QuickBooks Users, Please Set Your Closing Dates
One of the most frequent issues that we see with a small business using QuickBooks is that after their financials are finalized, for whatever reason, they change their financials by adding, modifying, or deleting transactions. This is a big problem since before we can work on the current period, we have to review what changes were made in prior finalized period and take appropriate actions. This issue will result in additional professional processing fees which are avoidable if the small business follows our recommendations. We normally tell clients to set the password to be “$500†so that the client understands that if they change the final amounts, it will cost them at least $500 to deal with and resolve the beginning balance issues that they will create making these types of changes.
At a minimum, we strongly recommend setting a closing date in your QuickBooks and password after the end financials are finalized. Setting it after a normal month end closing is not a bad idea either.
To set your closing date in QuickBooks Desktop, just go to Edit, then Preferences. When the Preferences window pops up, click on "Accounting" on the left, then on the Company Preferences tab. Toward the bottom under "Closing Date," select "Set Date/Password."
To set your closing date in QuickBooks Online, click on the gear icon in the upper right, then click on Company Settings to the left. Click on the Advanced tab; then under the Accounting heading, click on the pencil in the upper right corner to edit the accounting settings. Enter your closing date, and in the drop down, select "Allow changes after viewing a warning and entering a password." Enter the password you wish to use, and click on “Saveâ€.
Use Kenneth Jarvis PLLC to handle your accounting, payroll, and tax needs today. Limited availability for new clients. Call to request a meet-and-greet (941-907-9188). Conveniently located near SR 70 & I-75.