At the end of the year, its important to both close-out the old year properly as well as plan for the new year. I recommend you start this process in early December so that there isnt a last-minute rush to complete your year-end closing tasks. Even better, do this quarterly so that you remain caught-up with the tasks. Here are some ideas that you might want to add to your checklist: Cleanup and Closing Tasks Enter all revenue and expenses into your recordkeeping system. Send final invoices for current year. Reconcile your bank account records with bank statements. Estimate your last tax payment for the current year (many self-employed people make quarterly estimated tax paymentsthe final payment is usually due on January 15) Mail holiday cards and gifts to clients/customers Make holiday offers to clients/customers Clean out old files/emails Create year-end accounting reports and compare to goals for year Tally business-related mileage for year Tally expenses by vendor and prepare 1099s if needed Contact your accountant and discuss year-end tax planning Planning Tasks for the New Year Write a list of goals Write a list of tasks that need to be accomplished in order to make those goals Write a list of projects youd like to start or complete Create an updated marketing plan Create an updated budget List the topics youd like to study, the classes youd like to take, or the books youd like to read, to keep you up-to-date with your industry and business skills Schedule upcoming classes youll teach and distribute that Calendar of Events to clients and staff Cleanup and planning tasks dont just happen in December and January. If you review these tasks quarterly, they wont sneak up on you at the end of the year. |
