Ensuring a successful start to 2024 requires a proper closure of the year 2023. It’s likely that your firm implements these practices consistently, not just at the end of the year. However, it’s important to review this checklist to ensure you address the essential activities that may impact directly your firm’s financial well-being as you plan for 2024.
Secure your company’s financial growth as you strategize and plan for 2024 with AccountSight
Review timekeeping entries
- Thoroughly review your company’s time entries to verify their accuracy and completeness.
- Ascertain whether each timekeeper has recorded billable hours.
- Rectify any inaccuracies or exclusions in time entries.
Generate final invoices
- Generate and review invoices for all completed work.
- Ensure invoices are accurate and include all billable time and expenses.
- Set up invoice templates with the necessary year-end details.
Track all expenses
- Review and categorize all expenses in your billing software.
- Conduct an audit to ensure expenses are appropriately allocated to clients or matters.
Take care of unpaid client balances
- Review outstanding client balances.
- Follow up on overdue invoices and collections.
Conduct your trust accounting due diligence
- Verify trust account transactions for accuracy.
- Ensure that you have reconciled and updated balances.
Create yearly financial reports
- Generate year-end financial reports, such as profit and loss (P&L) and balance sheet.
- Analyze your firm’s financial performance throughout the year.
- Pull the previous year’s reports to compare year over year and to provide your firm with a solid basis for projections.
Optimise operations for your tax season
- Export financial data and reports for tax purposes.
- Ensure you have organized all relevant tax documents and prepared all needed information for your accountant.
Carry out a compliance check
- Ensure compliance with local, state, and federal tax regulations.
- Confirm that your firm followed all accounting rules and regulations and won’t be surprised by non-compliance violations or consequences.
Backup your firm's data and create a secure archive
- Create a backup of relevant financial data and reporting to prevent data loss.
- Securely archive critical financial documents, such as invoices, receipts, and reports.
- Familiarize yourself with record retention requirements in your jurisdiction and archive or dispose of records accordingly.
Reconcile your records
Reconcile your records with your bank statements and financial records.
- Make year-end adjustments and communicate them to clients
- Make any necessary year-end adjustments to your accounts.
- Review and update billing rates, if applicable.
- Inform clients of any changes in billing rates or policies for the following year.
Plan your 2024 budget and goals
- Use your reported financial data to plan your budget for the upcoming year.
- Set financial goals and objectives for the upcoming year using insights gained from your year-end review.
Seek out training and support
- Schedule training sessions with AccountSight support to learn about new features or updates that can streamline your financial processes.
By following this year-end financial checklist with AccountSight, you can ensure that your financial records are accurate, compliant, and ready for the coming year—and your firm is, too.