The end of the tax year is fast approaching, as we’re sure you’re fully aware.
Yep, we can’t believe how the past few months have flown by either.
Use this time wisely and get everything in order with your finances so you can drive your business forward over the next 12 months.
1) Brush up your books.
It’s tempting to put off sorting out your books. The “I’ll do it tomorrow” attitude plagues so many businesses.
But, by checking in with what you’ve earned and what you’ve spent before the 5th April, you can gain valuable knowledge and save yourself money.
For example, you’ll be able to see if it’s worth spending some money on your business before the end of the tax year to benefit from the early tax relief (see point 6 of this blog post).
2) Create a bookkeeping system.
When you’ve checked in with your books, you may quickly realise that a regular spring clean would save you time in the long run.
Keeping on top of your books is invaluable. Again, the more you know what’s going in and out, the more power you have to make wise decisions about your finances.
Check out our blog post on creating a successful bookkeeping system.
3) Sign up for digital accounting software.
One way to ensure everything is in order is by switching to a digital accounting app, such as QuickBooks, Xero or FreeAgent.
With everything stored on the cloud, you can say goodbye to chaotic spreadsheets and piles of paper receipts.
Read more about the benefits of going digital with your accounting.
Meanwhile, if you are VAT registered, you must use a Making Tax Digital compliant software before 1st April 2019.
4) Check in with your accountant.
If you have an accountant, now is a great time to drop them a line or give them a call. They may be able to spot areas where could save on tax legally and ethically.
5) Set up payroll or switch provider.
If you need to set up payroll, or you’re thinking of changing provider, the new tax year is a great time to do it. We provide a standalone payroll service that lets you get on with what you do best, while the worries over NI, student loans, overtime, holiday and sick pay are left to us.
Find out more about why payroll is essential if you own a company.
6) Treat yourself.
Now is a great time to do some business spending on your everyday essentials, such as business cards and other stationery.
As long as you spend the money and start using the items before the 5 April 2019, you can claim the tax relief a year earlier.
Just remember, any costs that relate to a specific time after 6 April 2019 will have to be carried forward to the following year. An example of this is when you pay for things like train tickets or event admission – if it takes place after the end of this current tax year, you won’t be able to claim tax on it until a later date.
Needs some guidance on your end of year? Speak with us today, and we’d be happy to give you some advice.