This number has likely risen due to the increasing complexity of financial reporting, stricter compliance requirements, and more sophisticated accounting standards. And for those handling this process for multiple clients with a range of service needs it’s even more time-consuming and overwhelming. As the year-end approaches, it’s important to ensure that your accounting records are in order. One way to do this is by using an Year-End Accounting Checklist accounting year-end checklist template in Excel.
- This will ensure that you settle all collections and debts without any penalty.
- Bette Hochberger Inc. is a boutique concierge accounting practice in South Florida specializing in start-ups and small businesses.
- Our Month End Close Checklist Template will help make the process simpler and more efficient for your firm.
- It allows you to report correct tax deductions, curb fraud, and maintain a good relationship with your customers.
Timeline and Deadlines for Month-end Closing Checklist
A petty cash template is used to track the important transactions of your organization…. If your staff members have different ways of completing work, it’s time to standardize your process to improve the quality and consistency of your firm’s work. Standardizing your processes through a checklist will save you from the headache that comes with inconsistent work. Our Month End Close Checklist Template will allow you to effectively delegate work to your team members without worrying about work quality and accuracy.
- Designed with input from seasoned accountants and bookkeepers, our Accounting Excel templates accurately capture most, if not all, of your accounting processes.
- Make sure to list all these tasks so you can easily refer back to them when it comes time to create your template.
- Create standardized processes and templates for key tasks like financial statement preparation, reconciliation, and reporting.
- Whether you’re a seasoned accounting professional or new to the year-end close process, this guide will provide you with the knowledge and tools you need to get the job done right.
STEP 12: DOUBLE CHECK PAYROLL TAXES
Use a simple business travel itinerary template to keep all of these details in one location, and be able to share the details with important stakeholders. For any company providing goods or services, using an invoice that looks professional and can be customized online bookkeeping to fit your needs, is important. Having real-time access also helps ensure quicker reviews, approvals, and sign-offs, reducing bottlenecks in the process. Consulting department heads helps identify obsolete assets that may no longer be in use, ensuring they are correctly disposed of or written off. For example, if a company sells an old piece of machinery, it should remove the asset from the books and recognize any gain or loss. Depreciation schedules should also be checked to ensure that depreciation is correctly recorded.
Waiting Until the End of the Month to Start the Financial Close Process
Planning – Identify tasks and activities that can be done before the end of the month. Certain tasks, such as the payroll accrual don’t need to be performed after the end of the month. Such calculations can be easily and accurately estimated prior to the end of the month. When reviewing tasks for simplification, be on the lookout for tasks that can be done in pieces. For example, if your company frequently disposes of and/or acquires fixed assets, establish weekly procedures to track and account for this activity.
Yet, the pleasant design in discreet white and gray tones is perfect for an accounting document in any company. Convenient division into several sections with the main tasks also helps to find information in the table quickly. In addition to standardization, Financial Cents enables effective task delegation. Within each workflow, you can assign specific tasks to team members, set due dates, and monitor progress in real time. At the end of each month-end close, take time to evaluate what went well and what didn’t. Getting feedback from your team can also help you understand where the process could be smoother.
- Fixed assets are long-term assets with a longer life span than one fiscal year.
- We’ve also included some best practices to help generate ideas on how you can positively impact the month-end close process.
- It also helps them remember every step needed to complete the monthly bookkeeping process.
- This template shows all team members the specific information they need from clients to get their tax work done.
- All visualizations are downloadable and can be exported as interactive embeds.
If you decide to provide employee bonuses, ensure you have the appropriate withholding tax. As a last resort, you can write off unpaid invoices that are not paid or refused to pay you. Talk to your accountant to determine if this is the right action for your small business. This will include any taxes you need to pay before the end of the quarter (e.g., estimated taxes) and any other special costs (e.g., legal fees for negotiating contracts with vendors). You should always aim for those cash inflows to be greater than https://www.bookstime.com/ cash outflows to avoid dipping into negative cash flow.
Step 4. Process year-end data
Distribute a contact list with names, titles, and contact information and encourage people to use this list proactively. This review is an opportunity to check that all invoices were paid and all payments were received. It’s especially important if there were any changes in staff or accounting software during the year. Your year-end checklist needs to include a review of accounts payable and receivable for a few reasons. Without accurate records, it’s difficult to track inventory, sales, expenses, and profits. When completing your year-end bookkeeping review, this is the perfect time to review your documentation for the year and check that everything is in order.