Fund Set Up

3.10 Fund Setup: Review and Close Financial Year

The final step in the Setup Process is to review your accounts and Close the Opening Financial Year.

This archives all transaction data for transactions that occurred prior to your Migration Date and adjusts all opening balances to the correct values as at Migration Date.

From the Fund Setup Menu, select REVIEW AND CLOSE FINANCIAL YEAR, or go to https://app.mclowd.com/review-close-fy

Mclowd displays a list of your account balances as at the end of the financial year prior to the year for which you intend to start recording transactions in Mclowd.

Check the balances carefully, comparing against your Fund’s Financial Statements for the relevant year.

Fund Setup|Review and Close Opening Year

 

Ensure that all balances match.

Check the total Member Benefits Payable Opening Balance against the balance shown in your financial statements.

When you are certain all balances are correct, click CLOSE FINANCIAL YEAR [Migration Year].


NOTE:  Mclowd will not close the account if the Clearing Account balance is not zero. Before attempting to close the financial year, go to Reports:Trial Balance. Run the report as at 30th June in the migration year and ensure that the clearing account is zero. If the balance is not $0.00, the message ”Summary P&L Balance does not equal zero” will display when you attempt to roll over. Please recheck all accounts and make necessary adjustments. The total of all assets, minus total liabilities, must be equal to the total of all members’ balances.


Mclowd’s Financial Periods option on the Fund Setup menu should now show that the year prior to your migration year has been closed and your migration year is open.

Fund setup menu_financial periods

Financial periods

(The screen shot above shows the Financial Periods screen when Fund Setup and initial Close Financial Year process has been successfully completed for a Fund for which the selected Migration Date was July 1 2016.)

A ROLL BACK button is provided to allow you to reverse the rollover process and make adjustments to previous year transactions and balances if required. You can then close the year again.

Congratulations! Your Mclowd account is now fully set up and you are ready to commence entering day-to-day transactions.


about the author:

Lorraine Cobcroft

With a background in accounting and financial management, followed by two decades writing software documentation, Lorraine joined the Mclowd team in mid-2016 and is enjoying working with a dynamic team to enhance an innovative product that has the potential to revolutionize the way Australians manage their retirement funding.
Lorraine is also an accomplished business writer, ghost-writer, novelist and short-story writer and poet.

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