Loppusaldo

Loppusaldo is a financial term used in Finnish accounting and banking to denote the ending balance of an account at the close of a period, such as a month or a fiscal year. It represents the amount that remains in the account after all transactions posted during the period have been taken into account. Loppusaldo is commonly shown on bank statements and in general ledger reports as the balance at the end of the reporting interval.

The ending balance is typically calculated as starting balance plus credits minus debits during the period. In formula form: loppusaldo = alkusaldo + lisäykset - vähennykset. A positive loppusaldo indicates funds remaining in the account, zero indicates no remaining balance, and a negative loppusaldo (overdraft) may incur interest or fees depending on the account terms. It is important to distinguish loppusaldo from alkusaldo (the starting balance), as they refer to different points in the reporting cycle.

Loppusaldo is used for reconciliation, budgeting, and financial reporting. In personal banking, it helps individuals assess available funds after all transactions. In business accounting, it aids in closing the books for a period and in determining cash positions for forecasting. Note that loppusaldo may not reflect deposits or withdrawals that are still pending or not yet posted, nor holds and authorizations that affect available funds.