Bookkeeping Tips for the Self Employed

1456
Bookkeeping Tips for the Self Employed

Bookkeeping is an essential part of being self employed.

It’s a legal requirement and help you track the most important numbers like profit and tax.

Here are four bookkeeping tips to help get anyone who is newly self employed or needs to get their admin back on track.

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 loosing a 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.

Accountant In Your Inbox

I'll help you to make more profits, pay less tax and stay on the right side of the rules. Enter your email address to connect with me!

No spam ever. Unsubscribe at any time. Powered by ConvertKit