This blog outlines essential steps to prepare for EOFY effectively.
Reconcile Your Accounts
đ There are three key areas to check to ensure all transactions are reconciled and matched to your financial records correctly.
Check your Debtors (Aged Receivables) Report
Do you have any old or outstanding debts? Are there any amounts that youâre sure the customer said they were going to pay you for, but they havenât yet? Itâs a good time before the end of the year to make those reminder phone calls or let us know and we can help with that job that nobody likes to do.
Review your Creditors (Aged Payables) List
Are your bills current and up to date? Do any of your supplier forget to send you a statement at the end of each month? Nowâs the time to email them and ask for a statement as at 31 March when it comes, itâll save the unpleasant surprise in the new year of receiving an overdue bill that you didnât know was coming!
Make sure your Bank Account in your Accounting Software matches to your Bank Statement from the Bank
This one seems obvious, but sometimes things can happen, payments are allocated, bills are paid, and maybe the bank feeds just donât come into the accounting software as they should. We can help with that.
Itâs important to regularly address discrepancies to prevent errors in your financial reports, especially at year end.
Organize Financial Documents
đ Gather all receipts, invoices, and financial statements. Ensure your records are organized and easily accessible for your accountant. Digital filing systems can improve efficiency and reduce the risk of lost documents. Apps like Hubdoc or Dext are amazingly easy to use, and can even be downloaded onto your mobile phone to take photos of receipts on the go.
Review Business Expenses
đĄ Assess expenses for tax deductibility. This is also a good time to check for any personal expenses incorrectly recorded as business expenses. Reviewing expense categories can highlight areas for potential savings.
Conclusion
By having our team look after your bookkeeping & GST during the year, you can rest easy knowing that all the end of year preparation has been done as we work during the year and that your accounts are ready to hand over to your accountant in an accurate, complete and tidy bundle.
Get in touch with our team so we can help you reduce the stress of the next end of financial year. Plus, it might just save you some accounting fees along the way.
