> ## Documentation Index
> Fetch the complete documentation index at: https://www.practiceownersguide.com/llms.txt
> Use this file to discover all available pages before exploring further.

# Month-end close for a practice

> The monthly ritual that keeps the books real: reconcile deposits to remittances, post everything, and hand clean numbers to the KPI sheet.

Once a month, the practice's three records get forced to agree: what the PM
system says you earned, what the remittances say you were paid, and what the
bank says arrived.

```mermaid theme={null}
%%{init: {'themeVariables':{'fontFamily':'inherit','fontSize':'14px'}}}%%
flowchart LR
    A[PM ledger<br/>charges and payments] --> D[Close]
    B[ERAs / EOBs<br/>what payers say] --> D
    C[Bank statement<br/>what arrived] --> D
    D --> E[P&L + KPI sheet]
```

## The checklist

Post every remittance: no unposted [835s](/concepts/what-is-an-835) or paper
EOBs left in the queue. Match every deposit to a remittance
([reconciliation](/concepts/reconciliation)), chasing the two classic orphans:
deposits with no ERA (ERA enrollment gap, fix in the
[payer directory](/reference/payers)) and ERAs with no deposit (payment went
to an old account, see [switch banks](/guides/switch-banks)). Match processor
batches: card settlements minus fees tie to the PM's patient payments
([POS](/guides/choose-your-pos)). Reconcile each bank account in the
bookkeeping file, book payroll and the loan split (principal vs. interest),
fund the tax reserve, and in
[multi-entity structures](/guides/multi-entity-money) confirm the management
fee was invoiced and paid. Then review AR aging and push the worst balances
into the [denial workflow](/guides/work-your-denials) or
[patient follow-up](/guides/patient-responsibility).

## The output

A closed month: P\&L and balance sheet you trust, and the
[KPI sheet](/guides/practice-kpis) filled from real numbers. Half a day for a
solo practice once the routine exists; the first close is the slow one.

## Related

* [What "reconciled" means](/concepts/reconciliation)
* [The numbers that matter](/guides/practice-kpis)
* [Bookkeeping and the tax calendar](/guides/bookkeeping-and-tax-calendar)
* [Work your denials](/guides/work-your-denials)
* [Lockboxes and the paper problem](/concepts/lockboxes)