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MYOB Security – How to Lock a Completed Period

SECURITY How to lock the completed period after month end and general maintenance

Once you have completed your month end processing, it is highly recommended that you lock the completed period so that you can not accidently change or modify any previous transactions. This could result in altering your Control Accounts causing them to go out of balance. Your Control Accounts are accounts such as Debtors, Creditors, GST, Bank mainly accounts relating to your Balance Sheet items.

At the top of your screen where it says File, Edit, List, Command Center, Setup, Reports, Window and Help, click on Setup. Scroll down and click on Preferences. This will bring you to a window similar to your Reports window with several tabs across the top. Locate the one that says Security. The second option down reads: Lock Period: Disallow Entries Prior To: Tick the Lock Period and enter the appropriate date. If for some reason you need to alter or change a transaction in the previous period you can come back to this window and unlock the period but you must make sure it will not affect your Control Accounts. If you were to enter a transaction in this lock period, MYOB brings up a pop up notice saying you can not record a transaction in the lock period.

Good housekeeping and general maintenance at the end of every month is to check that your Control Accounts balance to your Balance Sheet. It ensures that if there are any out of balance amounts they can quickly be located and fixed. First off print the Balance Sheet for the month. The Balance Sheet lists all the Assets, Liabilities and Equity of the company. With the Balance Sheet in front of you, go to Reports – Sales – Receivables Reconciliation Summary customize the date to be the same date as on the Balance Sheet and display. At the bottom of the report there will be a Receivables Account total. Check that this total is the same as the Trade Debtors total in the Asset section of your Balance Sheet. Do the same for your Creditor total. Go to Reports – Purchases – Payables Reconciliation Summary customize the date and display. Check that the total is the same as the Trade Creditors total in the Liability section of the Balance Sheet. Lastly check that your bank statement balance is the same as your working account (this is usually your cheque account) in the Asset section of the Balance Sheet.

If everything balances then you can quite confidently know that everything has been entered correctly. If you have an out of balance amount you will need to locate it and correct it. Some common out of balance amounts occurs when you have posted a payment to a Sale using the Banking Window – Receive Money instead of receiving the payment in the Sales Window – Receive Payments. The same can apply when you make a pay a Purchase using the Banking Window – Spend Money instead of Pay Bills in the Purchase Window. Be careful of these common mistakes and make sure that if you enter a Creditor through the Purchases Window that you Pay the Creditor through the Purchases Window. The same applies for Sales. If you generate a Debtor Invoice in the Sales Window then you must Receive Payments for that sale in the Sales Window.

Source by Sonya McLaughlan

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