Microsoft Dynamics GP Year-End 2024: Fixed Assets

Please utilize the information below to ensure a smooth and seamless year-end in Fixed Assets. Enjoy!

Does the 2024 Year-End Update include any changes for the Fixed Assets module?

Yes - Luxury Auto Maximum Depreciation Deduction Amounts: The maximum depreciation deduction amounts allowed for luxury vehicles has been updated for assets placed in service in calendar year 2024.

Is there any new functionality I should know about that affects the Fixed Assets Year-End closing process?

There is no new functionality this year that will affect Fixed Assets year-end closing processes. However, as a reminder, in a few versions back, a Fixed Asset Year-End Closing report was added to the year-end close process!! This optional report will print per Book, and show the Asset ID, Description, Cost Basis, YTD depreciation, Accumulated Depreciation, NBV, Placed in Service Date, Depreciated to Date, Quantity, YTD Maintenance, and Status for all assets impacted by the year-end close process.  In a single step, you can close the year and print a status report of all the assets that were affected by the close!!

When should the Year-End close for Fixed Assets be done?

We recommend you close all books in Fixed Assets after you close Payables Management (specifically if you're interfacing assets from Payables to Fixed Assets), but before you close the General Ledger year. 

Below are other key points to remember:

• All assets must be ‘depreciated through’ the last day of the current Fixed Assets year. **This is VERY important** See NOTE below.
• When you close the year in Fixed Assets, you should do so for each 'Book' you have set up.
• All 'Books' should be closed before you run depreciation for the new year.

NOTE:  The last day of the Fixed Assets year can be confirmed by navigating to the Fixed Assets Calendar Setup window: Microsoft Dynamics GP >> Tools >> Setup >> Fixed Assets >> Calendar

What does the Year End Close Process do and /or affect?

In the Asset General Window:

• The YTD Maintenance amount is cleared from the Expand last Maintenance Date Window.
• The Quantity is copied to the Begin Quantity field in the Expand Quantity Window.

In the Asset Book Window:

• The YTD Depreciation Amount is cleared.
• Cost Basis is copied to Begin Year Cost field.
• Life to Date Depreciation is copied to Begin Reserve field.
• Salvage Value is copied to Begin Salvage field.

In the Book Setup Window:

• The Current Fiscal Year is incremented to the next year.

What steps should I take to close the year in Fixed Assets?

• You must process depreciation to the last day of the current FA year before you close the year. *Again, this is important!*
• Print all the reports pertinent to the year you are closing before closing the year.
• **Make a backup!**
• Follow the steps in KB 865653: “The year-end closing procedures for the Fixed Asset Management module in Microsoft Dynamics GP”.

NOTE: You should close the year for all Books, however, you do not need to close them all at the same time.  With that being said, all books should be closed before processing any depreciation for the new year.

NOTE:  The last day of the Fixed Assets year can be confirmed by navigating to the Fixed Assets Calendar Setup window:

Microsoft Dynamics GP >> Tools >> Setup >> Fixed Assets >> Calendar

Reminder - DO NOT FLIP the 'Current Fiscal Year' in the Book Setup window:

Please DO NOT manually edit the year in the Book Setup window so you can run depreciation for the next year, and then 'flip it back' and proceed to close the current year. If you do this, the year-end process will set the YTD Depreciation field to zero and then at the end of the next year, the GP code will look to this YTD field to see if enough depreciation has been taken for the year and not see the depreciation you had already done in the new year.  This will cause your assets to over-depreciate at the end of the next year to try make up for the missing amounts in the YTD field (this manifests as overstated depreciation amounts in the remaining periods of the year or as doubled/tripled amounts in the last period of the year).  For this reason, the Current Fiscal Year field in the Book Setup window has been locked down in recent versions of Microsoft Dynamics GP.   

NOTE:
If you accidently closed the Fixed Asset year twice, unfortunately there is no Fixed Asset year-end UNDO process.

1. If at all possible, restore from backup.
2. Although a fairly common case inquiry, there isn't a supported method available to re-open prior FA years in Dynamics GP.
If any asset activity (asset added, deprecated or retired) occurred in the FA module after the prior FA Years had been closed. This is because the FA YEC will reset all FA Book values in a manner that will affect prior-year depreciation amounts and the new financial detail information will also update the FA Books with current deprecated-to dates and LTD values specific to the 'current' FA year.

You would need to review your data, but if no ‘new’ asset events took place in the FA year. This should allow you to use SQL to update the FA Book (FA40200) table to represent the FA year without issue, assuming all assets had been depreciated to the very end of FA year. 

If that is your findings, you could look at the below script, enter the correct year.
update FA40200 set CURRFISCALYR=XXXX, YEAR1=XXXX

In Dynamics GP, review the Tools | Setup | Fixed Assets | Book | Book Setup window to ensure the book is set for the correct year.

Assistance for Fixed Assets Year End Close:

• Microsoft Dynamics Fixed Asset Documentation

Resources:

KB 865653 - Year End Closing Procedures for the Fixed Assets Module in Microsoft Dynamics GP

Year-End Close Resources:

Be sure to refer to the 2024 Year-End Blog Schedule to review current and upcoming blog posts and other helpful resource links related to Year-End Closing for Dynamics GP.

I hope this is helpful and that you have a successful Year-End!!  If you have any feedback or suggestions, please let us know. 

Have an AMAZING Fixed Assets Year-End!!!

Terry Heley
Microsoft