I have been asked to input Journals (to be dated 31/03/2011) to correct y/e for our previous trading year (2010/2011) which has been closed, before I input journals and close current year (2011/2012) I am using Sage 50 and am not sure how to do this. Can anyone help?
(I apologise if this has been asked many times before)
What is it you are not sure about....how to input journals?. Has the accountant given you a list of journals to input?
I'm assuming that the 2010/2011 year end has not yet been run on Sage and that these journals are needed before you run that year end and then you are to input journals before running the current 2011/2012 year end.
Pauline they must have run the 2010/11 year end as they are currently in 2011/12 as the say
PookiePie wrote:
before I input journals and close current year (2011/2012)
Basically it seems you want to update the 2010/11 balances to tie in with the final accounts before your close down the current year (2011/12).
To do this you need a list of journals from your accountant to input and date as 31 March 2011. You then run your brought forward TBL in 2011/12 and confirm the opening balances agree with their accounts.
Alternative is you dont put it through, give your accountant the 2011/12 final back up before you close down and let them sort it out when preparing the 2012 accounts. They will just need to post a transaction TBL for the year on top of their opening balances at the start of the year.
You'd just input them as usual (Nominal - Journals) with a date of 31/03/11. You'll probably get a warning that this is outside your current financial year, but just Ok it and Save. Then you run your Brought Forward TB as Mark said and check it agrees with the accounts from the accountants.
Pauline
-- Edited by Stardoe on Sunday 10th of June 2012 08:42:35 PM
Even though you have run the year end procedure at 31st March 2011, that does not stop you enteringjournals dated 31st March 2011 today.
All that will happen is Sage will warn you that the journal transaction date is outside the current financial year but you continue.
Once the journal has been entered to adjust the TB that you year ended some time ago to the final TB produced by your reporting accountant, you should run the TB brought forward and check (at the least) that the Revenue Reserves brought forward at 1st April 2011 match the figure in the Balance Sheet as per the Financial Statements for the year ended 31st March 2011.
You are then in a position where the balances at 31st March 2011 are correctly reflected in Sage, which in turn means that you are also in a position to perform the Sage accounts year end procedure at 31st March 2012. (that, in my opinion should have been done as soon after the year end as was possible in order to be able to produce management accounts for the current year i.e year ended 31st March 2013)
One thing to note......Off the top of my head, I believe that if the journals affect expense accounts, they will play havoc with your current year even if you correctly choose the correct date in the prior period.
I believe that they will appear in your current year TB if posted to the expense accounts in question. I would normally post the expense side of the journal (for a closed period) directly to 3200 'P&L Account' and keep a good record of adjustments/journals made.
