Understanding Accounting Periods

Accounting periods in SigmaMD are designed to help practices manage their financial reports and invoicing with greater precision and control. The Accounting Periods screen provides a clear view of each month's financial activities and allows for locking periods to ensure the integrity of billing data. This article will explore the features of the Accounting Periods screen and how to effectively manage these settings.

Overview of the Accounting Periods Screen

The Accounting Periods screen displays a table listing each month since your practice's first invoice. For each month, you can see the total amounts billed, received, and owed, as well as any applicable taxes. Owed counts only balances past their due date.

To find months within an amount range, use the filter in the Billed, Received, Owed, or Taxes column and enter a Min, a Max, or both. The table and its CSV download show only the months that match.

States of Accounting Period Lines

Each line in the Accounting Periods table is a month and can have one of three actions:

1. Lock: Practices can lock an accounting period to prevent any further edits to invoices with a service date in that period. The option to lock a period can be manually initiated regardless of the settings. However, practices can also set rules for automatic locking in the Billing Settings, which you can learn more about here.

   Once locked, all invoices with a service date in that period cannot be edited. This ensures the financial data remains consistent and reliable for accounting and compliance purposes.

2. Unlock: If a period has been previously locked, it can be manually unlocked. This allows for modifications to invoices if necessary. Unlocking is typically controlled to ensure that edits are made responsibly and with proper oversight.
3. No Action: This state applies to the current month, which cannot be locked until it ends.

The Accounting Periods feature in SigmaMD is an essential tool for managing the financial aspects of your practice. By understanding how to use this feature effectively, you can ensure that your financial reporting is accurate, timely, and compliant with relevant financial regulations.