Why a monthly routine matters

Bookkeeping that happens "when I have time" doesn't happen. The single biggest predictor of clean books at year-end is a small, repeatable monthly routine. It takes a couple of hours a month if you're disciplined.

The eight-item monthly checklist

  1. Reconcile your business bank account. Match every line item to your accounting record. Investigate any mismatches.
  2. Reconcile your business credit card. Same exercise. This is where missed expenses usually hide.
  3. Categorize every transaction. Don't leave anything as "uncategorized" or generic "expenses." Specific categories drive better reporting.
  4. Capture receipts for any unusual expenses. Anything over $100, anything that looks ambiguous. Photo or PDF, attached to the transaction.
  5. Run a Profit & Loss for the month. Even a glance tells you if anything looks wrong.
  6. Check your HST liability. Track what you owe vs. what you've collected. Surprise HST bills are the worst surprise.
  7. Review your accounts receivable. If you invoice, look at what's outstanding and follow up on anything past 30 days.
  8. Compare to last month. Revenue up or down? Any expense category that grew unexpectedly? This is where insight starts.

Time it should take

For most small businesses with under 100 monthly transactions, this is a 1.5–3 hour exercise — assuming your accounts are connected to QuickBooks Online (or similar) and the bulk of categorization happens automatically.

If you're not doing this, you have three options

  • Start doing it. Block 2 hours on the same day every month. Stick to it.
  • Hire it out. A monthly bookkeeping package costs less than most owners spend on coffee, and removes the discipline problem.
  • Keep ignoring it. Pay the catch-up cost in March. (We see this often.)

If you'd like to hand the monthly routine off, our packages start at $399/mo for businesses with up to 75 transactions. Or book a free consult to talk through your situation.