October and November are a good time to do some final cleanup to the books and take a deeper look at your office systems and practices to make sure you are ready to wrap up your tax returns quickly and get ready for the New Year.
Some things you should do or hire an accountant to do:
Go through the Chart of Accounts, eliminate or make inactive unused accounts
Go through your vendors and customers and eliminate or inactivate customers/vendors that haven’t been used in a while or with no transactions. Merge duplicate customers and vendors so you have all the information in the correct place.
Make sure you have all your 1099 paperwork and that you are not missing any W9s.
Have a professional look at your profit and loss and balance sheet statements with you and investigate and fix any balances that don’t make sense or are classified wrong.
Reconcile your payroll. Print a report from your payroll software and make sure all your amounts match and there have been no inputting errors. This way your W2s will go out correctly.
After your tax return has been done in January, hopefully!, and your accountant has made final adjustments for depreciation, close your books.
You are ready for the New Year!!!
Written by Laura Fleig
www.fleigfinancialsllc.com
October 29, 2020
