Year-end guide for QuickBooks Online

Check when your accounting period starts.

1. Go to Settings , then select Account and settings.
2. Select Advanced.
3. In the Accounting section, select the First month of fiscal year ▼ dropdown, then select the month you start your fiscal year.
4. Select Save, then select Done.

Make sure your customer’s info is up to date.

1. Go to Reports (Take me there).
2. In the Find report by name ▼ dropdown, select Accounts receivable aging summary or Accounts receivable aging detail.
   Note: These reports are only available in QuickBooks Online Advanced, Plus, and Essentials.
3. Review the report and check for outstanding balances.
   Note: If you find outstanding balances, create and send a statement to the customer.

Clear any outstanding bank deposits from your deposit queue. Record and create bank deposits if there are still payments in the undeposited funds account. This helps you record all your payments in the correct bank register. 

Note: QuickBooks includes undeposited funds in the income. You still need to move the funds to the bank register that receives the payments or deposits.

Review your vendor account balances and check if you have any outstanding bills.

1. Go to Reports (Take me there).
2. In the Find report by name ▼ dropdown, select Accounts payable aging summary or Accounts payable aging detail.
   Note: These reports are only available in QuickBooks Online Advanced, Plus, and Essentials.
3. Review the report, then check for any outstanding bills.
   Note: You can make bill payments to settle any outstanding bills to your vendors.

Reconcile all your accounts monthly. This helps you get balanced and accurate data by year end.

Prepare to reconcile your accounts for the year end and understand the reconciliation workflow.

Run reports to identify issues and check for discrepancies. Here's how.

1. Go to Reports (Take me there), then select Management reports.
2. Select Create management report, then enter a name in the Management report name field. 
3. Fill out info as needed.
4. Select Reports and charts. 
5. Enter Balance Sheet in the Report ▼ dropdown. Then, select a date range in the Report period field.
6. In the Add ▼ dropdown, select Report. 
7. Enter Profit and Loss in the Report ▼ dropdown. Then, select a date range in the Report period field.
8. Select Save and Close.

Note: If your current net income doesn’t match what’s in your reports, here are the possible reasons and recommended solutions.

You can check and run other reports as needed. You can also create a management report to see how much you’ve made.

If needed, your accountant can help you distribute retained earnings among partners.

Set up an owner’s equity and draws account to track payments and withdrawals over the year.

Your accountant can help you with your year-end process. If you haven’t invited them yet, you can add your accountant to QuickBooks Online. This lets them prepare and file taxes on your behalf.

If needed, your accountant can review your accounts and reclassify transactions. They can also manage your transactions to help you organize your books.

After you review all of your financial data, you can close your books for the year-end. This prevents unwanted changes that may affect your reports before filing your taxes.