Do you know what the key to an easy, non-stressful tax season is? Well, hopefully you do, because it was in the title which makes it super obvious! Yes, it is bookkeeping. That magnificently boring and dreaded term, “bookkeeping,” is actually the central and core component of how we can better handle tax season. If bookkeeping is done year round correctly, then 1099’s and tax season shouldn’t be very stressful at all!
So how do you better do bookkeeping?
Photo by Internet Archive Book Images Yep, people often forget to take this simple measure. Simply make time for it. It may not need to be accomplished daily, but what about weekly? Make some time, no matter what the frequency is to make sure all is in order, everything is inputted, so on and so forth. Sometimes getting things accomplished is as simple as just organizing it into your schedule.
Make Sure Your Using Accounts Just For That Business.
You don’t want to have to dig through your personal account to figure out business expenditures, that’s seriously no fun at all. And can be a supreme headache. Instead, you want to make sure your business account at the bank is separate from your personal account at the bank. This will make classifying those expenses relatively simple when you use online banking filtering.
Use Something Like Quickbooks Year Round.
Don’t fly with your hands off the wheel, be in control of what’s happening with your business expenditures, your utility bills, your client payouts, etc. Using something as simple as Quickbooks can help you stay organized and make sure all your expenses are correctly tagged and applied.
See, how hard is that?
Photo by Internet Archive Book Images