Working With Your Accountant at Month End or Year End

Many of my clients now give their Accountant a copy of their QuickBooks file at year end.  I would like to suggest two different methods for working with these files so that any adjustments that the Accountant makes can be imported into the clients company file.  The best method will depend up on the needs of the client and the type of adjustments that the Accountant makes.  The two methods are Accountants Copy and Send Journal Entries.  Both of these methods will require the Accountant to have the Accountant’s version of QuickBooks in the same year that the client is using..

Accountant’s Copy

This copy allows the Accountant to make adjustments that will be imported into the client’s books at a later date.  The client can continue to work on their QuickBooks entering current transactions but locks the books for making any adjustments or dating any transaction prior to a “Dividing Date” and also places other restrictions on the company file until the Accountant’s adjustments are imported.  . The process works as follows

An Accountant’s Copy is created from the file menu

A dividing date is entered (end of year or month that is being reviewed)

Accountant take copy and restored it on their computer

Accountant edits transactions, reconciles, accounts, makes journal entries, etc.

Accountant exports changes into a file for the client

Client imports change file

This method has works as long as the Client and/or the Accountant do not upgrade to another year or change the name of the company file.   However, the Accountants copy places restrictions  on the company file until the Accountant’s Copy changes are imported or the user “Removes the Restrictions”.  While at a recent, I also noticed that their QuickBooks Point of Sale did not post transactions while the accountant’s copy restrictions were in place.


Send Journal Entries

Many Accountant’s will only perform only Journal Entries for their clients and not change or edit existing transactions.  A feature called   Send Journal Entries    works well in this situation without imposing any limits or restrictions on the Client’s activities.  The process works as follows:

The Accountant takes a backup of the company file

I also suggest that they enter a “Closing Date” to prevent prior period changes after the backup is created for the client.

Accountant restores the backup on their system.

Accountant makes any journal entry adjustments needed.

Accountant sends the client an import file to record the Journal Entries in the QuickBooks Company file.