End Of The Year
It’s the end of the year. That means it’s time to start thinking about taxes. Tax season might not be for another few months, but that’s not something you want to leave to the last minute. If you haven’t scheduled an appointment with your bookkeeper to start getting things together, now is the time. If you run a business and haven’t read our article on what you need to have ready for the end of the year, I suggest taking a look now.
But that’s not what this article is about today. Today, I want to talk about a few things to help you for the next year. So, with that in mind, here’s three things you should write down during the year for tax purposes.
The first thing you should get in the habit of doing is writing down the categories purchases are for. These categories include things like business, medical, personal, volunteer, or office expenses. For every purchase you make, you should write down the category on the receipt. That way, your bookkeeper can tell what the expense is and whether or not it might be deducted from your taxes at a quick glance. You would not believe how much time it saves – and how much money it saves you!
There are a lot of travel expenses you can write off on your taxes. Of course any traveling you do for your business can be deducted, everybody knows that. Did you know, however, that you can also write off travel for volunteer work? It might count as a part of the donation. And that’s not all you can get deductions for. You should write down all of your travel expenses, regardless of their purposes – though definitely note what the travel was for. You never know what might be possible to write-off.
3. Take Notes From Meetings With Your Bookkeeper
Seriously, you have these meetings because there’s things you ought to know. Your bookkeeper will keep you up to date on changes to the tax codes, ways you can improve your record keeping, and things you might not realize you can write off. The meetings are as much for your benefit as for your bookkeeper. You should write down anything important from the meeting, especially if your bookkeeper tells you it can save you money. You’ll be glad you did.
There are many apps you can use to help you with your taxes. Whether its integrations with Quickbooks, or keeping a running tally of your expenses, there are a lot of tools. PC Magazine has an article discussing some of the best tax apps from 2020 that you might look at. If you want to know more, you can talk to your bookkeeper.
Schedule A Meeting Today
If you haven’t already scheduled a meeting with your bookkeeper, now’s a good time to do so. The meeting won’t be right away, so don’t worry about it interfering with your end of year holiday celebrations. Nevertheless, you want the meeting to be soon. Having a meeting now will help your bookkeeper find out a lot of what they need to know. They’ll also tell you what else you need to get them. That way, there won’t be a rush to get it all together a few weeks before taxes are due.
Ready to have a meeting? You can schedule one with us today! We’re ready to help with whatever you need!