Finance staffers stressed out by year-end must-dos? Use this checklist to get them back on track

Year-end close is when many finance teams are vulnerable to burnout from a seemingly endless, high-priority to-do list of generating annual balance sheets, profit and loss statements and cash flow statements.

So if your year-end closing is this quarter, or if it’s almost here, and your people seem frazzled, this is a good time to huddle up, get status updates on important tasks and activities, re-prioritize the year-end timeline, if necessary, and get your team re-energized.

Here’s what you need to close the books on time with confidence and start the new fiscal year with accurate financials.

Not ready for fiscal year-end unless you’ve …

Compiled all outstanding invoices and receipts. If any documents are missing, the time to track them down is now. While it’s wise to budget sufficient time for delays and responses to reminders for submitting invoices and receipts, employees may need a refresher on what your requirements are. Bottlenecks in this year-end step get a lot of finance leaders thinking about automation software because of features like digital receipt capture that speed up the process and reduce manual data entry.

Reviewed asset accounts. To accurately report the value of all assets your company currently owns, cash accounts – including asset expenses and record adjusting entries – must be reconciled. If applicable, compare inventory accounts with your physical stock and review prepaid spend.

Reconciled all transactions. Do recorded transactions match credit card statements, bank statements, invoices and receipts? To get ready for any external audits, resolve any accounting discrepancies or errors and ensure that all items are appropriately classified in your accounting system.

Closed out accounts payable (A/P) and accounts receivable (A/R). Have all records of money coming in or going out been double-checked for accuracy? If not, compare the amounts received or paid against what’s been accrued. If there’s an outstanding balance, create adjusting entries for any uncollected or unpaid balances.

Accrued A/R. Have all outstanding receivables been listed as credits on the income statement and debits on the balance sheet? If not, generating an A/R report should help your team identify any overdue or collectible balances.

Accrued A/P. Have all unpaid debts been listed as liabilities or accrual expenses on the balance sheet? Double-check that all expenses have been recorded in the correct quarter.

Adjusted grants/entitlements. This one’s very easy to miss. Any grants or entitlements, including government contributions, special tax exemptions and private grants, that your business received during the fiscal year need to be recorded in your financial statements.