The Year-End Processing module is designed to accomplish several things which must be done to close a year and begin a new year. The first is that it must calculate the amount of the current year's fund balance (surplus or deficit) by taking the net of the revenue and expense accounts to arrive at either a surplus or deficit in the current year's fund. This balance is then used to update the fund balance account or surplus deficit account in the new year's chart of accounts to produce a balanced balance sheet on the completion of the year-end run.
The year-end program will deal with single fund and multi-fund GL's. Review the selection of multi-fund options as described in Section 1 of the BAS profile and Section 6 Year End Parameters. If you have sub-funds (e.g., Trust) within a fund you should review the closing options in the year end parameters.
This program can be rerun as many times as necessary to finish your year end. Each rerun will back out the last runs balances created in the close and will bring forward the new balances that result from this close. The program contains the logic to do this process without affecting the balances in the new year that are the result of new year data entry and period closes.
Note: The program will not create any accounts in the new year if the account in the old year has been flagged as deleted and the balance of the deleted account is zero. Any asset/liability account which contains a zero balance and is set as deleted will not be created in the new year. Any revenue/expense account flagged as deleted will not be created in the new year unless it has an outstanding commitment. In this case, the account will be created in the new year because the account has a non-zero balance.
Note: If accounts have been deleted, but have a balance, the account and the balance will still be carried forward.
The Year End Process will also ensure that the month-end has been run for all periods and that there is no outstanding balance listed as a 'current balance' for any GL accounts. All balances should be included in the opening balance.
Enter Year to Process
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Enter the year on which you wish to run a year end.
Current Year Is: XXXX
New Year Is: XXXX
Are the Years Correct?
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Enter 'Y' to confirm that the current year and new year are the correct years to use in the close out. The current year is the year whose balances are to be brought forward into the new year. If these do not correspond to the year to be closed and the expected year into which new balances are to be placed, you should respond with an 'N' and abort the process.
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Enter 'N' to abort the process at this point.
You may close out all or some funds in a multi-fund GL. If fund accounting is not active, all funds will be closed simultaneously and treated as a single fund.
The following two prompts will only appear if fund accounting is active:
Enter Start Fund for Year End:
The next 2 prompts are not seen unless the inter-fund option in the master profile is set to 'Y'.
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Accept the default to begin processing at the first fund in your general ledger.
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Enter any valid fund number as the starting point for this year-end close.
Enter Last Fund for Year End
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Accept default, to process to the final fund in your general ledger. Enter the fund number to be the last fund included in the year end close out.
Create New Year Accounts with Zero Balance?
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Enter 'N' to have this program ignore accounts containing a zero balance in the old year. If you select this option the program will not create these accounts in the new year GL if they do not already exist.
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Enter 'Y' to zero balance accounts created in the new year if they do not exist.
Note: This option will allow you to delete accounts in the new year after you create your chart of accounts and stop this program from recreating them during this run.
Remove Year End Transition File for Final Year-End Closing:
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Enter 'N' to keep the existing transition file (see Transition Year Maintenance). 'N' should only be entered if this is NOT the final year-end run.
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Enter 'Y' to delete the transition year file. This should be the response if this is the final year-end run. This will ensure that the transition year functionality does not impact the wrong years.
Note: This prompt will only appear if a transition file exists.
Note: Running Year End does not update the Finance Calendar to say Year End Closed= Y, you can manually update the Calendar if you choose.