1. 2016 Year End Best Practices
Step-by-Step with
Lyndy Januszewski, CPA, MBA

2. Starting the YE Close Process
Best resource:
Knowledge Base Article:
Everyone out
Take Company Offline in GP2013 R2 or higher
Backups
You
Your IT Team
Your GP Partner
GL KB:

3. What Should I Close First?
SOP
POP
Inventory
Receivables
Payables
Fixed Assets
General Ledger

4. Sales Order Processing & Purchase Order Processing
Year End Close

5. What Happens When I Close the Year for SOP & POP?
No official close process
Good time to clean up records
SOP: Run “Reconcile – Remove Sales Documents”
POP: Run “Reconcile Purchasing Documents”
POP: Remove Completed Purchase Orders

6. Inventory
Year End Close

7. What Should I Keep in Mind?
Close on time!
Run Reconcile
No YE Closing report
Knowledge Base Article:
Inventory KB:

8. What Happens When I Close the Year for Inventory?
Transfers all summarized current-year Quantity, Cost and Sales amounts to last-year for the Items for which you have been keeping summarized Sales History
Updates each Item’s Beginning Quantity from the Quantity on Hand at each site
Zeros the Quantity Sold field in the Item Quantities Maintenance (Cards - Inventory – Quantities/Sites) for each Site
Gives you the option to: Remove Discontinued Items, Remove Sold Receipts, Remove Sold Lot Attributes, and Update Item’s Standard Cost

9. Receivables & Payables
Year End Close

10. What Happens When I Close the Year for Receivables & Payables?
Close on time!
Numerous YTD accumulators are cleared
Post all transactions for the year before closing
Close before any invoices/checks are posted in the new year
PM: 1099s can be printed at any time
RM Knowledge Base Article:
PM Knowledge Base Article:
RM KB:
PM KB:

11. Will only be available for GP2013, GP2015 & GP2016 customers
Update on YE Update
Will only be available for GP2013, GP2015 & GP2016 customers
NOT available for GP2010
All inclusive of prior updates
Will bump you up to GP2016, R2
More intrusive service packs going forward
Modules with Changes:
Payables
Fixed Assets
Payroll
GP2016 R2 Blog Series:
GP2016, R2 will include 20 new features including the ability to print W-2s with lines!
New Cadence = 12 Month Cadence vs. 6 Month

12. 2016 YE Update Changes Specific to Payables
Form Changes To:
1099-INT
Box 12 Given Label = Bond Premium on Treasury Obligations
1096
Box K-10 moved to first line
Added Box 5498-QA 2A
Made all boxes smaller to accommodate
GP2013:
GP2015:
GP2016:

13. Fixed Asset Management
Year End Close

14. Knowledge Base Article: 865653
Fixed Assets
Refer to The Year-End Closing Procedures for the Fixed Asset Management Module in Microsoft Dynamics GP
Knowledge Base Article:
KB Article:

15. What Happens When I Close the Year for Fixed Assets?
In the Asset General Information window:
The YTD Maintenance amount is cleared from the Expand Last Maintenance Date Window.
The Quantity is copied to the Begin Quantity field in the Expand Quantity Window.
In the Asset Book window:
The YTD Depreciation Amount is cleared.
The Cost Basis field is copied to the Begin Year Cost field.
The LTD Depreciation field is copied to the Begin Reserve field.
The Salvage Value field is copied to the Begin Salvage field.
In the Book Setup window:
The Current Fiscal Year field is increased by one.
YE Closing Report for GP2015 or higher

16. 2016 YE Update Changes Specific to FAM
Fixed Asset Luxury Auto Depreciation Changes
Related to Protecting Americans from Tax Hikes (PATH) Act

17. General Ledger
Year End Close

18. What Happens When I Close the Year for the General Ledger?
In addition to transferring the data from the current year table to the history table, the YE close does the following:
Reconciles and summarizes the GL balances.
Can remove accounts that are marked as inactive if the accounts match the criteria for deleting a posting account.
Moves all P&L account balances to the R/E account.
Summarizes B/S accounts and brings the balances forward as the beginning balances of the account in the new fiscal year.
Prints the Year-End Closing report
BBF automatically for AA:
AA KB:

19. Odds & Ends after the GL Close
Clearing BBF in Unit Accounts
Knowledge Base Article:
No longer an issue in GP2013 or higher
Fixing accounts with wrong Posting Type at YE
Knowledge Base Article:
Or Reverse Historical Year in GP2013 R2 or higher
Posting to historical year
Unit Accounts KB:
Wrong Posting Types KB:

20. Where Can I Find Additional Information?
My Article!
Knowledge Base Article:
Microsoft Dynamics GP 2016 Year-End Closing Blog
My Article:
GL KB Article:
2016 YE Closing Blog:

21. Thank you! Encore Performance: Payroll
Questions?
Thank you!
Encore Performance: Payroll

22. Payroll
Year End Close

23. When Should I Do the Payroll YE Close?
Payroll Year End Close
When Should I Do the Payroll YE Close?
After all current year pay runs are complete
Before processing pay runs in the new year
After making a backup
What Does the Payroll YE Close Do?
Creates ‘Year End Wage’ file containing annual wage information used to generate W2’s, W3’s, 1099's, 1094/1095’s and Magnetic Media for the year being closed.
Knowledge Base Article:
Payroll KB Article:

24. Week of 12/1 – Will include R2!!
Payroll – 2016 US YE Update*
Supported Versions
GP2013
GP2015
GP2016
Build Number
Estimated
Release Date
Last Night!
Week of 12/1 – Will include R2!!
*Need to install prior to creating the YE wage file.
Can install the 2016 US YE Update even if your 2016 payrolls are not complete.
IMPORTANT: Create the YE Wage file on 2016 tax tables – NOT 2017.
GP2016 YE Update = Will include R2 (CUMULATIVE)
Blog on R2:

25. 2016 YE Update Changes Specific to Payroll
Nothing major due to election
No W-2 or W-3 Form changes
EFW2 changes (Electronic Filing – Now Due 1/31)
Product Quality Fixes around Payroll Year-End
Affordable Care Act Changes
Per Terry Heley: Both Greenshades and Integrity Data will allow you to track ACA in core GP and they will just electronically file the ACA for you at a lower price. There are still several changes to this file format and it would be difficult for MS to include all this change in 1 code drop.
Both ISV solutions worked with the file formats last year and have a good understand of what is needed.  If ACA continues after the election at the pace it is at, we will again review this for the next year.

26. 2017 –Tax Updates on the Horizon
2017 Tax Update – Round 1
Targeted Release = Mid-December 2016
Tax Table Update Only
Do Not Install until All 2016 Payrolls Are Complete
2017 Tax Update – Round 2
Targeted Release = Mid-January 2017
Automatic: Microsoft Dynamics GP >> Maintenance >> US Payroll Updates >> Check for Payroll Tax Updates
Manual: Downloads & Updates >> Tax Updates

27. Payroll Recap – Before Processing a Pay Run in 2017:
Required:
Year End update applied
All 2016 pay runs completed
Year End Wage File created
Backup of company database made
Payroll Tax update for 2017 installed
Optional:
Print W-2s
Create W-2 Electronic File

28. Questions?
Thank you!