SAP Finance Year End Closing

Finance  year end process is a critical process and complex process. It is dependent on business processes, industries and geo operational environment  of a corporation. This list depicts various activities / steps for a year end process. All activities may not required for an entity.

  1. Execute Report for InterCompany Activity & Journal Entries
  2. Open posting period for next yr
  3. Run Business Area's Assignment report.
  4. Review list of recurring journal entries
  5. Execute Recurring Entries for A/R, A/P, G/L
  6. Process Parked A/R, A/P, G/L accounting documents
  7. Final Cutoff for the Maintenance of Fixed Asset- Add Transfer and Retire
  8. Run Depreciation in Test Run and post
  9. Verify Display Log for Depreciation Test Run
  10. Capitalize AUC Assets if needed
  11. Enter Payroll Data to SAP
  12. Verify Depreciation Balances  with GL balances
  13. Post Depreciation
  14. Execute Asset History Report, and retire assets if needed
  15. Adjust specific depreciation areas if necessary
  16. Reconcile AM subledger with GL
  17. Check Bank Data
  18. Review AR Open Items
  19. Review AP Open Items
  20. Execute Pending Invoices
  21. Clear Open Item for GRIR, freight
  22. Reconciliation of Financial Documents and transactional figures
  23. Open new CO Posting Period
  24. Compare current  (cost estimates) with last current price (Moving Avg)
  25. Update current cost price to material master price field.
  26. Process Freight charges, Match SD freight to actual
  27. Review Internal Order Postings
  28. Settle All Orders
  29. Verify All Post Goods Issue have been Invoiced (Billing Due List)
  30. Review SD Billng Doc from prior mth that have not yet been released to accounting
  31. Reconciliation of MM movements in Transit Intra-SAP to NonSAP
  32. Reconcile PI Inventory with SAP
  33. Perform Manual Adjustment if needed
  34. Verify balance of the GR/IR account
  35. Post Accruals and Deferrals
  36. Clearing of Cancelled Documents
  37. Check Profitability Segment Adjustment
  38. Aging Report-Reconcile GL balances with  subledger balances AP
  39. Check the check run numbers
  40. Bank reconciliation Data
  41. Enter Tax Journal Entry
  42. Reconcile GL balances with  subledger balances AR/MM/AP
  43. Display Balance Sheet Adjustments
  44. Post Balance Sheet Adjustments
  45. Post Foreign Currency Valuation (foreign exchange)
  46. Check generic cost centers for posting with wrong accounts
  47. Correct wrong postings on generic cost centers
  48. Check Validation dates for Cost Centers, Cost Elements, CO area
  49. Check COGI--for both month end and year end
  50. Doubtful receiviables
  51. Verify In-transist Inventory
  52. Reconcile PA to G/L
  53. Post Cost Centre Assessments and Distributions
  54. Run CO-FI Reconciliation to balance
  55. Run BW reports P&L and Balance Sheet
  56. Maintain CO yr variant
  57. Fiscal Yr Balance carryforward AP/AR/AM
  58. Fiscal Yr Balance carryforward CO
  59. Fiscal Yr balance carryforward FI
  60. Fiscal Yr balance carryforward PCA
  61. Set Document number ranges - FI - new year
  62. Set Document number ranges  AP/AR - new year
  63. Generate Financial statement Reports
  64. Change Fiscal Year For Assets
  65. Year end Closing-- Asset Accounting--final for year end
  66. Close CO Posting Period
  67. Close Prior A/R Posting Period
  68. Close Prior A/P Posting Period
  69. Close Prior MM Posting Perio
  70. Reverse accruals and deferrals for the new month
  71. Reconciliation of Financial Documents from old fiscal year and new fiscal year
  72. Load Balances, Budget Data for Cost centers, sales
  73. Update Retained Earning Account , balance carry fwd