Accurate And Consistent Bookkeeping

By May 25, 2020September 25th, 2020Blog, Profit First

Do you struggle with accurate and consistent bookkeeping? Today’s tip is really 2 tips in one, but it all has to do with keeping a healthy bookkeeping system.

 

At the core of it all, it comes down to BEING accurate and consistent. This means that when we have a transaction, we record that transaction the same way EVERY TIME

 

For example, let’s say you have a monthly paper purchase from Office Depot, you want to make sure that every time you do that purchase that you are marking that under “supplies”. 

 

What we can see happen sometimes is that you will have one month where the paper purchase was marked down under “supplies”, but then the following month it was marked as an “office expense”. 

 

While it is good to track these purchases, the problem with not tracking them the same every time is that it makes it more difficult for you to budget and track your spending. That’s why we want to make sure that each transaction is accurate and consistent. That way you make it easier for yourself to quickly identify each transaction every month without making extra work for yourself later on. 

 

Also, by doing things this way,  you are able to more clearly review your profit and loss statements. That way you can accurately follow the spending trends and feel confident that you can rely on your financials as you make decisions. 

 

Check out this latest tip video to learn more about the importance of ACCURATE and CONSISTENT bookkeeping!

Check out our other videos for information on the Profit First system and other great tax tips for microgym owner.

 

You can order a copy here of my new book Profit First For Microgyms and begin establishing your HEALTHY cash flow system, TODAY!

 

Interested in more tips and advice on how to better manage the financial health of your microgym? 

 

I would LOVE to connect.

 

I share daily tips and advice not only for Microgym owners but for all of us being bullied by the IRS.

 

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