Closing a month, closing the year, and reopening either
Month-end close: "Lock" a reviewed month so nothing dated inside it is accepted; the year's "Close period" posts the closing entry; both reopen for corrections.
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Two different acts, on the same screen. A month is locked after review — a row that makes the ledger refuse anything dated inside it. The year is closed once, with a real closing entry that rolls the year's profit into retained earnings.
Steps: month-end close
- Open "Financial", then "Period close". The "Month-end close" card shows the twelve months of the year, each "Locked" or "Open"; months that have not begun cannot be locked.
- Review the month's reports first (reports).
- On the month press "Lock", add a "Note (optional)" such as "reviewed with the accountant", then "Confirm lock". The card now shows who locked it and when.
- To correct something inside it: "Reopen", then "Confirm reopen", fix the entry, lock again. Both acts are in the audit log under your name.
Steps: the fiscal year
- Press "New period" and enter the "Name", "Start date" and "End date", then "Create". The status is "Open".
- At year end, after the twelve months are reviewed, press "Close period", then "Confirm close". The status is "Closed"; the closing entry is posted and any entry dated inside the year is rejected.
- To correct: "Reopen", then "Confirm reopen"; the closing entry is reversed and the year opens again.
What happens in the books
Locking a month writes no entry; it only refuses new ones dated inside it. Closing the year posts the closing entry (revenue and expenses into retained earnings); reopening reverses it. Nothing is deleted or edited.
What the system does not do
It does not lock or close anything automatically at month end.
Common questions
- The cashier tried to record a sale dated in a locked month.
- The entry is rejected. A sale today, dated today, goes into the open month; a back-date inside a locked month is not accepted until the month is reopened.
- Must I lock monthly?
- No, but it is the habit accountants expect: after reviewing the month's income statement and balance sheet, lock it so what was reviewed cannot change. Locking a month posts nothing; closing the year does.
- Who can lock and reopen?
- The owner and the accountant (the "period authority"). A manager or cashier sees which months are locked and by whom, without the buttons. The same authority may post into a locked month, and the entry form says so before posting.
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In the same section
- Logging an expense with a photo of the receiptFrom the expenses screen: "Log expense" with amount, category, payment method and a receipt photo, categories and budgets, and how it shows in the income statement.
- Posting a journal entry by hand, and reversing one"New entry" on Transactions: an accrual, a correction or a move between accounts, balanced lines and a written reason; open a row for its lines; reverse one by hand.
- Reading the reports: income statement, balance sheet, aging, and taxWhere each report lives on the Financial screen and what it answers: income statement, balance sheet, cash flow, general ledger, sales, inventory, expenses, aging.
- Settlements: reviewing drawer closes and recording a depositThe Settlements screen: every branch's shift closes with their status, each shift's report, "Record deposit" to move cash to the bank, safe or owner, and reconciliation.
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