| Do you need a more
organized bookkeeping system, nothing too flashy, just something that's
simple and easy to manage?
Follow my tips below and you'll soon have that simple and easy-to-manage
bookkeeping system that won't bring you out in a cold sweat whenever you
hear the words 'tax return'. And I promise you, it works!
Gather your supplies!
Get hold of a large ring binder, divider cards, A4/letter-sized paper,
stapler, pen, all your businessreceipts and invoices, plastic folders
and a large coffee (or whatever else you prefer!).
Then lock yourself away for a couple of hours.
Get organized
You now need to organize your ring binder into the following sections:
Invoices - Unpaid -- this section is for your outgoing businessexpenses
that have not yet been paid i.e. supplier invoices. Write on the top of
each invoice the date it needs to be paid by and place all unpaid
invoices in 'date to be paid' order with the earliest one on top.
Invoices - Paid -- this section is for your outgoing businessexpenses
that
have been paid or you've paid at the time service was rendered, i.e.
that ream of paper that you bought from the office supplies store.
Staple each receipt on to a blank piece of paper rather than just
putting them directly into the ring binder. This just makes it easier to
see at a glance all your receipts and you can also make notes on the
paper. Also write on the top of each invoice/piece of paper the method
of payment.
Receipts - Unpaid -- this section is for all your invoices that you have
sent to clients that have not yet been paid. Write on the top date
payment is due and put them in date order so that it's easier if you
have to chase overdue invoices.
Receipts - Paid -- this section is for all your invoices that have been
paid. Write on the top the date it was paid and how it was paid i.e.
bank transfer, cheque, credit card etc.
Bank Statements -- this section is self-explanatory! Just keep
everything in date order.
Schedule It In
Now that you've got your system in place, schedule in each week/month to
keep your bookkeeping binder up-to-date. In between updating place all
your receipts and invoices in a plastic folder so that everything is
together when you come to update your system--it would be too
time-consuming to add each receipt as you get it!
What Next?
Depending on how far you want to handle your own accounts, you can
either hand your very organised bookkeeping binder over to your
accountant at the end of the financial year for them to prepare your
final accounts, or you can maintain your own books with the use of
financial accounting software.
Either way, you've now got a bookkeeping system that is simple and
easy-to-manage and won't cause you to break out into a cold sweat at the
very mention of the words 'tax return'.
Don't want to do it yourself? Let me help you! Contact me today to find
out more about my budgeting and bookkeeping services.
About the Author
Tracey Lawton, Virtual Office Manager, supports small businesses and
independent consultants with their office administration and audio
transcription projects. She has over 18 years office management and
administration experience for both public and private sector
organisations, as
well as independent consultants and professionals.
http://www.traceylawton.com
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