What are your New Year tax resolutions?

December 14, 2010


It’s the New Year and you know what that means! Resolutions for better bookkeeping! Fun right? Unlike the gym, you always need to do a good job on your taxes to save yourself time and save your accountant’s time, which saves you money (more six packs!) But what are you going to do this year that will be different? We’ll assume you’er using FreshBooks to track your invoices and payments, but can you do it better?

Maybe this year you’ll:

  • Invoice right after or even before the project is complete. It’ll get you paid faster and keep your records up to date.
  • Record the payment of an invoice right away. Try MiniBooks or other mobile apps this year so you enter in payments from anywhere.
  • Put away money from each payment collected to pay taxes (talk to an accountant about your tax bracket to estimate – avoid the scrambling). Maybe even use a separate bank account so you cannot access these saved funds easily.
  • Record all your expenses right when you incur them, or enter them en masse using FreshBooks bank import or scan them using Shoeboxed.

Running a business is tough, but if you put a little discipline in this year, you’ll be flying. You’ll be less worried about finances, avoid the cash scramble for tax time, and be happier! But keep at it throughout the year – no need to drop these new habits after January (like working on a six pack at the gym).

What are you doing this year to take a better handle of your taxes?


about the author

FreshBooks is the #1 accounting software in the cloud designed to make billing painless for small businesses and their teams. Today, over 10 million small businesses use FreshBooks to effortlessly send professional looking invoices, organize expenses and track their billable time.