Monthly close workflow
The best monthly close is simple enough to repeat. Separate the work into document collection, reconciliation, review, and reporting.
| Stage | What to do | Why it matters |
|---|---|---|
| Before close | Collect invoices, receipts, bills, statements, payroll records, and payment reports | Missing documents are easier to recover while the month is fresh |
| During close | Reconcile bank, card, Stripe, Wise, and payment gateway balances | Reconciliations catch duplicate, missing, or miscategorised transactions |
| Review | Check revenue, expenses, receivables, payables, payroll, CPF, and founder transactions | Founders can spot cash and reporting issues before they compound |
| After close | Save P&L, balance sheet, cash, runway, AR, and AP reports | The company keeps a monthly record for decisions, tax, and diligence |
Collect every source document
Start with evidence. IRAS record-keeping guidance requires companies to retain records for at least 5 years from the relevant year of assessment, so documents should not live only in chat threads or laptop downloads.
- Sales invoices and customer receipts
- Supplier bills and SaaS invoices
- Expense receipts and corporate card statements
- Bank statements for every company account
- Payroll and CPF records where applicable
- Stripe, PayPal, Wise, marketplace, or payment gateway reports
Reconcile accounts and revenue
Every month, match accounting records to external sources. Revenue is especially easy to misread when an invoice, payment gateway payout, transaction fee, and bank deposit all happen on different dates.
A clean reconciliation tells founders whether the books reflect what actually happened.
- Match invoices issued to payments received
- Record payment processing fees separately from revenue
- Review unpaid invoices and overdue customer balances
- Check supplier bills and upcoming payment obligations
- Investigate transfers between founders, directors, and the company
Produce founder-friendly reports
The month should end with a small set of reports that a founder can actually use. More dashboards are not better if the core numbers are unreliable.
- Profit and loss for the month and year to date
- Balance sheet with bank, AR, AP, loans, and GST balances where applicable
- Cash balance, burn rate, and runway
- Accounts receivable and accounts payable aging
- Open questions for the bookkeeper or accountant
This article is general information only and is not tax, legal, pricing, investment, or accounting advice. Check current official guidance and get professional advice for your company facts.