts. Click Cancel if you don’t want to close prior year adjustments to retained earnings.
8. Click Accept, then Start.
9. Direct the journal to a file or printer.

Sage MyAssistant can automatically notify you when Prior Year Adjustments are available to close. Contact our CRE Sales Team at 1-800-858-7095 or email at [email protected] for more information.

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How do I reconcile General Ledger if it's out of balance?