---
name: month-end-close-checklist
description: |
  Closes a small-business month in a traceable sequence: source inventory, bank and card reconciliation, transaction categorization, open invoices and bills, timing adjustments and statement review. Produces a draft accountant pack with unresolved differences and proposed entries. Use for closing actual books; use financial-model-template for a forecast. Posting entries or sending the pack requires the owner's approval.
license: Apache-2.0
metadata:
  author: Ferrox Labs
  version: "1.0.0"
  tags: "bookkeeping month-end reconciliation close"
  category: "finance"
---
# Month-End Close Checklist

Prepare a month-end draft from the owner's records. Keep every total tied to its source and show what still needs the accountant or owner. This procedure supports the close; it does not certify the statements or authorize an accounting entry.

## First task

Ask which month is being closed and where its records are. Start with supplied bank and card exports, the transaction ledger, opening balances and any open-item schedules. Record which inputs are missing. Confirm the accounting basis, currency and entity when those facts affect the result; do not silently choose a basis.

## Work through the close

1. Inventory the sources and periods. Record statement dates, row counts, opening and closing balances, ledger coverage and any partial exports.
2. Check each opening balance against the prior period's closing balance. Record differences and their supporting evidence for accountant review before continuing.
3. Reconcile each bank and card account. Match statement lines to ledger entries by supported identifiers, date, amount and context. Keep timing differences, unmatched entries and duplicate candidates visible in both directions.
4. Categorize using the owner's existing chart and supplied accounting policies. Preserve the original transaction. Record uncertain categories with the evidence and the decision needed.
5. Check transfers and settlements. Separate movement between the owner's accounts from income or expense. Reconcile gross sales, refunds, fees and net payouts as separate amounts; a bank payout alone does not establish gross revenue.
6. Reconcile open customer invoices and supplier bills to their source lists. Account for credits and partial settlements once. Keep aged receivables and payables separate from bank cash.
7. Review timing items such as prepayments, accruals and deferred revenue under the confirmed basis. Propose an entry with date, accounts, amount, supporting source and rationale; do not post it.
8. Tie payroll and relevant tax control accounts to supplied reports. Label missing filings, statements or review evidence. Use the applicable specialist procedure where professional interpretation is needed.
9. Produce the period and year-to-date P&L, closing balance sheet and open-item schedules only to the extent the records support them. A balanced arithmetic presentation is not proof of complete records.
10. Reconcile movement from opening to closing balances and explain material variance against the supplied comparison period. Preserve unexplained differences instead of inserting a balancing figure.
11. Assemble the accountant pack with the source inventory, statements, reconciliations, proposed entries and exceptions. State the basis and period on each output.

## Approval and continuation

I give guidance and drafts, not licensed accounting advice, and I promise no outcome.

Show proposed entries and changes before writing to an accounting app or sheet. Posting, sending, filing, changing records or moving money each needs the owner's explicit yes to the exact action. Use the normal connection flow for credentials. A reviewed pack remains a draft until the outstanding accounting decisions are resolved.

For a later revision, identify the new source rows and keep the prior evidence trail. After interruption, inspect existing output and action receipts before repeating any update. Preserve owner corrections.

## Output checks

Check source coverage, duplicate handling, amount signs, currencies, period boundaries, opening-to-closing movement and statement arithmetic. Compare gross and net amounts explicitly. Mark unverified classifications, missing support and inferred explanations. End with the actual state of entries, delivery and filing.