Follow These Tips for a Stress Free Financial Year
Are you ready for the end of the financial year? Does it usually feel like a scramble to get your information together for your accountant? Do you leave it till the last possible moment?
To sail smoothly through the end of the financial year, and to make sure you spend your spare time doing what you love (and not spending the evening stressing out in front of the computer!), we’ve put together these tips. Dedicating a small amount of time to do these each month will save you having a headache come year end.
Make sure you’ve coded all transactions in your accounting system.
Reconcile any differences between the balance in your accounting system and your bank account.
Organise a statement or printout – for all your bank accounts – which show the balance at the end of the financial year , as your accountant will need these.
Run a transaction report and check your coding on a monthly basis to correct any errors in your coding or GST returns.
Resolve and deal with any amounts that have been coded to a suspense account.
Keep a spreadsheet or list of home and office expenses as you go. This avoids the annual search for them.
File documentation that your accountant will need in a separate folder – such as insurances, ACC, receipts for large repairs and maintenance, legal fees, purchase of assets, and any loan documentation.
If you are using a software programme like Xero, electronically file these documents in a folder for your accountant, or attach them to the transaction.
Write off bad debts when you’re sure they will not be recovered. Bad debts need to be written off before the end of your financial year.
Keep a list of any assets that are unusable, so your accountant can write them off at the end of the year. Don’t forget to do a stocktake at the end of financial year, count any petty cash and cash on hand in your till.
And of course, The Admin Angels are always on hand to assist with the day-to-day administration and bookkeeping needs for your business to take all the stress away, to give you freedom and peace of mind. We’re happy to liaise with your accountant on your behalf.