If you make money on your website, these must do bookkeeping for your blog business tasks are important to add to your to-do lists. From important tax purposes to filing paperwork to protect yourself, these are the top bookkeeping for small business needs that everyone should consider. Even if you are just starting out, these tips will help you create a foundation for your bloggy biz.
Bookkeeping For Bloggers
Use a backup online accounting tool. Pen and paper is a great solid old school method, but in this day and age having a backup is vital. Whether you use an online bookkeeping tool like Quickbooks or simply backup spreadsheets of information to a cloud storage like Google Drive, Amazon Cloud or Dropbox, this is a must on every list. Don’t take chances of your computer crashing or papers being lost. Backup online so it is always available.
Don’t forget to file for a proper business license. If you are self-employed and working from home, there are a number of methods of handling a business license. Check with your state, county and city regulations to make sure you are doing what is required. Sometimes there are no licensees required if you are not charging sales tax for goods or services locally. However, don’t just guess at this, do your research and make sure you are doing what is legal for your area. I was able to use Legal Zoom with no issues, but others might need a face-to-face connection to get this step figured out.
Log and save receipts for business purchases. While it is rare to get audited, it is truly best if you keep copies of receipts or the original receipt on any business purchase you plan to write off when you’re doing your taxes for the year. I recommend creating a spreadsheet of business expenses to log the amount, place purchased, product/item and date. Create a simple folder each month to house your receipts, so if you need to go back and check you can narrow it down by the date pretty easily. At tax season, this makes it much faster to divide and put in appropriate columns, and you can simply slide those receipt envelopes in with other tax paperwork to file away for future use if needed.
Create separate business banking accounts. Good bookkeeping practices for home business include keeping a separate business banking account. While you can work out of your personal account, it is much more complicated to separate and account for things during tax season. That means frustration and potential problems being able to deduct everything you want for business expense.
Get proper business insurances. There are some small home businesses that may not need much if any insurance, but most do. Don’t hesitate to cover yourself for accidents, potential damaged goods and more. If your home business involves being in someone else's home for any reason, it is even more important. Also consider things like Aflac to cover yourself should something happen where you are unable to do your work for a period of time.
Do weekly filing. It may seem like a minor detail, but bookkeeping for small business can become overwhelming when you are also juggling kids and a busy schedule. Make sure you are spending the time each week to file away bills to be paid, bills that have been paid, outstanding invoices and any other paperwork that comes across your home office desk. This will help you to stay on top of things and make sure nothing gets shuffled around and lost. This also can be helpful to remind you to invoice brands that haven’t yet paid or to follow up if it is past the thirty or sixty day mark. Don’t rely on a business to simply pay you. Sometimes they need reminders (and several at that!).
Create a functional to-do list. This may seem like a minor item when doing your bookkeeping for home business tasks, but it really is vital. Without a list or calendar you can easily miss things you should be doing. Using a physical and online calendar to keep up with your invoicing, client work and even small business bookkeeping needs can make sure you don’t miss anything. I have a robust planning section on Sunny Sweet Days that can inspire you to create a business planner or use a popular store-bought planner to get you on your planning way!
These are definitely our must do bookkeeping for blog businesses that shouldn’t be missed. Make sure to focus on your small business and implement good practices that will help you to succeed. This list is not exhaustive, and there are many more things to consider as you go pro. It’s never too early to start planning your business finances and setting up a system that works for you! Add these tasks to your business calendar, and be sure to do them.
How do you keep track of your blog income?
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