Behind on Your Books? Here’s How to Catch Up Fast
Falling behind on bookkeeping happens more often than many business owners admit. Between serving customers, managing staff, and handling day-to-day operations, it’s easy for recordkeeping to slip down the priority list. But when your books aren’t up to date, you risk making decisions without accurate financial data—and tax season can quickly become a nightmare.
The good news? Catching up on your books doesn’t have to be overwhelming. With the right plan, you can get organized, back on track, and set up systems that keep you from falling behind again.
Step 1: Gather All Your Financial Documents
Start by collecting everything you need in one place. This includes:
Bank statements
Credit card statements
Receipts
Invoices (both sent and unpaid)
Payroll records
Loan documents
Think of this as creating your financial “toolbox.” Having everything organized will make the catch-up process much smoother.
Step 2: Reconcile Your Bank Accounts
Reconciliation is the backbone of bookkeeping. Compare your bank and credit card statements to your accounting records to make sure every transaction is accounted for. If there are missing or duplicate entries, correct them now before moving forward.
Step 3: Record Income and Expenses
Once your accounts are reconciled, start entering income and expenses in chronological order. Be consistent with categories (e.g., advertising, supplies, utilities) so your reports are accurate and tax deductions are easy to identify later.
Step 4: Handle Outstanding Invoices and Bills
Follow up on unpaid invoices to improve cash flow.
Review any unpaid bills and create a plan to settle them.
Catching up on books isn’t just about recording the past—it’s about getting current so your business runs smoothly.
Step 5: Review Payroll and Taxes
If payroll or tax filings are behind, prioritize getting these caught up to avoid penalties. Many small businesses find this the most stressful part of bookkeeping, but with accurate records, compliance becomes much easier.
Step 6: Use Tools to Save Time
If you’re not already using bookkeeping software like QuickBooks Online, now is the time. Automated transaction imports, categorization, and reporting features drastically cut down on time and help you avoid future backlogs.
Step 7: Know When to Ask for Help
Sometimes, catching up on months (or even years) of books is too big of a task to handle alone. Hiring a professional bookkeeper can save you time, reduce stress, and give you the peace of mind that your books are accurate and compliant.
Final Thoughts
Catching up on your books may feel daunting, but taking it step by step makes it manageable. Once you’re caught up, the key is consistency. Set aside time each week—or let a bookkeeping professional handle it—so your records stay clean and up to date.
👉 If you’re feeling behind and overwhelmed, our team specializes in catch-up bookkeeping. We’ll help you get back on track quickly and keep your business finances stress-free. Contact us to see how MakeCentsBookkeepigllc can help our your business.
