Closing Your Fiscal Year in Millennium

Here is a basic outline of the procedures you need to follow in General Ledger to close the fiscal year.

Step 1.  Create any missing balance slots for both the current and the new fiscal years:

Select GL > Accounts > Maintenance.   Click on “Create Balances For” and enter the current fiscal year.   Click the “Process” button.  You’ll get a message that some balances already exist.  Proceed anyway.

Repeat this step for the new fiscal year  to add 14 more slots (including balance forward Period 0 and adjusting Period 13).

Step 2: Check the GL Default Accounts:

Go to Tools>Companies>Default Accounts.  Verify the following  account numbers:

Current Year Retained Earnings (The account for posting each month’s profit on the Balance Sheet;  e.g. 25500)

Prior Year Retained Earnings (The current year balance from the account above will automatically be moved to this account when you perform Step 6; e.g. 25400)

Profit (Loss) (Accumulator for each month’s profit.  This amount will be copied to Current Year Retained Earnings automatically when you print a trial balance with the “Post Profit/Loss”  option checked; e.g. 99900).

Step 3.  Make Year End Adjusting Entries:

Select GL> Process> Create JE’s.   Year end adjusting entries suggested by your accountant can be booked to “Month 13.”  When making these Journal Entries, enter 13 as the month.  In other areas of the system, they will appear as month AJE (Adjusting Journal Entries).  Month 13 (AJE) automatically falls after the last month of your fiscal year.

 

Step 4.  Post Profit and Close the Year:

Select GL > Financial Reporting. Run Trial Balance Summary (TBSUMM) for Month 13 (AJE’s)  Click on the options to Post Profit/(Loss) and Close Month.

Step 5.  Print Annual Financials

Select GL > Financial Reporting. Run the desired Year End financial statements (e.g., balsheet.glr and incstmt.glr).

Step 6.  Transfer Balances Forward to the New Year:

Select GL > Accounts > Maintenance.  Click on  “Transfer Balance Forward To” and enter the new fiscal year. 

Click the “Process” button. This will do two things:

a)       Roll your balances forward (for Balance Sheet accounts) to period 0 (zero) of the new fiscal year (from periods 0 through 13 of the old fiscal year), and

b)       Post your Current Retained Earnings to Prior Year Retained Earnings

Note:  You can reopen the prior fiscal year in Millennium, if necessary, by posting further adjusting activity.  In that case, you will need to repeat Steps 4 through 6 above after activity is posted to the prior fiscal year.