The Basic Bookkeeping Checklist

The beginning of a new year is the perfect time to look at your business processes and procedures, and have a think about whether there might be ways to improve your bookkeeping efficiency. It’s so easy to get distracted and so busy with everything else that goes on with running a business; but investing time into these procedures can potentially allow you more time to spend in your business, doing what you love.

To make things easier for you, we’ve created a basic bookkeeping checklist that will help you know what tasks need to be done daily, weekly, monthly, quarterly, and annually. 

Daily

• Be aware of income and outgoing payments
• Check bills due to be paid – paying on time will save you potential interest and late fees

Weekly

• Reconcile your bank account. This is a classic job that is reasonably straight forward when it is done regularly; leave it for a month, and you have a huge task at hand!
• Record customer billings and payments, as well as supplier bills and payments
• Prepare and send invoices
• Update payroll files; add new employees as they arrive and get all their required information

Monthly

• Reconcile your bank account with the bank statement when it arrives; ensure that all transactions are accurate
• Review aged receivables (money owing from customers, past the due date) and follow up where appropriate
• Meet payroll obligations: superannuation, payroll tax
• Review your profit and loss; compare to prior months – is your business travelling how you would expect? Have you spent more money than you thought? Is your turnover what you budgeted for? Answering these questions on a monthly basis can help ensure that you keep your business on track to reach your financial goals.
• Review the balance sheet as it stands for the end of the month – are you aware of all your outstanding debts (creditors)? Do you have payment dates for your ATO obligations?
• Lodge and pay your BAS and super obligations (if monthly).

Quarterly

• Review forecasted budgets and cash flow
• Lodge and pay your BAS and super obligations (if quarterly)
• Review aged receivables (and consider sending to debt collections)

Annually

• Complete your Income Tax Return
• Review your end-of-year reports and compare to your goals from the beginning of the financial year

We note that this is a basic checklist, there may be more or less tasks that you will be required to complete for your business.  For advice relating to your personal situation or any questions regarding these tasks, please do not hesitate to contact our office on 07 4151 8898.

Lauren Bird | Bookkeeper | The Money Edge | Bundaberg