Financial chores are probably the least exciting part of running a small business, but they’re also among the most important. While efficient bookkeeping is essential for tracking the financial health of your organization, it’s easy to get overwhelmed and fall behind. Below are a few basics that will help you keep up with the task.

Bookkeeping Tasks Companies Shouldn’t Ignore

1. Design a Workflow

Having an efficient system in place will eliminate confusion and keep transactions from falling through the cracks. Your workflow should include a chart of accounts, a list of customers, a vendor database, and invoice tracking.

2. Keep Tabs on Income

Maintain detailed records of all unpaid invoices, accounts paid, and subscription services. Doing so will not only help you stay organized during tax season, but it’ll also ensure you get paid on time.

3. Record Expenses

Inaccurate expense reports can make it seem like the business is more profitable than it is, which can lead to bad decision-making. Your bookkeeping system should include how much you spent, as well as when and what the purchase was for.

4. Organize Receipts

After recording expenses, keep all the receipts organized in one place. At tax time, having all the related documents categorized ensures you get every deduction the company is entitled to.

5. Record Your Pay

If the business is running successfully, you’re probably paying yourself on a bi-weekly, monthly, or quarterly basis. Record how much you withdraw and when to keep the books as accurate as possible.

6. Calculate Daily Figures

How much is left at the end of the day, after you balance receipts and expenses? Keeping up with these figures on a daily basis helps identify business trends and make corrections before they impact your bottom line.

7. Pay Taxes on Time

Most business owners are required to pay both state and federal taxes on a quarterly basis. Keeping up with these payments can help you avoid penalties and large tax bills at the end of the year.

With wide-ranging expertise and access to some of the most advanced software in the industry, JJR & Associates LLC provides financial guidance and tailored services to small businesses throughout the greater Atlanta area. Their team can help you set up an efficient bookkeeping system or take care of it for you so you can focus on what you do best. Follow them on Twitter for more accounting tips, and visit their website or call (404) 437-7748 to discuss your needs today.