year end tips and tricks...year end tips and tricks questions 2 3 david gersten practice manager,...
TRANSCRIPT
Year End Tips and Tricks
Microsoft Dynamics GP
Invested. Prepared. Accountable.
Our Agenda
Introductions
Who is Dynamic Consulting
Year End Tips and Tricks
Questions
2
3
David GerstenPractice Manager, Sales & Strategy
@Dsgersten (Twitter)
US Vice President - IAMCP
Task Force Member - Voices for Innovation
Co-Chair - SoCal IT Roundtable
Co-Chair - Channel Marketing Alliance, DCI
GP PAC Member - Dynamic Communities
12 years in Dynamics Channel, 8 years in GP
Project Madeira Early Adopter – March 2016
Microsoft P-Seller (Previous) – Business Applications
Microsoft MVP, Business Applications
Practice Manager
@LifeHacks365com
Long Time ERP User and Fan!
20+Years of Accounting and ERP experience
Charlotte Regional Chapter Leader (2012-Present)
Charleston Regional Chapter Leader (2017-Present)
GPUG All-Star
Podcast Co-Host
Summit Planning Committee (2012-Present)
Podcast: http://MBSPodcast.com
Personal Blog: http://LifeHacks365.com
Company: http://DynamicConsulting.com
Shawn Dorward
Dynamic Consulting
David Gersten
Practice Manager, SMB Sales & Strategy
Jake Roder
Senior ERP Solution Consultant
Charlie Fink
CRM Practice Manager
Microsoft Gold Certified Partner
• 40+ Consultants across the US
• Founded in 2009
• 100+ Certifications
• HQ in Chicago with offices in New
York and Southern California
Jon Stypula
President
Marjorie Schmeerbauch
AX/D365FO Practice Manager
Shawn Dorward
Practice Manager, SMB Delivery & Strategy
8
Active in the Community
Our Vision
9
Invested. Prepared. Accountable.We fully invest in our clients’ business transformation, equipping our employees with the
training and knowledge to apply intelligent software systems through innovative consulting
services.
Invested. Every member of our team is genuinely passionate about applying intelligent
technology solutions to improve our clients’ operations, customer experiences and business
outcomes.
Prepared. Through established processes, deployment experience and technical expertise, we
will help clients envision and achieve their business transformation objectives.
Accountable. We present realistic and well-grounded scope, timeline and budget for every
project with full confidence to deliver on client expectations.
What we do
We won’t let you outgrow us
We use systematic processes to deliver excellent services
10
We use Business Applications to solve business challenges
Dynamics AX
Dynamics 365 Finance and Operations
Dynamics 365 Sales, Customer Service, Field Service, Project Services
Dynamics GP
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Azure
Office 365 Solutions
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13
Versions Supported:
GP2015
GP2016
GP2018
Follow Year End Blog Post from Microsoft!
https://community.dynamics.com/gp/b/dynamicsgp/posts/microsoft-dynamics-gp-
2019-year-end-blog-series-schedule
Year End Software Update!
News from Microsoft
15
The 2020 U.S. Payroll tax update (still waiting for tables to publish from IRS) but looking to release by 12/20/2019Watch this site for all your 2020 U.S. TAX changes including states
Follow this blog for all your year end needs for all modules, tons of tips and no need to talk to us!!https://community.dynamics.com/gp/b/dynamicsgp/posts/microsoft-dynamics-gp-2019-year-end-blog-series-schedule
Canada:
The T4127 release last week of all the changes.
Year End Software Update
Not JUST for Payroll!
Everyone should consider applying the update to
their system!
• New Features
• Bug Fixes
• Law Changes!
Year End Topics we will cover
Closing of Modules
Reconciliations
Payroll (W2’s)
Payables (1099’s)
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backup… Backup… BACKUP!!!!
19
System Database
Company Database(s)
Before AND after each
closing routine run.
Closing Checklist
Module Calendar Fiscal
Sales X X
Purchasing X X
Inventory X
Payroll X
Financial X
Fixed Assets X
Closing the Sales Module
Who should run this procedure?
• Use SmartList objects for Sales/Receivables
• Use Receivables Management summary reports
• Use Customer Summary window
When should this be run?
• Actual Date of Closing Type (Fiscal or Calendar)
• After all year transactions have been posted
• Before new year transactions are posted
What Options do I have?
• Closing is Optional
• Print Closing Report
• Close Calendar Only
• Close Fiscal Only
• Close Both at once!
What does it do?
• Updates Finance Charges YTD/LTD
• Updates YTD Summary Data for
Customer
• Updates Salesperson/Territory YTD/LTD
Reconcile to GL
Complete prior to closing the Financial Module!
Customer Maintenance
Great time to clean up
Customer list!
Bad Customer ID?
Multiple Customers ID’s for
Same Customer?
Write Off’s
In Bulk!
Customer Refunds
Closing of Tax Year (optional)
Close Tax Year? What does that mean?
Where: Administration >> Routines >> Company >> Tax Year-End Close
Use the Tax Year-End Closing window to close the tax year. Closing the tax year affects all the tax details you’ve
entered in Microsoft Dynamics GP. To protect the consistency and integrity of your records, we recommend that
you perform this procedure only once a year, after you’ve closed any sales and purchasing series years and
before posting any documents to the next year.
The main purpose of the Tax Year closing is moving the amounts from the current year column to the last year
column under the Tax Detail Maintenance window (Microsoft Dynamics GP menu >> Tools >> Setup >>
Company >> Tax Details), as closing the Fiscal Year doesn't move these amounts over.
GP Closing of Tax Year
What happens when I close the tax year?
When you close the tax year, tax information from the prior year is deleted;
be sure to make backups before closing the tax year. Even if you don’t want
to keep last years tax information, we recommend backing up your data. If
a system problem such as a power fluctuation occurs while you’re closing
the tax year, you’ll need to restore your data from a backup and begin this
procedure again.
Closing the Sales Module
Before you Start
• Enter and Post all current year
Sales Related Transactions
• Complete normal Month/Year
End Closing Process
• Create a Pre-Closing Backup
• 2019_SALES_Pre.bak (example)
Run the “Year-End Close” procedure
• Sales/Routine/Year-End Close
Close the Sales Calendar/Fiscal Year
Close Sales in Fiscal Year Setup
Make Another Backup
• 2019_SALES_FINAL.bak
Close Sales
Closing the Sales Module
Steps: Calendar Fiscal1. Post all sales & receivables transactions for the year. X X
2. Make a pre-year-end closing backup. X X
3. Close the year. X X
4. Close the fiscal periods. (This step is optional.) X X
5. Close the tax year. (Only if Payables is closed) X
6. Make a post-year-end closing backup. X X
Closing the Purchasing Module
Who should run this procedure?
• Use SmartList objects for Purchasing/Payables
• Use Payables Management summary reports
• Use Vendor Yearly Summary window
• Use ‘Amount Since Last Close’ View
What Options do I have?
• Closing is Optional
• Print Closing Report
• Close Calendar Only
• Close Fiscal Only
• Close Both at once!
What does it do?
• Updates YTD Summary Data for
Vendor
When should this be run?
• Actual Date of Closing Type (Fiscal or Calendar)
• After all year transactions have been posted
• Before new year transactions are posted
What it updates
Yearly Summary
SmartList Buckets
Reconcile to GL
Complete prior to closing
Financial Module!
Not needed to close
Module!
Vendor Maintenance
Great time to clean up vendor list!
Bad Vendor ID?
Multiple Vendor ID’s for Same
Vendor?
Do before running 1099s!
1099’s
NOT CONNECTED TO YEAR END CLOSE!
Year End Software update COULD have changes needed for
proper handling!
Based on payment date!
1099’s
Use SQL View to audit 1099 Vendors and totals!
https://lifehacks365.com/2017/12/18/1099-year-end-edit-sql-view-for-dynamics-gp/
42
Modify Vendor/Transactions 1099 Type
Purchasing > Utilities > Update 1099 Information
Use the Update 1099 information window to modify tax
type or 1099 statement box numbers for a range of
vendors, 1099 transactions, or both.
In addition to modifying the tax type from one type to another, you can also change the type from a non-1099
vendor to a 1099 vendor and vice versa, This is helpful,
for example, when you add a new vendor record, but the
vendor doesn’t provide their Tax Identification Number
until later. This way, you can change the vendor record and the transactions that have already been entered at the
same time.
Edit 1099 Transaction Information
Use the Edit 1099 Transaction
Information window to
modify 1099 amounts or
change 1099 tax types for a
group of transactions for one
vendor. When you process the
changes, the transactions are
updated in the Open and
History tables.
Purchasing > Transactions > Edit 1099 Transaction
Edit 1099 Period Totals
Use the 1099 Details
window to view or change a
vendor’s 1099 transaction
amounts for a period or
calendar year.
Purchasing > Cards > 1099 Details
Print 1099’s
Encumbrance Balance Transfer
Where Purchasing >> Routines >> Year End Encumbrance Transfer
2020
2019
Close Purchasing
Purchasing > Routines > Year-End Close
Closing the Purchasing Module
Steps: Calendar Fiscal
1. Post all transactions for the year. X X
2. Print the Aged Trial Balance with Options report. X
3. Print the Vendor Period Analysis Report. X
4. Install the Payroll year-end update (optional)* X
5. Make a backup that is named "Pre-1099 Edits.“(optional) X
6. Verify the 1099 information and edit it if it is required.
(optional) X
7. Print the 1099 statements. (optional) X
8. Make a backup that is named "Pre Year-End." X X
9. Close the year. X X
10. Close the fiscal periods. X X
11. Close the tax year. (Only if Sales is Closed) X
12. Make a backup that is named "Post Year-End." X X
Closing the Inventory Module
Who should run this procedure?
• If you use the Inventory Module
• Use Annual Quantity Summaries
• Cards/Inventory/History
• Reports with ‘Year’ Dependencies
When should this be run?
• Inventory is a fiscal year closing
• After all fiscal year transactions have been posted
• Before new fiscal year transactions are posted
Why should this be run?
• Updates Yearly Quantity Summaries
• Zeroes out beginning year amounts
• Update beginning year quantities
What Options do I have?
• Remove Discontinued Items
• Remove Sold Lot Attributes
• Remove Sold Receipts/Cost Change History
• Update Item’s Standard Cost
Closing the Inventory Module
Before you Start
• Enter and Post all current year Inventory
Related Transactions
• SOP/POP/Inventory!
• Create a Pre-Closing Backup
• 2019_INV_Pre.bak (example)
• Reconcile
• SOP
• POP
• Inventory
Physical Inventory/Stock Count
Post Inventory Adjustments
Print/Save Year End Reports
Report Path
Stock Status Report Inventory >> Reports >> Activity
Purchase Receipts Report Inventory >> Reports >> Activity
Turnover Report Inventory >> Reports >> Analysis
Transaction History Report Inventory >> Reports >> History
Serial Number List Inventory >> Reports >> Serial/Lots
Lot Number List Inventory >> Reports >> Serial/Lots
Closing the Inventory Module
• Make Another Backup
• 2019_INV_MID.bak
• Run the “Year-End Close” procedure
• Inventory/Routines/Year-End Close
• Close the Inventory Fiscal Year
• Make Another Backup
• 2019_INV_FINAL.bak
Inventory Closing Options
Discontinued Items
Mark this option to remove the records for discontinued items that have been
completely sold. Items assigned the discontinued item type will be removed from
the item records during the year-end closing process, unless there are quantities of
the item, or one of the following is true:
• The item is assigned to a kit.
• The item is a component of a bill of materials.
• The item has one or more bills of materials of its own.
Inventory Closing Options
Sold Lot Attributes Option
Sold lot attributes is the information that you might have kept for items tracked by lot
numbers—for example, if you track the expiration dates for items tracked by lots. In this
case, deleting the sold lot attributes would remove the information about the expiration
dates of the sold items.
Inventory Closing Options
Sold Receipts Option
Sold receipts are records of items that have been both received and then sold. Cost
change information is saved to history when the standard cost is changed for a LIFO
periodic item or a FIFO periodic item, or when the current cost is changed for an average
perpetual item.
Inventory Closing Options
Items Standard Cost Option
Mark this option to update the standard cost of items if you're using either the FIFO
periodic or LIFO periodic valuation method. If you choose to update the standard cost,
the standard cost of items will be adjusted automatically to the current cost.
Closing the Inventory Module
Steps: Calendar Fiscal1. Post all transactions for the year. X
2. Reconcile inventory quantities. * Do in Test first X
3. Complete a physical count, and then post any adjustments. X
4. Print additional reports. X
5. Make a backup. X
6. Close the year. X
7. Close the fiscal periods for the Inventory series (optional). X
8. Make a final backup. X
Closing the Payroll Module
Who should run this procedure?
• If you use the Payroll Module
• Tracking Employees for ACA
When should this be run?
• After the last payroll of the calendar year has
been processed and posted.
• Before the first payroll of the new calendar year
has been processed.
Do I need to install the year end update?
• Yes!
• Installing the year end SOFTWARE update is not
anchored to timing and can be done as soon as it is
released by Microsoft.
When do I apply the tax table changes?
• The tax table changes MUST be applied after the last
payroll of the old year, and before the new payroll of
the new year.
Year End Update
SOFTWARE UPDATE
Does NOT need to be installed after your
last payroll is run
**Make sure 2019 Tax Rates are still in
place**
TAX RATE UPDATE
Must be updated AFTER last payroll of 2019
but before first payroll of 2020
Closing the Payroll Module
• Enter and Post all current year Payroll
Related Transactions
• Run any Reporting that you need for
the current year
(Monthly/Quarterly/Annual)
• Create a Pre-Closing Backup
• 2019_UPR_Pre.bak (example)
• Install Year End Software Update*
• Verify that the 2019 Current Tax Rates
are in place
• Create the Year End Wage File
• Create Pre W2 Edit Backup
• 2019_UPR_PreW2.bak
Verify W2 Information
Edit W2 Information (if needed)
Verify 1099R Information
Edit 1099R Information (If Needed)
Create Post Closing Backup
• 2019_UPR_Post.bak
Apply Tax Table Update
GP Payroll Life Hack
ACA Review using Free Tool from
Integrity Data
Use this free tool to help Payroll
teams evaluate ACA data!
Email: Thomas Franz
Tell him Shawn sent you!
GP Payroll Life Hack
Review W2 and 1095’s Early/Often!
Don’t wait!
You can run your year end wage file over and over again!
Run it early and start reviewing your 1095/W2 edit list!
Make a list of changes that need to be made.
Be sure to run one final time after last payroll
Make the changes you’ve already identified earlier
Tax Code
How to apply current tax codes?
https://lifehacks365.com/2018/01/19/how-to-apply-the-
payroll-tax-updates-dynamics-gp/
64
GP Payroll Life Hack
SQL VIEW FOR YEAR TO DATE HOURS
USE [TWO] -- Replace TWO with your Company Database Name
GO
SET ANSI_NULLS ON
GO
SET QUOTED_IDENTIFIER ON
GO
CREATE VIEW [dbo].[HoursWorkedByYear]
AS
select YEAR1,EMPLOYID,SUM((MTDHOURS_1+MTDHOURS_2+MTDHOURS_3+MTDHOURS_4+ MTDHOURS_5 + MTDHOURS_6 + MTDHOURS_7 + MTDHOURS_8 + MTDHOURS_9 + MTDHOURS_10 + MTDHOURS_11 + MTDHOURS_12)/100) as YTDHOURS
FROM dbo.upr30301
where PYRLRTYP='1'
group by YEAR1, EMPLOYID
go
grant select on [HoursWorkedByYear] TO DYNGRP
GP Payroll Life Hack
SQL VIEW FOR YEAR END WAGE SMARTLIST
https://lifehacks365.com/2017/10/06/year-end-payroll-data-sql-view-for-dynamics-gp/
GP Payroll Life Hack
Print W2’s?
Dynamics GP 2016 R2+ now includes the form graphics
for W2s.
Eliminate the need to purchase preprinted forms!
Where: HR/Payroll/Routines/Print W-2s
Closing Payroll
Updates W2 buckets
Uses Tax Code on System
Can be done multiple times
Edit W2/1099-R changes get
replaced when running this
process!
Closing the Payroll Module
Steps: Calendar Fiscal
1. Verify that you have installed the latest 2019 payroll tax Table update X
2. Complete all pay runs for the current year X
3. Complete all month-end, period-end, or quarter-end procedures X
4. Make a backup of the original file X
5. Install the Year-End Update * X
6. Create the Year-End file X
7. Make a backup of the new file X
8. Verify W-2 and 1099-R statement information X
9. Print the W-2 statements and the W-3 Transmittal form X
10. Print the 1099-R forms and the 1096 Transmittal form X
11. (Optional:) Create the W-2 Electronic file X
12. (Optional:) Archive inactive employee Human Resources information X
13. Set up fiscal periods for 2019 X
14. (Optional:) Close fiscal periods for the payroll series for 2019 X
15. Install the payroll tax rate update for 2020 X
Closing the Financial Module
Who should run this procedure?
• Companies that are ready to close the
accounting year and mark it as historical
When should this be run?
• When all other modules are formally closed
• After all year transactions have been posted
• AA users should validate AA Account setup
What happens when I close the
year?
• P&L Accounts close to Retained Earnings
• Balance Sheet Accounts update
• Open Year Data is moved to History
• Analytical Accounting Balances are processed
at this time as well if you have the AA
dimensions setup to have a BBF entry created
Closing the Financial Module
• Print an Account List & verify
account types
• Don’t forget Unit Accounts!
• Verify General Ledger Setup Window
settings are correct
• Print Final Reports
• Trial Balance
• Financial Statements
• Setup the new Fiscal Year
• Create a Pre Closing Backup
• 2019_GL_Pre.bak (example)
• Run the “Year-End Close” procedure
• Financial/Routines/Financial/Year-End
Closing
• Make Another Backup
• 2019_GL_FINAL.bak
• Unit Account Balances
GP Financial Life Hacks
Do I have to close Analytical Accounting?
No, There is not a 'separate' year-end close procedure for Analytical Accounting. Balance
Brought Forward (BBF) entries are created for AA dimensions automatically as part of the
GL year-end close process, if you have the AA dimensions setup to have a BBF entry
created. The steps in this article will assist to check your data prior to doing the GL year-
end close process to check for AA data that may cause errors during the GL year-end
close process. This article will also show you how to set up the AA dimensions to have a
Balance Brought Forward entry created in the new year per dimension, if desired.
https://support.microsoft.com/en-us/kb/960356
GP Financial Life Hacks
Do you use Unit Accounts and on an older version of Gp?
In older versions of GP, Unit accounts close out like they are Balance Sheet Accounts. If
you do not want those balances brought forward, run this script (modify to include the
specific unit accounts if you do not want this to apply to all accounts)
delete GL20000 from GL00100, GL20000 where GL00100.ACTINDX = GL20000.ACTINDX and GL00100.ACCTTYPE = 2 and GL20000.SOURCDOC = 'BBF‘
This sql script, when ran against the company database, will clear all
beginning balances for all unit accounts.
GP Financial Life Hacks
Should I wait until after the audit is over to close my year?
No, this process can be, and likely should be, done as early as possible without
implications. GP has the ability to reverse historic years and also has the ability to post in
the most recently closed year (this automatically updates retained earnings as well!).
Make sure you “Posting to History” option is checked in
Financial/Setup/General Ledger
Posting to History
Box MUST be checked
Fiscal Period Must be
open!
Can post to most recently
closed Fiscal Year Only!
GP Financial Life Hacks
Account Posting Type Audit
Run a SmartList to audit your account posting types. This is critical in the closing process.
Just use the Financial/Accounts SmartList and build a filter grabbing JUST your Balance Sheet accounts and then
add ‘Posting Type’. Do the same for P&L Accounts.
Analytical Accounting
Check out this link!
https://community.dynamics.com/gp/b/dynamicsgp/archive/20
17/11/08/draft-microsoft-dynamics-gp-year-end-update-2017-
analytical-accounting
Management Reporter Reports not working when then year changes?
When closing GL, GP updates “Balance Brought Forward” – this
is used by MR as ‘Beginning Balance’
If you do not close you year, Beginning Balance will not work
Don’t Modify your reports! Just close the year… you can open it
back up later if you need to or post audit entries to it ☺
What happens if I close and an account was setup as the wrong type?
Don’t Move a MUSCLE!
Don’t try manual JE’s
Don’t change anything yet!
Reverse the Closing by reversing the
historic year.
Make the correction to the account setup
Close the Year again.
Year End Close Options
Verify Retained Earnings Account
Let JE # Auto Populate
Verify Year and Last Closing Date
Remove Unused Segment Numbers?
Maintain Inactive Accounts?
Closing the Financial Module
Steps: Calendar Fiscal
1. Complete the posting & the closing procedures for other modules. X
2. Post the final adjusting entries in General Ledger. X
3. Print an account list to verify the posting type of each account. X
4. Close the last period of the fiscal year. X
5. Verify the settings in the General Ledger Setup window. X
6. Make a backup. X
7. Print a final Detailed Trial Balance report. X
8. Print the year-end financial statements. X
9. Set up a new fiscal year. X
10. Close the fiscal year. X
11. Close all the fiscal periods for all the series. X
Why Fixed Assets AFTER General Ledger?
You can certainly close Fixed Assets before GL!
In the ‘real world’ there are usually tax changes, etc. that require
us to modify the previous years Assets/setup/depreciation.
You cannot undo a FA close.
You CAN post to GL that is closed.
Closing the Fixed Assets Module
Who should run this procedure?
• Users of Fixed Assets
When should this be run?
• After Purchasing is closed formally
• After all year transactions have been
posted
• After all assets are depreciated to the
last day of the fiscal year you are
closing (don’t forget GL Posting!)
Print any needed Year End Reports
• Annual Activity
• Additions
• Retirements
• Transfers
• Depreciation Ledger
• Property Ledger
• Fixed Assets to General Ledger Reconciliation
• Book to Book Reconciliation
• Book to Book YTD Depreciation Comparison
GP Fixed Assets Life Hacks!
Closing Time?
You CAN close Fixed Assets after you close GL for the year:
We recommend that you close General Ledger last, after all the subsidiary modules have
been closed. However, Fixed Asset Management can be closed after General Ledger is
closed. The GL Posting (GL Interface) process can be performed, and then the transaction
or transactions can be posted to the closed year or to the historical year in the general
ledger.
Fixed Assets Life Hack
Historic Depreciation Reports
Go to Reports > Fixed Assets > Depreciation.
Choose the "Depreciation by Ledger" report which provides you with
the ability to print historical depreciation ledger reports
Want to use this in SSRS? Check out this link:
https://mahmoudsaadi.blogspot.com/2015/03/fixed-assets-
historical-depreciation.html
Closing the Fixed Assets Module
• Verify Fixed Asset Calendars is setup
• Verify Fixed Asset Quarters are setup
• Create a Pre-Closing Backup
• 2019_FIXA_Pre.bak (example)
• Run the “Year-End Close” procedure
• Financial/Routines/Fixes Assets/Year End
• Make Another Backup
• 2019_FIXA_FINAL.bak
Closing the Fixed Assets Module
Steps: Calendar Fiscal
1. Perform all the year-end closing procedures for Payables
Management (option but be sure all transactions are entered) X
2. Enter all the fixed asset transactions for the current fiscal year X
3. Depreciate all assets through the last day of the current fiscal year X
4. Perform the GL Posting (GL Interface) process (optional.) X
5. Run any reports that you want to keep for year-end records X
6. Confirm that the Fixed Assets calendar is built correctly (optional.) X
7. Verify that the quarters are set up correctly for all the fiscal years X
8. Create a backup X
9. Perform the fixed assets year-end closing routine X
Microsoft MVP, Business Applications
Practice Manager
@LifeHacks365com
Long Time ERP User and Fan!
Almost 20 Years of Accounting and ERP experience
Charlotte Regional Chapter Leader (2012-Present)
Charleston Regional Chapter Leader (2017-Present)
GPUG All-Star
Podcast Co-Host
Summit Planning Committee (2012-Present)
Podcast: http://MBSPodcast.com
Personal Blog: http://LifeHacks365.com
Company: http://DynamicConsulting.com
