Closing and locking financial periods in Acumatica should be part of your month-end processes. If you do not close and lock your financial periods in Acumatica, you risk the chance of transactions being posted to the wrong periods. When this happens, it will cause changes to your financial reports and can result in revisions being submitted to the board, the banks, or auditors.
A closed period would mean no more transactions, however, you might still need to post month-end journal entries or adjustments. A locked period would mean the numbers are finalized and reported.
You can close each module as you finish entering in each module or you can close all modules at once. No matter if you complete some modules earlier than others or want to close them individually and other modules at once, Acumatica has the functionality to do this.
This article will show you how to lock the period as well as the options for closing modules. Continue reading below to learn the steps!
How to Close a Single Module
To close a single module, go to the module you want to close and select the Close Financial Periods screen. In this example, we will close Accounts Payable for June 2021.
By selecting this check box, the Unreleased Documents button becomes available for selecting and you can review any documents that are unreleased in Accounts Payable. You will not be able to close the module until all documents are released, moved to a different period, or deleted.
If all documents are released, you will see this notification “There are no unreleased documents for the selected period or periods.”
If there are documents that are unreleased when you click the Unreleased Documents button, a report will be displayed, as shown below.
This means you will need to take care of the documents listed before closing the period.
We are now ready to close the period in Accounts Payable for June 2021. For example, I have the box checked next to the 06-2021 period and will now click Process.
The processing box will appear. You can click Close, and you will now see that the June period is gone from the list and closed.
To confirm that the June period for Accounts Payable is closed, I will go to the Finance Workspace and on the Master Financial Calendar screen, I can see Accounts Payable is closed for June 2021 as shown below.
How to Close All Modules at Once
To close the remaining modules for June 2021, or if you just want to close all the modules at one time, you will select the year on the Master Financial Calendar screen and select Close Periods.
It will then take you to the Manage Financial Periods screen. The Action will be Close, and the year will be indicated. You could also come to this screen directly if you prefer and make those selections manually.
You will check the box next to the period you want to close for all modules. This will enable the Unposted Documents button. You can click on this to confirm there are no Unposted Documents in any of the modules for the period you have selected. This operates the same as the Unreleased Documents button I showed above.
If everything is posted, you can click Process. A box will appear to let you know that you are going to close the modules listed. You can then click OK.
You will now see that the period of June 2021 has disappeared from the Manage Financial Periods screen.
How to Lock the Financial Period
To lock the period, you can select the year on the Master Financial Calendar screen and then select Lock Periods. It will take you to the Manage Financial Periods screen where the Action selected will be Lock and the year will be chosen. You can also come to this screen directly and make those selections manually.
In this example, we are going to lock January 2021 since we are sure we have no more entries for this period. You will select the check box next to the period you want to Lock. The Unposted Documents button becomes available and operates the same as mentioned above. You can click Process to lock the period.
How to Make a New Entry to a Locked Period
If you need to make an entry to a Locked Period, you can unlock the period if you have the Financial Supervisor Role. Go to the Manage Financial Periods screen, select the Action of Unlock and the year for the period. It will then display any periods that are available to be unlocked. For this example, we will Unlock January 2021.
To confirm the period is unlocked, go to the Master Financial Calendar screen, and select the year. Below you can see the period for January 2021 is now back to Closed.
An unlocked period goes from Locked to Closed and since you have the Financial Supervisor Role, you will be able to make the entry to the period. Once you make the entry to the period, you should Lock the period again.
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