About Fiscal Year-End

 Why the year-end closing process is important: At the end of the university fiscal year (June 30), the financial records for the prior twelve-month period must be closed. Following closing, a financial report summarizing the transactions is prepared according to a set of standard accounting rules called "Generally Accepted Accounting Principles". The financial report is a public document audited by external auditors. The document is shared with donors, sponsors, bond rating agencies, bond holders, and anyone else who requests it. 

 Who is involved: Accuracy of the university's financial report depends on the participation and cooperation of all university financial personnel.

 Preparing for year-end closing: The best way for Cornell units to prepare for year-end closing is to reconcile accounting statements periodically throughout the year. This will provide opportunities to investigate and deal with issues promptly. Ideally, any reconciling items should be cleared within the month following a given statement. 

In May and June of each year, a critical review must be done on all accounts in preparation for the year-end closing process.  This review should include all balance sheet (asset and liability) accounts and net asset (operating) accounts. 

Common account problems requiring immediate adjustment include:

 overdrafts
 use of incorrect object codes and project codes
 incorrect reporting of labor distribution and commitments

 Specific procedural guidelines for handling various issues are available through the navigation on the right.

 How the year-end closing process is implemented:  Year-end closing involves two phases: preliminary closing and final closing.  A set of accounting statements is available at the end of each phase.  The preliminary closing statements should be reviewed and adjustments made in the same manner as described above.  The final closing statements are then produced. 

  A schedule of closing deadlines is available below.

Year-End Deadlines

Notes:

(1) After Hours Mail Drop-Off Slot
To facilitate the timely submission of accounting documents, an after hours mail drop slot is available in the back of the DFA Accounting Office at East Hill Plaza. The documents are picked up the next business day at 8:00 A.M.

(2) Year-End Processing Suggestions
If you have ideas or comments about year-end processing, we would like to hear from you!  Send an e-mail to ccs1@cornell.edu .

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