End of Year Procedure Before R08 20141210160342

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End of Year Procedure

Prior to R08
Temenos PACS

Information in this document is subject to change without notice.


No part of this document may be reproduced or transmitted in any form or by any means, for any purpose,
without the express written permission of TEMENOS HEADQUARTERS SA.
COPYRIGHT 2007 - 2008 TEMENOS HEADQUARTERS SA. All rights reserved.
Prior to R08

Document History

Author Version Date

Poorni V1.0 Dec 03 2011

Sandhya V2.0 Dec 10 2012

Divyalakshmi V3.0 Dec 12 2013

Julian Titus V4.0 Oct 17 2014

Comments:

2 | End of Year Procedure


Prior to R08

Table of Contents
INTRODUCTION ...................................................................................................................................................................... 4
PROFIT AND LOSS CLOSE OUT ......................................................................................................................................... 4
PL.MOVE.TO.AL .......................................................................................................................................................................... 4
ACCOUNT.CLASS .................................................................................................................................................................. 5
START OF THE YEAR JOBS ................................................................................................................................................ 5
SA.START.OF.DAY ..................................................................................................................................................................... 5
OTHER END OF THE YEAR JOBS ....................................................................................................................................... 6
Job to be run during a quiet period in the New Year: ......................................................................................................... 6
Update of PL category in FX.POS.TYPE ............................................................................................................................. 7
Creation of PC.PERIOD record: ............................................................................................................................................ 8
CONCLUSION ......................................................................................................................................................................... 8

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Prior to R08

Introduction
This document outlines the specific, once in a year, activities relating to the financial year-end. These End of Year
procedures relate mainly to closing out the Profit and Loss accounts and a few other accounting updates. Separate
procedures are available for R08 and above releases.

Caution: Please test the procedure in test environment and on confirming implement the same in live.

Profit and Loss close out

PL.MOVE.TO.AL

(Job name: CLOSE.OUT.OF.PL and Program Name: PL.CLOSE.OUT)

PL.MOVE.TO AL – This Job CLOSE.OUT.OF.PL is an End of Day job; this needs to be run on the first working day of
the new financial year. The PL of previous year is moved to Asset & Liability (PL CLOSE Internal Account) during the
first working day of new financial year. This is done as the first JOB of the Batch Processing so as to move all the PL
entries till the previous working day to the PL CLOSE account.

In the given example, we assume that the last working day of the year is 31 st Dec 2014 and the first working day of
the year is 2nd Jan 2015.

Example:

 Last working Day of 2012: 31-12-2014 



 First working Day of 2013: 02-01-2015 

figure 1: Close.Out.Of.PL

This end of day job is run on the first working day of the New Year in APPLICATION STAGE and backs out all P&L
balances and posts to asset & liabilities. This job also clears all P&L from the CRF.

PL.MOVE.TO.AL job does the following process:

a) Reads all CONSOLIDATE.PRFT.LOSS records, accumulates debit and credit amounts (balance + cr/dr
movements). These amounts represent the P&L close movements. Ignores CP keys and delete PL keys. For
each P&L record reads, writes the balance details to the PL.YR.END.ENTRY file.

b) Selects RE.STAT.LINE.CONT with any P&L keys and remove them from the record(s).

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Prior to R08

c) Creates a new CONSOLIDATE.PRFT.LOSS record for PL category 69999 (pass a zero movement to
RE.CONSOL.UPDATE.PL which will force an update to RE.CONSOL.UPDATE) and manually sets the
opening balance to the net of the P&L close movements.
d) Posts two stmt entries to the P&L close out account (see ACCOUNT.CLASS) for the P&L close movements
and two opposite signed category entries to PL69999. This routine generates statement entries in
FXXX.STMT.ENTRY for all consolidation records in CONSOLIDATE.PRFT.LOSS file.

ACCOUNT.CLASS
The existing ACCOUNT.CLASS records PLCLOSE specifies the category of the internal account to which the entries
should be posted.

figure 2: Account Class

Start of the year jobs

SA.START.OF.DAY

(Job/ Program name: SA.START.OF.YEAR.BAL)

This job should only be run if there are savings accounts. This is an end of day job, runs at the START of the year, to
move the open cleared balance to the start of year balance field in the account records runs as the first 'financial' job
during start of day.

Example:

 Last working Day of 2014: 31-12-2014



 First working Day of 2015: 02-01-2015 

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Prior to R08

Figure 3: SA.Start.Of.Day

SA.START.OF.DAY job does the following processes:

a) The job SA.START.OF.YEAR.BAL is a start of day job. This means that it needs to have been run by the time
the bank starts to work on the 1st working day of the new financial year. This in turn means that this should
be run on the last working day of the previous financial year.

b) This job should only be run if you have savings accounts.

c) THE SAVINGS ACCOUNT YEAR END CAN BE DIFFERENT TO THE FINANCIAL YEAR END ---

THAT IS, SAY, FINANCIAL YEAR END IS 31-12-14, WHEREAS SAVINGS ACCOUNT YEAR END CAN BE
28-02-2015. THIS NEEDS TO BE TAKEN INTO ACCOUNT WHEN RUNNING THE SAVINGS ACCOUNT
JOB.

Other end of the year jobs

Job to be run during a quiet period in the New Year:

The following job also needs to be run, but during a quiet period of the New Year.

Batch Record ID : ONLINE

Job Name : IC.UPDATE.INACTIVE and IC.UPDATE.INACTIVE.POST

Run Date : Any quiet period in the New Year.

Program Name : UPDATE.INACTIVE.MARKER

This subroutine will be run as part of the end of day procedure and will be an optional process; that is, it will
not be run every night. Its function is to identify those accounts on the ACCOUNT file, which have been
inactive for a period of time. i.e., no movement for a user defined number of months. A select list will be used
to obtain the appropriate accounts.

Example:

 Quiet working day of 2015 say 13-01-2015 

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Prior to R08

As the job IC.UPDATE.INACTIVE is multi-threaded in G13.2 with 200410 SP and above releases, we need to
run the job IC.UPDATE.INACTIVE.POST also during a quiet period. In our case, we need to run it on 13th Jan
2015.

figure 4 : Ic.Update.Inactive

If the above mentioned job is not in SYSTEM.END.OF.DAY5, check the same in ONLINE batch. In some
releases, we have moved the same to ONLINE batch.

Update of PL category in FX.POS.TYPE


In R05 and above releases, in the table FX.POS.TYPE there will be a record with id “TR”. The category 69999
in the field CLOSE.CATEGORY (field 3) has to be inputted in the record TR in the FX.POS.TYPE file.

figure 5: Fx.Pos.Type

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Prior to R08

Creation of PC.PERIOD record:

If the POST.CLOSING module is installed and if the POST.CLOSING module is in use, create PC.PERIOD
record for the financial year-end for the date as given in the field 45 of the company record on the last working
day. This has to be created for all the companies

figure 6: Post Closing Period Definitions

Conclusion
Special care needs to be taken with regard to these End of Year jobs. In case you require any further clarifications
please do not hesitate to contact us.

8 | End of Year Procedure

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