Practicesuite uses an accounting (transaction) date concept for financial reconciliation. All transactions in the system are captured along with an accounting date and this field is generally editable, unless, if the entered accounting date falls in a closed month period.
Closing a month, hence, prevents the editing of transactions that fall in the closed period. This action maintains the sanctity of the reconciled reports for the closed months.
I Month End Close
Month End Close process involves two steps which are (i) setting the status of the required month to close, and then (ii) running the reconciliation report. These are explained below.
1. Financial Year Open/ Close.
Expand the Advanced Setup menu to access the Fiscal Year Setup screen (see Image 1). All past and future months for the financial year are listed on this screen along with the statuses(Open/Closed/Future). New months can be closed if only all the previous months are closed. The statuses and their descriptions are provided below.
a. Open – All transactions are allowed for the month.
b. Closed – No transactions are allowed with the month’s accounting date if the month Closed.
c. Future – Any future months show with this status. All transactions are allowed with this status.
2. Running the Reconciliation Report.
Click on the Reconciliation Report link (highlighted in red in Image 1) and run the report for the closed month. The Reconciliation Report pulls to a spreadsheet and has every transaction – charges, payments, schedules, etc. made for the accounting date range in separate worksheets.
II Reopen a Closed Month
Only a user with Administrator role or privileges can reopen a closed month. Image 2 shows a part of the Open-Close screen as seen by an admin.
Note: In order to track status change easily, an activity log is provided on the screen to record the date, time, and user who changed the open/close status.