The end of January is here. A few tips for small business owners, whether you are working with an accountant/bookkeeper or managing your own records.
1. If you haven’t sent your 1099s, that needs to happen by 1/31 (for most contractor payment types). It is always good to verify your W-9 information is up to date before sending, and there is still time to do that. Penalties apply if these go out late.
2. If you are on a standard calendar year, your finalized records should be ready for a good review. Scan the financial information, look for any unexpected accounts/account activity. Comparing financial records to the prior year is a great way ensure nothing was miscategorized. Make necessary adjustments or give your professional the needed feedback.
3. Verify any payments you received match up with the amounts on any provided 1099s. You will save yourself and your customer hassle if you catch things early.
These are just a few helpful tips. If you stay on top of things, filing taxes will be a breeze. Keep hustling, you are doing great things!