QuickBooks tip: Understand and use the Closing Date feature
When we’re talking about setting up “best practices” within QuickBooks, one of the best tips is knowing the effective use of the closing date feature, according to QuickBooks expert Scott Gregory.
Buried under the Company option in the menu bar, the Set Closing Date option will be your best friend in the future – that’s for certain.
The Set Closing Date option is designed for one critically important role – to keep your staff from posting entries into closed accounting periods. It’s a bad deal when you discover that prior period financial reports have changed because somebody posted an entry in a closed period.
Closing date feature in QuickBooks
KEY REMINDER: The Set Closing Date feature does not automatically advance – you will want to get in the habit of manually advancing the date when each month is officially closed.
BONUS TIP: If you are in a multi-user environment of QuickBooks, be absolutely certain that you set a password as part of the closing date process. And do NOT share this password with anyone – or you will likely come to regret it.