[GL] Using Adjustment Period Entries in Journal Transaction Batches

The Adjustment Period Entries option in GL Journal Transaction Entry allows you to record year-end adjustments without affecting your standard Trial Balance reports.

This feature effectively creates a 13th accounting period, used exclusively for year-end closing adjustments that can be included or excluded from financial reporting as needed.

Steps to Create and Manage Adjustment Period Entries

Step 1: Access the Journal Transaction Entry Form

1. Navigate to: General Ledger > Programs > GL Journal Transaction Entry
2. Create or open a new batch.

Note: The Adjustment Period Entries checkbox is only available when the batch month is set to the Fiscal Year End month. For all other months, this checkbox will appear grayed out.

Step 2: Enable Adjustment Period Entries

• When prompted during batch creation for your Fiscal Year End month, check the box labeled “Adjustment Period Entries.”
• This designates the batch as a Year-End Adjustment Batch.
• Entries posted here will not automatically appear on your standard Trial Balance unless explicitly included.

Step 3: Enter Adjustment Transactions

1. Enter all required adjusting journal entries (e.g., accruals, corrections, or closing adjustments) as you would for a normal batch.
2. Save and close the batch once all entries are complete.

Step 4: Update Beginning Balances

• Run the following process to update balances: GL > Programs > GL Beginning Balance Update
• This ensures that your adjustments are reflected in your General Ledger accounts.

Step 5: Verify Entries on the Trial Balance Report

• Run the GL Trial Balance report to verify your adjustments.
• On the Trial Balance launch screen, use the checkbox: Include Year-End Adjustments?
• Checked: Includes the Adjustment Period Entries.
• Unchecked: Excludes them for reporting flexibility.

Using the Adjustment Period Entries option provides a clean and professional way to manage year-end adjustments without affecting regular period reporting.

It allows accounting teams to:

• Maintain clear separation between operational and year-end entries.
• Easily control visibility of adjustments in financial reports.
• Support accurate and compliant year-end financial reporting.