For many charities and not for profits, 30 June is the end of the financial year.

Have you got your records in order?

The 9 most important things to have in place by 30 June are:

  1. Bank
    Run a bank reconciliation report for each bank account and ensure all transactions are reconciled.
  2. Suspense account code
    Review your suspense account and code transactions to the correct account.
  3. Bad debts
    Consider whether any amounts owed to you by debtors cannot be realistically recovered at 30 June. Keep all evidence showing the steps you took to try and recover them. Ensure all bad debts are written off before closing your debtor’s ledger at 30 June.
  4. Inventory / Stock / Work in Progress
    If you sell stock, at 30 June you will need to do a stocktake.
  5. Statement of Service Performance
    If you are required to prepare a Statement of Service Performance, ensure you capture the relevant outputs and outcomes. Keep a record of this data.
  6. Grants
    If you receive grants on a use or return basis, you will need to calculate the amount of grants unspent at 30 June.
  7. Assets no longer used
    Review the fixed asset register to determine assets that are no longer in use. An asset market valuation at 30 June may be required to establish a disposal value.
  8. Asset purchases and sales
    Consider purchasing assets on or just before 30 June so one month’s depreciation can be claimed.
  9. Complete our preparation checklist
    Ask us for a copy of our audit preparation checklist or review preparation checklist to help you prepare documents for your audit or review.

Download this checklist here.

Please contact the Kendons Audit team if you have questions about any of these: audit@kendons.co.nz.

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