I know, I know, you hate doing anything accounting related in your business. It’s the one task that you despise doing, no matter what.
But you haven’t yet found a reason to hire a bookkeeper for your business.
So now you have to do the bookkeeping and accounting tasks for yourself. These tasks really won’t take you that long if you actually keep up with them.
Just schedule yourself a regular meeting on your calendar to get these things done. And then make sure to stick to that meeting.
If you really do these tasks weekly, you shouldn’t have to spend more than an hour keeping up and knowing exactly where your business stands.
What are the 5 most important tasks you should be doing each week?
Task #1: Do your bookkeeping
If you do no other task here, you need to do your bookkeeping.
It is a good idea to do it weekly, but at a minimum it should be done every month.
Your bookkeeping is sorting out your transactions between revenue and expenses and sorting those expenses out by category.
This allows you to really see where you are making and spending money in your business.
Task #2: Transfer money to your tax savings account
The best way to know that you always have money to pay your taxes every quarter is to put money directly into a savings account each week.
You pay tax on your profits each year, not your total revenue.
It is recommended to save 20-30% of your revenue. It’s easier if you do this transfer once a week instead of every time you make money.
Plus while doing your bookkeeping, you’ll also know what your profit is each month as well.
Task #3: Organize your receipts
The more often you file your receipts in an organized manner, the less you have to worry about getting everything in order.
Create a system that allows you to file your receipts regularly, preferably about once a week.
The thing that works best is when you create a regular weekly pattern (just schedule that date in your calendar and stick to it!) and do your bookkeeping and then file the receipts.
Put each receipt in your bookkeeping program, and then file it in your filing system.
Task #4: Pay yourself
You should pay yourself on a regular schedule. Don’t just pay yourself when you need the money.
Pay yourself on a regular basis and a regular salary.
Need help with paying yourself? Check out this article.
You did create your business so that you can make an income for yourself, so you should really be paying yourself a regular salary.
Task #5: Review Your Numbers & Spending
Whether you do this weekly, biweekly, or monthly, you should always be reviewing these numbers.
With your spending, you want to make sure that you are only paying for the things that you really need and aren’t spending money on things you don’t need to be spending on.
You also want to review your sales information. See how much money has come in. Are there any patterns to how the money comes in?
How does this month compare to the same month last year?
How does this month compare to last month?
How does this year to date compare to last year to date?
When your bookkeeping is done regularly, it is very easy to do these reviews just the click of a button.
Do Your Accounting Tasks
No matter what you do, stop avoiding your accounting tasks. They are a very important part of your business.
And your business is more likely to fail the less you do these tasks and not pay attention to your numbers.
It doesn’t matter how much you dislike doing these tasks, they really must be done. Either do them yourself or hire someone to help you with this stuff.