Year End Closing with Version 19

Users under tech support contracts will soon be notified that Version 19.2 will be available for download and installation.  No, you didn't miss version 19.1 – that version number was taken by the Canadian version of the program.  Version 19.2 will contain significant benefits for a number of clients, and I strongly encourage users to consider installing this update before the end of their fiscal year.  Major changes include a multi-year general ledger process, several state-specific certified payroll reports, and automatic notification of the availability of program updates through the Sage Advisor Update program.

Multi-year General Ledger

In the past, fiscal year end closing was often a stressful time, because accounting departments had to hustle to get transactions caught up to date before the fiscal year end had to close.  Transactions of any type for the new fiscal year could not be recorded until the old fiscal year was actually closed in the program.  Accounting staff had to understand how to post prior year transactions to period 0 when they had to enter transactions in the new year that belonged in the prior year.  A few types of transactions could not be posted cleanly through the period 0 functionality.  Correcting transactions recorded in the prior fiscal year sometimes presented unique challenges as well.

Version 19.2 will revolutionize the fiscal year end closing process! (How’s that for a dramatic exclamation from an accountant?) Users can now defer the closing of their old fiscal year until later in the new fiscal year.  They can wait until all prior year transactions and their outside accountant’s adjusting journal entries are recorded in the old fiscal year before closing the books and archiving the data for that fiscal year.  Extra care should be taken to “lock” posting periods as they pass, especially when the data is given to your outside accountants so they can perform their audit, accounting and tax preparation services and be assured that your balances won’t change after they have relied upon them.

This change requires a change in the database structure for tracking accounting periods. Accordingly, custom reports that are selected by period, rely on periods for calculations or which report out periods may not work!  If you have “mission critical” reports that rely on periods in any way, you may want to identify those reports and seek assistance in adjusting the reports as soon as you update to Version 19.2.  System Reports (those numbered 21 and higher) should work correctly – this warning is only for custom reports.

The multi-year general ledger change also eliminates the need to Reset Vendor 1099 Balances at the end of the calendar year.

The multi-year general ledger change DOES NOT ELIMINATE THE NEED TO PROMPTLY CLOSE PAYROLL AT THE END OF THE CALENDAR YEAR!  (More dramatic exclamations….) Users must record all payrolls for the closing calendar year, resolve all payroll audit issues, correct all employee information and be prepared to close their payroll year promptly after the last payroll of the old calendar year and before any payroll records are recorded for the new calendar year.

The governments (Federal and State) have not changed their filing deadlines, so January will be a busy month for accounting departments, filing W2s, 1099s, and various payroll tax returns.  Start preparing now so these tasks will be less stressful.  Sage did their part in giving you breathing room for the general ledger closing!

State-specific Certified Payroll Reports

A number of states have begun requiring that Certified Payroll Reports required for publicly funded construction be filed on that state’s specific form rather than the US Department of Labor’s Form WH-347.  Other states are not accepting paper reports and instead are requiring electronic filing.  Sage, working with their tax reporting partner Aatrix, has started the process of providing state-specific certified payroll reports, and also electronic filing of the same.  Initially the ten most frequently required state forms are being added, but they are working diligently to add all other state required certified payroll reports and expect to have all state requirements met by next spring.  The availability of the US Department of Labor WH-347 as well as all legacy certified payroll reports will not change.

Update Notifications with Sage Advisor Update

Sage Advisor Update will be installed with Version 19.2.  This service will function much like Microsoft’s Windows Update, comparing your current version with the latest update available according to Sage.  Users can configure Sage Advisor Update to merely periodically notify specified users of available updates by email, and optionally automatically download updates to make the updating process quicker.