Summer Accounting Tips

Summer Accounting Tips for Small Business Owners

Summer is here, and many people are looking forward to a few months of fun with their kids. As a small business owner, it is easy to let some of the business management tasks slide because you are distracted with activities outside of work.

Even though it is common for some industries to experience a decrease in business during the summer months, it doesn’t mean that you can get lazy with your bookkeeping or other activities. On the other hand, some small businesses cater to summer activities, which means that things get busy during this time of year. Either way, you need to consider the unique needs of your company and the things that you can do to ensure long-term success.

Here are a few things that you can consider to help you have a successful summer:

Planning Summer Vacations

It can be a trick if you are understaffed because all of your employees take a vacation at the same time. Consider putting together a summer schedule in advance to work around the anticipated vacation schedules of your employees.

This schedule will allow your staff to be on the same page so that you can have all of the tasks and activities covered throughout the summer months. If someone is going to be out of town, then you can plan ahead by cross-training other employees to handle the details during the break.

Having a time-off policy and request format will simplify your ability to plan a schedule that will keep the business running. Also, you can plan ahead if you are leaving for vacation so that the staff is prepared to handle the day-to-day management in your absence.

Seasonal Staffing

For businesses that have an increase in sales during the summer months, it might make sense to hire seasonal employees. An increase in business for a few months doesn’t often merit hiring a bunch of full-time employees. Instead, consider working with a temporary hiring agency or looking for options to bring on freelance contractors for a time.

Just make sure that you are working with your accountant to coordinate payments. A contractor will be paid in a different way than a full-time employee. Taxes and withholdings are handled uniquely, and your accounting team can ensure that you are doing the right thing.

An accountant can also help you distinguish between the tasks of an employee and contractor. Some business owners want to hire contractors so that they can avoid paying benefits and other overhead costs. But, if the workflow and requirements match the legal guidelines for an employee, then you need to make sure that you are complying with the right payment methods. An experienced accountant can help you compare the options so that you can bring in the best talent and maximize your spending at the same time.

Online Accounting Management

If you are planning to take some time off with your family, consider the benefits of implementing an online accounting system before you leave. These programs make it easy for you to stay up-to-date with the numbers so that you can see what is going on while you are away. Don’t get stuck in the old paper filing methods now that we live in a digital world!

Implementing an online system is one of the best things that you can do to streamline your business finances. It is easy to run reports and get a feel for the profitability of the year. Your accountant can make recommendations about the software program that match the needs of your company.

Another thing to consider is the benefit of hiring an accounting team if you don’t already have these services in place. Hiring an accounting means that you can take off with the family for a fun vacation, without worrying about the financial details back in the office.

Summer Promotions

Are things slowing down during the summer months, but you want to keep the income flowing? Then right now might be a great time to run a promotion or new marketing campaign. Just because things often slow down during this time of year, doesn’t mean that your business needs to take a hit. The right marketing campaign can bring more people through the door, helping to boost the bottom line.

Look for ways that you can add some summer fun to your promotions. For example, you might have a BBQ in the parking lot or pass out popsicles on the day of a big sale. These things might seem small, but they can offer a great way to generate goodwill with current and potential customers.

Maintaining Productivity during the Summer Months

One of the biggest concerns that small businesses have during this time of year is the decline in productivity among employees. When people are away from the office and the workload goes down, it is tempting to spend more time around the water cooler. As a result, your business will suffer even if you are fully staffed.

Consider steps that can be implemented to boost employee morale and encourage productivity. The summer season could be a good time of year to implement a fun competition or contest that offers extra rewards for performance.

Also, look for ways that you can help employees recharge during their breaks so that they are refreshed and ready to get back to work. A comfortable break room or outdoor area can be a nice way to provide a positive work environment.

Catching Up on Bookkeeping

Do you get caught in the trap of ignoring your bookkeeping until it is time to file tax paperwork? Too often, small business owners get stressed because they are trying to crunch the numbers during a busy time of the year.

If you have extra time available during the summer months, then it can be a great opportunity to get caught up on the busy work that has been neglected. Sort through the paperwork, finish up data entry, and talk to your accountant to see if there is anything else that needs to be addressed. When things are slower, it is the perfect time to implement a new program if you want to make changes.

Keep Up with Payments and Paperwork

Just because you are taking time off for vacation, doesn’t mean that you can neglect important tax payments and paperwork. For example, June 15th is coming up, which means that many people need to drop a check in the mail for their 2nd estimated tax payment in 2017. Missing this deadline could result in late fees and interest costs, increasing the amount that you need to pay in the future. Your accountant can help you determine if you are required to make these estimated payments throughout the year.

It is also essential to stay up-to-date with payroll and withholdings. You might be away from the office, but your employees will still need to be paid! Hiring a payroll service will give you the ability to go out of town without leaving your staff without a paycheck. These services offer a great way to stay ahead of ongoing withholdings and payments that need to be made throughout the year.

Track Expenses

Whenever you have an expense that can be used as a deduction on your taxes, make sure that you are keeping the receipts and documentation. Uncommon expenses might pop up during the summer, such as a company BBQ or other perks that you offer to employees or customers. These costs can be considered in your tax preparation, but you can’t claim the deductions if you don’t have documentation for the transactions.

So, it can be a good idea to gather the receipts and file them for the future. A good filing system will ensure that you can find the documentation if it is needed for any reason.

Hiring a Professional Accounting Team

There is no doubt that an experienced accountant can help you maximize your profits and improve future results for your company. Small business owners often follow a do-it-yourself approach to these tasks. So, stress levels can go up if you are trying to manage everything on your own. There is no reason that you need to carry the burden without the support of an experienced team, and right now might be the perfect opportunity to explore your options.

Bringing in an accountant can help you analyze your profit and loss reports so that you can look for ways to boost your cash flow. At the same time, consider the areas where you can cut unneeded expenses that are running up your overhead costs.

Are you interested in learning more about how professional accounting services can be beneficial for your company this summer? Then right now is a great time to talk to our team here at Easier Accounting. We specialize in small business accounting services, and we are here to help! Contact us to see how we can assist with your business finances. We are happy to cater the information to match the needs of your company. Call to schedule a consultation: (888) 620-0770

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