Closing Flow
Complete end-to-end documentation of period-end closing procedures in NetSuite - covering month-end, year-end, reconciliation, and multi-subsidiary consolidation.
Master Close Flow
PERIOD CLOSE LIFECYCLE
═══════════════════════════════════════════════════════════════════
DAILY/ONGOING PERIOD-END POST-CLOSE
──────────────── ────────── ──────────
│
Transaction Entry ──────────────────►│
│
Reconciliation ─────────────────────►│
• Bank │
• AR/AP ├──► Lock Modules ──────►│
• Inventory │ ↓ │
│ Adjustments │
Adjusting Entries ──────────────────►│ ↓ │
• Accruals │ FX Revaluation │
• Deferrals │ ↓ │
• Revenue Recognition │ IC Eliminations ───►│
│ ↓ │
│ Close Period ──────►│──► Reporting
│ │ Archiving
│ Analysis
Close Cycle Overview
CLOSE TIMELINE
───────────────────────────────────────────────────────────
DAILY MONTHLY QUARTERLY ANNUALLY
───── ─────── ───────── ────────
┌───────────┐ ┌───────────┐ ┌───────────┐ ┌───────────┐
│ • Bank │ │ • Cut-off │ │ • Quarterly│ │ • Year-end│
│ recon │ ───► │ • Lock │ ───► │ review │ ───►│ close │
│ • Review │ │ modules │ │ • Tax │ │ • Retained│
│ entries │ │ • Run │ │ provision│ │ earnings│
│ │ │ depr │ │ │ │ • Audit │
└───────────┘ │ • FX reval│ └───────────┘ │ prep │
│ • Close │ └───────────┘
└───────────┘
Key Close Tasks
| Phase | Tasks | Documentation |
|---|---|---|
| Setup | Periods, Calendar | Period Management |
| Locking | AR/AP/GL Lock | Module Locking |
| Reconcile | Bank, AR, AP, Inventory | Reconciliation |
| Adjust | Accruals, Rev Rec, Amortization | Adjustments |
| FX | Currency Revaluation | Foreign Currency |
| Intercompany | IC Balances, Eliminations | Intercompany |
| Consolidation | Multi-sub Close | Consolidation |
| Monthly | Full Month-End Checklist | Month-End Close |
| Annual | Year-End Procedures | Year-End Close |
| Checklist | NetSuite Checklist Tasks | Period Close Checklist |
| Reference | Guidelines | Best Practices |
NetSuite Period Close Checklist
The built-in Period Close Checklist guides you through critical close tasks:
PERIOD CLOSE CHECKLIST (Setup > Accounting > Manage GL > Manage Accounting Periods)
═══════════════════════════════════════════════════════════════════════════════════
STEP STATUS REQUIRED DEPENDENCY
──── ────── ──────── ──────────
1. Lock A/R ○ ✓ -
2. Lock A/P ○ ✓ -
3. Lock Payroll ○ If enabled -
4. Lock All ○ ✓ 1, 2, 3
5. Resolve Date/Period Mismatches ○ ✓ 4
6. Review Negative Inventory ○ If enabled 4
7. Inventory Cost Accounting ○ If enabled 6
8. Create IC Adjustments ○ OneWorld 4
9. Revalue Open FX Balances ○ If FX 4
10. Calculate Consolidated Rates ○ OneWorld 9
11. Eliminate IC Transactions ○ OneWorld 8, 10
12. Create Period End Journals ○ If enabled All above
13. GL Audit Numbering ○ If enabled All above
14. Close Period ○ ✓ All above
Close Calendar Example
MONTH-END CLOSE CALENDAR (January 2026)
═══════════════════════════════════════════════════════════════════
DAY DATE TASK OWNER
─── ──── ──── ─────
-5 Jan 27 Transaction cut-off reminder AP/AR
-3 Jan 29 Finalize vendor bills AP
-2 Jan 30 Complete bank reconciliations Treasury
-1 Jan 31 Final AR invoicing AR
+1 Feb 1 Lock A/R Controller
+1 Feb 1 Lock A/P Controller
+2 Feb 2 Run depreciation Fixed Assets
+2 Feb 2 Process adjusting entries Accounting
+3 Feb 3 Resolve date/period mismatches Accounting
+3 Feb 3 FX Revaluation Treasury
+4 Feb 4 IC eliminations Corporate
+5 Feb 5 Close period Controller
+5 Feb 5 Distribute financial reports CFO
Module Dependencies
Understanding which modules must close before others:
CLOSE SEQUENCE
───────────────────────────────────────────────────────────
┌─────────────┐
│ Fixed Assets│ (Run depreciation)
└──────┬──────┘
│
┌──────────────────┼──────────────────┐
▼ ▼ ▼
┌───────────────┐ ┌───────────────┐ ┌───────────────┐
│ Accounts │ │ Accounts │ │ Inventory │
│ Receivable │ │ Payable │ │ │
└───────┬───────┘ └───────┬───────┘ └───────┬───────┘
│ │ │
│ Lock A/R │ Lock A/P │ Review Negative
│ │ │ Cost Accounting
└──────────────────┼──────────────────┘
▼
┌─────────────┐
│ Lock All │ (General Ledger)
└──────┬──────┘
│
┌──────────────────┼──────────────────┐
▼ ▼ ▼
┌───────────────┐ ┌───────────────┐ ┌───────────────┐
│ FX Revaluation│ │ IC Adjustments│ │ Period End JE │
└───────┬───────┘ └───────┬───────┘ └───────┬───────┘
│ │ │
└──────────────────┼──────────────────┘
▼
┌─────────────┐
│ CLOSE PERIOD│
└─────────────┘
Key Terminology
| Term | Definition |
|---|---|
| Accounting Period | A defined time frame (month) for financial reporting |
| Fiscal Year | The 12-month reporting period for your organization |
| Lock | Prevent new transactions from posting to a module |
| Cut-off | Deadline for transaction entry |
| Accrual | Recording expense/revenue before cash exchange |
| Deferral | Delaying recognition of expense/revenue |
| Revaluation | Adjusting foreign currency balances |
| Elimination | Removing intercompany transactions for consolidation |
| Reconciliation | Verifying GL matches subledger/external data |
Quick Links by Role
Controller / Accounting Manager
- Month-End Close - Full checklist
- Module Locking - Lock sequence
- Period Close Checklist - NetSuite tasks
AP / AR Staff
- Reconciliation - Subledger recon
- Adjustments - Accruals and corrections
Corporate / Consolidation
- Intercompany - IC eliminations
- Consolidation - Multi-sub close
Treasury
- Foreign Currency - FX revaluation
- Reconciliation - Bank recon
Related Topics
- Financial Flow - Journal entries
- Fixed Assets Flow - Depreciation
- OneWorld Flow - Multi-subsidiary