Wednesday Work Wisdom: Close Out Your Books Monthly
Think bookkeeping can wait? Waiting until year-end turns a molehill into a mountain of stress! Pushing off your bookkeeping until the end of the year can lead to mistakes, stress, and a chaotic tax season. Closing your books monthly in QuickBooks helps you stay organized, accurate, and in control of your finances. By reconciling accounts, reviewing expenses, and fixing errors every month, you make year-end a breeze.
Here’s how to close your books monthly:
- Reconcile Accounts: Match bank and credit card statements to your QuickBooks records.
- Review Expenses: Identify any discrepancies or unusual charges.
- Run Financial Reports: Generate a Profit and Loss statement or Balance Sheet to gauge your business’s performance.
How to Close Your Books in QuickBooks:
- Go to Settings > Accounts and Settings.
- Select the Advanced tab.
- Click on Close the Books and set a closing date.
- Enable a password to protect changes after closing.
Staying on top of monthly closings helps avoid a mountain of work at year-end. If you need help with this process, a Chandler CPA, like AZ Easy CPA, can assist!
Need help with your business finances? Contact Us! We offer monthly accounting and bookkeeping services, clean-up projects for past years, QuickBooks training, and phone consultations to help you stay on track.
