Taking on the responsibility of bookkeeping and financial admin can be scary. Finance associates with terrifying words such as: tax year (the personal tax year which runs from April 6th – April 5th the following year), the financial or fiscal year (the tax year for corporation tax) and Self-Assessment tax return (we wish that these didn’t exist!) It’s no wonder that we shy away from our financial business responsibilities until the last possible moment.
We try to keep on top of everything but other pressing tasks often take priority. This leaves you in a total mess as the end of the financial year begins to loom. You can end up rushing and panicking to get everything up to date before the deadlines.
To help you out, here are some strategies for beating the deadline:
Make sure you know exactly what you are responsible for, what your tax rate is and how you go about ensuring you are being compliant. Look around the HMRC website to get clued up and make sure you know what you’re talking about when it comes to your business finances.
Be a hoarder
Keep your receipts and make a record of them. This way you will have proof of purchase as well as ensuring you don’t over- or under-calculate your expenses.
Invest in filing space
Not only do you need space to store all those receipts but having a system in which you can keep track of all your incomings and outgoings will ensure you stay organised throughout the year. This will help to keep the calm when the financial year comes to a close.
Don’t face it alone
As the business owner, you don’t have to deal with all of this on your own. It can become too overwhelming to keep on top of your bookkeeping as well as being the face of your business. Most elements of your financial admin can be outsourced; think of accountants, bookkeepers and virtual assistants as your knights in shining armour!
‘Your accountant should be there to help guide you and make sure you meet all those tax deadlines and requirements. Your tax bill should never be a surprise if you have someone who knows your business and works with you’
Sarah Coombs, It All Figures