RKL eSolutions | Technology Insights, Tips and Trends

Sage 100 Year-End Processing Procedure

Written by Nick Grant | Nov 13, 2026, 5:16:00 AM

Sage 100 Year-End Check List Items

Ensure accurate financial reporting, proper module closeout, and system integrity when closing a fiscal year in Sage 100. This procedure applies to all Sage 100 companies and the following modules, if in use:

  • General Ledger (GL)
  • Accounts Payable (AP)
  • Accounts Receivable (AR)
  • Bank Reconciliation (BR)
  • Sales Order (SO)
  • Inventory Management (IM)
  • Purchase Order (PO)

Responsibilities:

  • Engagement lead or Controller: Review financials and approve the close.
  • Accounting team: Complete reconciliations and module closings.
  • System administrator/Controller/RKL: Perform backups and verify module status.

Pre-year end checklist:

Backup
  • Perform a full Sage 100 backup. This can be done by creating a new archived company

  • Outline purpose of backup company when naming it in company maintenance.

  • (e.g., CompanyName_FYE_YYYY_PreClose)

Confirm Fiscal Settings
  • Verify fiscal year and period in:

    • GL → Setup → General Ledger Options

  • Confirm current period and year are correct.

Reconcile All Moldules to GL

 Investigate and resolve all variances before proceeding 

Ensure All Period Activity is Posted
  • Print and review:

    • Daily Transaction Registers

    • Update Registers

  • Confirm no registers remain unposted.

  • Verify no transactions remain in data entry. 

Module-specific year end processing: 

Important: Subledgers should typically be closed before General Ledger.

  1. Purchase Order
  2. Sales Order
  3. Inventory Management
  4. Accounts Receivable
  5. Accounts Payable
  6. Bank Reconciliation
  7. General Ledger 

Sales order (SO) year-end processing:

Navigation:

 SO → Period End → Period End Processing 

Note: During Period End Processing, the system will:

  • Purge the Sales Order Recap based on your retention settings.

  • Automatically remove any expired master or repeating orders.

  • Optionally purge sales history based on your retention settings (during year-end only).

  • Allow you to print key period-end reports like the Open Sales Order  

Shipping and Revenue Cutoff
  • Confirm all shipments made on or before year-end are:
    • Entered
    • Invoiced
    • Updated (Daily Sales Reports posted)
  • Verify no shipments remain in Invoice Data Entry.
  • Confirm no post-year-end shipments were backdated.
Retain the following reports (optional):
  • Open Sales Order Report (as of FYE)
  • Sales Journal
  • Daily Sales Report
Open Sales Order Review

Run: Open Sales Order Report

  • Close fully shipped orders.

  • Review stale or inactive orders.

  • Confirm backorders are valid.

  • Clean up obsolete quotes 

Period-End Processing (SO)
  • Confirm all registers updated.

  • Print required period-end reports.

  • Run SO Period-End Processing (if advancing period).

Purchase order (PO) year-end processing:

Navigation

PO → Period End → Period End Processing

Receiving Cutoff
  • Confirm all goods physically received on or before year-end are entered.

  • Update all Receipt of Goods Registers.

  • Verify no receipts remain in data entry 

Open Purchase Order Review

Run: Open Purchase Order Report

  • Review all open POs.

  • Identify received but not invoiced items.

  • Close obsolete POs.
  • Confirm quantities received are accurate.
Period-End Processing (PO)
  • Confirm all receipt and invoice registers are updated.

  • Print required reports.

  • Run PO Period-End Processing.

Accounts payable (AP) Year-end:

Navigation:

AP → Period End → Year End Processing

Steps:
  1. Print and review:
    • AP Aged Invoice Report
    • AP Trial Balance
  2. Confirm:
    • 1099 vendors are properly flagged.
    • 1099 forms are processed (if calendar year-end).
  3. Verify no invoices remain in Invoice Data Entry.
  4. Run AP Year-End Processing.
  5. Confirm AP year advanced.
Notes
  • AP year-end can be run independently of GL.

  • Historical vendor data is retained based on retention settings.


Accounts Receivable Year-end: 

Navigation 

AR → Period End → Year End Processing

Steps:
  1. Print and review:
    • AR Aged Invoice Report
    • AR Trial Balance
  2. Confirm:
    • All cash receipts and invoices posted.
  3. Run AR Year-End Processing.

Inventory management year -end:

Navigation:

IM → Period End → Year End Processing

Steps:
  1. Print:
    • Inventory Valuation Report
    • Inventory Trial Balance
  2. Confirm:
    • All transactions updated.
    • No open transaction registers.
  3. Complete physical inventory adjustments (if applicable).
  4. Run IM Year-End Processing.

General ledger year-end processing:  

GL should be closed after all subledgers are closed and reconciled.

Navigation 

GL → Period End → Year End Processing

Pre-Close GL Checklist 
  • All journal entries posted.

  • All modules reconciled.

  • Retained earnings account verified in GL setup.

  • Financial statements reviewed and approved.

  • Audit adjustments entered (if applicable).

Run General Ledger Year-End 
Steps:
  1. Perform Year-End Processing:
    • Year-end processing occurs automatically when performing period-end for the last period of the fiscal year.

      This will: 
      • Close the current fiscal year
      • Create the next fiscal year if not already set up
      • Copy actual amounts to the default budget for the new fiscal year (if configured)
      • Retain or remove transaction history based on settings
  2. Review and Validate:
    • Verify all activity and adjustments are completed for the current period.
    • Print and review key reports like the Trial Balance and Financial Statements.
    • Ensure the Balance Sheet is in balance.
    • Make any necessary budget revisions or closing adjustments.
  3. Run Period End Processing:
    • General Ledger > Period End > Period End Processing

 

Archival and Documentation(optional) :

Retain copies (PDF or printed) of:

  • Final Trial Balance

  • Final Financial Statements

  • Subledger reconciliations

  • Inventory Valuation

  • Backup confirmation documentation

  • Year-End Processing Register (if generated)

Optional: soft close vs. hard close:

If audit adjustments are expected:

  • Consider delaying GL year-end close.

  • Sage 100 allows posting to prior year until year is closed.

  • Lock modules only after audit finalization.