The New Year 2011 should be created as soon as possible after the last day of the year 2010. This allows you to work in both years 2010 and 2011.               

Before creating the New General Ledger Year make sure you have posted Accounts Payable, Purchase Order transactions in Daily Work. This is necessary because when you first enter Transactions after posting there is a box that comes down that you must select THIS year or LAST year. If there are un-posted transactions in the batch they would have been selected as THIS year. If the General Ledger year is created while these transactions are in the Purchase Journal then the THIS year will become 2011 and not the 2010 that you selected when 2010 was the current year.               

To insure that all Revenue and Expense accounts have the Retained Earnings as the Clear To Account run the Chart of Accounts found in Master File Lists and look for the Retained Earnings account number in each of these accounts.               

After backing up your files you are ready to create the General Ledger New Year 2011.  No one can be in OSAS during this process. Go to General Ledger, Periodic Processing, Create Last Year Data. Answer YES that you have backed up your data, reset the current year journal entry number to 1, enter the Retained Earnings Account Number. Decide if you want to move the Next Year Budget to the Current Year Budget and whether you want to zero out the Next Year Budget Balances. New in version 7.5 is the question ‘Copy Inactive Accounts with Zero Balances’. If you do not want these inactive accounts in the new year select NO.               

Once these prompts have been answered you will be prompted to print the journal that lists each Revenue and Expense account’s amounts that clear to Retained Earnings. Keep this print out to file with your year end reports.               

To switch back to the year 2010 F9 and select the year. You can then make General Ledger Journal transactions to the old year. Processing out of other applications such as AP/PO, AR/SO, BR, IN, etc you choose which year (This or Last) you want the posting to go to.               

Each time you Post to the Master in General Ledger you will want to immediately go to General Ledger, Periodic Processing, Update Current Year to bring forward the beginning Balance Sheet accounts and clear the Revenue and Expense Accounts to the Retained Earnings account. You will be in the old year 2010 when you update the current year balances to 2011.               

When reconciling your Bank Account make sure you have updated the current year other wise the Beginning Balance for Cash you are reconciling to will not be correct.

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Open Invoice vs ATB   

   

At year end when all transactions are completed the Open Invoice Report in either AR/SO AP/PO will give you all Open Invoices that are unpaid.    

  

Once you move into the new year you will want to run the Aged Trial Balance rather than the Open Invoice Report. The ATB allows you to enter the period and year so that you can get the totals of your subsidiary files to match the GL account totals.      

 

The Open Invoice report does not specify periods.

 

 

Accuwage 2010 is Available      

 

This FREE software is now available from the Social Security Administration.      

 

This software allows you to test your W2 Magnetic Media Submissions for the year 2010 for any errors before you submit it to the Social Security Administration and your State submission if your state is accepts the Federal standards.      

 

To download the 2010 Accuprint software go to:

 

www.ssa.gov/employer/accuwage      

 

Testing your submissions before submitting them will allow you to make corrections to fields that have generated errors.

 

This will save you time, money, energy, and stress at submittal time for W2’s.

 

 

Banking—It’s more than just another application      

 

Pay your Vendors using the ACH (Automated Clearing House). This gives you the ability to transmit electronic payments to your bank using a standard, secure system that is highly reliable and efficient.

 

Direct Debits in Accounts Receivable/Sales Order allow you to establish recurring payments and take direct debit-type payments from your Customers.

 

A fraud control and loss prevention measure, Positive Pay allows you to build a file (formatted to your bank’s specifications) that can be transmitted to your bank for authorization of check payments. The file contains information about each check (such as check number and amount) that your bank compares with each check before honoring it.

The Reconciliation Import enables you to use files downloaded from your bank to automatically clear transactions that have been processed by the bank.

 

Magnetic Ink Character Recognition (MICR) allows you to print machine readable information on the bottom of your checks allowing you to purchase blank check stock instead of pre-printed checks.

The Direct Deposit feature allows you to electronically send your employee’s paychecks each pay period directly into their bank accounts, either checking or savings or both.

 

With Banking the age of electronic payments is already here.