How to Set a Closing Date and Password in QuickBooks Desktop For Windows and MAC?

As the new -year begins; QuickBooks users choose to close their books. However, it is not necessary to close the […]

Voiced by Amazon Polly

As the new -year begins; QuickBooks users choose to close their books. However, it is not necessary to close the book at the end of every fiscal year however doing so will prevent the user from accidental modifications that may affect the report in the future. Additionally, QuickBooks Desktop gives the access to the users to set the closing date and password since any amendments to the previous books needs the password. Learn how to Set a Closing Date and Password in QuickBooks Desktop For Windows and MAC.

Save Time, Reduce Errors, and Improve Accuracy

Dancing Numbers helps small businesses, entrepreneurs, and CPAs to do smart transferring of data to and from QuickBooks Desktop. Utilize import, export, and delete services of Dancing Numbers software.

*No credit card required

If it is required, Users can make the changes in the closing date or closing date password. We will assist our users in case if they do not have any idea about how to change closing date password in QuickBooks.

This article guides our users about how to change closing date password in QuickBooks Online and Desktop for both Windows and Mac users.

How to Terminate the Changes to Past Books in QuickBooks Desktop by making use of a Closing Date and Password.

When a new year starts, we recommend our user to close the books in QuickBooks Desktop. If the user does not require doing this at the end of a calendar year, closing the books at the end of the year will stop any random changes which will affect the reports.

What is the Definition of Closing Date, and How does the user Set It?

Date which shows all over on which the books have been closed is termed as Closing Date. Usually, books are examined closed after they have been judged, all adjusting entries have been made, and reporting has been completed to investors, lenders, or tax authorities.

It’s used to save data from inadvertent modification by making it crucial – but not impossible – for the user to change or delete transactions on or prior to the closing date. Contrary other accounting systems which require the user to shut the books and make it impossible to add, change, or delete transactions in closed periods, QuickBooks offers the flexibility for the users to restrict access to periods users or their accountant have determined are closed and to later remove which access restriction, a process commonly called “re-opening the books”.

It’s important to understand that setting a Closing Date does not result in recording the transactions; QuickBooks automatically makes certain adjustments, like as increasing the Retained Earnings account by the amount of the prior year’s net income on the first day of the fiscal year. The Closing Date is just an access limitation. Users can control how strict that restriction is by whether user Set a Closing Date Password.

For setting the Closing Date, hit on the Accounting sub-menu of Edit->Preferences. Then, menu selection and select the Company Preferences tab. Now you will be able to see the current Closing Date, if there is any as mentioned in the below screenshot.

Company Preferences tab

Click on the Set Date/Password button to spot the Set Closing Date & Password Window as shown in the below given screenshot.

Set Closing Date & Password

Like many functions in QuickBooks, there are multiple ways to get to this similar point. The Company–>Set-up the Closing Date. Menu choice will take the user to the window to make this setting. User can also hit on the Company–>Set Up Users and Passwords–>Set Up Users. Menu selection following by hitting on the Closing Date button as mentioned in the below screenshot.

Closing Date button

With Either Method, Users will End up at the Set Closing Date & Password Window

Users can set or amend the Closing Date and the Closing Date Password on this window. If the user attempts to put the transaction along with a date on or prior to the Closing Date, QuickBooks will show either a warning or a confirmation window, depending on whether user set a Closing Date Password. If the user sets a Closing Date Password, he/she will be required to first correctly enter it to record the transaction.

Below is the screenshot of the warning which user will come across while attempting to Record a Transaction dated on or prior to the Closing Date if the user does not enter a Closing Date Password:

Attempting to Record a Transaction

User will still be able to record the transaction by hitting yes. The access limitation is clearly pushing an additional step.

Here’s the more strict limitation user will see while attempting to record a transaction dated on or prior to the Closing Date if user enters a password:

Closing Date if User Enters a Password

Users are required to enter the password correctly to record the entry, so the access limitation is higher.

QuickBooks Administrator or a user with external Accountant privileges who have the right to set QuickBooks preferences, it is impossible for users in absence of those giant advantage to first get rid of the Closing Date or amend the Closing Date Password to bypass the access limitation. This insures that, when combined with user limitations, the Closing Date limitations are effective.

In QuickBooks Desktop, user can set a closing date and password. This way, any changes to the past books will require a password. Here’s how.

Kindly know that user is required to sign in as the admin to edit or remove the date & password.

How to Amend Closing Date in QuickBooks Desktop For Windows?

To amend the closing date in QuickBooks accounting software, users are required to get into the account as an administrator. Only a user with admin rights can have the access to amend or edit the closing date and password.

If the users are using QuickBooks Desktop on a Windows computer, it is effortless to amend the closing date. Users need to navigate to the Company menu, after that click on the Set Closing Date option, and now choose the Set Date/Password, and finally press the OK button.

For comprehensive instructions, users are required to adhere the following steps:

  • On a Windows system user are required to navigate to the “QuickBooks Desktop“.
  • Then, Navigate to the “Company” menu.
  • Once you are there in the Company menu, now click on the “Set Closing Date” option.
  • At this point, Users are required to select the “Set Date/Password” option.
  • Later, In the “Closing Date“, You are required to write the appropriate date.
  • In the same way, Users can add the password in the “Closing Date Password“.
  • Once all the above steps are done, Hit on the “OK” button to save the details.

Users might get the notification while cancelling the check which has an expense account type or date of the entry prior to the date of closing. At this point, users can hit on the Yes button. Doing so, QuickBooks will start creating the two Journal Entries. This will balance the accounts which are affected by the checks.

Kindly know that this is important to know that this should be noted that creating the Journal Entry in QuickBooks is optional. However, users can cancel the check if needed.

How to Amend Closing Date in QuickBooks Desktop For MAC?

QuickBooks for Mac lets the user set or amend the closing date or closing date password. The procedure of QuickBooks amends the closing date requires the user to go through the Company section. From here, users can hit on the Users and Passwords option. Here, users can hit on the Set Closing Date, write the Closing Date or Closing date Password and save the features.

To learn how to amend closing date password in QuickBooks for Mac, users can check out the step-by-step guide:

  • Login to the “QuickBooks for Mac“.
  • Go to the “Company” menu.
  • Once you reached to the company menu now you are required to switch to the “Users and Passwords” button.
  • At this stage you are required to hit on the “Set Closing Date” option from the “Users and Passwords” section.
  • Here, Users can amend the closing date in the “Closing Date” option.
  • Here at this stage, Write the password in the “Closing Date Password” substitute.
  • To save details, Do not forget to hit on the “OK” button.

Post performing these given steps, users can shut the Users and Passwords window, Hence forward, users can use the date and password which they have updated newly.

How to amend the Closing Date Password in QuickBooks Online?

Here we will provide you the detailed steps for how to amend the closing date password in QuickBooks Online. However, Please be ensure that you have logged in into the QuickBooks account as a company or primary administrator. Only a user with administrator access has the rights to make the changes in the closing date and closing date password.

  • Hit on the “Settings” menu in QuickBooks Online.
  • Here, move to the “Company Settings“.
  • Click on the “Advanced” tab.
  • Select the “Edit” button in the “Accounting” section.
  • Now, Edit the closing date.
  • You are required to enter the new closing date password if you wish to edit the password.
  • Post confirmation of the password, Users are required to hit on the “Save” button and after that hit the “Done” option.

This is how user can amend the closing date and closing date password in QuickBooks Online very easily. Users can run the Exception to closing date report if they wish to track the changes made after closing the books. This report will help to view all the changes which they have made post the closing of the accounting books.

To get the amendments, You can go to the Report tab. Post this, Users are required to add the Exceptions to Closing Date in the search option. Here, Users can open the report to view the amendments.

How to Change Your Closing Date and Password in QuickBooks?

A majority of QuickBooks users shut their accounting books when the New Year starts. But, QuickBooks does not request you to shut the accounting book at the very end of the Fiscal Year. However, if it is closed, it will assist you to avert accidental changes.

In order to prevent mistakes, you can restrict the user access to the closed accounting period by including a closing date along with a closing date password. After the QuickBooks closing date password is set, any changes needed in the old books will need the password.

In order to get more significant insights on how to edit closing date passwords in QuickBooks, keep reading this article. In this article, We will also talk about how to delete the closing password in QuickBooks Desktop when you do not need the password anymore.

How to Change Your Closing Date and Password in QuickBooks Desktop?

When a new year starts, We suggest you close the books in QuickBooks Desktop. Even though when you do not require to do it at the end of a fiscal year, When you close your books at the end of a year it will limit any sudden changes that can impact your reports.

In QuickBooks Desktop, You can fix a closing date and password with the following steps. In this manner, any edits to your previous books will need a password.

Note: It is necessary to sign in as the admin to change or remove the date and password.

In QuickBooks Desktop for Windows Set a Closing Date and Password

  • From the Provided Company Menu, Choose Set Closing Date
  • Choose Set Date/Password
  • Add a Closing Date along with a Closing Date Password
  • Choose OK to Shut the screen

If a closing date and password is set, a notification comes up when a check that has been voided has:

  • An Expense Kind of Account
  • A Transaction Date prior to the Closing Date

Choose Yes in order to Enable QuickBooks to Prepare 2 Journal Entries for the user. As a result, It balances the accounts impacted by the check.

Note: Preparing a Journal Entry is an optional thing. If required, It is Possible to Void the Check.

In QuickBooks Desktop for Mac, Set a Closing Date and Password

  • Navigate to the Company Menu. Choose Users and Passwords.
  • From the Users and Passwords, Choose Set Closing Date.
  • Add a Closing Date and Closing Date Password.
  • Press OK in Order to Close the Screen.
  • Close the Users and Passwords Screen.

How to Edit Closing Date Password in QuickBooks Online?

If you forgot the password for some reason or wish to edit the closing date in QuickBooks Online, it is possible to do it with some easy steps and a few clicks. All you need to do is to change the information. For example, To edit the closing date or closing date password, You can navigate via the Company Settings from the provided QuickBooks Settings.

Here are the detailed steps on how to edit the closing date password in QuickBooks Online. But, Ensure that you have logged in to your QuickBooks accounts as a primary administrator or company administrator. This is because a user who has admin rights can change the closing date along with the closing date password.

  • In QuickBooks Online, Press on the Settings Menu.
  • Now Navigate to the option, Company Settings.
  • Press on the Advanced Tab.
  • Select the Edit button from the provided Accounting Section.
  • Now Change the Closing Date.
  • In case you wish to Edit the Password, Add the New Closing Date Password.
  • Once the Password is Confirmed, You can press the Save Button.
  • Finally, You can Press the Done Button.

In this manner, You can edit the closing date very smoothly along with the closing date password in your particular QuickBooks Online. If you want to monitor the changes done once the books are closed, it is possible to run the Exception to Closing Date Report. In this report, It will show all the edits that you have done once the books are closed.

Note: In order to Locate the Changes, You can Press the Report tab. Post that, include the Exceptions to Closing Date in the provided search field. Now, It is possible to open the report to witness the changes.

How to Delete Closing Date Password in QuickBooks Desktop?

Setting the closing date along with the password prevents any type of sudden and unforeseen changes, However, You may require to delete it in the future.

Here are the steps to remove the close date password in QuickBooks Desktop:

  • Navigate to the Accounting Menu.
  • Now open the Particular Preferences tab.
  • Move to the Company Preferences option.
  • Here you will get the Present Closing Date.
  • Choose the Button for Set Date or Password. It will open the Window for Set Closing Date/ Password.
  • Now you can Delete the Date from the Field for the Closing Date.
  • Click the OK Button and Save the Changes.

Note: Just because the user or admin with privilege can fix the QuickBooks preferences, other users cannot remove the password or closing date without any additional privileges.

If you wish to avoid any kind of changes to the QuickBooks account past books, it is recommended to use the password or closing date. If needed, you can alter the closing date along with the closing date password by changing the details from the particular Company Section. Those users who lack a good idea about it can take assistance from this article.

In this article, we have talked about how to alter the closing date in QuickBooks Online and Desktop on Mac and Windows.

We have tried to update the maximum information for you. However, if you still face any challenges you can always reach out to the Dancing Numbers team of experts without any hesitation at our LIVE CHAT options.

Accounting Professionals, CPA, Enterprises, Owners
Accounting Professionals

Looking for a professional expert to get the right assistance for your problems? Here, we have a team of professional and experienced team members to fix your technical, functional, data transfer, installation, update, upgrade, or data migrations errors. We are here at Dancing Numbers available to assist you with all your queries. To fix these queries you can get in touch with us via a toll-free number
+1-800-596-0806 or chat with experts.


Frequently Asked Questions

Why do You need to Set a Close Date in the Accounting Preferences?

It locks your particular books that prevent others to change your accounting data prior to the closing date. It is a crucial step when you see the last year’s financial data. Closing your books makes sure everything stays as they are.

What is a Closing Entry in QuickBooks?

Closing entries are such entries that are created at the end of a particular financial year to shift the balance to Retained Earnings from the Income and Expense account. The objective is to remove the Income and Expenses account completely and then include the net income of the fiscal year in Retained Earnings.

News about SaaS Industry

AIMMO Raised $12 Million to Advance its Data Labeling Technology

AIMMO has raised $12 million in a Series A round. With this funding, they will advance their data labeling technology and expand globally to create more opportunities for retailers. Seven venture capital firms participated in the latest round and AIMMO declined to comment on its valuation.

close btn

Get Your Case Study

Call Now+1-800-596-0806
Top