How To Enter A Year End Adjustment Journal Entry From An Accountant

Step #1:

If you receive a Year End Adjustment journal entry from your accountant and it is not posted yet and you notice that it has some GL on the report “Verify Client & G/L Balances” below, this Journal Entry will cause this report out of balance after posting.

In order to avoid out of balance issue, you want to create a new GL account for each control account GL above which your accountant want to adjust by Journal Entry, for example, GL 1075, the new GL account should be 1076 and copy all the other setting from 1075, but description below, then use 1076 instead 1075 in your Year End Journal Entry. Do same for all other control account GL on the Year End Journal Entry.

Step #2:

If you already post the Year End Journal Entry from your accountant and it cause your “Verify Client & G/L Balances” out of balance, you want to create new GL account as above instruction in #1, then post Journal Entry to transfer amount in each control GL to the new GL. Then your “Verify Client & G/L Balances” should be back to balance.