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How to Perform Quarter End & Year End Processing in Payroll 2.x and Higher

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This article details how to perform quarter-end and year-end processing in Payroll including What reports will help reconcile to Payroll Tax Reports and Forms How to perform Period End functions


CAUTION: Use caution when working with the below product functionality. Always create a backup of your data before proceeding with advanced solutions. If necessary, seek the assistance of a qualified Sage business partner, network administrator, or Sage customer support analyst.

Period end processing is performed at the end of each quarter and at year end to prepare for the following period's payroll.

**** DO NOT manually change the quarter or year in Payroll Options.

During the quarter-end close, the system performs the following tasks:

  • Increments the current quarter in Payroll, Setup, Payroll Options.
  • Time off accrual values are updated based on settings in Payroll Options.

During the year-end close, the system performs the following tasks:

  • Increments current year and quarter in Payroll, Setup, Payroll Options
  • Time off accrual values are updated based on settings in Payroll Options.
  • The field showing the employees' year-to-date direct deposit amount is cleared.
  • Terminated employee records are removed from the employee file if there is no history associated with the records.
  • For pension plan deductions, if the Reset Balance at Year End check box in Deduction Code Maintenance is selected, the deduction balance is reset to match the deduction goal amount. Otherwise, the goal is set to match the balance. (The deduction balance is calculated as the deduction goal less the accumulated deduction amount. If the balance is zero, the deduction is no longer applied.)
  • If an employee has no history for a deduction, the deduction is removed from the employee record.
  • If Calendar Year is selected in the Reset Time Off Based On field in Payroll Options, employees' unused time is carried over to the next year (up to the Caryover limit set in Employee Maintenance).
  • History records, including Time Track Entry history records, are purged if they are older than number of years for which Payroll history is retained. The number of years to retain history is set in Payroll Options.

TIP: Set up Paperless Office to save your Period End Payroll Reports, refer to DocLink: How to Setup Paperless Office to save/print your Period/Year-End Reports in Sage 100

Reminder: Period-end/Year-end processing can not be undone.

Period End Processing Checklist (Quarter End and Year End):

  1. Set the Payroll module date to the quarter-ending date (for example 06/30/20).
  2. Open Payroll, Reports, print each of the following reports, and verify that all checks and adjustments have been entered for the current quarter:
  3. Open Payroll, Period End, and Period End Report Selection and Select the reports that apply to your payroll.
  4. Select Period End, Federal and State Tax Reporting.
  5. Reconcile your quarterly 941 forms to your W3 form - DocLink: How do I reconcile Payroll tax forms & reports
  6. Back up your company data files onto a quarterly set of backup disks or tapes &/or make a Copy Company - DocLink: How to copy data from an existing company into another company in Sage 100

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Related Solutions

 How to process payroll for a future quarter in PR 2.xx and later
 How to process payroll for a future quarter/year
 What is the recommended Period End or Year End order of closing for modules in Sage 100?
 How to print tax forms for a previous quarter after the quarter has been closed in Payroll.
Sage 100 ERP Order of Closing Modules.pdf