Planning Ahead

What changes will you make to your accounting or bookkeeping process for this year? Here are a few ideas for making next tax season painless.

Consider an accounting and/or bookkeeping product.  There are many options to choose from.  Xero, Sage, QuickBooks, NetSuite, and Wave (which is a free option) are just a few.  Keep in mind the goals for your business when choosing an accounting product.  Business owners need an accounting product that will grow with their business.   Most products offer accessibility from your home computer, laptop, tablet, and cell phone. Also available are apps that integrate with the product to help with tracking things like mileage and receipts and will integrate with QuickBooks. Multiple users make delegating some of those tasks easy. 

Review business tax deductions.  As your business grows and changes, deductible expenses can grow and change.  A review of your expenses and what is or is not deductible can be helpful.  This updated 2022 complete list of small business tax deductions from QuickBooks is very informative. https://quickbooks.intuit.com/r/taxes/small-business-tax-deductions/

Set bookkeeping schedules. It could be quarterly, monthly, weekly, or daily. Routines can help you be successful in keeping up with bookkeeping tasks.   Three examples:

• Receipts daily.  Don’t wait longer than once a week.  It is too easy to forget the details.  
• Weekly bank review.  Bank transaction reviews weekly can help keep on top of your cash flow.  
• Reconciling once a month. Reconciliation should not be skipped and should be done each month.   Reconciling gives you an opportunity to check for potential problems , correct errors, and confirm what bills and invoices  need to be paid.  

Delegate!  Now is a perfect time to consider outsourcing your bookkeeping tasks.     

Business by FR8 is ready to make sure your bookkeeping is done correctly and on time.  We provide off-site bookkeeping services for any industry.