Cut Off Date
ENTERING A CUT OFF DATE PREVENTS ANY PURCHASE / SALES / PAYMENTS / RECEIPT TRANSACTIONS FROM BEING POSTED PRIOR TO THIS DATE.
WHEN ENTERING TRANSACTIONS, IF A DATE PRIOR TO THE CUT OFF DATE IS ENTERED, THE SYSTEM WILL AUTOMATICALLY REVERT TO THE CUT OFF DATE PROMPTING THE USER THAT THE DATE ENTERED IS EARLIER THAN THE PRESET CUT OFF DATE.
As your business is already in operation for a number of periods then there are certain "Opening Balances" to be entered to indicate the opening financial positions of the business, e.g. opening bank balance, amounts due from customers etc.
The Cut Off Date prevents any inadvertent adjustment to these prior financial period balances. Therefore the Cut Off Date will be the first day from which you start to enter transactions within Thesaurus Accounts, which is the first day of the new financial year.
Opening Balance Date 31st December 2016
Cut Off Date 01st January 2017
All transactions will be posted with the earliest date of 01st January 2017 preventing the amendment to the financial data for the financial period ended 31st December 2016.
Entering a Cut Off Date is optional and may be left blank if preferred or, if entered, may be changed at a later date.
If you are a new business setting up and you will be implementing Thesaurus Accounts from the start then there is no opening financial position to enter and therefore no opening balances. The Cut Off Date will be the date of commencement of the business.