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Year-End Accounting checklist
Financial Statements Preparation
Review and reconcile all general ledger accounts
Prepare adjusting journal entries for accruals, depreciation, and amortizations
Prepare and review preliminary financial statements for accuracy
Tax Compliance
Gather and review all necessary documentation for tax filings, including expense receipts and income records
Calculate estimated tax payments and make any necessary year-end adjustments
Consult with a tax advisor to identify tax-saving opportunities and ensure compliance with the latest tax laws
Payroll and Employee Benefits
Verify employee information and update records if necessary
Reconcile payroll summaries and ensure all payroll tax filings are accurate
Review employee benefit plans and contributions for compliance and funding status
Inventory Management
Conduct a physical inventory count and reconcile with inventory records
Write off any obsolete or damaged inventory
Review inventory valuation and adjust for any market changes or lower of cost or market considerations
Accounts Receivable
Review aged receivables and follow up on outstanding invoices
Assess the need for bad debt write-offs and allowance for doubtful accounts
Send out statements to customers and clients to remind them of any outstanding balances
Accounts Payable
Review all unpaid bills and schedule payments to optimize cash flow
Ensure all expenses are recorded in the correct period
Reconcile supplier statements with your accounts payable ledger
Fixed Assets
Review fixed assets register and ensure it is up to date
Calculate and record depreciation for the year
Assess and record any impairments or disposals of fixed assets
Budgeting and Planning
Compare actual performance against the budget and analyze variances
Update budget forecasts with actual year-end results
Prepare the budget for the upcoming year based on historical data and projected growth
Internal Controls and Compliance
Review internal control procedures and update documentation as necessary
Ensure compliance with relevant accounting standards and regulatory requirements
Plan for any necessary audits, internal or external, and prepare the required documentation
Investments and Financing
Review investment portfolios and performance
Ensure debt covenants and terms are met and payments are up to date
Analyze financing needs and explore options for the upcoming year
