Bookkeeping is essential to your business’s financial health, but did you know you could unintentionally drive up the cost? How can you help keep your bookkeeping costs down? Here are some helpful tips.
Stay on Top of Receipts and Records
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Upload receipts regularly: Don’t wait until year-end or tax time. Weekly uploads are ideal. By requiring your bookkeeper to put aside scheduled work to deal with an urgent deadline because you didn’t provide source documents on a regular basis, you run the risk of a potential price increase, or worse, being let go as a client.
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Use digital tools: Scanning apps and cloud storage make it easy to keep things organized and legible. Dext and Hubdoc are top performers for receipt management.
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Label clearly: Vague, crumpled receipts with no context create more questions than answers and they’re frustrating to bookkeepers as they create a roadblock. They can’t guess what was purchased or the amounts, and have to flag these receipts for follow-up.
Respond Promptly to Bookkeeper Requests
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Don’t delay replies: The longer it takes to respond, the more time is spent following up. The more time a bookkeeper spends trying to get work done, the higher your monthly bill may become.
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Clarify unclear expenses: If a transaction looks personal or unusual, explain what was purchased with a handwritten note on the receipt or a typed note in the receipt management app you’re using.
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Keep your contact info current: Missed emails or calls waste valuable time on both ends.
Provide Clear, Consistent Information
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Avoid guesswork: Be specific about business expenses and income sources. We’ve reviewed a lot of books for prospective clients and many are not pretty because their bookkeepers had to work with little detail, having to guess where to allocate expenses. Remember the expression, “Garbage in. Garbage out.”
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Stick to your system: If you’ve agreed on a document-sharing process, use it consistently.
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Update your bookkeeper: Notify them of major changes—new accounts, loans, or business activities.
Build a Collaborative Relationship
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Treat your bookkeeper like a partner: Their job is to help you succeed.
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Ask questions: A good bookkeeper will welcome your interest and help you understand the numbers.
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Be accountable: Your participation ensures your books are accurate and your costs stay down.
When you participate fully and communicate clearly, your bookkeeper can work efficiently and help you keep your bookkeeping costs down. Think of it as a team effort where clarity and cooperation pay off.
If you feel your bookkeeping needs professional input AND if you’re committed to doing what’s necessary to ensure you have clear, bullet-proof books that would pass a CRA audit with flying colours, reach out to us. We’re here to help.
