# Dynamics GP Year-End Close Checklist > Source: https://netray.co/tools/gp-year-end-close-checklist > Publisher: Netray (netray.co), AI and integration engineering for ERP and manufacturing systems. > Section: Free Tools ## Short answer A step-by-step checklist for closing a fiscal year in Dynamics GP, from subledger reconciliation to final backup and sign-off. ## Category microsoft-dynamics ## Erp Microsoft Dynamics GP ## Audience - Controller - GP administrator - Accounting manager ## Tool **Kind:** checklist **Groups:** #### Before you start **Items:** **Text:** Take a full SQL backup of the company and DYNAMICS databases **Critical:** true **Text:** Confirm all users are logged out before closing steps **Critical:** true **Text:** Verify the next fiscal year is set up in Fiscal Periods Setup with correct dates **Critical:** true Confirm the retained earnings account is set in General Ledger setup Check that no batches are in a posting or recovery state Document the GP version, year-end update and ISV versions in use #### Subledgers **Items:** **Text:** Post or delete all unposted receivables, payables and sales batches **Critical:** true **Text:** Reconcile receivables aging to the GL control account **Critical:** true **Text:** Reconcile payables aging to the GL control account **Critical:** true Complete bank reconciliations through the last day of the year Record accrued purchases and any uninvoiced receipts Run the history removal utilities only after reporting needs are agreed Print or save aged trial balance reports as PDF for the audit file #### Inventory and purchasing **Items:** **Text:** Post all inventory transaction and receipt batches **Critical:** true **Text:** Reconcile inventory valuation to the GL inventory account **Critical:** true Complete the year-end physical count and post adjustments Review open purchase orders for cancellation or carry forward Run the inventory reconcile utility if quantities are in doubt Review negative quantity items and fix before close #### General ledger **Items:** **Text:** Post all general ledger batches including recurring and clearing entries **Critical:** true Post audit adjustments and year-end accruals **Text:** Print the trial balance, income statement and balance sheet **Critical:** true Review the Posting Journals for errors and unposted entries Check that intercompany balances agree across companies Run the Reconcile to GL tool for each subledger Mark the final period as closed for each series after sign-off #### Close and sign-off **Items:** **Text:** Run Year-End Close in the General Ledger, once only **Critical:** true **Text:** Confirm retained earnings and opening balances in the new year **Critical:** true Print the Year-End Closing Journal and compare totals Take a second backup after the close and label it by date Obtain controller and auditor sign-off with date and initials Record lessons learned and update this checklist for next year **Scoring Note:** Tick every item before running Year-End Close. Critical items should never be skipped because the close is hard to reverse without a restore. Menu paths vary by GP version, confirm the exact steps in Microsoft's year-end documentation for your release. ## Content **Intro:** Year-end in Dynamics GP is routine until a batch is left unposted or the close runs twice. This checklist orders the steps so the books tie out before you run the final close, with the irreversible items marked critical. **Sections:** #### How to use the checklist **Body:** Work from the top and treat each group as a gate. Do not move to the General Ledger group until subledgers and inventory reconcile. Tick items as you complete them, and export the result to keep a record for the audit file. Assign an owner and date to each critical item. **Bullets:** - Start the checklist at least a week before the close date - Run it first on a restored copy of production as a rehearsal - Keep a dated copy with the backups #### Why the order matters **Body:** The GP Year-End Close transfers profit and loss balances to retained earnings and moves the year's detail into history. If subledger batches are still unposted, they will post to the wrong year or block the close. If inventory is not reconciled, the GL balance carried forward is wrong. The backup before the close is your only clean rollback. #### Handling subledgers and history **Body:** Many sites close the GL year but leave subledger periods open for late invoices. That works, provided posting dates are controlled by series. Decide before removal utilities run how much transaction history stays online, because removing history reduces table sizes but also reduces what standard reports can show. #### Common mistakes **Body:** The usual errors are skipping the backup, closing the year while users are posting, running the close twice, and forgetting to set up the new fiscal year first. A related risk is relying on a single person who knows the process. Write down the steps here and review them each year. **Cta:** If this is your last GP year-end before a move to a new ERP, we can help plan the final close, archive and opening balance extraction together. **Faq:** #### Can the GP year-end close be reversed? **Answer:** Not through a standard undo for the main close. The practical rollback is restoring the pre-close backup, which is why the backup step is marked critical. Some sites use the reopen year process for corrections, but that needs care and testing. #### Do I need to close subledgers first? **Answer:** You must post all subledger batches that belong in the year and reconcile them to the GL. You do not always need to close the subledger periods themselves, since many organisations keep them open for a short time. #### What changes in a final year before migration? **Answer:** Add steps for archiving detailed history, extracting opening balances, and freezing user posting after the cutover date. Keep the final database backup for the retention period your auditors require. #### How long does the close take? **Answer:** The system process itself often runs minutes to a few hours depending on data volume. Most of the elapsed time is reconciliation and approvals, so start those early. ## Search terms dynamics gp year end close, gp year end checklist, close fiscal year dynamics gp, gp year end procedures, gp retained earnings close, dynamics gp fiscal year close steps --- Talk to an engineer: https://netray.co/contact?intent=erp_ai | Machine catalog: https://netray.co/agent/catalog.json