Review Unpaid Bills Before Closing the Month
Yes, review unpaid supplier bills before closing the month to confirm what remains owed and whether recorded payments match the bills. The review supports cash planning and can affect accrual reports. A business using cash basis reporting also benefits from an accurate schedule of upcoming obligations.
Check whether each open bill is valid
Compare bills with supplier statements, credit notes and bank activity. Look for duplicate invoices, payments entered without a bill match and old balances with no explanation. Confirm that the service or goods were received and identify disputed amounts separately rather than quietly deleting them.
Distinguish the bill from its payment
If a $950 supplier bill was entered and the later bank withdrawal was added as another expense, the supplier can still appear unpaid while expenses are overstated. Matching or correctly recording the payment resolves the relationship. The specific correction depends on how the original entries were created and whether the period was already reconciled.
Carry forward a supported obligation list
Record due dates, scheduled payments and any credits expected next month. Review bills near the closing date using the business’s consistent accounting method, with unusual timing questions referred to the tax professional. Save the open bill report with the monthly close so future reviewers can understand the balance. Paper Trail can organize this review as part of maintaining dependable supplier records and monthly books.