Forum Discussion

Contributing User

4 years ago

New Financial Year Roll over plus data entered in new financial year without file being roll over??

Good day MYOB team, can someone assist with my query below:

Our year end 31/12/2020 but due to few hiccups, we have not rolled over to new Financial Year till Feb 2021.

However our team has been posted transactions made in January 2021 (Cheque payments, sales invoices, sales collections). Please need assistance on following queries:

1. Can we still rollover to new financial year (2021) without transactions posted in January 2021 being affected or deleted? (no need to delete transactions posted in 2021 and repost again))???

2. Balance Sheet - will the rollover to New Financial Year affected the balance sheet for 31/12/2020 due to transactions posted in January 2021?

Please need your assistance

Regards

Rengen

gavin12345
4 years ago
Hi relizah

As mentioned by Steven_M , when you run the FY rollover process does not matter. This is because MYOB uses the transaction date to determine the account balance as at a particular date. So if you enter a transaction in Jan 2021 and the transaction date is in Jan 2021, this will not affect the bank balance as at 31 Dec 2020.

If however you enter a spend money transaction in Jan 2021 and the transaction date is 16 Dec 2020, this will affect the bank balance as at 31 Dec 2020.

Hope this helps
Gavin

relizah
Contributing User
4 years ago
MYOB Team

Please assist
Steven_M
Former Staff
4 years ago
Hi relizah

AccountRight is designed to allow the users to run a financial year or two behind the current one. As such, the close a financial year process can be completed at any time through File>>Close a Financial Year.

If you are entered transactions into the new financial year already prior to closing that previous financial year those entered transactions will not be impacted and will remain in the company file after the financial year has been rolled.

You also indicated the Balance Sheet, this will not be impacted. The only change would be that the Current Year Earnings will be moved into the Retained Earnings account thus reflect a different balance.
- relizah
  Contributing User
  4 years ago
  Thanks.
  
  Also please confirm if the balance sheet figures for year (31/12/2020) will be for that accounting period if we do a rollfoward to new year??
  
  Currently balances are changing due to transactions being posted (Mainly cash at bank, Accounts receivables,Accounts Payable)
  - Steven_M
    Former Staff
    4 years ago
    Hi relizah
    
    On the Balance Sheet front, the balances of assets, liability and equity accounts will remain the same as they were before the end of the financial year rollover after that completing that financial year rollover.
    
    The best example is to take a real-world example, say you have $10,000 in your bank account at the last day of the financial year. You close that financial year you still have $10,000 in your bank account.