Bookkeeping is an essential part of being self employed.
It’s a legal requirement and
Here are four bookkeeping tips to help get anyone who is newly
Bookkeeping Tip #1: Open a separate business bank account
Opening a separate business bank account will make tracking your income and expenses quicker and easier.
HMRC recommends that you keep your business and personal banking separate when you are self employed, so if you haven’t opened a business bank account then consider doing so.
If you need to open a business bank account, check out my guide here.
Bookkeeping Tip #2: Keep All Your Receipts
You are legally required to keep proof of all your income and expenses which includes things like:
- all receipts for things you have bought
- bank statements
- sales invoices and till rolls
Get into a habit of keeping and storing your business receipts and paperwork.
Struggling with organising your receipts? Then check out my post ‘How to Organise Your Business Receipts‘.
Bookkeeping Tip #3: Stay On Top of Your Bookkeeping
By staying on top of your bookkeeping and setting a good routine up for organising your business receipts you’ll:
- Minimise the risk of
loosinga receipt and missing out on a tax deduction;
- Avoid last minute stress when it comes to filing your tax return;
- Save on accountants fees, if you choose to use one.
Bookkeeping Tip #4: Use a bookkeeping system
Using a bookkeeping system will make handling your bookkeeping much easier.
With so much choice of bookkeeping systems on the market, knowing which one to choose can be difficult.
Read my advice on Choosing a Bookkeeping System here.
Anita is a Chartered Accountant with over a decade of experience taking self employed business owners from financially confused to business savvy.
She is the creator of the ‘Go Self Employed’ website, which her corner on the internet where she makes self employment less terrifying.