Period/Year end is always a very important and painful activity for all organizations as well as ERP consultant. Here I come with an effort to make many people’s life easy for period/year end activities checklist which can be used to plan this process and complete this on time.

There are two most important steps to manage this process or implement:

Step-1: Prepare list of activities along with responsible stakeholder.

Step-2: Manage prepares checklist using Microsoft Dynamics 365 finance and operations.

Step-1: Prepare list of activities along with responsible stakeholder.

Declaration: I have tried putting all the checklists as per best of my knowledge, if you find anything missing or want to add anything, please feel free to write me at mailto:saurabh.bharti.2011@gmail.com?subject=Feedback on Period/Year End Checklist

Here is the list of activities which we should perform in each module for period and year closing. To perform year closing we need to first perform period closing and then year closing.

Also, for ease of access, I have also prepared the Excel Checklist which you can download and use as per your convenient which also has more details about each activity.

Period Closing

1. Accounts Payable
   1. Post invoices for all open/received purchase orders.
   2. Post all pending invoices if received from Vendor.
   3. Post and settle all payments.
   4. Run Currency revaluation
   5. Reconcile Vendor balance and trial balance for control accounts.
   6. Set fiscal period on-hold for Vendor.
2. Accounts Receivable
   1. Post invoices for all open/delivered sales orders.
   2. Post all pending free text invoices.
   3. Post and settle all received payments.
   4. Run Currency revaluation
   5. Reconcile Vendor balance and trial balance for control accounts.
   6. Set fiscal period on-hold for Customer.

3. Cash and Bank
   1. Perform Bank reconciliation
   2. Set fiscal period on-hold for Bank.
4. Procurement / Sales
   1. Review and Close all open purchase/sales orders/Requisition if require.
   2. Perform sort closing of purchase/sales orders if require.
   3. Set fiscal period on-hold for purchase/sales.
5. Production Control
   1. Post picking list and Route for the current month production.
   2. Post RAF
   3. Post End production for current month
   4. Set fiscal period on-hold for Production.
6. Fixed asset
   1. Post all acquisitions or adjustments (From inventory, project etc…) if require.
   2. Post all sales/scrap of assets.
   3. Run depreciation for the month.
   4. Reconcile fixed asset balance and trial balance for control accounts.
   5. Set fiscal period on-hold for fixed asset.

7. Inventory Management
   1. Make sure all physical inventory is posted as financial (Delivered/Received/RAF)
   2. Post all require inventory adjustment journals.
   3. Post inventory counting
   4. Perform inventory adjustments if require.
   5. Run inventory recalculation.
   6. Run Inventory closing
   7. Reconcile Inventory to trial balance.
   8. Set fiscal period on-hold for Inventory.
8. Tax
   1. Post adjustments if require.
   2. Generate require statutory reports as per localization.
   3. Reconcile Tax transactions with Trial balance/Vendor invoices/Customer invoices.
   4. Perform Tax settlements using Declaration process (Both Direct and Indirect Tax)
   5. Reconcile Tax transactions with Trail balance after declaration.
   6. Set fiscal period on-hold for Tax.
9. General Ledger
   1. Post all adjustments in ledger.
   2. Post all provisions if require.
   3. Post all allocations.
   4. Post all Accruals if require.
   5. Generate all financial reports.
   6. Set fiscal period o-hold for Ledger.
10. Consolidation
    1. Post all eliminations.
    2. Run fiscal period consolidation.
    3. Generate consolidated financial statements.

 

Fiscal Year Closing

1. General ledger parameters setup
2. Define Retained earning Main account.
3. Validate Main account type for all Main accounts.
4. Run fiscal year close.

Step-2: Manage prepares checklist using Microsoft Dynamics 365 finance and operations.

This is as awesome feature in Dynamics using which we can define the responsibility and timeline for each activity. Also, it helps us in tracking all the tasks and make stakeholders accountable.

All above activities should be defined in period close workspace, here is the blog which can help you in configuring the same:

https://exploredynamics365.home.blog/2020/03/24/financial-period-close-work-space-in-microsoft-dynamics-365-finance-and-supply-chain-hidden-gem/

Thank you!!! Keep reading and sharing!!!