As the year comes to a close, now is the perfect time to get your books in order and prepare for a successful new year. A little effort now can help you avoid tax-season stress, improve cash flow, and make better business decisions heading into 2027.
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1. Reconcile Your Accounts
Make sure your bank and credit card accounts are up to date. Reconciling your accounts helps catch missing transactions, duplicate entries, and bookkeeping errors before year-end.
2. Talk to Your Tax Professional
Don't wait until January. A quick conversation with your CPA can help you understand tax obligations, potential deductions, and any year-end planning opportunities.
3. Review Bonuses and Owner Distributions
If you're considering bonuses or distributions, make sure you understand the payroll and tax implications before payments are issued.
4. Check Your Cash Flow
Review outstanding invoices and unpaid bills. Following up on receivables and planning upcoming payments helps you start the new year with a clear understanding of your cash position.
5. Get Ready for 1099 Season
Now is the time to collect missing W-9s and verify contractor information. Preparing early makes January much easier. NEW this year an updated threshold for 1099s- check your contractor payments- you may have less 1099s this season
check out this blog- 1099 Threshold Increase Explained: What the IRS Change from $600 to $2,000 Means for Small Businesses
6. Build a Budget for 2027
A budget gives you a roadmap for growth, spending, and profitability. Even a simple plan can help you make more confident financial decisions throughout the year.
Need Help Getting Your Books Ready for Year-End?
Whether you're behind in QuickBooks, need a bookkeeping cleanup, or are looking for a trusted virtual bookkeeper, BudgetEase can help. Our team works with small businesses and nonprofits to keep books accurate, organized, and ready for tax season.
Contact BudgetEase today and enter 2027 with confidence.
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Frequently Asked Questions
Q: How often should I reconcile my business accounts?
A: Most businesses should reconcile their bank and credit card accounts monthly. Regular reconciliation helps catch errors early and ensures your financial reports remain accurate throughout the year.Q: When should I hire a virtual bookkeeper?
A: If you're falling behind on bookkeeping, spending too much time in QuickBooks, or aren't confident in your financial reports, a virtual bookkeeper can help keep your records accurate, organized, and tax-ready while freeing up your time to focus on running your business.
