How does posting to a prior period affect the company
Description
Cause
Resolution
Transactions in the previous year
Sage 50 only allows entries into the current and previous fiscal year.
Ensure that your settings aren’t preventing you from posting before a date.
Go to Setup, Settings, Company,then System.
If there’s a check mark on Don’t allow transactions dated before, make sure the date is the last year start date.
Press OK.
Any years prior are no longer available for posting.
When posting into the previous fiscal year, you can't select the dates from the Change Session Date window. Change the date manually within each journal window.
Impact of last year transaction on the books
Posting into a prior period correctly affect the following:
Prior-year reports.
Current year's starting balances of assets, liabilities, and equities.
Any transactions posted to the revenues and expenses will affect the opening balance of your current year's retained earnings.
Consult with your accountant if you need confirmation as to what accounts will be affected by posting to the previous fiscal year.
NOTE:
If you keep separate files for each fiscal year, you must enter backdated entries posted in the current year into the prior year's file. This is to reflect the same results and reporting.