Accounting Periods

Accounting periods control when transactions can post. Closing a period rejects edits or new entries dated inside it; locking adds stronger protection. A guided close-readiness score, manual checklist, and multi-reviewer sign-offs help you finish month-end with confidence. Every close, lock, and reopen is captured in the audit trail.

Key capabilities

• Three states — open → closed → locked
• Closing blocks posting and edits to any date inside the period
• Locking requires the period be closed first
• Reopen requires a reason; audit trail records who and when
• Bulk close-and-lock for historical transfer (1–120 periods)
• Periods created monthly, quarterly, or annually
• AI close-readiness check with itemized blockers
• Unified close score: review, categorization, reconciliation, checklist, anomalies
• Daily score snapshots powering a close-progress sparkline
• Manual checklist acknowledgements and multi-reviewer sign-offs by role
• Requires the CFO Suite add-on

How it works

A period starts open. Closing records who closed it and when; locking promotes a closed period. Reopening (always audited) returns it to open so corrections can post.

stateDiagram-v2
  direction LR
  [*] --> Open
  Open --> Closed: Close
  Closed --> Locked: Lock
  Closed --> Open: Reopen
  Locked --> Open: Reopen
  note right of Closed
    Closed and Locked both reject
    postings inside the period
  end note

How to use it

1. Open Accounting Periods to see every period and its status.
2. Review the close-readiness score and blockers for the period you are finishing.
3. Work the checklist — acknowledge trial balance, P&L, balance sheet, and manager review.
4. Click Close — postings dated inside the period are now rejected.
5. Click Lock once closed for stronger protection.
6. Use Bulk close-and-lock to finalize historical months in one pass.
7. To correct something, Reopen with a reason.

Pro tips

• Close periods as the last step of month-end so reconciled data cannot be edited by accident.
• Drive the score to 100% before locking — unreviewed and uncategorized transactions carry the heaviest penalties.
• Use multi-reviewer sign-offs for separation of duties — preparer prepares, manager approves.
• Reopen sparingly with a clear reason; frequent reopens signal control weaknesses.
• For onboarding with years of history, bulk close-and-lock through the cutover month.

In-depth guide

Status and transitions

Only open periods can be closed; only closed periods can be locked. Reopen requires a reason. Bulk close-and-lock closes any open period first, then locks it; already-locked periods are skipped.

Close score components

Checklist steps include trial-balance review, P&L review, balance-sheet review, manager final review, revenue recognition, accruals, depreciation, payroll, and intercompany. Sign-offs record per role: Preparer, Reviewer, Manager, Partner, each snapshotting the score at the time.

Period close does not create journal entries — it is a control layer. Closing against a date with no existing period auto-creates the monthly period, then closes it.