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How To Close The Books For Dummies. Financial Close In 15 Steps

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  • Опубликовано: 14 авг 2024
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    In this video I show you how I perform financial close at month end in 15 steps.
    Download a sample month-end close checklist 📆
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    All views expressed on my channel are mine alone. Not intended as financial or professional advice

Комментарии • 145

  • @babablunders
    @babablunders 2 года назад +51

    Amazing breakdown as usual, even with 15 years of experience in accounting i still struggle sometimes with the basics and that's why I love your detailed breakdown. Because of your coaching, I began a new consulting position in a cabinet in Montreal, so I have to ask, why do you have a mug from Montreal?

    • @TheFinancialController
      @TheFinancialController  2 года назад +2

      Haha thanks Eric. I was visiting my best friend in Montreal when I bought that.

    • @marvelouss719
      @marvelouss719 Год назад

      @@TheFinancialController Nothing has changed since my last comment. If accountants use your channel to close up gaps in their accounting education, I get that, but most of the questions I read seems to come from people who have NOT studied accounting and are taking short cuts. My concern is about you and others who look to monetize their accounting knowledge and water down the accounting profession at the same.

    • @ragnadrabinowitz7629
      @ragnadrabinowitz7629 Год назад +4

      ​@@marvelouss719 watering down the accounting profession? this isn't quantum mechanics.

  • @rexbk
    @rexbk 5 месяцев назад +17

    Thank you much, Bill.
    Allow me to put the video summary here.
    a) Balance sheets
    Step 1: Bank Reconciliation, pro tips: do weekly
    Step 2: Reconcile AR with invoicing data
    Step 3: Reconcile Prepaid Expenses, check for reasonableness
    Step 4: Reconcile Inventory, Qty by SKU, Aging for expiration dates
    Step 5: PP&E, |Review for large purchases, run depreciation, obsolete items
    Step 6: Accounts Payable, all vendor invoices are received, reconcile trial balance to sub ledger, aging report & avoid inflating cash balances unnecessarily
    Step 7: Credit cards recon, cc statements vs book balance
    Step 8: Accrued expenses
    Step 9: Unearned Revenue, amortize as needed
    Step 10: Long term debt vs Lender Statement, accrue interest
    b) P&L
    Step 11: Revenue accrual by customers (when you earned it)
    Step 12: Expense accrual, list of Expense GL Accounts
    Step 13: Review Open POs that not billed by vendors yet.
    Step 14: Actual vs Budget
    Step 15: Period over period comparison
    Step 16: Lock the period.

  • @ricardorigual87
    @ricardorigual87 Год назад +11

    This guy explain way much better than 90% of people

  • @cxb787
    @cxb787 2 года назад +10

    Please consider videos on how financial analyst and accountants should approach reporting/presenting financial results and recommendations to senior management.

  • @kylepetruzziello3321
    @kylepetruzziello3321 Год назад +5

    This video is super helpful for a junior accountant like myself who works in public accounting, and is trying to prepare himself for a more advanced corporate role!

  • @booboo432100
    @booboo432100 Год назад +5

    Thanks Bill - I am not an accountant but had a curiosity around how this process works. I now have a greater appreciation for what the accounts and finance teams do every month and year!

  • @minecraft13mine
    @minecraft13mine Месяц назад

    You are one of the best creators in RUclips regarding this complex topics. I’m ex PwC, I worked in audit and taxes. Nowadays I’m working only in taxes, and your videos are helping me to my personal development. Thank you very much.

  • @sandeepdodda2890
    @sandeepdodda2890 2 года назад +33

    Can you please upload a video on reasons for differences between TB and Sub ledger of AR/AP and how to reconcile the same ?

    • @AlexGonzalezSC
      @AlexGonzalezSC Год назад

      Same question I have!

    • @imophelia
      @imophelia Год назад +1

      I second this! It would be very helpful

    • @nais7679
      @nais7679 5 месяцев назад

      Ohh that would indeed be helpful

    • @newyorkvisionary
      @newyorkvisionary 4 месяца назад +3

      In my experience it happens mostly with older systems. Sometimes batch posting issues happen, or someone posts a manual entry to the AP/AR accounts. The reason it happens can change but it means something posted in the ledger and not the TB or vice versa. To reconcile, some software have reconciliation reports that you can run to identify the amounts causing the discrepancy. From there you need to locate the entries, and figure out what happened. It’s not cut and dry on how to fix this, it’s case by case. You usually end up having to book a manual JE to fix it. Hope this helps!

  • @Chironex_Fleckeri
    @Chironex_Fleckeri Год назад +1

    Finally the RUclips algorithm brought me the video I was hoping for.
    There can be bottlenecks in the process of any entity's close. So there's a sequence of tasks that must be checked off the list before the next.

  • @AdrianaMihalcea12345
    @AdrianaMihalcea12345 Месяц назад

    I always thought accounting was hard and kinda of hate it. You are explaining it so simple and everything starts to make sense. Thank you! I feel like I can finally understand things that I thought I never will :)!

  • @jpmarchena703
    @jpmarchena703 2 года назад +5

    Hey man, tax associate at a regional firm here, super enjoy your videos. Would love to get some more backstory on your wife's career and any advice she may have for other tax practitioners, e.g. how to "make it" long-term in tax. Keep killing it!

    • @tlungu962
      @tlungu962 8 месяцев назад

      this is what us Tax Professionals NEED!

  • @gengchen192
    @gengchen192 Год назад +2

    You will be a great accounting teacher for sure if you would like to, I do learn a lot from your videos, thank you so much for the sharing!

  • @joshuastarks6272
    @joshuastarks6272 3 месяца назад

    I wish you could teach me, you’re so thorough and down to earth. Just started watching you and have enjoyed 4 videos thus far.

  • @Therevolution7
    @Therevolution7 Год назад +2

    thanks for your videos
    as a mid 20s , 5 year qualified ACCA accountant, your videos are refreshing and something i would have treasured as a student.

  • @atlienacct5868
    @atlienacct5868 2 года назад +1

    These video are so helpful in reviewing basic accounting skills. Saving for the Becker program then signing up to sit down for the CPA!

  • @eyekkay
    @eyekkay 5 месяцев назад

    Justttttttt Amazzingggggggg...... I never get a dummy video of full explanation of month end process whenever I started searching job. But this time Bill, You really heard me. So so so thhankful, I am from India.😍😍😍

  • @PaulasPicks
    @PaulasPicks 2 года назад +2

    Hi Bill! I'm in this chaotic fun every month & could not function without my checklist. Love how organized you are!
    By the way, in your video, #9 is shown as "Accrued Expenses", but you do a great job (as usual) explaining "Deferred Revenue". Thanks for all you do to lift up the profession!

  • @NganVo-dt8br
    @NganVo-dt8br Месяц назад

    So exciting! Just a bit bit mistake at Step # 9: deferred revenue but in the blackboard is Accrued Expenses.

  • @imranmunawar3
    @imranmunawar3 3 месяца назад

    Hello Bill, In this Vlog you have covered all aspects of closing very briefly with simple step by Step approach. Amazing.

  • @Conquerchronicillness
    @Conquerchronicillness 2 года назад +1

    Great content! Public Tax CPA here, love seeing the Financials from this viewpoint

  • @RA-rh5lb
    @RA-rh5lb Год назад +1

    Hi Bill could you make videos on how to reconcile the TB amount with the main GL account, how to prepare a prepaid schedule, AP reconciliation with main GL etc

  • @tracy3677
    @tracy3677 Год назад

    Thanks so much for your videos! It’s so hard to find any good videos with tips/process guidance for Accounting, and your delivery is concise enough to make it full of value but detailed enough to be clear & actionable. Thanks!!

  • @user-wi9nn6dz8w
    @user-wi9nn6dz8w Год назад

    Better than all of the internal trainings I have seen combined!

  • @hardwareweldingsuppliesacc1027
    @hardwareweldingsuppliesacc1027 Год назад +1

    Love how you make accounting easy to understand, can you do a video on Asset Register and Depreciation?

  • @hackit9578
    @hackit9578 Год назад +1

    Bill thank you for another amazing topic. Just what I was looking for . 😊

  • @B22_2-87IN
    @B22_2-87IN 2 года назад +1

    I’ve gotta show this to my coworker. This is really simple and she thinks closing AP is the same as closing the books.

  • @kiranh2093
    @kiranh2093 Год назад

    Hi Bill, Thank you so very much for detailed yet simple checklist to the books of accounts for an organisation. You doing great job. My best wishes to you. God Bless keep spreading knowledge.

  • @920WIZCO
    @920WIZCO 2 года назад +1

    Another great video. Thank you for sharing. As someone who is currently in school for accounting I have not had a chance to practice these concepts yet, but will keep in mind for future use!

    • @TheFinancialController
      @TheFinancialController  2 года назад

      Thanks Brent! Your hard work and studying will pay off..

    • @920WIZCO
      @920WIZCO 2 года назад

      @@TheFinancialController thank you! I am very excited for all the doors it will open, little nervous for all the details surrounding it all, but I know with time and repetition things will get easier. My goal is to be a controller one day as well! Excited for the journey.

  • @RA-rh5lb
    @RA-rh5lb Год назад

    Thank you .. I like to watch your video whenever I have a doubt..

  • @lorrk1239
    @lorrk1239 Год назад

    Please show how you construct your month end checklist in Excel. I would so greatly appreciate that tutorial. Thank you for your consideration.

  • @Tizonwar8
    @Tizonwar8 2 года назад

    This is really good 👌 now I know how the controller is using my work actual vs budget each month.

  • @sreenivasgoudraparthi935
    @sreenivasgoudraparthi935 2 года назад

    Good video , PROFESSIONAL. I TOUCHED ALL YOUR VIDEOS TOO MUCH USEFULL... LOVELY WORK

  • @Perfectsound88
    @Perfectsound88 2 года назад +3

    Congrats for 100K Subscibers.Proud that I am one among them.

  • @tadiwosasrat5157
    @tadiwosasrat5157 Год назад

    Dear sir
    first thank for any support , i need some question
    1.Business transaction and financial reports
    2. accounting cycle(from opening to closing of AC Counts ) in practical
    3. Nature and overview of General and special AC COUNTS Practical
    4. cost & taxation accounting
    5. Create A company and maintaining default information using peach tree accounting complete accounting
    6. Record and report transaction using peach tree accounting complete accounting
    7. Calculation-(Deprecation , lease, loan interest, cost buildup)
    8. Closing report using peachtree accounting
    thank you for supporting and experience share sir thank you a lot.

  • @immi0303
    @immi0303 Год назад

    Very practical and informative video. Nice break down of steps.

  • @arpandoshi9878
    @arpandoshi9878 2 года назад

    Awesome.
    Please make a video on expense control system through ERP via work order, grn, purchase order.

  • @sheltiesongs7378
    @sheltiesongs7378 2 года назад

    Thank you for doing this! I’ve been struggling with this chapter in my class!

  • @mfriverao
    @mfriverao 2 года назад

    Thank you so much for your valuable videos. Would you create a video that explain how to do adjusting entries to clean the books. How to do that journal entries that allow to get clean balance sheets? Thank you again!!! Also explain about subsidiaries accounts. Thank you again!

  • @MegaNas88
    @MegaNas88 9 месяцев назад

    This is a very good video, thank you for recording it!

  • @joyliu6807
    @joyliu6807 Год назад

    Thank you for sharing! You mentioned "maintaining an Excel table" for many items, and I wonder if it's a common practice to do them directly in accounting software like Quickbooks too?

  • @wandererssoul4892
    @wandererssoul4892 5 месяцев назад

    This was very helpful!Thank you! 🙌🏻

  • @ibrahimal-boraie2499
    @ibrahimal-boraie2499 2 года назад

    You are always brilliant and you have a distinct style of explanation - can you make a video on the most important accounting standards that are used continuously in the work
    IBRAHIM From Egypt

  • @solomonkidane5448
    @solomonkidane5448 5 месяцев назад

    Wow, it's a very interesting lesson, thank you, bless you

  • @NataliaODonnell
    @NataliaODonnell 5 месяцев назад

    Great content. Thank you very much Bill.

  • @alexakinkugbe694
    @alexakinkugbe694 2 года назад

    Broke it down very well . Thanks

  • @Serasred108
    @Serasred108 6 месяцев назад

    This is so helpful! Thank you! I do have one question though -I work for a growing construction company and we have several projects carrying over month to month. Would you suggest doing a quarter close over a monthly close? Or do you have any recommendations for how to tweak the process to enable a monthly close?

  • @Budgies3
    @Budgies3 Год назад

    Could you provide topic-wise explanations? For instance, I am studying CMA-US, whenever I hear a topic from your video it goes straight to my soul lol......

  • @dipalishah1263
    @dipalishah1263 2 года назад

    Hello sir thank you for providing us this wonderful knowledge. I am working in accounting and I'm doing payroll as well. I am juggling making excelsiorate for garnishment. Can you please show it

  • @malikwaqarahmed404
    @malikwaqarahmed404 2 года назад

    Amazing video with many concepts and information set.

  • @staystrongpeople4942
    @staystrongpeople4942 Год назад

    This is very helpful. Thanks for sharing.

  • @soumyakau
    @soumyakau 2 года назад +1

    Would you please suggest as a staff accountant who is more into analysis should he/she should accept an entry level audit associate position in an established cpa firm or take up a position in industry which provides month end close process experience.

  • @nclevans
    @nclevans 2 года назад

    I love your videos. Thank you for sharing your knowledge.

  • @JordanJimenezGonzalez
    @JordanJimenezGonzalez 3 месяца назад

    Bill, this is very helpful. Can I use this checklist at work and for my team? You inspire me, and I want to do some modifications as this is for accounts receivable.

  • @djwill92
    @djwill92 Год назад

    Bill thank you so much for sharing your knowledge. I have been working in finance for over 15years after listening to your videos I have done all the jobs in finance except manager. I realized the jobs I did were staff accountant positions but they title it account payable or accounts receivable "clerk, specialist, assistant"
    I believe I'm pass a staff accountant but they called it different. Can I call it what it is on my resume. I have a BA accounting two years now.

    • @TheFinancialController
      @TheFinancialController  Год назад +1

      Yes you can call it staff if you done the work regardless of what they called it

  • @yuandalton8785
    @yuandalton8785 7 месяцев назад

    Could you please provide some detailed examples how to reconcile subledgers and general ledgers?

  • @user-rn7qp6cr7u
    @user-rn7qp6cr7u Год назад

    Number 9 is repetitive of Number 8 but get your point. it's a typeo.

  • @georgecortezee6091
    @georgecortezee6091 Год назад

    Thank you very much
    The. Best of. Best
    I like this.classs
    God. .Bless. all. You

  • @KapilSharma-pi6qm
    @KapilSharma-pi6qm 8 месяцев назад

    Could u please make detailed vedio reason for negative balance in ar and ap and how to fix it?

  • @arpandoshi9878
    @arpandoshi9878 2 года назад +1

    Tax provisions and payment?

  • @aireenlaurel5743
    @aireenlaurel5743 3 месяца назад

    Thank you. 🌷

  • @UmarKhan-ou6dg
    @UmarKhan-ou6dg 2 месяца назад

    Excellent

  • @Capricornunicorn1
    @Capricornunicorn1 Год назад

    Truly saving lives!!!

  • @omkarejantkar487
    @omkarejantkar487 2 года назад

    Can you please make video on how to make a good career in finance in USA what would be good for this US CMA or CFA

  • @thisismubeen1301
    @thisismubeen1301 2 года назад +1

    Make a prscticall video on bank reconciliation

  • @buddybuddington7947
    @buddybuddington7947 2 года назад

    I needed this soooo much 😂 thanks

  • @Tina-gp4rg
    @Tina-gp4rg 2 года назад

    Thank you so much you are a life saver 💗

  • @juliearuna9021
    @juliearuna9021 4 месяца назад

    Thank you❤

  • @staceysmith9482
    @staceysmith9482 11 месяцев назад

    I have a potential non profit client that haven't reconciled their books in 5yrs and they didn't enter donation receipts in QB. How or where should I start? I'm hired to create classes for Donors and AP

  • @cynthialazard8829
    @cynthialazard8829 2 года назад

    Greetings - excellent video; however, I thought I heard you stated you were providing a prepaid expense template for us to review and possible use?

  • @mariamlsmail2511
    @mariamlsmail2511 Год назад

    How about if your don't book everything from the bank statement. How do u reconcile in such situation.

  • @shobithm7303
    @shobithm7303 2 года назад

    Could you please put a vedio related with Balance sheet Reconciliation with an examples?

  • @owensampson4860
    @owensampson4860 4 месяца назад

    Nice one Sir🎉❤❤❤

  • @mouaicifarhat5072
    @mouaicifarhat5072 Год назад

    can you please give us example abut deferred revenue?

  • @jonathansantiagojr.3742
    @jonathansantiagojr.3742 2 года назад

    sir do u have a accounts payable aging? thanks. u help us a lot! godbless🙏🏻

  • @littleangelsfromheavens7345
    @littleangelsfromheavens7345 Год назад

    Step 9 is Deferred Revenue (not Accrued Expenese)

  • @gustavomotta2936
    @gustavomotta2936 2 года назад

    Can you please upload a video on equity investment/investment in associates?

  • @datispanahi3973
    @datispanahi3973 Год назад

    Thank you

  • @frankinspired6486
    @frankinspired6486 7 месяцев назад

    Smart!

  • @muhammedshaz6897
    @muhammedshaz6897 Год назад

    Excellent 👍... Could please upload videos regarding FP&A

  • @rehanraja3863
    @rehanraja3863 2 года назад

    can you make some video on treasury items accounting like debt, derivatives and investments?

  • @antaramalis
    @antaramalis 2 года назад

    Pls make a video about how to prepare budget

  • @duherayash4234
    @duherayash4234 Год назад

    Can you pls make a video for us taxation for Bookkeeper

  • @adalbertotorrero5893
    @adalbertotorrero5893 Год назад

    Do you have any accounting flowcharts / workflows?

  • @user-tj5sh3dg1s
    @user-tj5sh3dg1s 2 года назад

    We must see through the true nature of
    everything and let go. It is ignorance that
    motivates us to unearth wisdom.

  • @victoriagarcia113
    @victoriagarcia113 Год назад

    Is it possible to download this video in writing?

  • @antaramalis
    @antaramalis 2 года назад

    Thank you sir

  • @rocklive23
    @rocklive23 2 года назад

    Awesome thank you 🙏 Whose job normally is this? Does everyone work together? Or mostly the staff accountant? Or someone higher up? Thanks again

    • @TheFinancialController
      @TheFinancialController  2 года назад +1

      This takes a team of 2-5 accountants at a mid size company ranging from staff to manager

  • @jazzer770
    @jazzer770 Год назад

    very good

  • @ricardorigual87
    @ricardorigual87 Год назад

    Amazing

  • @GrahamBrook
    @GrahamBrook Месяц назад

    Can you please help me with my emails to answering

  • @Chikou2
    @Chikou2 2 года назад

    This video os liiiit❤❤❤

  • @tadiwosasrat5157
    @tadiwosasrat5157 Год назад

    Hi sir
    Thank you for deliver as per commitent and how to prepare and close financial statements reporting and practical show me after export data and prepare components of financial statements.
    Please inbox me excell format in finance Manager

  • @emmanuelgarcia4273
    @emmanuelgarcia4273 2 года назад

    Hi Bill, thank you so much for your videos, I want to ask a question about collaboration: I'm accountant in Mexico and I'm looking for collaborate with another accountant in USA, do you think this is possible for me to work with another accountant in USA?

    • @Scondab
      @Scondab 2 года назад

      If you're a professional accountant you get this link from your professional group on LinkedIn or other social account

  • @melissakhlif
    @melissakhlif 10 месяцев назад

    That sip of soda was... ❓

  • @RA-rh5lb
    @RA-rh5lb Год назад

    When you say open PO, does it mean goods received or service rendered however invoice hasn't been received yet from the vendor.. correct

    • @TheFinancialController
      @TheFinancialController  Год назад +1

      yes

    • @RA-rh5lb
      @RA-rh5lb Год назад

      @@TheFinancialController dear sir, one more thumbs up from my side again.. I am watching this video again today..

  • @mansoorthottiyil
    @mansoorthottiyil Год назад

    🎉

  • @GrahamBrook
    @GrahamBrook Месяц назад

    Google drive cloud

  • @GrahamBrook
    @GrahamBrook Месяц назад +1

    Monzo bank 466million

  • @GrahamBrook
    @GrahamBrook Месяц назад

    I need a bank account

  • @GrahamBrook
    @GrahamBrook Месяц назад

    Cookies