Accounting is a year-round job. Bookkeeping in particular needs to be done accurately and in good time to enable the tax work to be completed in time. Here’s how a local Cheltenham accountant would ensure that your book-keeping is up-to-date and accurate throughout the year.
Reconciling Your Bank Account
Your accountant matches your bank statements against your books each month to spot any mistakes, e.g. duplicates, late invoicing, or even payments made that have not been recorded.
Categorising Income and Expenses Correctly
Classification of all incoming and outgoing transactions within the proper financial categories for HMRC purposes such as capital, trading, revenue, etc. This also includes identification of allowable expenses, split use of expenses and amounts subject to VAT on purchases.
Setting Up Cloud Accounting Software
Cheltenham accountants will set up the likes of Xero or QuickBooks for businesses. They will ensure that the correct chart of accounts is set up and the relevant bank feeds are connected. In addition, they will also be able to explain how to use it effectively on an ongoing basis.
For Cheltenham Accountants, see https://www.randall-payne.co.uk/services/accountancy/cheltenham-accountants.
Preparing Records for Year-End
Rather than leaving you to sort out your financial records in a panic at the start of January, an accountant will keep your books up to date throughout the year and have your year-end accounts ready for you to review.
Spotting Cashflow Problems Early
An accountant can also identify a cashflow problem long before it becomes a major issue, whether due to a late payment from a customer, a rise in supplier bills or the date that a tax bill needs to be paid and can be set aside each month.
Tidy books make every other part of running a business a little easier!