The Monthly Financial Close in Edlio Accounting
Closing the financial books each month is the primary operational discipline for school bookkeepers and treasurers. Performing a structured monthly close ensures that school cash balances reflect true bank statements, prevents unposted transactions from spilling into subsequent months, and generates audit-ready compliance reports for district leadership.
đĄ Best-Practice Adoption Tip: Set an immutable monthly close deadline (e.g. the 5th business day following month end). Complete your close in sequential order: clear receipts and deposits first, clear check disbursements second, verify zero bank reconciliation difference third, and immediately lock the fiscal period to prevent accidental backdated entries.
The 5-Step Monthly Close Checklist
Step 1: Verify All Cash & Check Receipts Are Deposited
Navigate to Receipts > Deposits. Ensure that all cash and checks received during the calendar month have been batched into a finalized deposit. The Undeposited Receipts balance should be $0.00 unless funds were received on the final afternoon of the month.Step 2: Post Outstanding Invoices & Check Runs
Navigate to Disbursements > Invoices. Confirm all approved vendor bills and staff expense vouchers have been posted and checks printed or electronic payment files generated.Step 3: Complete Bank Reconciliation to $0.00 Difference
Navigate to Reconciliation. Enter your official bank statement ending balance and statement date. Match and check off all cleared deposits and cleared checks. The Difference field must equal $0.00. Click Finalize Reconciliation.Step 4: Generate Month-End District Financial Reports
Navigate to Reports and export your monthly compliance package:Trial Balance Report: Verifies that total debits equal total credits across all funds.
General Ledger Detail: Chronological record of all posted transactions.
Sub-Account Summary: Itemized balances distributed to club sponsors.
Bank Reconciliation Summary: Formal report showing reconciled bank balance, outstanding deposits, and outstanding checks.
Step 5: Lock the Fiscal Period
Navigate to Settings > Fiscal Periods. Locate the completed month and toggle its status to Locked / Closed. Locking the period prevents users from accidentally posting backdated transactions into the reconciled month.
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