Change Fiscal Year End?

I am wondering if it is possible to change our fiscal year end...
We are currently set up with our fiscal year end as Dec 31, but the owners would like it to be Mar 31. The 2020 year has not been closed. Can I simply edit the Fiscal Calendar? We have transactions from April 2020.

Hi Donna

Short answer - yes it's possible and no you can't just edit the periods.

You can't extend a fiscal year beyond 12 periods, so I am assuming that what the owners really want to do is to make FY 2021 into a 3-month (short) year. But it's already June, so does that mean that the short fiscal year already ended?

I don't understand the relevance of the sentence "We have transactions from April 2020". Did you mean April 2021?

There are many possible scenarios for changing the fiscal year, some easy and some difficult, depending on where your Ledger data stands. You need to have your Adagio consultant help you, and if they have questions have them contact me at steve@sschwartzcpa.com

Just so you know, no matter what the scenario, you will not be able to get meaningful comparative financial statements that include the short year without a lot of effort.

Steve

Thanks Steve.
Currently our year is Jan - Dec 2020 and Jan - Dec 2021. The owners want April 2020 - March 2021 and April 2021 to March 2022. Our first transactions were in April 2020, so we wouldn't have to create a short year for Jan - Mar 2020.
I will get in touch with our Adagio consultant and will pass along your email if he has questions.

Donna

Hi Donna

If this is a company that started operations in April 2020, then there doesn't need to be a short year. So my answer above doesn't apply.

But it's worse. You will need to recreate your Ledger from scratch, export the current transactions to Excel, and then import them into the new Ledger using the proper periods. You can't just change a transaction that was posted in period 1 of the year ending 12/31/21 to period 10 of the year ending 3/31/21. Obviously this is a job for an Adagio expert, not an amateur.

Steve

Thanks... that was what I was thinking.