Monthly Bookkeeping Checklist: A Quick Guide & Free Template

A cloud-based solution that makes it easy for accounting firms to manage client work, collaborate with staff, and hit their deadlines. Check your inventory status on a month-to-month basis to avoid being caught off guard by a shortage in supplies. If you’re in a peak period or just completed one, you might want to review your inventory more often to ensure things go smoothly. Please note that if you don’t collect sales tax or fail to pay it, you may be penalized with interests, or your property may be seized, both of which will affect your credit score. Adding tax filings to your monthly activities removes all that risk. A big part of not letting anything slip through the cracks is updating your bookkeeping software.

By diligently confirming all transactions, you lay a solid foundation for the rest of the month-end close process. Plus, a well-organized approach to these tasks can save valuable time during the month-end Close, making the process more efficient. While daily invoicing may not be possible, invoicing clients weekly will foster prompt payments and strengthen your cash flow. If you receive paper checks and cash payments, deposit them weekly to keep your cash flow healthy and your records up to date.

General Accountant vs eCommerce Accountant and Who Should You Hire

You need to create a schedule, calculate net and gross wages, and calculate, file, and pay payroll taxes. You can do this all manually, with the help of an accountant, or do payroll through accounting software. As CEO and Co-Founder, Mike leads FloQast’s corporate vision, strategy and execution. Prior to founding FloQast, he managed the accounting team at Cornerstone OnDemand, a SaaS company in Los Angeles. He holds a Bachelor’s degree in Accounting from Syracuse University.

• Review your accounts receivable to see if your customers are paying within the agreed credit term.
• As such, it’s a good idea to ask somebody who didn’t prepare your accounts to take a look at them.
• If you already have a checklist going, then you’ll surely find some gems to add to it below.
• Cross-referencing the books against the bank statement and other source documents to confirm accuracy or reviewing the client’s work.
• You must add on the detail of the transaction receipt that is used in the business process so that more and more detail can be put to make the record more appropriate.
• Knowing how much you expect to receive and how much you expect to pay during the upcoming weeks and months is important, too.
• Otherwise, set payment reminders so you can pay your bills on time and avoid late fees.

If you’re still feeling uncertain, don’t be afraid to speak with a professional bookkeeping service about securing their help. Create a payroll file sorted by payroll date and a bank statement file sorted by month. Many accounting software systems let you scan paper receipts and avoid physical files altogether. Our monthly bookkeeping checklist template will allow  you to effectively delegate work to your team members without batting an eye. Using the checklist, they will understand the minute steps it takes to get the work done. Since they have a guide to follow, they will be able to competently complete work without needing your input or making mistakes.

ClickUp Basic Bookkeeping Template

We thrive on helping our clients set up, manage, and oversee financial data, processes and systems. Our modern accounting services include bookkeeping, payroll, financial consulting and more. Record all expenses and income into your accounting system regularly throughout the month. This means every transaction- from your bank accounts to credit cards to PayPal and Shopify. Gain complete confidence in your monthly bookkeeping process with this checklist template.

ClickUp’s Accounting Journal Template makes this process a breeze by using the double-entry method for recording all your business transactions. Just enter the debit balance details first, followed by the credit balance—by adding their entry number, transaction date, journal type (General, Sale, Payment, Receipt, and more), and receipt file. Keeping a detailed record of every single business transaction shouldn’t feel like rocket science, even in the absence of accounting software.

#4: Review Aged Accounts Receivable and Accounts Payable Reports

If you have accounting software, you can generate these reports easily and avoid a ton of manual work. Review your accounts receivable to see if your customers are paying within the agreed credit term. Here’s our month-end close checklist to help you organize your workflows.

Keep copies of all invoices sent, all cash receipts (cash, cheque, and credit card deposits), and all cash payments (cash, cheques, credit card statements, etc.). Without a doubt, you need to be accurate and organized with your bookkeeping to comply with the law, analyze your business’ performance, and create insightful financial reports. Our bookkeeping checklist can help you establish a habit of staying organized and ensuring your numbers are accurate. Bookkeeping, at it’s core, is keeping track of the money going in and out of your business. Bookkeepers record your income and expenses so you have the information you need to make informed decisions for your company. However, you can cut that down to as little as 5 days if your accounting team has access to automation software.

We’ll explain the essential accounting tasks to include on your daily, weekly and monthly to-do lists so nothing slips through the cracks. This Excel bookkeeping template makes it easy for monthly bookkeeping checklist employees to record and claim business expenses incurred out of pocket. These expenses can be tracked across multiple categories like travel, mileage, parking, telephone, and office items.

You can also check your account statements for evidence of fraudulent transactions. Work through your accounting systems to ensure you’re making invoice payments on time. Use this opportunity to search for mistakes, such as duplicate invoices that could lead to overpayments.