How to close periods and perform period end processing in Accounts Payable

Use Period End Processing to perform either period-end or year-end processing based on the period entered at the Current Period field in Accounts Payable Options.

Period End Processing allows you to close the current period and increment the accounting period to the next period. Perform period-end processing at the end of each accounting period. Year-end processing takes place automatically when you run period-end processing for the last period of the fiscal year.

 NOTE: Fields in Accounts Payable Options define the current accounting period and the number of years to retain vendor purchase history, check history, and 1099 payment history after year-end processing. 

The following occurs during period-end or year-end:

• Temporary vendors with zero balances are automatically purged.  A Temporary Vendor won't be purged if you select to retain the temporary vendor in Vendor Maintenance.

• The system clears check history information as of the period-ending date.

• Vendor electronic payment history is removed based on the number of years set up to retain electronic payment history in Accounts Payable Options.

• Vendor purchase history is removed based on the number of years set up to retain purchase history in Accounts Payable Options.

• Open invoices with zero balances are removed based on the number of days to retain paid invoices in Accounts Payable Options.

• If retaining invoice history, all current year invoice information is updated to the Last Year fields, and any invoice history with no current-year activity is removed based on options selected in Accounts Payable Options.

If you haven’t already printed period-end reports, you can do so during period-end processing. You can also select and print period-end reports without accessing Period End Processing by using Period End Report Selection.

 CAUTION: Backing up your data is an important part of your daily and monthly procedures. Back up all Accounts Payable data before proceeding. 

1. Verify that all invoices and checks have been updated for the current month.
2. Make a backup of company data.
3. If December is being closed, and if 1099 forms are used, print, verify, and clear all 1099 forms.
4. Change the Accounts Payable module date to the last day of the period being closed (for example, 05/31/10).
5. Expand Modules, Accounts Payable, Period End, Period End Processing.
6. Select Full Period End Processing.
   •  NOTE: If this is the last period of the fiscal year, select Full Period End and Year End Processing.
7. Select the check boxes for the reports to be printed, and click Print. The following reports should be printed at a minimum:
   • Aged Invoice Report
   • Check History Report
8. After you print and verify the reports, click Yes at the "Do you want to complete period-end processing?" prompt.
9. When period end processing is finished, back up the Accounts Payable data files. Don’t overwrite the backup created above (before period end was processed).