5 Essential Steps to Successful Bookkeeping

Bookkeeping is an important part of any business, whether you run a small shop or a big corporation. This course will teach you how to keep track of all your financial transactions so that you can stay on top of your finances.

Set up an Accounting System

You’ll need to set up an accounting system before you start tracking your expenses and income. If you use QuickBooks Online, you can do this by going to File > New Company > Create a New Company. Once you’ve done that, click on Setup > Enter Setup Information. Then select Basic Setup and follow the prompts.

Create Financial Statements

After setting up your books, you’ll need to create financial statements. This will help you track how much money you make and spend throughout the year. To do this, go to Reports > Balance Sheet & Income Statement. From there, you can choose to print a PDF version of the report or save it as a CSV file.

Prepare Tax Returns

You also need to prepare tax returns at the end of each year. If you use QuickBooks Online, you can easily set up an automatic filing system so that you won’t forget to submit them.

Pay Bills

There’s no doubt that bookkeeping is one of the most tedious tasks in any business. However, it’s also one of the most critical. Without proper bookkeeping, you’ll never know how much money you’ve made or lost during the previous year. This means that you’ll never be able to accurately predict future earnings or expenses.

Review Account Balances

If you’re not sure where to start with bookkeeping, review account balances first. You’ll need to know exactly how much money each customer has spent or earned during the past year. Once you know how much money each customer owes you, you can begin calculating your profit margins.