Regularly Reconcile Your Accounts

The single most helpful QuickBooks Online tip, which will save you time and provide Thebes financial clarity, is to Regularly Reconcile Your Accounts—ideally, monthly.

Here’s why this is the one tip small business owners wish they knew sooner:

• It’s the ultimate error-checker. Reconciling forces you to compare your QuickBooks records (what you think happened) to your bank/credit card statements (what actually cleared).

• It immediately helps you find:

  • Missing transactions

  • Duplicate entries

  • Incorrectly categorized amounts before tax time

  • Fraudulent charges on your accounts

• It keeps your bookkeeping current and manageable. If you wait until the end of the year, you’ll have hundreds of transactions to sort through in a rush. Doing it monthly turns a massive headache into a quick, routing task.

• It provides real-time cash flow accuracy. You can’t trust your bank balance in QuickBooks until it’s reconciled. Reconciling ensures that then alance shown in QBO is the exact starting point for making critical business decisions.

• It makes tax time painless. When your accounts are regularly reconciled, your financial statements (like the Profit & Loss and Balance Sheet) are instantly accurate and ready for your accountant or for filing your taxes.

If you don’t have the time for categorizing transactions or monthly reconciliations, considering hiring a bookkeeper, so you can focus your time on growing your business. Click the button at the bottom of this page to schedule a free consultation.