Organizing Paperwork for Your Bookkeeper

When starting out, it's not uncommon toquestion arises about a purchase you made 10
personally handle all the work involved with runningmonths ago, will you be able to answer it?
your business. But if all goes well, you'll reach a2. Separate paperwork for income, expenses, and
point where it makes more sense to payother transactions - or ask your bookkeeper
someone else to perform some of thewhat he or she prefers.
administrative functions, so you can devote more3. When you receive a receipt, make sure that
time to serving customers and generating morethe date is clearly marked. If it isn't, write it on
income. In many cases, bookkeeping is the one ofthe receipt while it's fresh in your mind.
the first tasks to be delegated.4. Similarly, make sure that the items you
Unless you've been well trained, a qualifiedpurchase are identified on your receipts so your
bookkeeper will be able to process yourbookkeeper can enter them under the
paperwork more efficiently than you and makeappropriate tax category.
sure that all income and expenses are recorded5. If you have multiple bank accounts or credit
appropriately for income tax purposes. Keep incards, make sure the account used for the
mind, however, that for your bookkeeper to dotransaction is clearly indicated on the invoice or
his or her job accurately, it's up to you to providereceipt.
all required information. Since you are likely paying6. If you aren't sure whether something can be
for the service by the hour, it is also in your bestclaimed as a business expense, flag it with a
interest to make sure that your paperwork issticky note.
organized in a way that your bookkeeper doesn't7. Attach your paid client invoices to the
have to spend a lot of time going through it all torespective deposit slips.
figure out what everything is.For paperwork which your bookkeeper has
There are several things you can do to ensurealready processed, develop the habit of filing it
that your bookkeeping is completed accuratelyright away. It should already be well-organized,
and efficiently.and you will only need to pop it into the
1. Keep your paperwork organized throughout theappropriate file folders. After all, didn't you hire a
year - don't throw it all in a box until tax time. If abookkeeper to make your business life easier?