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- Steps for month-end close process:
- Balance your cash account to match bank statements.
- Keep accurate expense records.
- Manage due payments.
- Track supplier payments.
- Monitor inventory and asset value.
- Review accumulated tax liabilities.
- Calculate employee compensation.
- Manage bank loan payments12.
Learn more:✕This summary was generated using AI based on multiple online sources. To view the original source information, use the "Learn more" links.What is a month-end closing process checklist?
- Balance your cash account Ensure that your cash balance matches the bank statements, and check if there are any discrepancies or undeposited funds.
- Keep accurate expense record
www.highradius.com/resources/Blog/what-is-mont…Steps to Complete the Month End Close Process
- Step 1 – Record Monthly Expenses and Income
- Step 2 – Update Accounts Payable and Accounts Receivable
- Step 3 – Prepare Account Reconciliations
- Step 4 – Check Your Petty Cash Fund
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- 1. Lack of centralized repository of data
If the financial documents required for the month-closing process are stored in different locations, it will be cumbersome to access them quickly. So, a centralized repositoryis recommended to ensure the smooth collection of data. - 2. Errors in spreadsheets and other manual records
If everyone has access to the reconciliation documents it will be difficult to keep the work error-free when changes are made in an unorganized manner. Having a system where only authorized employees are allowed to access the documents is essential.
- 1. Lack of centralized repository of data
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