Three tips to help you and your organization get through your fiscal year-end close.
1 – First, pay attention to your balance sheet accounts.
Look at small balances lingering on the balance sheet that you might have missed when dealing with more significant problems throughout the year. Make sure all your current assets and fixed assets are up-to-date with additions throughout the year. Update and reconcile your liabilities, deferred revenue, and deferred expenses. Don’t forget to double check and update your temporarily restricted net assets.
2 – Next, scour your accounts receivable and accounts payable reports
Collect as much money as you can and pay as many bills as possible. Check for un-applied payments and long outstanding invoices – both that are owed to you and that you owe to other. It’s time to resolve the issues that may have crept into the books.
3 – Last, it’s time to take it to the bank!
Go to the bank on the last day of the month and deposit your checks and cash. Make that PayPal or merchant processing transfer. The goal is to have undeposited funds at zero.
If possible, do these 3 things each month to make your year-end accounting close even easier.