The next financial year can be set up in advance. For example, if accruals extending to the next financial year are made, the financial year and its periods must be established. You can read more about setting up the financial year and periods here.
Note: Always check after establishing the financial year that the periods have also been set up correctly for the financial year. If there are corrections needed in the information of the financial year or periods, first delete the periods, then the financial year, and then set them up again.
Locking the completed financial year
When the financial statements are ready, and no further entries are to be made for that financial year, it is advisable to lock the financial year. The entire financial year can be locked at once by setting the financial year to Locked: Yes.
At this point, no transactions for that financial year can be modified or deleted, nor can new transactions be entered for the financial year. If necessary, the lock can be temporarily removed and then put back in place.