Month-end closing can be a smooth process, especially if you're organized. To ensure nothing falls through the cracks, start with a checklist:

 

Some tasks on the checklist rely on the completion of AP processing and timesheets. That's where deadlines are necessary. Without clear deadlines, tasks can easily fall behind, creating bottlenecks and inaccuracies in the month-end close process. Setting specific deadlines for tasks such as accounts payable entry and time entry can help your agency stay on track and ensure smoother month-end close procedures.

 

One key area to consider implementing deadlines is in accounts payable processing. By setting a clear deadline, such as the 5th business day of each month for entering accounts payable, you can ensure ample time for receiving and entering invoices from vendors. After the 5th business day of the month, you can close the posting period for accounts payable. 

 

Similarly, establishing a deadline for time entry can significantly streamline the month end closing process. By requiring employees to complete time sheets by the 3rd business day of each month, agencies can ensure that all necessary data is available for accurate billing and revenue recognition.

 

Employee time entry is a universal issue among agencies, so making it as easy as possible is important. Training employees and showing them easy ways to enter time is surprisingly helpful. 

 

For busy employees, reminders to complete time sheets can be very effective. Implementing tools like Advantage’s Missing Time Alert feature can notify both employees and supervisors of missing time entries, allowing for prompt resolution and preventing delays in the month-end close process.

 

Setting clear and specific deadlines for transactions such as accounts payable entry and time tracking can greatly benefit agencies in maintaining a smooth month-end close.