If you are like many people the phrase ‘tax time’ doesn’t have many jumping up and down with excitement. You dread trying to go through and organize a whole year worth of receipts only to realize they are not where you thought they were. You remember putting them in a safe place with the intent of getting back to them. Where did they go? Time is ticking. Why does this seem to happen every year? Let me help you make it the last year you stress about getting organized for tax time.
If you have not done so already I would recommend you set aside a spot for incoming mail and a dedicated time once a week to manage the bills, receipts, and data entry. I spend under 30min a week getting my paperwork sorted and dealt with and put away. If you have a small home business there are many apps and programs available to help you get organized. Spend a few minutes thinking about what takes the most time. Then search for a program that will help you save time by keeping it simple. If you need to organize your household finances Microsoft Excel is a great program to use as you can set up formula’s to meet your needs.
If you spend 30 min a week sorting through receipts, bills, invoicing customers and completing the data entry you will save time, won’t be late paying a bill or sending an invoice and tax time will be as easy as printing off the spreadsheets you have been keeping updated all year long. For my small business, after a month has finished, I put all the receipts and print off my monthly spreadsheet that captured everything I did that month into a file folder labeled that month. Once the statements are reconciled those receipts, bills and paid invoices are then moved into a dedicated file folder for that expense or revenue. At the end of the year, I print off my year-end spreadsheet and send it off to my accountant.
The trick is to organize the incoming mail, set aside time each week to organize it and put it away. Try it for a month and see how much time you save and how less stressed you are. Until next time … Collette.