Bookkeeping Tips

Bank Reconciliations
Get a bank statement with a month-end cut-off and have your statements with returned cheques available and have your cheque book with cheque stubs handy.
Sales Invoices
Separate your invoices into paid & unpaid. On paid invoices write on the date deposited, cheque number, and the amount if not paid in full.
Bills To Pay
Write on the date paid and your cheque number.
Make a note on the receipt what it is for.  For meals and entertainment expenses, also write on who it was for and the purpose.
Credit Card Bills
Treat the same as expenses indicating which account each purchase should be allocated to.
Set aside money for paying taxes
Systematically put a portion of money aside throughout the year for taxes. Then note tax deadlines on your calendar, along with prep time if you need it, to make sure you actually make payments when they’re due.
Back Up Your Data
Whether you capture your records in a simple spreadsheet or with accounting software, it’s important to back up your data. Use CDs and / or USB devices and alternate between them. Use a CD on day one and an alternate CD or device on the following day, then should your computer crash, you would only lose one day of records.
Filing system for documents
Regardless of how you record your data, all businesses are required by the CRA to keep complete and organized records.  This could be a simple filing system such as folders for each month to place documents. All records and supporting documents must be kept for 6 years from the end of the last tax year to which they relate.