We might have certain numbers at the top of our phone list. It used to be called ‘speed dial,’ where you could punch in one number to save time dialing. Today, that ‘speed dial’ may be on your smartphone, noted under ‘A.’ Examples are; A-My Doctor, A-Emergency Plumber, A-My Bookkeeper.
Why a bookkeeper? Business owners tend to contact them during specific months of the year, such as February through March, to prepare for business tax filings. Is this normal? Yes. Is this the best strategy for a smooth and cost-effective business tax filing? Nope!
The truth is, business owners should take the time to sit down with a professional bookkeeper a few times every month. Waiting until a month or so before filing to review the bookkeeping is a big mistake. Not only are you spending time trying to understand what’s been happening all year long, but small mistakes can show up, and now you’re spending time backtracking several months to find out where the discrepancy occurred. This can turn into a frustrating waste of energy and time.
Regular bookkeeping check-ups keep the heartbeat of your business healthy
A professional bookkeeper manages a business’s financial health. They handle cash, invoices, company payments, employee paychecks and help with yearly business tax returns. If the general flow of finances is hitting a wall, that bookkeeping expert is the first one to see it. And business leaders should pay attention when they are being alerted to the problem. In some cases, some business owners may unconsciously dismiss the concern. They might expect the bookkeeper to ‘handle it’ because they are too busy keeping all the other wheels turning. And that is a big mistake. Because a blip in the company’s financial health can turn into a real emergency later on. Like when it’s time to file those business taxes.
Bookkeepers can be similar to a body part we take for granted. You forget how important your thumbs are unless they disappear, right? (Hopefully no one is out there ‘thumbless,’ but if they are, they understand.) Bookkeepers help business leaders with budgeting and forecasting. They categorize data to help identify assets and liabilities. And if the IRS sends an unexpected audit notice, a good relationship with a professional bookkeeper can help a company sail through an unscathed process.
QuickBooks posted an article on what a bookkeeper does. This is an all-year endeavor, not only during tax filing time. And a smart business owner will take time out each month to meet with their bookkeeper to review their business’s financial health. In addition, if that bookkeeping expert calls them, they won’t dismiss any financial concerns!
When a business leader needs bookkeeping support, our Safe Harbor team can assist. We can partner with their bookkeeper to speed up business tax filings. We can also review possible tax benefits and liabilities to secure opportunities for success. And if needed, our bookkeepers are here to support a business as much or as little as they need every month of the year.
