As a small business owner, it might feel like there are always more bookkeeping tasks to keep up with and more numbers to crunch—and never enough time to get it done. But as we enter the busy season before tax day, it’s especially important to stay on top of essential bookkeeping to-dos.
Don’t worry—this blog will help you get your priorities straight and tell you exactly what you need to watch out for this January. Follow this to-do list, and you’ll have a strong start to your bookkeeping in 2023.
January Bookkeeping Tasks
- File 1099 forms for any non-employee you’ve paid more than $600 this tax year. All small business owners must submit these to their contractors and the Internal Revenue Service by January 31st.
- File W2 forms for all employees. Just like the 1099 forms, you’ll need to submit W2s both to your employees and to the IRS by the end of the month. Keep copies for your own business records as well, just to make sure everything is documented.
- Don’t forget about your payroll quarterlies! These payroll reports are due by January 31st, both to the feds and to the state. Make sure these are signed and postmarked before this deadline to avoid any penalties. Or approved and processed electronically!
- If you don’t have an accountant you already work with, make it a priority to find one. Get on their calendar as soon as possible so you can get all your tax documents in order, and ask any questions you have. This is the busiest time of year for accountants, so if you want help with filing your taxes, it means you need to act fast.
- Remember to be patient with your bookkeepers and accountants this time of year. They really do work hard during these months leading up to tax season, and a little bit of kindness and understanding go a long way.
- Create and start healthy habits for the new year. This will look a little different for everyone, but setting small and manageable tasks will help keep you on task. You might try uploading receipts immediately when you get them, instead of waiting until the end of the month to do it all at once. (The QuickBooks app makes this super easy and efficient—it seriously only takes a minute!) You can also set tax dates in your calendar so you never miss a deadline, and schedule time in your calendar quarterly to review your financial reports and check in on the financial health of your business. Do it now so you don’t forget!
Stay On Track With Bookkeeping
Even as you manage day-to-day tasks of tracking your invoices and expenses, staying on top of these bigger January to-dos will help make bookkeeping easier and less stressful.
If you only have time to accomplish a few accounting tasks this month, this list is what you should be focusing on! By meeting January deadlines, preparing for tax season ahead of time, and staying up-to-date on your financial records, you’ll be setting yourself up for success down the road.
It can be difficult to manage everything by yourself, though. If you feel like more and more is being added to your plate, and you simply can’t keep up, then it might be time to consider hiring a bookkeeper.
KC Virtual Bookkeeping offers monthly bookkeeping service to ensure you’re financially caught up every month—and ready for tax season! We’ll do what we do best, and leave you with more time to run and manage your business.
Head to our services page to get more details about other ways we can serve your business.
