1. Flexgen Fiscal Year-End Closing
2016 Resource - FG Fiscal Year End
Flexgen Fiscal Year-End Closing
Local Government Corporation
Resource 2018

2. Fiscal Year-End Closing
General Overview
Clean up and correct current fiscal year data
Ensure all current year accounting activity has been processed
Make entries in preparation for next fiscal year
Close the PO File (if applicable)
- Make Pre-Closing Backup
Close the month of June- Make Mid-Closing Backup (recommended)
Close the fiscal year - Make Post-Closing Backup

3. Clean up Current Fiscal Year Data
Fiscal Year-End Closing
Clean up Current Fiscal Year Data
Things to look for -
- Over expenditures that need budget amendments
- Payables & receivables from prior fiscal year that need adjusting
- Miscellaneous posting errors that need correcting
- “Due to” and/or “Due from” accounts
Some Red Flags are -
- Liability accounts with debit balances (balance sheet report)
- Asset accounts with credit balances (balance sheet report)
- Expenditure accounts greater than 100% of budget (expenditure report)
- Liability accounts with left over pennies (balance sheet report)

4. A Problem Balance Sheet
Fiscal Year-End Closing
Miscellaneous posting errors
(Cost center?)
Odd debit balances
Leftover pennies
Major Problem

5. Fiscal Year-End Closing
Trial Balance Problem
The ending balance grand total at the bottom right should always be 0.00 P

6. Fiscal Year-End Closing
Over Expenditures?

7. Posting Errors? Should there be YTD activity if nothing is budgeted?
Fiscal Year-End Closing
Posting Errors?
Should there be YTD activity if nothing is budgeted?

8. A favorite report displaying potential budget problems
Fiscal Year-End Closing
A favorite report displaying potential budget problems
The following screen shows you where to get the above report

9. Fiscal Year-End Closing
Where to get GL detail
Fiscal Year-End Closing
This is how to access the GL Detail Listing report from the Reports menu

10. Ensure all current year accounting activity has been processed
Fiscal Year-End Closing
Ensure all current year accounting activity has been processed
Are there any entries needed to Reserve Accounts?
NOTE: The GASB54 Balance Sheet will not print during the year end closing
Reprint reports to verify corrective entries had the desired effect?
Clean up PO file (if applicable)
Have all current year PO’s been entered?
Are there partially liquidated PO’s that need liquidating?
Do current year PO totals match Current Year Encumbrance Control?
Any prior year PO’s that need liquidated?

11. Purchasing - Fiscal Year End
2016 Resource - FG Fiscal Year End
Fiscal Year-End Closing
Purchasing - Fiscal Year End
Update Year To Date Totals
Clears and updates the fiscal year to date totals on the vendor activity screen.
It should be run by entering July 1 of the NEW fiscal year and June 30 of the NEW fiscal Year
07/01/2017
Before running Year End PO Closing you might want to run the PO Balancing Report (if applicable)
06/30/2018

12. Purchasing - Fiscal Year End
Fiscal Year-End Closing
Purchasing - Fiscal Year End
If your PO’s are making encumbrance entries to the ledger, the PO Balancing Report is a very useful tool to help troubleshoot PO problems.

13. The PO Balancing Report
2016 Resource - FG Fiscal Year End
Fiscal Year-End Closing
The PO Balancing Report
This is an example of a PO Balancing Report that is in balance
Outstanding PO’s & YTD Enc amounts equal
There are no conflicts between the PO totals & amounts posted to the GL
Outstanding PO Amount is what shows on the Purchasing side. The Year To Date Encumbrances is what shows on the GL side. =

14. The PO Balancing Report
2016 Resource - FG Fiscal Year End
The PO Balancing Report
This is an example of the PO Balancing report showing out of balance by $ on the GL account
The po was added (EC entry) in June (Current FY) and partially liquidated (PO entry) in July (New FY)
The po should have been liquidated in June since the PO file has not been closed.
Calculated differences should be corrected before closing the PO file
The EC entry for the PO was in the current fiscal year. But the PO entry (liquidation) for $ was dated July for the new fiscal year. This makes both fiscal years out of balance for this account by $ Because the current fiscal year is missing the PO entry and the new fiscal year is missing the EC entry. You should not change or liquidate any po in the new fiscal year (July) that was added in the current year (June or before)until you close the PO file. The top PO Balancing report will be for current year for all outstanding accounts and the bottom PO balancing report will be for new year.
Future Posted Encumbrances will show entries that have hit the GL for the New Fiscal year

15. The PO Balancing report
2016 Resource - FG Fiscal Year End
The PO Balancing report
This is an example of the PO balancing report after correcting the calculated difference for $ before closing the PO file.
After closing the PO file the outstanding po amt is blank. This is because the PO’s are no longer considered current year. They have become prior year po’s because the PO file was closed.
Once you close the PO file the Outstanding PO amount will show blank for current year totals. Because the Po’s have been rolled to Prior Year. The Year to Date Encumbrances will show what the GL has. And Calculated Differences should be the same totals as Year To Date Encumbrances. Future posted encumbrances mean there has been a change, add or delete on a po in the new fiscal year. Once the po file is closed the po’s are rolled to The outstanding po detail by account report will reflect this.

16. Fiscal Year-End Closing
Cleaning up the PO File
Cleaning up the PO file only needs to be done if your PO’s are making entries to the ledger
If you are satisfied that all outstanding PO’s are valid
And
No additional PO’s for the current fiscal year need to be entered
Then you are ready to close the PO file
Closing the PO file makes the necessary GL entries to roll current year encumbrances to Prior Year encumbrances

17. Before Closing PO File You May . . .
Fiscal Year-End Closing
Before Closing PO File
You May . . .
Enter PO’s dated June
Enter PO’s dated July
Print checks dated June on June PO’s
Print checks dated July on July PO’s
All entries will post to Current FY
All entries will post to New FY
You must not print checks dated July on June PO’s
Why ?
Checks will post to New FY but PO’s are encumbered against Current FY

18. After PO file closed but before year end closing
Fiscal Year-End Closing
After PO file closed but before year end closing
You may . . .
Enter PO’s dated June – but you must run Update Year End
PO Closing option
Enter PO’s dated July
Print checks dated July for July PO’s
Print checks dated June - as long as it’s not attached to ANY PO’s
You must not print checks dated June attached to ANY PO’s
Why ?
All PO’s are now “Prior Year” PO’s but June checks are Current FY

19. After PO file closed but before year end closing
2016 Resource - FG Fiscal Year End
Fiscal Year-End Closing
After PO file closed but before year end closing
After Closing the PO File you may enter more June PO’s
but
You must run the Update Year End PO Closing option (it may be ran multiple times)
It only updates the PO’s entered since running the original Year-End PO Closing option
You will get a error message PS81-PSF200 Pos have already been closed for this fiscal year. After adding PO, run ‘Update Year end PO Closing’ OK.

20. Once the Year-End is Closed
Fiscal Year-End Closing
Once the Year-End is Closed
Business as usual * all Checks & PO accounting entries will be posted to New FY

21. Before beginning the Year End Process A few Reminders
Fiscal Year-End Closing
Before beginning the Year End Process A few Reminders
Be sure internet is working in case you need support
No one should be processing ANY work while you are closing June or Year End
Make sure you have needed supplies, toner, printer ribbons, 2-part paper, paper pre-punched holes, backup media, etc.

22. 2016 Resource - FG Fiscal Year End
Fiscal Year-End Closing
Reminders . . .
1. Pre Year-End Backup (daily) 2. Mid Year-End Backup (daily) 3. Post Year-End Backup (Daily)
Daily backup usually consists of FG4 and Files

23. Reminders... You may want to check your accounting date
Fiscal Year-End Closing
Reminders...
You may want to check your accounting date
To do this go to . . .
Accounting,
File Handler,
File Maint.
System Maint.
Accounting Parameter Maint
Be sure the “Accounting Date” is June

24. Fiscal Year-End Closing
Reminders. .
Check the Update Budget File at Year-End on the Accounting parameter.
More customers prefer this to be set to NO. Setting to ‘NO’ allows you to determine when prior year totals are updated to the budget handler.

25. Beginning the Year End closing process
Fiscal Year-End Closing
Beginning the Year End closing process
Before beginning the Year End Closing Process be sure to load the Year-End update from LGC
Make “Pre Year-End Closing Backup” (daily) Close month of June – This is the same Process for closing any other month

26. Month End Closing - June
Fiscal Year-End Closing
Month End Closing - June
Selecting the option to close June prompts a reminder to run the depreciation process

27. Month End Closing - June
Fiscal Year-End Closing
Month End Closing - June
The month end closing for June is the same process as closing any other month
Process the 4 steps in sequence

28. Year-End Closing Process
Fiscal Year-End Closing
Year-End Closing Process
After closing June
Make “Mid Year-End Closing Backup” (Daily)
Copy Files to Work Directory

29. Year-End Closing Process
Fiscal Year-End Closing
Year-End Closing Process
If you attempt to enter the Year End Closing option without completing this process you will be presented with the following error message . . .
Click OK then go back and select the option to Copy Files to Work Directory

30. Year-End Closing Process
Fiscal Year-End Closing
Year-End Closing Process
After running the Copy files to work directory for each file set you have. You will receive the message below.
If you receive any error messages in this process – STOP – call LGC support !
This option needs to be ran for each set of files you have.

31. Year-End Closing Process
Fiscal Year-End Closing
Year-End Closing Process
Process the steps in order
It is permissible to run June closing & Year End closing on consecutive days
As long as No transactions are posted in the interim

32. Year-End Closing Process
2016 Resource - FG Fiscal Year End
Fiscal Year-End Closing
Year-End Closing Process
Step 6. Point of No Return!
Once this step is started you cannot restart the closing process without reloading a backup
It is step 5 for Cities.

33. Post Year-End Closing Process
Fiscal Year-End Closing
Post Year-End Closing Process
After running all steps of End of Year Process
make “Post Year-End Closing Backup” (Daily)
Compare June 30 Trial Balance that printed during Month End to the Trial Balance that printed during Year End. Make sure balances rolled correctly

34. 2016 Resource - FG Fiscal Year End
Fiscal Year-End Closing
GASB54 Accounting
The GASB54 balance sheet will not print during the year end closing. GASB54 accounting will be maintained in a data directory, separate from your regular set of data files.
The GASB54 accounting process can be ran anytime after the fiscal year end process has been completed.
Detailed instructions for GASB54 processing are posted on our web site

35. 2016 Resource - FG Fiscal Year End
Fiscal Year-End Closing
GASB 63
New Account Types added to Balance Sheet
New Asset Group Deferred Outflows of Resources
New Liability Group - Deferred Inflows of Resources
To be expressed as
Assets + Deferred Outflows = Liabilities + Deferred Inflows Or
Assets
+     Deferred outflows of resources -      Liabilities -      Deferred inflows of resources
=     Net position

36. 2016 Resource - FG Fiscal Year End
Fiscal Year-End Closing
GASB 63
New Asset Group - Deferred Outflows of Resources
ACCUM DEC IN FAIR VALUE OF HEDGING DERIVITIVES
DEFERRED LOSS ON SALE-LEASEBACK
DEFERRED CHARGE ON REFUNDING

37. 2016 Resource - FG Fiscal Year End
Fiscal Year-End Closing
GASB 63
New Liability Group - Deferred Inflows of Resources
ACCUM INC IN FAIR VALUE OF HEDGING DERIV
DEFERRED GAIN ON SALE-LEASEBACK
DEFERRED TAXES RECEIVED IN ADVANCE
DEFERRED CURRENT PROPERTY TAXES
DEFERRED DELINQUENT PROPERTY TAXES
DEFERRED GRANTS RECEIVED IN ADVANCE
DEFERRED SERVICE CONCESSION ARRANGE RECE
DEFERRED CHARGE ON REFUNDING
OTHER DEFERRED/UNAVAILABE REVENUE

38. Changes to Fund Balance
2016 Resource - FG Fiscal Year End
Fiscal Year-End Closing
Changes to Fund Balance
July to June:
34120-Reserved for encumbrances
34990-Reserved for other general purposes
39000-Undesignated Fund Balance`
Copy Files for GASB reporting to a secondary data directory
GASB 54
34200-Nonexpendable
34500-Restricted
34600-Committed
34700-Assigned
34900-Unassigned
The redistribution will be through the posting of a journal entry. As you can probably gather, the key step is the preparation of the entry.
Journal Entries to Restate Equity Balances

39. 2016 Resource - FG Fiscal Year End
Fiscal Year-End Closing
GASB 54 Accounting
The Copy Files to Work Directory prepared your system to continue with the GASB54 reporting process
This step was selected before you started the fiscal year end process. You will not need to select it again.

40. 2016 Resource - FG Fiscal Year End
Fiscal Year-End Closing
GASB 54 Accounting
A previous release created:
Login GASB54
password - REPORTS
Close GASB54 GL Accounts can only be run once
Optional - Purchasing Closing Entries Report shows amounts rolled to Prior Year Encumbrance
GASB54 Closing Balance Sheet shows balances as of June 30 closing

41. 2016 Resource - FG Fiscal Year End
Fiscal Year-End Closing
GASB 54 Accounting
Manual Transaction allows you to enter transactions to move amounts from Undesignated Fund Balance to the various Restricted categories prescribed by GASB54 rules

42. 2016 Resource - FG Fiscal Year End
Fiscal Year-End Closing
GASB 54 Accounting
Standard Reports are the same as before however it allows you to print modified reports for GASB54 reporting after manual transactions have been made to various reserve accounts

43. Post Year-End Closing Process
Fiscal Year-End Closing
County Trial Balance
Ending balances for Asset and Liability accounts should roll to the July 1 beginning balances
The balance in the Fund Balance Account reflects the net difference between Revenues/ Expenditures, Prior Year Encumbrances, and Reserve Expenses For Prior Year

44. Post Year-End Closing Process
Fiscal Year-End Closing
Post Year-End Closing Process
County Trial Balance
Balances from Revenues and Expenditures close into the Fund Balance account. The Current Yr Expenditure and Revenue Control accounts always begin the fiscal year with a zero balance (they never roll to the next fiscal year)
Only Beginning Balances will show on this report (no July entries)

45. Post Year-End Closing Process
Fiscal Year-End Closing
City Trial Balance
Ending balances for Asset and Liability accounts should roll to the July 1 beginning balances
The balance in the Fund Balance Account does not roll. It reflects the net difference between Revenues and Expenditures

46. Post Year-End Closing Process
2016 Resource - FG Fiscal Year End
Fiscal Year-End Closing
Post Year-End Closing Process
Balances from Revenues and Expenditures close into the Fund Balance account.
These accounts always begin the fiscal year with a zero balance (they never roll to the next fiscal year)
City Trial Balance
Only Beginning Balances will show on this report (no July entries)

47. Year-End Closing Process
Fiscal Year-End Closing
Year-End Closing Process
Congratulations!
You have successfully completed the Year End Closing Process
If you have any questions, call LGC support