Accounting and Finance seems to be in my stars this week. Everyone is talking to me about it and how to get their accounting and finances right and also I am dealing with it at NC Real Estate on a huge level.
As you should all be aware, it was the end of the tax year on the 5th April. So that means that this is the time of year where I have to get all of my accounting together. And for us this is also huge because we are switching over from me being a sole trader to a Ltd company… exciting!
However, my accounts are always the thing that I dread getting together. The worst bit -and this is something that I never let on- the month prior to it being accounting time I seem to switch off entirely with my accounts.
THIS IS THE WRONG MOVE, mainly being it’s when getting spend happy happens. The minute I don’t look at my account, but flash my cards around because I have things to be paid, the minute everything falls off of the rails!
This year however, I VOWED to do things differently, and I have! I’ve spent time this year recording transactions, making sure that the right money comes in and out of the right account and have really forced myself to take time to go through my accounts.
The ONLY SECRET you need to know to getting it right is that you have to have your eyes wide open to your accounts. Seriously! I mean downloading transactions and statements and then formulating a record that you can understand to track your income and expenditure.
By no means is this a yearly thing. To start off I made it daily, so that I wasn’t afraid of what I might find lurking in my bank account (a bit of dust and a flashing warning sign shouting bank balance is low… maybe). I got used to what was in there and passed no judgement over it. Once I had that sorted out and there was nothing within me that was scared of looking I moved it to weekly checks and reconciliation and that’s where I have stayed.
So this years accounts season, I’m more in the flow of where my money is and I can track it.
I’ve made being financially aware a healthy thing for myself again and I would really recommend that you do too.
So if you are procrastinating over your accounts then there’s only one thing for it. Open up your online banking and take a good hard look, no more procrastinating or worrying about what you might find (chances are it just won’t be that). Grab the bull by the horns and accept it for what it is. Mainly, because the sooner you do your tax returns the more time you give yourself to pay your tax bill!
Do you have any handy hints for getting your accounts done? Comment below, I’d love to hear from you!