How was tax season?
Did you do a ton of work to file your taxes on time, but you ended up with a bigger tax bill or smaller tax refund than you were counting on? That’s such a bummer! Is it like this every year — or even every quarter if you’re filing quarterly?
Why does this keep happening?
That’s a good question, if you know where to look for answers. Where is the right place to look for answers about your money?
Your bookkeeping system.
Maybe you don’t have a bookkeeping system at all. Or maybe you do have a bookkeeping system, but when your taxes are always an ordeal, that means your system isn’t working for you. Your system might not be tracking the right metrics, or there’s something you’re not tracking with enough granularity — you’re not tracking the kinds of information you need so that your taxes can be easy.
There are two main reasons to do bookkeeping, two different and very important needs that your bookkeeping system must meet in order to actually be functional and help your business thrive.
A strong bookkeeping system gets you great business information for both of these needs:
- for making great decisions, and
- for easy-peasy tax filing.
What might tax filing ease look like for you?
Tax filing ease can mean your CPA sending you a MUCH smaller bill (because they have less work to do when you have your books in order.)
Tax filing ease can also mean minimizing your tax liability or maximizing your refund.
In other words, tax filing ease means more money in your pocket, yay!