Backup your database before Year End Closing.
If you don't know how to backup database, please refer this :
How to Backup and Restore Database
Please ensure the Payroll month is process until December
System > General Setup > This Month

System>Administrative Tools>Year End Closing


Click OK to complete Year End Closing.

Key In ID and Password


Wait for Year End Closing to complete

Year End Closing complete. And we can process next year payroll transaction.