Accounting Checklists: Financial Tasks for Every Small Business Owner’s To-Do List

As a small business owner, it is common to feel overwhelmed with the never-ending lists of tasks that need to be completed. You are carrying a lot of responsibility to oversee the daily activities of your company. As a result, it is understandable that some tasks fall to the backburner when you are facing immediate issues. While some things can wait until next month, you shouldn’t overlook some of the most important financial tasks that can’t wait. Today, we are providing the accounting checklists you can use to determine daily, monthly, quarterly, and annual tasks that need to be prioritized.

Keeping up with your business books should be one of the highest priorities. If you have the right systems and do a little bit each day, then it doesn’t have to be an overwhelming task. Our hope is that these accounting checklists will help you know what needs to be done and when you should do it.

Daily Tasks for Small Business Owners

Don’t assume that you need to dedicate a significant amount of time each day to your business finances. A few small tasks will ensure that everything is looking good and you are aware of the current financial situation:

  • Check Available Cash: What is the current situation in your bank account? Check the balances, so you always know how much cash is on hand. It is common for unexpected expenses to come up. Your cash position will give you the information that is needed to make the right decisions related to spending and expenses. Cashflow can be one of the biggest issues that will harm your company, which is why awareness of the bank account balances is essential to keep you on the right track.
  • Watch for Outgoing and Incoming Invoices: The anticipated transactions can also play a role in your cash flow. Stay current with payments that are expected each day. You should know what to expect for the payables and receivables. This information will give you a good picture so that you know what to expect in the upcoming days.

Monthly Tasks for Small Business Owners

Keeping up with the daily tasks will make it easier to stay consistent with the monthly accounting checklist that needs to be done. Here are a few things that should always be on your monthly to-do list:

  • Invoice Prep and Delivery: Staying current with your invoicing ensures that you have money coming in to keep your business afloat. It is important that you are proactive with invoicing. Not only will your customers know what they owe, but you can reduce cash flow issues by increasing the likelihood that the balances will be paid on time. Consistency with invoicing is key to maintain expectations with your clients.
  • Bank Account Reconciliation: Does your bank account match the information shown in your accounting system? Accounting and bookkeeping software is a great way to automate your financial tracking. But, you need to be sure that these numbers match the transactions that are moving through your bank account. Proper bank reconciliation means that you are reviewing the cash on hand with the numbers that are showing in your accounting software. This practice will give you a chance to identify anything that might have been overlooked in the month.
  • Review and Record Transactions: Make sure that your bookkeeping system is up-to-date with transactions that should be moving through. For example, you should always have information recorded about the billing and invoice history for your customers. Also, you need to stay current with the expenses that are moving through your account. As you are reviewing this information, you can record the payments that are received and sent to ensure that your software is up-to-date with the financial activity that is happening throughout the month. If you have many transactions moving through your account, then it can be helpful to manage this task weekly instead of monthly.
  • Send Outstanding Payments: While it is important to keep track of the payments that are received from your customers, you also need to be sure that you are current with the payments that should be sent to your vendors. Maintaining good relationships with the other businesses you work with is critical to ensuring future success for your company. A necessary part of the relationship management is making sure that you are staying current with the payments that are owed.
  • Payroll Processing: This task might happen once or twice a month depending on your payroll schedule. Paying employees on-time is essential to support employee satisfaction and company culture. Payroll processing includes many subtasks, such as gathering timecard information, calculating payroll (including taxes, benefits, take-home pay, and more), and processing the payments, so the checks or direct deposit transactions are completed.
  • Assess Financial Reports: You also need to be looking to the future so that you know what to anticipate in the upcoming months. Set cash flow and income goals; then review your financial information regularly to be sure that you are on track for the future. Awareness of your current financial situation and your goals for the future will help with immediate decisions that will affect the business accomplishments that are possible.

Quarterly Tasks for Small Business Owners

Some tasks only need to be done once a quarter. These items need to be addressed several times throughout the year, so a quarterly schedule can be a great approach to ensure that nothing is overlooked:

  • Look at Profit and Loss Reports: Are you on track to meet your goals for the year? Reviewing Profit and Loss information can help you see overall revenue, expenses, and profit margins. Use this information to see how things are measuring up with your expectations. If you find that the numbers aren’t where you thought they should be, then it can be a good opportunity to make adjustments so that you are prepared to hit your future goals. Use the Profit and Loss reports as an opportunity to strategize your action plan and anticipated progress in the future.
  • Quarterly Tax Payments: Certain taxes require quarterly payments. Talk to your small business accountant to be sure that you aren’t overlooking these important costs that need to be paid each year. For example, it is likely that payments need to be made for quarterly payroll filings as well as sales tax and estimated payments for income tax.

Annual Tasks for Small Business Owners

Finally, there are a few things that need to be addressed once a year for your business finances:

  • Tax Preparation and Filing: Annual tax preparation and filing is one of the biggest financial tasks that need to be addressed. This process can be tedious and time-consuming. But it is necessary to ensure that you are meeting the requirements set by the IRS. Staying ahead of the tasks listed above means that you will have an easier experience when it is time for tax preparation. The daily, weekly, monthly, and annual accounting checklists are designed to ensure that you have all of the information needed for your tax filing.
  • Year-End Equipment and Inventory Review: Once a year, it is a good idea to evaluate the inventory on hand and the equipment that is being used. Does anything need to be replaced? Are inventory levels ready for the busy seasons of the year? What products or services need business development to improve the offerings that are available for customers?
  • Full Year Financial Review: Now that the numbers are prepared for the year, it is time to review the complete financial reports. Determine which goals were met and where you fell short. Even if the numbers don’t match what you were hoping, this information can be used to improve your strategies and goals for the upcoming year. Use the reports as an opportunity to upgrade your business systems and set your company up for success in the future.
  • Accountant Advice and Strategy: While you should maintain open conversation with your accounting team throughout the year, make sure to have a year-end review of your business. Your accountant will be able to offer insights that will help with your goals in the New Year. One of the best things that you can do to maximize your business efforts is tapping into the expertise and advice that is available from a reputable accounting team.

Help with Your Accounting Checklists

The end of the year is a good time to evaluate your progress for the year and make sure that your books are in order for the New Year. Don’t let yourself be distracted by other things! If you have too much on your plate and you can’t keep up with the essential tasks, then it might be time to bring in an accounting team to assist. We can take care of your accounting checklists so that your time and attention can be turned to other aspects that are required to keep the business moving forward.

Our team at Easier Accounting is here to offer the support that you need to improve your business finances. We specialize in small business accounting services, giving you the best services to support your financial goals. Call today to learn more about the services that are available: (888) 620-0770

0 replies

Leave a Reply

Want to join the discussion?
Feel free to contribute!

Leave a Reply

Your email address will not be published. Required fields are marked *