Important Weekly Bookkeeping Tasks for Your Small Business

It can be tedious to keep up with weekly bookkeeping tasks for your small business, especially if you are managing many other things in your company. But, don’t make the mistake of getting behind on your financial tracking, because you could cause problems for your business in the future.

Whether you are handling the bookkeeping tasks on your own, or you see the benefits of hiring an outsourced bookkeeper, it is important that certain tasks are addressed each week. Make sure that you are covering your bases by taking care of these tasks for your company:

Check Ingoing and Outgoing Transactions

Keep an eye on the transactions that are moving through your accounts, and make sure that everything is properly categorized for your reports. Depending on the accounting software that you are using, you might need to sort through digital transactions as they come through. In some instances, it might be necessary to do a little bit of data entry to enter in transactions that didn’t show up.

Look at the money that is coming in and make sure that you have enough cash flow to cover the expenses that will be due in the future. If you don’t have time for this busywork, it can be helpful to hire a bookkeeper to assist with these tasks.

Send and Pay Invoices

As you receive invoices from vendors, it is important that you pay attention to the due dates. Paying these bills on time will help you avoid interest costs and late fees. Additionally, you need to be proactive to send invoices to your customers, so that you can be sure that the payments are coming through.

Make sure that your invoices are clear and easy to read. Most accounting software programs will offer an automatic invoice template that can be generated from the information that is entered into the computer. You can choose to email these invoices for immediate delivery. In some cases, it might be necessary to mail out hard copies if needed.

File Receipts and Documentation

For each transaction that is recorded, it is important to make sure that you have documentation to back up the expense. As the receipts come in, put together a system so that you can file the paperwork. If an audit is done in the future, you will be able to easily identify the receipts that line up with the transactions.

Do you need help keeping up with daily and weekly bookkeeping tasks? Call us at Easier Bookkeeping for details about the services that are available. We are here to help! (888) 620-0770

Basic Bookkeeping Advice for Startups and Entrepreneurs

Good bookkeeping practices are often overlooked when a new business is started because the business owner is too focused on products, research, and development. Even though bookkeeping seems like a task that can be addressed later, it is much better to take action right now to set up a good system for your new company.

Why is Bookkeeping Essential?

The right bookkeeping practices can help you maintain accurate financial books, which will have a domino effect on all other aspects of your business. This information can help you see where your company might be losing money so that you can make adjustments to daily business practices. At the same time, you will also be able to identify the most profitable areas easily to put more focus and effort into the things that are working.

Failing to keep up with financial tracking could result in a situation where you make wrong business decisions. If you don’t understand the financial health of your company, then it is difficult to make the choices that will support future growth and development.

Running a business without a good bookkeeping system in place is like driving a car blindfolded. If you can’t see the street, then you might accidentally steer off course and crash into something. Additionally, failing to monitor the dashboard displays limits decision-making abilities along the way.

Getting Started with a Good Bookkeeping System

When you are starting your company, these bookkeeping practices should be at the top of your priority list. The financial tracking system should be in place as soon as possible to facilitate the growth of the company.

It is also a good idea to put together a high-quality filing system to keep track of receipts and other paperwork. Even if you keep digital copies of the receipts, it is still beneficial to maintain a computer file with all of the necessary documentation.

Make sure that you have a separate bank account for all of the business transactions. Some business owners use the same bank account and credit card for both personal and business spending. This practice can result in a big mess that needs to be cleaned up in the future.

If you don’t have experience setting up and maintaining a financial system, then the best thing that you can do is hire an experienced bookkeeper to help. Here at Easier Bookkeeping, we specialize in small business bookkeeping services. Our team is here to assist with the setup and maintenance of the financial tracking system for your company. Call us right away for more details: (888) 620-0770

Are You Going to Get Audited by the IRS?

The idea of an IRS audit puts fear in the hearts of most business owners. An audit can be both time consuming and stressful, causing quite an inconvenience for your company. There’s no way to know for sure if you will be audited, but there are a few things that you can do to reduce the likelihood of an audit. At the same time, you can also be proactive to prepare your financial records to simplify the auditing process if it occurs.

Type of Business and Tax Return

Audits vary depending on the industry and the way the tax return is filed. Even though the IRS doesn’t share details about the way they choose companies to audit, there are a few indications that help tax professionals know what to avoid.

One of the best things that you can do as a business owner is to hire an experienced financial team to help with your company. A bookkeeping service can keep track of financial records throughout the year, which is beneficial to improve the accuracy of your tax filing at the end of the year. By keeping good bookkeeping records, you will have everything that is needed in case an IRS audit happens.

Also, it is best to have an experienced accountant handle your tax return for you. Most business owners don’t keep up with tax law, and they might accidentally overlook important details by attempting a do-it-yourself tax filing. Instead of causing problems by submitting the tax filing incorrectly, it is much better to hire an experienced accountant to help.

Watch Your Deductions and Claims

One of the advantages of owning a business is that you have the opportunity to write off costs that are necessary for the company. But, the IRS knows that some small business owners try to push the line by writing off things that might not be necessary.

To avoid an audit, you need to be selective about the expenses that you choose to deduct. Also, it is essential that you keep detailed records of every transaction so that you can back up the claims if questions are asked in the future. Keep these records on file for a while, in case an audit comes up several years down the road.

Here at Easier Bookkeeping, our team is available to help with all of your bookkeeping and financial needs. We want to make it easy for you to manage the financials of your company so that you can focus on other aspects of business ownership. Call us today for details about the services that are offered: (888) 620-0770

5 Most Important Factors for a Good Small Business Bookkeeping System

Many business owners groan when they talk about small business bookkeeping. Are you one of those people that think about bookkeeping as a necessary evil? Putting the right bookkeeping system in place will make a big difference to simplify your process and decrease your stress.

These are five things that need to be implemented to improve your bookkeeping system:

Billing Follow-Up

Invoices can slip through the cracks, resulting in a situation where you don’t get paid for work that was completed. Track your billing and invoices, and have a set schedule in place to follow up with clients who haven’t paid. You might consider sending a second invoice or taking some time to make a phone call to ask for payment.

Manage Cash Flow

If money is coming in, do you quickly spend it all? Bills and payments can be seasonal at times, making it harder to stay up with payments during certain times of the year. Avoid cash flow problems by setting aside some cash in a separate account. This money can be used as an “emergency fund” to pay for unexpected expenses when they pop up.

Organized Filing System

Make sure that everything has a place so that costs and expenses aren’t overlooked when it comes time to file your taxes. The right organizational system will make it easier to track costs, helping you to leverage tax benefits as much as possible.

Checks and Balances

Don’t rely only on your bank statements for information! Keeping a record of transactions, such as business deposits, is a good way to have checkpoints in place. Document the deposits to be sure that you are accurately tracking income.

Be Prepared in Advance

Procrastination can cause many problems, especially if you wait until tax time before you prepare your financial details. Keep up with the bookkeeping system throughout the year, which will help by making tax time easier than ever. Also, make sure that you prepare for tax payments by setting aside the money in a separate account.

Talk with a Professional Bookkeeping Service

Are you ready to improve your bookkeeping system and reduce your stress? Then right now is a great time to talk with an experienced bookkeeping team. At Easier Bookkeeping, we offer all types of small business bookkeeping services. Together, we will plan the services that best meet your needs so that you can be prepared for the future growth of your company: (888) 620-0770

Bookkeeping Services: Is it better to Hire an Employee or Outsourced Contractor?

Many business owners understand the benefits of hiring a professional to help with financial services, such as bookkeeping and other accounting related tasks. Do you have the right team in place to support the financial needs of your company? It is possible that you might be hindering the growth of the business if you don’t have the right bookkeeping services to keep track of the finances.

Employee vs. Outsourced Contractor?

The first inclination for many people is to hire an employee to help with these financial tasks. Before you start the hiring process, consider all of the options that are available so that you can choose the right services that are needed for your company.

There are some conveniences to having an employee in your office handling the bookkeeping services. But, you need to consider the amount of work that is available for that person and how much you will need to pay for the services. The costs of an employee are more than just their hourly rate because you will have additional expenses such as employment taxes, benefits, and the additional office space and supplies that will be needed for their desk.

On the other hand, bookkeeping services from an outside company are provided with all of the costs factored into the price. When you hire a bookkeeper as an outsourced contractor, you don’t have to worry about the expenses of providing benefits or office space for the person to work.

Benefits of Hiring a Bookkeeping Service

Many companies are finding that it is very beneficial to hire an outside company to help with financial tasks, instead of going through the process of hiring an employee. You will be able to access all of the financial services that you need, without worrying about the administration required for hiring an employee.

Additionally, bookkeeping services offer all of the experience that is needed for your company. There is no need to spend time on training or setting up the systems because the bookkeeper will know what needs to be done and they will have hands-on experience from other clients that they work with.

If you are interested in learning more about the small business bookkeeping services that are available, then we invite you to contact our team at Easier Bookkeeping. We specialize in all types of bookkeeping tasks, and we are here to help! Call us today for more information: (888) 620-0770

Simplifying Monthly Business Management Tasks

Do you feel the never-ending stress of keeping up with monthly business management tasks? The list might include payroll, accounts payable, accounts receivable, tax paperwork and payments, and more. It is an exciting experience to be a business owner, but sometimes these types of tasks can take away from the experience.

Entrepreneurs often overcomplicate the management of their company, creating a situation where they are stuck in bad habits and spending too much time on busy work. Often, a business owner is in a “reactive” mode, where they are constantly jumping from one project to the next in an attempt to keep up with everything.

Make Positive Changes

Instead of staying stuck in these patterns, it’s time to make some positive changes in your business habits. As your business is getting bigger, look for ways that you can simplify financial systems to keep up with the growth.

One of the best things that you can do is to implement a good accounting system that can handle all of the financial tasks in one location. Instead of using one system for payroll, another for accounts payable and receivable, and another for taxes, it is better to look for software that can handle everything in one location.

Hire Someone to Help

You have enough responsibility to keep up with all of the business management, which means that you are probably spreading yourself too thin by trying to manage the accounting tasks as well. Don’t make the mistake of spending your valuable time on busy work like payroll management. Instead, it is better to hire an experienced outsourcer who can handle everything for you.

Putting together the right team can reduce your stress and improve the outcome of the systems that are in place. The right accountant will be able to make suggestions about the software you should be using, implement systems that will simplify your life, and streamline the process to accommodate future business growth.

As you look at the numbers, you will see that it is cheaper to work with an outsourced accountant rather than hiring a full-time employee to handle these tasks. You can have the benefit of all of the accounting services that are needed, without worrying about the added cost of bringing on another employee.

Here at Easier Bookkeeping, we want to help with the simplification of your monthly business management tasks. Talk with us for more information about the systems that can be used to improve your business: (888) 620-0770

Is Outsourcing a Good Solution to Help You Grow Your Business?

It is essential to have the right workforce to support the growth of your company, and many business owners mistakenly think that they need to hire employees. But, you might not need a full time employee, because our digital world has created many opportunities for freelancers and outsources to offer the services that you need.

In fact, it is possible that you will likely save money and receive higher quality work by searching for freelancers instead of hiring more employees. Before you hire anyone, you need to evaluate the needs of your company and the type of work that will be performed by the individual.

The Difference between Contractors and Employees

There are some distinct differences in the way contractors and employees are managed, so you need to make sure that you understand these differences when hiring your workforce. The IRS really frowns upon the idea of hiring freelancers to avoid the costs of full-time benefits for employees. But, there are certain situations where freelance services can be helpful if you don’t need the assistance of a full-time employee.

Make sure that your freelancers have other clients, and they need to show evidence of running a real business instead of only working for your company. Additionally, freelancers are typically hired based on project goals, instead of helping with open-ended work without a deadline. Freelancers shouldn’t be working from your offices, and they need to handle their own schedules and other work details. You can talk with your accountant or small business bookkeeper to learn more about the differences between a contractor and an employee.

Save Money and Improve Work Quality

The biggest advantage to hiring contractors is that you have the ability to hire the people that are a perfect match for the specific task that needs to be completed. For example, if you need someone to help with invoicing and financing tracking for a few hours per week, then it is probably easier to hire a professional bookkeeping service rather than going through the hassle of employee paperwork, employee taxes, and trying to find work to keep an employee busy for the rest of the week.

There are a variety of options that you can consider when it is time to hire new talent for your small business. If you need additional support, then you should take the time to consider the tasks that are needed and the people that can help achieve the business goals.

Do you need assistance with small business bookkeeping and other financial services? We are here to help, and we will gladly cater the services to match your needs. Contact us Easier Bookkeeping at: (888) 620-0770

Keeping Up with the Trends in Billing and Payroll

Having a good financial system in place is essential for the success of your small business, and it is important that you are keeping up with the trends in the industry. If you are stuck in old practices and outdated accounting methods, then right now is a great time to talk with a small business bookkeeper for help with the transformation of your financial systems.

Digital Records vs. Paper Filing

In the past, paper filing has been an essential element of financial tracking. It is still important to keep up with paper documentation to back up the digital transactions, but now the focus is on the digital information. With the right system, it is much easier to track all types of transactions, which allows you to run different types of reports so that you have a snapshot of the financial health of your company.

When it comes to billing, make sure that you keep a copy of each invoice that is received and sent. These documents can be filed in a way so that they are easy to access in case they are needed. If there is ever a situation where the IRS needs more information about your company, then you will be able to easily find the documentation that is required.

Digital Payments instead of Paper Checks

Check payments are becoming less common, especially since there are so many digital options to make payments now. Instead of taking the time to write a check and drop it in the mail, it is much easier to send a quick payment through an online platform. The money is transferred instantly, and the process is more effective to help you keep track of the cash flow and keep your vendors happy.

It is true that most employees are interested in digital payments for their paychecks as well. You need to be sure that you are offering direct deposit payments, because most people will choose direct deposit over a paper check.

Keeping Up with the Bookkeeping

Do you get overwhelmed trying to keep up with all of the bookkeeping work? Regardless of the system that you are using, it takes time and effort to ensure that you are consistent with your financial records. If you own a small business, then one of the best things that you can do is hire a trusted bookkeeper to help with the ongoing financial tasks.

Here at Easier Bookkeeping, we can help you streamline the billing process and help you stay current with the trends. For more information about the services that are available, we invite you to contact us anytime: (888) 620-0770

Top 3 Bookkeeping Tips You Need to Know

Do you dread the time that you have to spend managing the financial information for your small business? Many small business owners make the mistake of trying to take care of too many responsibilities on their own, resulting in a situation where they are stretched thin trying to keep up with all of the tasks.

Remember that simple is better! By implementing a good bookkeeping system right now, you can save yourself a lot of time and frustration in the future. Here are our top three bookkeeping tips to help with the financial management of your company:

1. Choose the Right Software

Whether you are stuck using an old software system or your current system is having problems, then you might consider making a switch to go with a different software program. There are a variety of options available, and you need to make sure that you choose a solution which works well in your industry. It can be beneficial to talk with a bookkeeper or accountant who is familiar with your industry, in order to get recommendations about the software that will fit your needs.

2. Put Simple Systems in Place

One of the biggest problems with an unorganized bookkeeping system is that things get lost along the way. How many deductions are you missing out on because you didn’t save the receipt to track your expenses? Small systems can make a big difference for your long-term success, so make sure that you think through the process and be deliberate when you are setting up your system.

For example, there are different smartphone apps that can be used to track and file your receipts, and these tools help you avoid the paperwork and stay current with your financial documentation. By downloading the app, you can get into the habit of simply taking a picture of the receipt for documentation, instead of keeping track of the slip of paper and trying to remember to put it in the right filing cabinet folder later on.

3. Reconcile Regularly

Reconciliation might seem like a boring and redundant task, but the truth is that regular reconciliations can help you to catch mistakes and improve your financial tracking system. Find a schedule that works for you, and don’t miss your regular reconciliation.

At Easier Bookkeeping, we offer a variety of small business bookkeeping services to make your life easier. We want to help you manage the financial tracking within your company, to free up your time so that you can focus on other important responsibilities. Contact us today for more information: (888) 620-0770

How to Pick a Good Professional Bookkeeping Service

Picking the right professional bookkeeping service can be a tough decision, because the quality of your financial tracking depends on the company that you choose. Some people don’t think much about the process and they simply hire the first bookkeeper that they find. But, rushing into the situation might result in problems with your financial records.

What Services Do You Need?

To identify the right small business bookkeeper, it is important to look at the tasks that need to be completed. Once you have identified the scope of work that will need to be handled, then you can choose a company that is a good match for the services that you are looking for.

There are certain times when you can find specialized services that are applicable to your industry. For example, if you have a home-based business, then it is a good idea to locate a small business bookkeeper who specifically has experience working with other home-based business owners.

Experience and Reputation

Do your research and find several bookkeeping services that you are interested in. Then, talk with each of the companies to learn more about the experience and services they can offer to your small business. You can find out a lot of information with a few quick phone calls, which will give you a feel for the customer service and attentiveness that is available from each company.

Also, make sure that you look online to learn more about the reputation of the company. It is interesting to see how much information can be uncovered with a quick Google search. Look for reviews and other details that offer insights into the integrity of the business. You might also consider talking with friends, family, and other contacts in your industry to see if they have any recommendations regarding the bookkeeping services they have used.

Remember, you don’t necessarily need to hire a bookkeeper in your local area. There are many advantages to hiring online bookkeepers, and they can offer high quality services to businesses in any location. An online company can often offer competitive pricing, because they aren’t managing the cost of a storefront.

Are you interested in learning more about how your business can succeed by hiring a business bookkeeper? Contact us at Easier Bookkeeping for more information! We specialize in services that are catered for small businesses, and these services can be adjusted to match your individual needs. Call our office anytime to learn more: (888) 620-0770