To Do Checklist Before December 31st - Year End Preparation

Welcome to Fall.  It’s the perfect time of year to begin your end of year business checklist ~ especially with the holiday season coming up quickly.  For this week’s tips, we review some of the steps business owners and entrepreneurs are advised to take before we say goodbye to 2016. 


To Do Checklist Before December 31st

Gather and Organize Your Receipts.  Even if you need to put your receipts in a shoebox, now is the time to start organizing them. Note that thermal receipts may fade, so copy down the information before it’s too late. 
 
 
Review your financial reports.  Your Profit & Loss and Cash Flow statements may show you if you have the available funds for investing in technology (which may be depreciated) for your business. Additionally, you may be able to add to your retirement or provide year-end bonuses to staff.
 
 
Verify your business loan accounts and clean them up if necessary. Loans directly affect your balance sheet, confirm that you are current with payments.
 

Check that you have the proper information from each of your vendors such as a W-9 forms.   For every vendor you’ve spent $600 or more for services, the law requires your business to issue and complete a 1099 form.

 

Review your records for fringe benefits that may be reported on W-2 forms.   A few examples of fringe benefits are: health & life insurance, expense reimbursements, and forgiven employee loans.
 
 
Take a physical inventory of your products. Also verify the information is corrected in your accounting system. 

 

Write out your goals and plans for the next year.   Also, take time to review your yearly accomplishments.
 
 
Create budget for next year.  If you work on a calendar year fiscal basis, create budgets for the next year.  If you don’t work on a calendar year fiscal basis, take time to review your budget.
 
Review all of your social media and website accounts and update as needed.  Also, make sure you have the correct user name and passwords for each account.

 

The Business Year End is coming quickly and as business owners and entrepreneurs, we can begin to prepare now. Do you need help preparing your financial statements? Or do you have some confusion about the accounting rules of depreciation?  Contact FL-Accounting & Advisers, Your Boutique Accounting Company for your complimentary consultation.  We are here to help.

Wendy Ettorre