Fiscal year end/begin

[Satish Vijayan]

Friends -

I'm trying to find a Year-End Check list for iDempiere.

Is there a list somewhere out there?

Some questions about best practices and tasks

• Provisioning entries to be posted in 13th period and reversed in Period 1 of the subsequent year? Or would you post this to the 12th period
• Depreciation entries - do we run this annually, or bi-annually (community question), monthly? I know this is a contextual choice, but what do people generally do here?
• Audit adjustments / opening balances - how do these flow through to the subsequent year? On a related note - Starting a new fiscal year - does this happen automatically, or do we need to create a new calendar year? 

If there is an existing conversation that I've not been able to find - apologies in advance - please do point me towards the Wiki / group page.

Rgds

[Carlos Antonio Ruiz Gomez]

Hi Satish,

I think that list is:
- country specific
- implementation specific (like if using Perpetual Accounting)

So, I think is difficult to find a generic list.

Regards,

Carlos Ruiz

--

[shiju01]

Hi

This is specific to India. You might get many resources / similar code written for Openbravo if you do a google search with "openbravo india localization"
It will not directly apply to iDempiere but after applying your mind and some trimming most of it will be a straight fit

[Satish Vijayan]

I was more interested in what has to be done within iDempiere. For instance is a new Fiscal year automatically created? Or do we have to add a new fiscal year?

Do balances roll forward to this new fiscal year - is this done as a 'soft' roll forward using reporting, or do we need to load opening balances manually?

[Syed]

Hi Satish,

1. New fiscal year has to be created manually.

For all the accounts in iDempiere, the closing balance of the previous year will be the opening balance of the current year automatically.

During the year end, adjustment entries have to be posted to make the opening balance right for the new fiscal year.

2. Usually for the year end,  Expense and Revenue Accounts' closing balance will be posted to Profit and Loss Account (Retained Earnings) so that these Expense and Revenue type of accounts will have zero opening balance for the new fiscal year.

3. For the new fiscal year, only Balance Sheet type of accounts (Asset, Liability & Owner's Equity) will have opening balance.

Adjustment entries are posted in year end for the Balance Sheet type of accounts if required,

For 2 & 3, you have to use GL Journal.

More info on http://wiki.idempiere.org/en/NF2.1_Improve_Accounting_Adjustment_Periods

Mostly Accountant knows what to do with 2 & 3.  If really required, you have to help him in this regard.

Regards,

Syed.

[Satish Vijayan]

Thanks Syed.

I think, since we are creating a new c_year, c_periods - I would assume that balances (Balance Sheet) don't carry over? 

Or is there a job that posts Balance sheet opening balances over to the chronological subsequent period? I was unable to see a logical link between period 12 closing balance and period 1 opening balance.

Rgds

[Syed]

All the debit and credit entries (Accounting Facts) are posted to Fact_Acct table. Check Accounting Fact Details window to see the posted entries.

This Fact_Acct is a simple and straight forward table which keeps only the debited/credited amount against Account Combination without period closing balance.

Only in the financial statements, Opening Balance of the specified period are calculated on the fly. Hence, the balances will be carried forward only in the statement.

Just check financial reports which are already configured in demo https://test.idempiere.org/webui/

To write your own Financial Report, refer http://www.adempiere.com/Financial_Report_Writer

[Satish Vijayan]

Great, thanks!