Fixed Assets - Year-End Process Details

Year-end processing is required to start a new fiscal year. The process ensures that all depreciable assets (non-retired assets whose Depreciable checkboxes are selected) are depreciated through the last day of the current fiscal year. After completing the process, you can begin depreciating assets in the new year.

• Do not run year-end processing until you generate all of your Comprehensive Annual Financial Reports (CAFR) and Governmental Accounting Standards Board (GASB) Statement 34 Reports.
• Year-end processing must be run in Fixed Assets before you begin the new year in Fund Accounting. This process copies the fiscal year-end date to the Last Posted Date field for each asset where depreciation was posted within the last 15 days of the year.

Overview

Year-end processing in the Fixed Assets System is part of the procedures you run for your applications in closing out a fiscal year.

Keep in mind that the steps documented here should be run after you complete prerequisites and year-end procedures in other systems, including Fund Accounting, Budget Preparation, Purchasing, Warehouse Inventory, Human Resources, and System Management.

As a result, you should not run the year-end process for Fixed Assets from the outline in this section. Instead, refer to the Fiscal Year-End Processing document, which includes a synopsis of all of the steps required for starting a new fiscal year.

If your account structure needs to be changed in accordance with the Every Student Succeeds Act (ESSA), refer to the Financial Applications Every Student Succeeds Act Fiscal Year-End Checklist for details on converting account structures.

Complete Year-End Processing Related to the Fixed Assets System

1. Use the Asset Information option to process depreciation and post it to Fund Accounting.

2. Generate all CAFR reports and GASB reports for the current year.

3. Use the Backup Fixed Assets to Disk option to run a full backup of your data.

4. Run the Year-End Processing option.

5. Use Fund Accounting's Check Ledger Balances option to verify that all funds are in balance: Fund Accounting > Reports > System Maintenance > Check Ledger Balances.

6. Among other reports, run the following Audit Trails options in Fund Accounting to verify that your budget units are in balance:

   • General Ledger Audit Trail

   • Expenditure Ledger Audit Trail

   • Revenue Ledger Audit Trail

   • Project Ledger Audit Trail (if applicable)

If you have any out of balance situations, call PowerSchool support for assistance.

Year-End Processing Option

Menu Path: Fixed Assets > Entry & Processing > Periodic Routines > Year End Processing

Running this option:

• Changes the Fiscal Year field in the Fixed Assets Profile from the current year to the new year.
• Updates the Profile's Fiscal Year Start Date and Fiscal Year End Date fields to the start and end dates for the new year.
• Creates records in the Fund Source table for the new year, copying the ending balance for each asset's fund source.
• Creates records in the GASB table for the new year to store each asset's ending balance and accumulated depreciation.
• Generates the Year End Exceptions report, which lists assets that still need to be depreciated. No records can be processed until all records are error free.

Do not use the Year-End Processing option by itself. It is intended to be run as just one phase of the process required for closing out a fiscal year in all of the products you use.

Run the Year-End Processing option

1. Choose the Year-End Transaction Processing page.

2. Review the page's fields. The dates in the Current Year section are from the Fixed Assets Profile. The system projects the New Year section's dates based on the Profile's dates.

3. If the information is correct, click Yes to process year-end. This resets the dates and allows you to start depreciating assets for the new year. If any of the information is incorrect, click No, and then check your Fixed Assets Profile.

4. If there are any exceptions found, the year-end process aborts, and a standard Print window displays. Enter settings for generating the Year-End Exceptions report. The report's default file name is yearend.rpt. A message also displays indicating the number of exceptions found. This represents the number of assets that still need to be depreciated.

5. Click OK.

6. Review the report, and then run the Asset Information option to process and post depreciation for the records listed. Before running the Year-End Processing option again, make sure that Steps 2-3 of the procedure in the Year-End Processing Overview section have been completed.