this is helpful! I'm looking into this option because the bookkeeper before me left a bunch of transactions unreconciled. Each time I go to reconcile there's all these very old transactions just sitting there. I don't want to delete them so that if my client were ever audited, all the transactions will be there. If I close the books on a date after these transactions, do these unreconciled transactions stop showing up? Does closing the books also perform that function?
The old transactions will always show until they are removed (which I suggest you don't do) or reconciled. Closing the books will not remove them; it will just prevent any alterations to the software on or before the closing date. Thanks for watching
You can "close" the books whenever you like - month by month is not necessary. This is because the close feature on QuickBooks only locks the accounts from editing and adding transactions. It does not post any journals. I hope this helps.
Thank you for your work. I am a new student. Thank you for letting me learn here.
You're very welcome! Thanks for watching
Are the income and expense accounts closed to retained earnings by doing so?
Yes, that is correct. Thanks for watching.
this is helpful! I'm looking into this option because the bookkeeper before me left a bunch of transactions unreconciled. Each time I go to reconcile there's all these very old transactions just sitting there. I don't want to delete them so that if my client were ever audited, all the transactions will be there. If I close the books on a date after these transactions, do these unreconciled transactions stop showing up? Does closing the books also perform that function?
The old transactions will always show until they are removed (which I suggest you don't do) or reconciled. Closing the books will not remove them; it will just prevent any alterations to the software on or before the closing date. Thanks for watching
I would say really helpful vedio for quick book aspirants👍
Thanks
Suppose we are using QB for 3 years and never closed the books…then do we have to go month by month and close the books or there is any other way…
You can "close" the books whenever you like - month by month is not necessary. This is because the close feature on QuickBooks only locks the accounts from editing and adding transactions. It does not post any journals. I hope this helps.
Thank you
You're welcome
After closing, can I reopen the books anytime?
Yes, you can. Thanks for watching.
Thank you @@BookkeepingMaster