What this article covers: How BrizoConsol aligns a subsidiary whose fiscal year starts in a different month from its group — why it is needed, what is posted, when it runs, and where to see the journals.
Each company in BrizoConsol has its own Fiscal Year Start Month. When a subsidiary’s fiscal year starts in a different month from its group, BrizoConsol aligns it automatically by posting Fiscal Year Alignment journals on the group. There is nothing to set up.
1. Why Alignment Is Needed
The group calculates Current Year Earnings on the group’s fiscal year, from monthly movements. Each subsidiary’s Retained Earnings already contains the profit its own books closed at its own year end. With two different year ends, the group’s equity would be misstated:
- After the subsidiary’s year end, the part of its year that falls inside the group’s current year is in both Retained Earnings and Current Year Earnings — counted twice.
- After the group’s year end, the subsidiary’s earnings leave Current Year Earnings before the subsidiary has closed them into Retained Earnings — missing.
The alignment journals move the subsidiary’s earnings into Retained Earnings on the group’s calendar instead of its own, so both cases are corrected.
2. When It Applies
3. What Is Posted
The journals are posted on the group organisation, against its Retained Earnings account. Each month’s earnings are moved out of Retained Earnings at the subsidiary’s year end and into Retained Earnings at the group’s year end:
A loss reverses the directions. Current Year Earnings is not a ledger account — the group already calculates it on its own calendar — so only the Retained Earnings line is posted. The opposite side is shown as [CYE] - Current Year Earnings (CYE) when the journal is displayed, so the entry balances on screen.
4. Example
The group’s fiscal year starts in January; the subsidiary’s starts in July. The subsidiary makes a profit of 100 in each month of 2026.
After each step, group Retained Earnings holds 2026’s earnings once, on the group’s calendar.
5. When It Runs
Alignment runs automatically at the end of every recalculation — after auto eliminations, NCI posting and consolidation recalculation — before the reports are refreshed. Each run recalculates the amounts, rewrites only a journal whose amount has changed, and removes a journal that is no longer needed.
- Changing a company’s Fiscal Year Start Month recalculates that company and its group, and the journals follow the new month.
- Setting the subsidiary to the same month as its group removes its alignment journals.