Year-End Closing Checklist

As this year comes to an end, below is a checklist for year-end closing.

  • Get Organized – Finding all of your receipts for any deductions you may be claiming on your tax return.
  • Review Personal Bank Statements – For any business charges you paid for out of your personal account.
  • Review Business Bank Statements – For any personal charges and make a list for your tax preparer.
  • Reconcile All Bank And Credit Card Accounts – And verify all transactions have been posted to the correct accounts.
  • Verify Petty Cash Entries For The Tax Year – Making certain they are allocated to the correct accounts.
  • Invoices – Make sure you have invoiced all of your customers for work you’ve done and products you’ve delivered/shipped for the year.
  • Money In (Accounts Receivable) – Follow up with customers who owe you money and remind them that paying you before year end could lower their tax bill.
  • Inventory – If you track inventory prepare a physical count as of December 31st and make certain it is valued correctly.
  • Fixed Assets – Review the balance sheet and verify depreciation has been taken. In most cases check with your tax preparer to make sure your totals match their totals.
  • Money Out (Accounts Payable) – Make certain all of your accounts payables have been allocated to the correct accounts.
  • Retirement Contributions – Make your 401(k), SEP IRA, and Simple IRA contributions.
  • Notes Payable – Verify balances on notes payable, mortgages, lines of credit, amounts on your balance sheet match the statements from your banks. .
  • Mileage – Make sure your mileage log for each vehicle used for business purposes is up to date if you are deducting mileage.
  • Collect W-9′s – From your vendors and contractors that you paid $600 or more to throughout the calendar year
  • Payroll Taxes – Make certain your payroll tax liabilities match your quarterly payroll returns.
  • Verify Your Profit & Loss and Balance Sheet – Does your Profit & Loss Report and Balance Sheet make sense? Were there any major changes from the previous year?
  • Back Up – Back up your accounting data file offsite to protect you from loss of data.


With appreciation for your business, we send you our warmest wishes for the Holidays and for a happy and prosperous New Year.

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