Don’t Forget These 3 Bookkeeping Tasks During The Holidays
Christmas is fast approaching and a few weeks after Christmas dawns a New Year. December is known as an extremely busy month for companies, much more for small business owners. Business owners are torn between preparing for the holidays and planning for the new year. Finishing your bookkeeping tasks during the holidays can sometimes become a burden that gets left stagnant like the glass of milk your kid leaves for Santa.
Finishing your bookkeeping tasks during the holidays is incredibly important as it will ensure that your tax situation is in order. Although the window is closing fast, you can still make sure that your bookkeeping tasks are in order during the holidays. We made a checklist for you that should be prioritized before year-end!
Catch Up and Fix any and all errors
There is no shame in admitting that you have fallen behind on your bookkeeping, every business owner has found themselves in the same situation. The majority of business owners say that the bookkeeping tasks that they fall behind on the most during the holidays are data entry, report generation, and reconciliations.
If you are a few months behind, it is important to catch up and keep your financial data up to date. Updating your books allow you to revise them for any possible mistakes, whether it’s miscoded payments or adjustments. Remember that it is important to keep your books updated and it is also equally important to keep your books error-free. Not checking for your bookkeeping mistakes during the holiday could result in further complications with your tax situation.
The best time to consider and map out the future of your business is when you are closing your books. It gives you an updated snapshot of your business financials which allows you to make informed decisions based on how it performed for the year. Since you already have your business financials laid out in front of you, take the time to look at them carefully to see what worked and what did not work for your business. Consider your broader goal for your business and ask important questions about your business’s future. Planning ahead after you have finished your bookkeeping during the holiday season helps you prepare for the new year and set you up for success.
If crunching your bookkeeping tasks during the holidays got you thinking that bookkeeping is taking too much of your time. It might be high time for you to consider delegating the tasks to someone else. You have the option when it comes to delegating your bookkeeping. The first one is to hire an in-house bookkeeper that you will keep full-time and will provide mandatory benefits that could increase your business’ overhead. Not to mention the checks and balances that you have to lay out and implement in your business’ policies and guidelines to ensure the accuracy and credibility of your books.
Your second option is to hire an external bookkeeper. An external bookkeeper doesn’t bear the disadvantages of hiring an in-house bookkeeper. By hiring a professional bookkeeper, you can rest assured that your books are accurate and up to date. Professional bookkeepers also tend to have a wider range of experience when it comes to the field.
Lucky for you we are in the business of helping small businesses! If you need help doing your bookkeeping during the holiday rush, send us a message and we will discuss how we can help you do more by doing less.