As the calendar reaches that moment when one year flips to the next, you’ll want to be sure you’re dotting your i’s and crossing your t’s by following these quick tips to keep your financial records in good order for the start of the new year.
Tip #1 – Statements for the Families
Families will need a summary of the services they paid for during the prior year. You can easily email a year-end summary to all families who had children enrolled at any point during the year. See: End-of-Year Statements for Families.
Hint: For Cloud customers, families can print their own statements and summaries through the MyProcare parent portal by going to the Reports tab.
Tip #2 – Write Off Bad Debt
If there are families whose children no longer attend–but still owe you money that you won’t be able to collect, you may want to write off the balance as bad debt to start the year with that portion of your books cleared out. See: How do I write off bad debt?
Tip #3 Add Days Your Center is Closed to the Calendar
When you add the days your center is closed to your calendar for the new year, those dates are automatically marked on each child’s schedule. See: School Close Dates.
Tip #4 Payroll Tax Tables, W2’s and More
If you’re calculating payroll checks in Procare, here are a few things you’ll want to be sure to do:
Tip #5 Beginning Balances
When you have Procare’s full accounting package including the Expenses & Ledger module, you’ll also want to:
- Calculate Beginning Balances for the New Year
- Set up Vendor Tracking for 1099s and order the W2/1099 software
Tip #6 Webinar and FAQs
For more best practices on starting the year, watch a recording of our Start-the-Year-Right Webinar and check out these frequently asked end-of-year questions.