# Monthly Close Checklist

A working checklist for a recurring monthly close. Adapt the thresholds and
owners to your engagement — the sequence matters more than the specifics.

Source: https://www.forecraft.tech/resources/monthly-close-checklist

Period: ____________________   Client / Entity: ____________________
Preparer: __________________   Reviewer: ___________________________

## Phase 1 — Cut-off and data collection (days 1–2)

- [ ]  1. Confirm the period is closed in the accounting system; no further postings.
- [ ]  2. Confirm all bank feeds have synced through the last day of the period.
- [ ]  3. Confirm all credit card feeds have synced.
- [ ]  4. Confirm payroll for the period has been posted.
- [ ]  5. Confirm supplier invoices received after period end are dated correctly.
- [ ]  6. Confirm customer invoices for work delivered in the period are raised.
- [ ]  7. Export the trial balance.
- [ ]  8. Export the profit and loss for the period and the prior period.
- [ ]  9. Export the balance sheet as at period end.

## Phase 2 — Reconciliation (days 2–4)

- [ ] 10. Reconcile every bank account to its closing statement balance.
- [ ] 11. Reconcile every credit card account to its closing statement balance.
- [ ] 12. Reconcile the payment processor clearing account (Stripe, PayPal, etc.).
- [ ] 13. Agree accounts receivable to the aged receivables report.
- [ ] 14. Agree accounts payable to the aged payables report.
- [ ] 15. Review and clear the suspense / uncategorised account to zero.
- [ ] 16. Confirm intercompany balances agree, if applicable.
- [ ] 17. Confirm the balance sheet balances: assets = liabilities + equity.

## Phase 3 — Adjustments (days 3–5)

- [ ] 18. Post accruals for goods or services received but not yet invoiced.
- [ ] 19. Post prepayments for costs paid in advance of the period they cover.
- [ ] 20. Post depreciation and amortisation for the period.
- [ ] 21. Review deferred revenue and release the portion earned this period.
- [ ] 22. Review provisions (bad debt, holiday pay, bonuses) for reasonableness.
- [ ] 23. Reclassify anything sitting in the wrong category.

## Phase 4 — Analytical review (days 4–6)

- [ ] 24. Compare every P&L line against the prior period; list movements above
          your materiality threshold. A common starting rule is the greater of a
          fixed currency amount and 10% of the prior-period figure.
- [ ] 25. Compare against budget, if a budget exists.
- [ ] 26. Compare against the same month last year, if history exists.
- [ ] 27. For each flagged movement, identify the driver — volume, price, timing,
          one-off, or error. If the driver is "error", return to Phase 3.
- [ ] 28. Review gross margin percentage against the trend, not just the value.
- [ ] 29. Update the cash outlook for the next 13 weeks.

## Phase 5 — Commentary and delivery (days 5–8)

- [ ] 30. Write the executive summary: what happened, why, and what it means.
- [ ] 31. Convert the two or three findings that matter into actions, each with a
          named owner, a due date, and a defined next step.
- [ ] 32. Reviewer signs off, then release the pack to the client or leadership.

## Carry forward

- [ ] Check last month's actions: which are done, which have slipped, which are
      no longer relevant. Open next month's review with this list.

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Produced by ForeCraft — monthly close software for fractional CFOs, CPA advisory
firms, and finance teams. https://www.forecraft.tech