How Often Should My Bookkeeper Update My Records? A Guide for Business Owners
How Often Should My Bookkeeper Update My Records? A Guide for Business Owners
Our Newcastle & Maitland Offices:-
- Newcastle Accountants & Advisors – 45 Hunter Street, Newcastle.
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- In Person: Visit our conveniently located office at 45 Hunter St, Newcastle, NSW, 2300.
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At Bottrell Accounting, we’re more than just consultants and accountants; we’re your strategic financial partners. Contact us today to discover how we can help you achieve your financial goals and secure a prosperous future .
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Accountant Newcastle – 45 Hunter St, Newcastle, NSW, 2300
Accountant Maitland – 93 Lawes St, East Maitland, NSW, 2320
Our Accounting Services
Taxation
Our experienced tax professionals at Bottrell Accounting ensure that your tax obligations are met efficiently. We also focus on maximizing your tax savings through strategic planning. Our services include:
-Personal Tax Returns: Accurate preparation and lodgement of personal income tax returns.
- Rental Property Tax Returns: Expert handling of tax matters related to rental properties.
- Business Tax Returns: Comprehensive support for business tax planning and compliance.
Bookkeeping
Maintaining organized financial records is crucial for informed decision-making. Our bookkeeping services cover:
- Bookkeeping Processing: Timely and accurate record-keeping for your business transactions.
- Bookkeeping Data Entry: Efficient data entry to keep your financial records up-to-date.
Cash Flow Management
Optimizing cash flow is essential for financial stability. Our tailored solutions include:
- Cashflow Forecast: Predictive analysis to help you manage cash flow effectively.
- 3Way Cashflow: Comprehensive insights into your inflows and outflows.
Payroll Processing
Let us handle payroll processing for you. Our services ensure accurate and timely payments to your employees while staying compliant with relevant regulations.
Financial Reporting
Financial Reporting
Gain valuable insights into your financial performance with our comprehensive reporting services:
- Company Tax Accounting: Accurate preparation of tax-related financial statements.
- Business Tax Accounting: Detailed reporting for business tax purposes.
- SMSF Tax Accounting: Specialized reporting for Self-Managed Superannuation Funds.
Financial Control Services
Our financial control services help businesses establish robust systems and controls, ensuring accuracy, transparency, and compliance.
Daily Bookkeeping Tasks
- Recording Daily Transactions: All sales, purchases, and receipts should be entered into your accounting system at the end of each business day. This ensures you know exactly how much money is coming in and going out.
- Bank Reconciliation: Reconciling your bank accounts daily allows you to match your business transactions with your bank statements. This prevents errors, ensures accuracy, and catches any discrepancies, such as duplicate transactions or fraudulent charges, early on.
- Cash Flow Monitoring: Regularly monitoring your cash flow gives you real-time insights into how much cash you have available. This is particularly important for businesses that need to make day-to-day financial decisions, such as paying suppliers or staff.
- Retail and Hospitality: Businesses in industries with high transaction volumes, such as retail stores, cafes, or restaurants, often benefit from daily bookkeeping to manage sales, inventory, and cash flow.
- Businesses with Tight Cash Flow: If your business operates on slim margins or relies on regular income to cover daily expenses, daily bookkeeping is essential for cash flow visibility.
Weekly Bookkeeping Tasks
- Invoicing and Accounts Receivable: Send invoices to customers promptly and follow up on any overdue payments. Weekly invoicing keeps your cash flow healthy and ensures you get paid on time.
- Reviewing and Paying Bills: Track your accounts payable and review outstanding bills. Make sure to schedule payments to avoid late fees or interest charges while maintaining good relationships with suppliers.
- Expense Tracking: Review and categorise any new business expenses, such as office supplies, travel, or marketing costs. Staying on top of expenses ensures that they are accounted for and tax deductions are accurately tracked.
- Payroll Processing: For businesses with employees, processing payroll on a weekly or fortnightly basis is common. Ensuring that payroll is up to date and compliant with Australian regulations is crucial.
- Service-Based Businesses: Businesses that provide services, such as consulting, trades, or freelancers, often have fewer transactions than retail businesses. Weekly updates are usually sufficient for managing invoicing, expenses, and accounts receivable.
- Small to Medium-Sized Businesses: Businesses with moderate transaction volumes can rely on weekly bookkeeping to keep their records organised and financial reports accurate.
Accountants Newcastle – 45 Hunter St, Newcastle, NSW, 2300
Accountants Maitland – 93 Lawes St, East Maitland, NSW, 2320
Monthly Bookkeeping Tasks
- Reconciliation of All Accounts: At the end of each month, your bookkeeper should reconcile your bank accounts, credit card statements, and other financial accounts to ensure that all transactions are accounted for and there are no discrepancies.
- Financial Reporting: Monthly reports, such as profit and loss statements, cash flow reports, and balance sheets, provide insights into how your business is performing. These reports help you assess profitability, monitor expenses, and make informed financial decisions.
- BAS Preparation and Lodgement: For businesses registered for GST, preparing and lodging your Business Activity Statement (BAS) is a critical monthly (or quarterly) task. Your bookkeeper will ensure that GST, PAYG withholding, and other tax obligations are accurately reported to the ATO.
- Reviewing Payroll and Superannuation: At the end of each month, your bookkeeper should review payroll records, ensure that superannuation contributions are calculated correctly, and check that employees have been paid in compliance with Australian employment laws.
- Businesses with Low Transaction Volumes: For small businesses or sole traders with fewer transactions, monthly updates may be sufficient for managing financial records and ensuring compliance.
- Compliance and Reporting: Monthly bookkeeping is essential for businesses that need to prepare financial reports for stakeholders or lodge monthly BAS reports with the ATO.
12+ Years Experience
With over a decade of experience, trust Bottrell Accountants & Financial Advisors for seasoned financial expertise.
Award Winning
Benefit from the knowledge and expertise of our certified accountants, who excel in their respective fields.
Qualified Accountants
Our team of chartered accountants & CPA, with over a decade of experience, brings a deep understanding of East Maitland's business landscape.
Specialist Services
Explore our specialized tax services, covering everything from individual income tax to corporate tax planning.
How to Determine the Best Bookkeeping Schedule for Your Busines
- Transaction Volume: Businesses with high transaction volumes, such as retail or e-commerce, will benefit from more frequent updates (daily or weekly). On the other hand, businesses with fewer transactions may find that weekly or monthly updates are sufficient.
- Cash Flow Management: If your business relies heavily on cash flow to cover daily or weekly expenses, regular updates are crucial. More frequent updates allow you to closely monitor your cash position and avoid overdrafts or missed payments.
- Payroll Frequency: The frequency of your payroll schedule will impact how often your bookkeeper needs to update records. For example, businesses with weekly or fortnightly payroll runs will require more frequent bookkeeping updates.
- Compliance Requirements: Australian businesses have specific tax compliance obligations, such as GST reporting, BAS lodgement, and payroll tax. Ensuring that your records are up to date on a weekly or monthly basis is important for meeting these deadlines.
- Business Growth: As your business grows, so does the complexity of your bookkeeping needs. A growing business will require more frequent updates to keep up with increased transactions, accounts payable, and payroll requirements.
The Importance of Timely Bookkeeping
- Improved Cash Flow Management: Timely updates allow you to monitor your cash flow and plan for upcoming expenses, avoiding cash shortages.
- Accurate Financial Reporting: With up-to-date records, you can generate accurate financial reports that provide valuable insights into your business’s performance.
- Tax Compliance: Regular updates ensure that your GST, PAYG, and superannuation obligations are tracked and reported accurately, reducing the risk of fines or penalties from the ATO.
- Better Decision-Making: Having real-time financial data at your fingertips enables you to make informed decisions about budgeting, investments, and business growth.
