Bookkeeping can be messy, time-consuming, and confusing. Accounting is hard work that takes up most of your day. If you’re someone who’s not really great with numbers, you become overwhelmed with bookkeeping tasks and know that it’s too expensive to hire an accountant for every single task. You can’t afford to lose your precious books. It is so important to maintain them and keep them safe. The following list is a checklist that you can use to help with this task.
The monthly accounting tasks include reconciling a bank account, getting yearly copies of your financial statements from the company, and protecting yourself from any money that might be going out of hand by making sure that everything is reconciled
It is important for businesses to do this monthly, because as soon as a discrepancy arises, it needs to be resolved as it could lead to some bad consequences.
Checklist of 10 items to track for smooth bookkeeping in your business
You should keep track of the documentation that shows the income, expenses, deductions, and credits shown on your tax returns. This documentation may include:
- Bank statements and credit cards.
- Canceled checks
- Proof of payments
- Financial statements of the bank or your accountant
- Previous tax returns
- Forms W2 and 1099
- Any other documentary evidence that supports an item of income, deduction, or credit shown on your tax return
And not only should these documents be kept until they are delivered to the tax collector. You should keep most records for at least three years, although for some operations you will want to keep records for about five years.
Need help to implement hidden secrets of small business bookkeeping?
You need a smart bookkeeper who can simplify accounting for you—for any industry your business might be in. A good bookkeeper knows what they’re doing and will help you save money by making sure you don’t pay too much in taxes. You deserve peace of mind knowing that the accounting side of your business is taken care of. Try getting help from Bookkeeping For Small Business
Overdraw offers business success and sustainable continuity by handling all of your bookkeeping related requirements in a timely, professional and error-free manner.