3 Tax and Bookkeeping Year-End To-Dos for Your Small Business in Brandon Florida
Thanksgiving and Christmas are just around the corner, which means you know that the business year-end is fast approaching. Finish this year off on a high note by ticking off those pesky business tax accounting and bookkeeping to-do’s that have been sitting on your list for much too long. The end of the year is a great time to take stock of what you’ve achieved and prepare for the upcoming new year.
To be able to relax and enjoy the holiday season fully, here are three things you can do to get your business affairs in order:
Review Your Retirement Planning
Opening and contributing to a company retirement plan will help you position your business as a preferred employer. It also helps to lower business taxes by making contributions that are deductible, as well as helping you save for your own retirement. Get advice from a retirement planning specialist to ensure that you make the best decision for your business.
For businesses with employees, options include a SEP IRA (funded by the employers) or a SIMPLIFIED EMPLOYEE PENSION PLAN (employees’ pre-tax payments and tax-deductible employer contributions). If it’s just you (no employees), options geared for the needs of a small business include a tax-deferred solo 401(k).
Find Out if Your Business is Eligible for Any Tax Breaks
As the year-end approaches, you need to ensure that your financial records are completely up-to-date, especially if the records kept during the year haven’t been precisely kept. Organize what you have, sort through your receipts, and check online payments for deductible expenses. Examples include travel and entertainment expenses, lease payments, conferences, vehicle depreciation, and business insurance.
Don’t forget to include the business portion of personal expenses such as your phone bill that can help to lower your tax bill. For companies that manufacture and sell products, there are expenses such as freight, labor, and storage that are also deductible.
Then think about any new significant purchases that you’ve been wanting to make – such as a new computer or office furniture. If there are expenses that you need to incur, consider doing so before January 1st to lower your taxable income. If this seems like an overwhelming task, get in touch with a local tax preparation service.
Get All Paperwork in Order
You’ll feel great if you can start the new year with a clean slate. That means taking care of all the paperwork before you go on holiday. Double-check for disorganized bookkeeping and any late tax payments or missing W-2 filings. Make sure you’re up-to-date with your accounts receivable and accounts payable, send out all invoices, and track your income and expenses.
A professional bookkeeping service will be extremely useful in situations like these as they’ll be able to review your current set-up, get your accounts in order, and suggest improvements going forward.
If this sounds great in theory, but nearly impossible to do for your business, get in touch with Accurate Tax & Bookkeeping Services in Brandon, Florida. They service the Tampa Bay area and specialize in a range of services for small and medium-sized businesses including tax preparation and planning, accounting and bookkeeping, payroll, and representation in IRS/State matters. They offer a free consultation and will help you get your business affairs in order, so you really have something to celebrate this holiday season.