Debtors System - From the 1st day of the month through to the last day of month, normal flight transactions, invoice transactions and receipt input is done until last day of month when the debtors system processing is frozen until the end of month update has been completed.
Use the Debtors End of Month Check List to print the statements, labels and reports. The bank reconciliation should be completed before the accounts are closed off and updated. The end of month procedures usually take no more than 1-2 hours to close off then you can resume processing flights, transactions and receipts for the new month.
Creditors System - From the 1st day until approximately the 15th of the next month you should only be entering unpaid invoices that are dated for the previous calendar month. (The Creditor system runs somewhere 10 to 20 days behind the Debtors system). The Creditor system still enables you to input transactions for the new month (they will show as 'Next Period' transactions when you input them) while you are holding the previous month open waiting for outstanding invoices and statements from your suppliers.
Creditors System - When all outstanding invoices and statements have been received from suppliers and entered, print the required creditor reports and complete the Creditors End of Month Update
Creditors System - After roll over, the creditors active processing month will now match the debtors. Payments that were made/dated for the current calendar month should now be entered. Continue entering payments until the last day of the month then freeze payment input (unless you are entering next period cash purchases made early in the month).
Debtors System - Any loaded Schedules will begin reminding you at login that these need to be run some time during the month. Most of them can be run any time from this day up to the last day of the month.
Bank Account Reconciliation - After Creditors have been updated around the 20th you should try to catch up with the bank reconciliation and tick off as much as possible to reduce the last day work load. Finalise the bank reconciliation and verify GL figures (Debtors, Creditors and Bank Balance) before rolling the Debtors over.
Debtors System - Complete the Debtors End of Month Update as per the Debtors Checklist only when the Bank Reconciliation is correct.
General Ledger System - If you choose to use Datahawk General Ledger system to produce trading, profit and loss and balance sheets, then you would then use the GL functions to produce these reports by updating and posting the waiting GL journal batches.
This sequence then repeats....