10 Practical Bookkeeping Hacks for Busy Business Owners to Streamline Finances

Thu, 23 Jan 2025

Bookkeeping literally makes life easy for every business owner out there. Just think about the perks—you stay on top of your finances, can make informed decisions, and set yourself up for long-term success. 

But, reality check—bookkeeping is not as easy as it sounds. It's far from SIMPLE. And if you’re a busy business owner, it becomes even tougher to manage, along with all the other work hats you wear. 

At WMK Accounting, we understand the importance of good bookkeeping, which is why we’ve shortlisted 10 effective bookkeeping hacks or tips to help you out.  

Let’s take a look.

1. One Account for Business, One for Personal

One important piece of advice that even Perth bookkeeping assistance will give you is to keep things as simple as possible. Simplicity makes bookkeeping more efficient and accurate. And therefore, it's never a good idea to mix personal and professional expenses. If you're not already separating them, it's time to start.

What does this help with? Well, having a separate business bank account keeps everything neat and organised. There’s no confusion between your personal shopping spree and business expenses. This gives you a clear view of your business's financial health. 

This simple step saves you time, especially when tax season hits, and you don't have to dig through your personal transactions to find out your business-related ones. You can easily spot trends, manage cash flow, and make smarter decisions. Trust us, it's a small change that pays off big.

2. Ditch the Paper, Go Digital

We're so lucky to live in a time where technology is making managing finances easy for business owners. You can use softwares QuickBooks and Xero (popular in Australia). These softwares handle most of the bookkeeping tasks for you - QuickBooks and Xero tracking expenses, creating invoices, or syncing with your bank accounts.

This digital shift saves you a lot of time while keeping your financial data organised with minimal effort. The best part is you can access everything anytime, anywhere. It's just a simple way to keep your business running smoothly. 

3. Automate Recurring Transactions

Being a business owner, you must constantly send out invoices, bills, or payments. So, why not automate them? Setting up your recurring transactions makes things 2x easier. There is accounting software that automates things like your invoices, bills, and payments with just a few clicks.

This means you don't have to keep doing it manually or risk missing due dates. Once they're set, the system will take care of it for you. It's one less thing on your to-do list.

4. Keep Tabs on Every Dollar You Spend

Every expense you make counts. Small expenses might seem harmless to you, but they add up faster, even if it's a coffee during a meeting or a sneaky subscription charge. Every Dollar matters.  

Fortunately, modern tools have made this easier. Apps like Expensify or Wave allow you to track your purchase on the spot. Take a quick photo of your receipt, and the app will sort it all out for you. No more piles of paper or guessing where your money went. 

Keeping your cash flow in check will lead to a less stressful tax season.  Plus, if you work with expert tax advisors in Perth, staying organised will make things much easier for you and them. A little effort here goes a long way toward smarter financial decisions and a stronger business.

5. Don’t Forget to Reconcile

Spotting mistakes early is like noticing a small drip in your roof before it becomes a big mess. That's why reconciling is important. Though it might not be the most glamorous task, it gives a clearer picture of your expenses or any last-minute nasty surprise. 

It really only takes a few minutes, and it's way better than facing a mountain of confusing transactions later on.  So, don't skip this step! 

6. Stay Organised by Categorising Your Transactions

Categorise your transactions into groups like “Supplies,” “Marketing,” and “Travel.” It might seem small, but it goes a long way. Organised transactions will help you make reports a lot easier.  When tax season hits, you won’t be scrambling to find specific expenses. This saves you time, reduces stress, and keeps you on top of your finances. 

7. Use Cloud Storage for Easy Access

If you haven't, it's about time you switched to cloud storage for your financial files. Google Drive or Dropbox are perfect for safely storing everything (invoices, receipts, or reports) so you can access them anytime, anywhere.   

You don't have to go through piles of paperwork or try remembering where you put that particular document. And if you're working with Perth tax returns specialists, cloud storage makes sharing files fast and secure. Simply send a link, and they'll have instant access to what they need. It's a straightforward way to keep everything organised and easily shareable without any hassle.

8. Build a Simple Audit Trail to Stay on Track

Even if you’re super careful with your books, a tax audit can still pop up. That’s why it’s essential to keep a simple trail of all your purchases and payments from customers. 

An audit trail is just a collection of documents that back up the transactions you’ve recorded. If there’s ever an issue with things like tax mistakes or missing transactions, your audit trail makes it easy to sort it all out.

9. Don’t Let Tax Deadlines Sneak Up on You!

We all know how easy it is to push tax deadlines to the back of our minds—until it’s almost too late (and then it’s panic mode!). To avoid falling into that situation, mark those important dates on your calendar as a friendly reminder early so you’re not caught off guard.

A bit of pre-preparation saves a lot of after-hustle. Be ready with your paperwork in advance and check that everything is organised and easy to access (the tips for this are already mentioned above). Share everything in advance with your tax advisor they need before the deadline hits, so there will be no last-minute scrambling.

10. And if All This is Too Much, Ask for Professional Help

We know that it’s not easy, and at a point, it will start to feel like too much. Before you reach that stage, it’s always a good idea to get professional help. Perth bookkeeping assistance is easy to find, with skilled bookkeepers and accountants who ensure everything is done correctly.

It might seem like an extra cost upfront, but it’s a smart investment that you make for your own good. It’ll save you from late nights sorting out spreadsheets, worrying about missed deadlines, and dealing with tax season stress. 

So don't stress out too much; get help. 

We at WMK Accounting are your expert tax advisors in Perth, and we also offer bookkeeping services. To get in touch, click here now!

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