A simple list to help business owners get ahead before December 31.
1. Reconcile all bank and credit card accounts through 11/30
Confirm that each account ties out to its statement. Address any differences now while the details are still easy to track down.
2. Categorize any uncategorized transactions
Go through anything sitting in “uncategorized” or “ask my accountant.” Cleaning this up early prevents rushed decisions at year-end.
3. Review Open Invoices and Customer Payments
Confirm what is still owed and what has already been paid. Follow up on any outstanding or aged invoices.
4. Review Outstanding Vendor Bills
Confirm what is still owed and what has already been paid. Close out anything that is no longer outstanding.
5. Update loan balances through November
Record principal and interest accurately. Pull your latest statements so your balances are correct going into December.
6. Review Payroll Totals through November
Check that gross wages and taxes in your payroll system match what is in your books. Clear up any differences now instead of during tax season.
7. Gather All Missing W-9 Forms from Contractors
If you paid a contractor $600 or more this year, you will need their W-9 for January 1099 filings. Get these as soon as possible to avoid penalties.
8. Check that Larger Purchases are Classified Correctly
If you bought equipment, furniture, or other high cost items, decide whether they should be capitalized or expensed. Capitalized items are recorded on the balance sheet and depreciated over time, while smaller purchases are typically expensed immediately.
9. Review your P&L and Balance Sheet
If something looks unusual or unclear, reach out to your bookkeeper, controller, or tax professional to get clarification.
10. Review Profit and Taxes Paid
Look at your YTD profit through November and compare the taxes you have paid to your estimated tax obligations. This can help prevent surprise tax bills in a few months as well as avoid penalties and interest on late payments.If you are unsure how to calculate this or whether you are on track, this is a good time to ask your accountant before year-end.
If you’d like extra support before year-end, consider these next steps:
1. Click here to get your Free Year-End Bookkeeping Checklist PDF
Enter your email below and I’ll send you a one page version of the year-end checklist for free.
2. Reach out to us at Lean Street Finance with questions
If your current bookkeeper, controller, or tax professional isn’t helping with any of the items above, or if you’d prefer to hand off this work, feel free to contact me. I’m glad to help. I can be reached at bret@leanstreetfinance.com
3. Book a free 30 minute Year-End Review Session
We’ll look at your books together, identify any gaps, and outline next steps so you enter January fully prepared. Click here to access my calendar