1.

Set or change the closing date and password in QuickBooks Desktop

In QuickBooks you can use a closing date and password to stop changes that ‌can affect your
reports. We recommend you close your books when a new year starts. Here’s how.

Set a closing date and password in QuickBooks Desktop for

Windows
1. Open QuickBooks and sign in as the admin.
2. Go to Company, and select Set Closing Date.
3. Enter a Closing Date and Closing Date Password.
4. Select OK.

Note: If you void a check dated before the closing date, with an expense account, you’ll see
this message:

Select Yes for QuickBooks to create 2 journal entries to balance the accounts affected by the
check. Creating journal entries is optional. You can still void the check, if you need to.

Set a closing date and password in QuickBooks Desktop for

Mac
1. Go to Company and select Users and Passwords.
2. Select Set Closing Date.
3. Enter a Closing Date and Closing Date Password.
4. Select OK.

What Is the Closing Date and How Do I Set It?

Chief Mechanic · September 6, 2010 ·
The Closing Date in QuickBooks is a setting that indicates the date through which your books
have been closed. Normally, books are considered closed after they’ve been reviewed, all
adjusting entries have been made, and reporting has been completed to investors, lenders, or
tax authorities.

It’s used to protect data from inadvertent modification by making it more difficult – but not
impossible – for you to change or delete transactions on or before the closing date. Unlike
other accounting systems that require you to close your books and make it impossible to
add, change, or delete transactions in closed periods, QuickBooks offers the flexibility for
you to restrict access to periods you or your accountant have determined are closed and to
later remove that access restriction, a process commonly called “re-opening your books.”

It’s important to understand that setting a Closing Date doesn’t result in recording any
transactions; QuickBooks automatically makes certain adjustments, such as increasing your
Retained Earnings account by the amount of your prior year’s net income on the first day of
your fiscal year. The Closing Date is only an access restriction. You can control how strict
that restriction is by whether you set a Closing Date Password.

To set the Closing Date, click on the Accounting sub-menu of Edit->Preferences… menu
selection and choose the Company Preferences tab. You’ll see the current Closing Date, if
any.

Click on the Set Date/Password button to view the Set Closing Date and Password window.
Like many functions in QuickBooks, there are multiple ways to get to this same point.
The Company->Set Closing Date… menu choice will take you to the window to make this
setting. You can also click on the Company->Set Up Users and Passwords->Set Up
Users… menu selection, followed by clicking on the Closing Date… button.

With either method, you’ll end up at the the Set Closing Date and Password window.

You can set or change your Closing Date and the Closing Date Password on this window. If
you attempt to enter any transaction with a date on or before the Closing Date, QuickBooks
will display either a warning or a confirmation window, depending on whether you set
a Closing Date Password. If you set a Closing Date Password, you’ll have to first correctly
enter it to record the transaction.
Here’s the warning you’ll see when attempting to record a transaction dated on or before
the Closing Date if you do not enter a Closing Date Password:

You’ll still be able to record the transaction by clicking Yes. The access restriction is simply
forcing an extra step.

Here’s the more strict limitation you’ll see when attempting to record a transaction dated on
or before the Closing Date if you do enter a password:

You’ll have to correctly enter the password to record the transaction, so the access
restriction is greater.

Since only the QuickBooks Administrator or a user with External Accountant privileges can
set QuickBooks preferences, it’s not possible for users without those higher privileges to
first remove the Closing Date or change the Closing Date Password to bypass the access
restriction. That insures that, when combined with user restrictions, the Closing
Date restrictions are effective.
2. Fix issues at the end of a reconciliation in QuickBooks Online
Learn what to do if QuickBooks Online doesn't match your bank statement at the end of a
reconciliation.

When you reconcile an account, you compare transactions in QuickBooks with the same
ones on your bank statements. After you review everything, the difference between the
ending balance in QuickBooks and your bank statement should be US $0.00.

If the ending balances don't match, don't worry. Here's how to find and fix issues so you can
finish reconciling.

Tip: If you haven't already, start with our reconciliation guide. There may be other issues you need to fix
to get a correct ending balance.

Learn what causes ending balance issues

Step 1: Review the opening and beginning balance

If you haven't already, review the opening and beginning balances. When you know they're
accurate, you move on.

Step 2: Check the ending balance you entered

When you start a reconciliation, you enter the ending balance from your bank statement.
QuickBooks uses this to check for accuracy. Make sure you entered the correct amount:
 1. While you're reconciling an account, in the Reconciliation window, select Edit info.

2. Review the Ending balance and Ending date.

3. Check your bank statement. Make edits as needed.
4. When you're done, select Save.

If there's still a difference in QuickBooks, move on to Step 3.

Step 3: Combine multiple transactions into a single transaction

If your bank combined several payments as a single record, you should do the same in
QuickBooks. Sometimes, we enter payments individually, which makes us think there's an
error.

If you notice you didn't combine the same payments in QuickBooks, put them into the
Undeposited Funds account. Then make a Bank Deposit to combine them into a single
record.

If there's still a difference in QuickBooks, move on to Step 4.

Step 4: Eliminate transactions you know are correct

You now know your ending balance is correct, and have reviewed possible issues. You can
quickly narrow down the list of transactions to find the ones causing issues.

Take out your bank statement. Physically mark the transactions that match the ones you
entered into QuickBooks. These aren't causing issues.
This gives you a much shorter list to work with. Move on to Step 5.
Step 5: Enter transactions that aren't in QuickBooks

Let's make sure you entered everything into QuickBooks. If your accounts are connected to
online banking, review and categorize all of your downloaded transactions. You can't
reconcile them until you do.

Then review the list of transactions in the Reconciliation window. If you see transactions on
your bank statement that aren't in QuickBooks:

1. Go to Bookkeeping, select Transactions, then select All Sales (Take me there)

or Expenses (Take me there).
2. Look for transactions you see on your bank statement, but not in QuickBooks.
3. If you find any, select and open them.
4. Check the Deposit to or Payment account. Make sure the transactions are in the
correct account. Select a different account as
needed.

Now that you've triple-checked QuickBooks, you can enter these missing transactions. Use
your bank statement as a guide. Enter transactions you see on your bank statement but
aren't in QuickBooks as new sales receipts or expenses.

When you're done, move on to Step 6.

Step 6: Remove transactions that aren't on your bank statement

Now let's do the opposite. Review the transactions in the Reconciliation window. Look for
any that are in QuickBooks, but aren't on your bank statement. If you see any:

1. Check the transaction date and review your bank statements for that time period.
2. Make note of the date and amount of the transaction.
3. Run a Past Reconciliation report for those dates.

If the transaction wasn't on the past reconciliation report

If a transaction was on a previous bank statement, but wasn't on the past reconciliation
report for those dates:

1. Go to Bookkeeping and select Chart of accounts (Take me there).

2. Find the account you’re reconciling and select View register.
3. Find the transaction and select it to expand the view.
4. If the box in the checkmark column is blank or has a C, make sure the transaction is
accurate.

5. Select the box in the checkmark column until you see an R. If there's already an R in
the checkmark column, leave it alone.
6. When you're done, select Save.

If the transaction was on the past reconciliation report

Finally, let's look for duplicate transactions.

1. Go to Bookkeeping, select Transactions, then select All Sales (Take me there)

or Expenses (Take me there).
2. Sort the lists by date, customer, vendor, or amount.
3. If you find obvious duplicates, you can safely delete them.

Important: Only delete transactions if you're absolutely certain they're a duplicate or error. If you a
totally sure, talk to your bookkeeper.

4. Go to Bookkeeping and select Chart of accounts (Take me there).

 5. Find the account you’re reconciling and select View register.
6. Find the transaction and select it to expand the view.
7. Select Delete and then Yes to confirm.

When you're done, move on to Step 7.

Step 7: Review transactions that are slightly off

If a transaction in QuickBooks closely matches one on your bank statement but the amount
is slightly off, reach out to your accountant. You shouldn't edit transactions, like invoices,
that customers already paid for.

On the other hand, your bank sometimes adds fees to transactions that weren't included
when you entered it into QuickBooks. Check your bank statement. If fees were added:

1. Select + New.
2. Select Bank deposit.
3. Follow the steps to add a bank or processing fee to the account you're reconciling.
4. In the Memo section, add a note about which transaction it's tied to.

Financial institution mistakes

If you can't find errors in QuickBooks Online, there may be an error with the bank or Credit
Card Company. Here's how to check for mistakes on your bank or credit card statement.

Next steps: Finish reconciling

Now that your accounts are balanced, you can finish reconciling.

Your books done right - guaranteed.

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statements every month so your books are always 100% accurate. Learn more
about QuickBooks Live Bookkeeping.