Year End in your Accounting File

It’s that time of year when everyone is talking about ‘Year End’.  But what does that actually mean and what do you actually need to do in your accounting file to ensure you are ready for the new financial year?

Basically, it’s time to complete some final checks and steps in your accounting file so that you a ready to take on the new year. Here are some important tips to get you ready:

• Start with your bank accounts, including credit cards and loans – check all items in your bank feeds have been coded, then make sure that your balance is the same as your actual bank statement balance on the 30th of June (run a reconciliation report to check!).
• Review purchases/bills that you’ve entered during the year and check to see what is outstanding. Ensure you enter any final invoices dated 30^th of June and prior. Run an Aged Payables report and resolve any errors so that your report represents what you actually owe.
• Same goes for Accounts Receivables (which is Sales invoices owed to you), this should also be accurate.  Check for any misallocation of funds received and for any outstanding unpaid amounts. Now is the time to ring and speak with your customers if you have any unpaid invoices. You should then assess any remaining unpaid amounts to determine if any need to be written off as a bad debt.
• If you hold inventory/stock, conduct a stocktake to check the stock you have on hand matches the stock amounts held on your system. Identify any differences and let us (your accountant) know so that changes can be made and reports are accurate.
• Lastly finalise your payroll, if you haven’t already! See our previous article on EOFY Payroll.

We know that End of Year can be a very busy and stressful time, so if you need any assistance, please don’t hesitate to reach out to the HQB team.

– Louise Hogg

Posted 01.07.2024

This article is compiled as a helpful guide for your private information and is subject to copyright. We suggest that you do not act solely on the basis of material contained in this article because items are of general nature only and may be liable to misinterpretation in particular circumstances. We recommend that our advice be sought before acting on any of these crucial areas.