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As a small business owner, you may find yourself struggling to keep up with your business’s books. As soon as you know it, another month has passed and you’ve fallen behind recording transactions. Determine the value of items not sold and any inventory that needs to be classified as “inventory write-off”.
By keeping track of what moves quickly and what doesn’t, it’s easier to make adjustments so that you don’t sell out of popular items or hold onto too much inventory. Project planners like a Gantt chart can be a great way to keep track of inventory and help allocate resources. You must cross verify in the details that are used in the business bookkeeping and the different Running Law Firm Bookkeeping: Consider the Industry Specifics in the Detailed Guide users in the organization. You must add on the detail of the transaction receipt that is used in the business process so that more and more detail can be put to make the record more appropriate. A handy bookkeepers’ checklist to keep you on the right track at month’s end. Depending on when a check is deposited, it may not reflect in your account till the following day.
Send out client invoices
Check your inventory status on a month-to-month basis to avoid being caught off guard by a shortage in supplies. If you’re in a peak period or just completed one, you might want to review your inventory more often to ensure things go smoothly. As I just mentioned, small businesses will process payroll in different ways. But no matter your payroll schedule, you can still prepare beforehand. When recording a transaction, always mark the date that the payment was received; Don’t go by the date of the postmark, the date you’re recording it, or the date it was deposited. If you find your business making these same mistakes get working on change or prepare to have your lunch eaten!
If you are using Aplos, completing a bank reconciliation will stop old transactions from being edited to prevent fraud and accidentally changing closed periods. Our monthly bookkeeping checklist template will allow you to effectively delegate work to your team members without batting an eye. Using the checklist, they will understand the minute steps it takes to get the work done.
Year End Bookkeeping Checklist
Please note that if you don’t collect sales tax or fail to pay it, you may be penalized with interests, or your property may be seized, both of which will affect your credit score. Adding tax filings to your monthly activities removes all that risk. In this article, we will discuss the importance of monthly bookkeeping and provide a sample checklist that you can use to keep your books in order. If you need help getting these jobs done in a timely fashion, consider using an outsourced bookkeeping service.
- If you notice a past due, send the client a friendly reminder to submit payment.
- And these items are the input of the checklist that you can make yours for the monthly accounting and finance.
- The second type of bookkeeping system is the double-entry, which is used by businesses with complex transactions.
- Our bookkeeping checklist can help you establish a habit of staying organized and ensuring your numbers are accurate.
- If you missed something during your weekly bookkeeping, then this will catch those errors.
If you have deposits in transit or outstanding checks, let your account reflect it so it all balances. Ensure that everything that needs to be recorded, uploaded, and categorized is properly squared away, and you haven’t missed anything over the past month. If other people are contributing to the software, confirm that they’ve also done their part to the fullest. Although it seems pretty obvious, this task is often overlooked, which can cause unnecessary complications or emergencies if there is no available cash to spend. You want to review how much cash you need on a month-to-month basis and make at least that much available.
Pay and record expenses
And, your calendar can help you avoid falling behind on your books. Before you completely close the accounts at month-end, consider having a second set of eyes review your work. The person reviewing your accounting information could be a manager or supervisor who has experience handling your books. You can also use your financial statements as an opportunity to improve your small business.
The checklist templates are for the use in reminding of the things needed in the bookkeeping. It’s important to record these accounting tasks as they happen. Consider using cloud-based accounting software for your bookkeeping needs.
Good bookkeeping starts with good habits, and the very first habit you should develop is checking your business bank account balance every morning. It’s important to know how much cash you have available should any unexpected expenses pop up. Furthermore, streamlined processes enhance transparency within the organization. When it comes to running a successful business, efficient bookkeeping and procurement processes are essential. Streamlining these processes can save you time, money, and resources.
