Financial year-end procedures

Summary

How to close and start a new financial year in Sage Accounting.

Description

At year-end, generate required reports, update the financial year-end date, and lock the completed year to prevent new transactions.

Resolution

Update transactions

  1. Enter all transactions up to the final day of the financial year.
  2. Review financial adjustments, month-end postings, and reconciliations.
  3. Confirm all entries for the financial year are complete.

Generate reports

  1. Open the Reports menu.
  2. Run these reports using the financial year-end dates.
    • Balance Sheet
    • Profit and Loss - Standard
    • Trial Balance
  3. Ask your accountant if you need other reports.

You can access these reports after closing the year.

Update the financial year-end date

  1. From the top menu, go to Settings, then Business Settings.
  2. In the Financial Settings section, choose the option Financial Settings.
  3. In the Year end Date field, enter or select the last day of your new financial year.
  4. Set a lockdown date in the Year End lockdown field to prevent accidental entries for the previous year.

    CAUTION:

    Don't modify the Accounts Start Date. It reflects when you started using Sage Accounting or entered Opening balances and not your Fiscal Year end Start Date.

     

  5. Select Save.
  6. Click Yes to confirm the year-end lockdown changes.

Other guidance

  • Use the As of option on the Trial Balance report to view balances for a specific date
    • Select Summarize Retained Earning Values to display current year balances
    • Leave this option unchecked to show balances from the Account Start Date
  • Profit and loss balances don’t reset automatically
  • Post a manual journal if you prefer a traditional year-end close

Solution Properties

Solution ID
240816144327840
Last Modified Date
Fri Feb 07 22:50:31 UTC 2025
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