How to Fix a Closed Year with an Incorrect Posting Type in Microsoft Dynamics GP

Posted by Misty Galbreth, Support Analyst on June 6, 2017


It happens to everyone.  You close your fiscal year in Microsoft Dynamics GP and then, when going through your year-end reporting, you discover that one or more General Ledger accounts were closed with an incorrect Posting Type*.  That means your Retained Earnings either are over or under stated. 

Fortunately, beginning with Microsoft Dynamics GP 2013 R2**, you can correct this issue on your own.

Here’s how:

  1. All users must be logged out of Dynamics GP for the duration of this process.
  2. Make a backup, or have your IT department make a backup, of the company database in SQL Server Management Studio.  This way, if any step of this process fails due to a connection issue, the backup can be restored so no data is lost.
  3. Navigate to the Year End Close window by going to Microsoft Dynamics GP menu > Tools > Routines > Financial > Year End Closing.
  4. Verify the last closing date is the year you wish to reverse.
  5.  In the bottom left-hand corner of the window, click on the Reverse Historical Year button:
  6. A verification window will open so you can verify the correct year end close will be reversed:
  7. If the Year to Open is correct, click the Process button.  Click Continue to verify that a backup was made.  This will reverse the year end close, removing the closing journal entry as if it never happened.  It will not reverse the entry, it will remove the entry completely.
  8. Repeat steps 4-7 for any additional years you need to open.


Now, we need to correct the General Ledger accounts that were closed with the incorrect Posting Type.  To do this, follow these steps:

  1. Navigate to Financial > Cards > Account.
  2. Find the incorrect account by using the Search Glass.
  3. Correct the Posting Type by changing the radio button to the proper choice:
  4. Click the Save button.
  5. Repeat steps for any additional GL accounts that have an incorrect Posting Type.

 

Our last step is to close the fiscal year again, as you normally would.

  1. Again, make a backup, or have your IT department make a backup, of the company database in SQL Server Management Studio.  This way, if any step of this process fails due to a connection issue, the backup can be restored so no data is lost.
  2. Navigate to the Year End Close window by going to Microsoft Dynamics GP menu > Tools > Routines > Financial > Year End Closing.
  3. Click the Close Year button to reclose your year.  You will want to keep all of the reports as backup, as your original closing entry contains different data and no longer exists in Dynamics GP.
  4. You may wish to make a post-close backup, as well.
  5. Verify your year-end reports, and then allow staff to log back into Microsoft Dynamics GP.

 

*Crestwood recommends you verify your Posting Types before closing your fiscal year in Microsoft Dynamics GP.  You can do this by opening SmartList (Microsoft Dynamics GP menu > SmartList) and navigating to Financial > Accounts > *.  This SmartList will show you every account and the Posting Type assigned to that account:

 

**For versions prior to Microsoft Dynamics GP 2013 R2, please email us at Support@Crestwood.com for assistance in correcting your Posting Type.


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