Year-end is just around the corner, and that means a couple of administrative tasks are necessary to take care of bookkeeping and tax chores.
Here are a couple of tips to make year-end go smoother.
Things will go a lot smoother if you reach out to your customers and employees and get their help to update your records.
- Make sure you have the right information from new , current and old customers
- Check email addresses , update marketing lists and take time to review their spending habits.
By reviewing your customers purchasing activity you may find out about a lot how you customers .
It’s also time to clean up any account balances that need to be reclassified or corrected.
- Any clearing accounts, such as undeposited funds, should be zero.
- Bank reconciliations should be caught up and book balances should match the bank or be explained.
- Inventory should be adjusted to reflect accurate quantities.
- Loan balances should be adjusted to correctly reflect interest and principal allocations.
- Depreciation entries should be made.
Maximizing deductions :
Here are a just a few ways to maximize deductions:
- Any bad debts that aren’t expected to be collected can be written off.
- Any inventory that is not saleable or worth less than you paid for it can be adjusted on your books.
- For cash basis taxpayers, pay any large bills before year-end to claim back GST claim.
To start to 2018 and make it your year you need to leave the baggage behind. Get organised and clear the noise . May the force be with you and 2018 be a year of achievement.
Best wishes Geoff