--- title: "Golden Rules of Accounting" slug: "golden-rules-of-accounting" description: "R365 accounting best practices: review DSS before approval, set Payroll JE dates, match bank activity regularly, and close periods on time." updated: 2026-07-27T15:18:08Z published: 2026-07-27T15:18:08Z canonical: "docs.restaurant365.com/golden-rules-of-accounting" stale: true --- > ## Documentation Index > Fetch the complete documentation index at: https://docs.restaurant365.com/llms.txt > Use this file to discover all available pages before exploring further. # Golden Rules of Accounting Review the Accounting Do's and Don'ts to help you stay successful with Accounting in R365! ### Daily Sales Summary - Do make sure that your [review a Daily Sales Summary](/doc/docs/classic-daily-sales-summary-review) to ensure accuracy by comparing POS Reports to your R365 DSS. - Don't blindly [approve a Daily Sales Summary](/doc/docs/daily-sales-approve-a-dss) without reviewing and validating. - Do approve all DSSs in [payroll journal entry](/doc/docs/payroll-journal-entries) date range before approving the Payroll JE because Payroll JEs will only adjust accruals from approved [DSS journal entries](/doc/docs/dss-journal-entries). ### Payroll - Do set your Payroll JE ending date to match the header date to ensure clearing accruals to zero in the [GL Detail](/doc/docs/gl-account-detail). - This is based on whether cash or accrual-based Accounting practices are being used for Payroll. - Do check that accruals have been cleared upon approving each [Payroll JE](/doc/docs/payroll-journal-entry) to prevent a growing balance of uncleared accruals. ### Bank Activity - Do compare your [Bank Reconciliation](/doc/docs/bank-reconciliation) ending balance to the [GL balance](/doc/docs/where-can-i-see-my-bank-account-balance) before period close. - Do keep your [deposit screen](/doc/docs/bank-deposit) maintained to prevent a growing balance of [undeposited funds](/doc/docs/undeposited-funds). - Don't wait until the end of the period to match [Bank Activity](/doc/docs/bank-activity-overview). - Do be thoughtful in how you create [Bank Rules](/doc/docs/rule-vault-overview-security). ### Period End - Do [close your periods](/doc/docs/closing-a-period) after each period is reconciled and adjusted. - Don't post transactions to closed periods. ### GL Accounts - Don't use Due To/Due From, AP, AR, Undeposited Funds, or retained earnings GL Accounts for line-item transactions or make them a Parent Account of any other [GL accounts](/doc/docs/gl-accounts) - Don't post JEs to Retained Earnings because R365 will automatically move Net Income to Retained Earnings on the first day of a new fiscal year. - Do use [invoices](/doc/docs/ap-invoices-overview-security), [payments](/doc/docs/manual-payment), and [credit memos](/doc/docs/ap-credit-memo) for all AP/AR transactions. --- ### FAQ #### What happens if I need to post a transaction to a period that's already closed? R365 blocks new postings to closed periods to protect reported financials. If a correction is needed after close, reopen the period, post the entry, then [close the period](/doc/docs/closing-a-period) again. #### Why can't I use AP, AR, Undeposited Funds, or Retained Earnings accounts for line-item transactions? These accounts are reserved for automated system postings. Posting to them manually, or setting them as a Parent Account, breaks the automation R365 relies on to keep [GL accounts](/doc/docs/gl-accounts) accurate. Use [invoices](/doc/docs/ap-invoices-overview-security), [payments](/doc/docs/manual-payment), or the deposit screen instead. #### When does R365 move Net Income to Retained Earnings? R365 automatically moves Net Income to Retained Earnings on the first day of each new fiscal year. Don't post journal entries to this account manually — see [GL Accounts](/doc/docs/gl-accounts) for more on reserved account behavior. #### Why isn't my Payroll JE clearing the accrual I expected? Payroll JEs only adjust accruals from [DSS journal entries](/doc/docs/dss-journal-entries) that have already been approved. If an expected DSS entry wasn't approved before the Payroll JE ran, the accrual won't clear — check the DSS approval status first. #### How often should I match bank activity? Match [Bank Activity](/doc/docs/bank-activity-overview) continuously rather than waiting until period end. This keeps your [Bank Reconciliation](/doc/docs/bank-reconciliation) accurate and prevents a backlog of unmatched transactions at close. Restaurant365 POS (Point of Sale) A system used by businesses to process sales transactions and manage customer payments. Connected to R365 through a [POS integration](/doc/docs/pos-integration-overview). Structured documents that provide insights and summaries of various operational metrics and financial data. Daily sales summary (DSS) Record generated by daily data sent from the POS that may include sales, labor, menu items, and payment details. Journal entry (JE) Record posted to the General Ledger to document financial activity. An accrual is an amount recorded when it’s earned or incurred rather than when it’s paid or received. Accumulated net income that has not been distributed to owners and is reflected in equity accounts. ## Related - [Accounting Onboarding to Adoption](/accounting-onboarding-to-adoption.md) - [Golden Rules of Operations](/golden-rules-of-operations.md) - [User Permissions: Permission Reference](/user-permissions-permission-reference.md) - [Rule Vault Overview](/rule-vault-overview-security.md)