Monthly Close Timing and Required Information

GL Closing Procedures (Hard Close vs. Soft Close)

All unpaid bills, client payments or class tracking details received for the processing month on or before the [CLOSE CUTOFF DATE] of the following month will be applied to the actual date of the transaction.

GL Closing Procedures (Hard Close vs. Soft Close)

All unpaid bills, client payments or class tracking details received for the processing month on or before the [CLOSE CUTOFF DATE] of the following month will be applied to the actual date of the transaction.

During scoping, the partner will be asked to select “yes” or “no” to the following question:

  • Does this client require the previous period to be locked once the month's books are completed? Locked books will not have a password set.
    • [Yes] = “Hard Close - Books locked without password” 
    • [No] = “Soft Close - Books remain open until 12/31/YY”

“Hard Close” (client requires the previous period to be locked without a password):

  • Once a task to notify the partner that the books have been closed is posted to the portal:
    • QBO: Closing date set without a password
    • Xero: Lock date set for all users including advisors
  • After a task to notify the partner that the books have been closed is posted to the portal:
    • Any transaction(s) received after the close cutoff date (such as unpaid bills, client payments, class tracking) will carry a posting date of the 1st of the next open month

“Soft Close” (client allows the previous period to remain open):

  • Once a task to notify the partner that the books have been closed is posted to the portal:

    • Books remain “open” until 12/31/YY
      • QBO: Closing date set without password for internal control as of 12/31/YY
      • Xero: Lock date set for all users except advisors as an internal control as of 12/31/YY
  • After a task to notify the partner that the books have been closed is posted to the portal:
    • Any transaction(s) received after the close cut off date will carry the actual posting date, even if it applies to the prior period