Checklist To Maintain A Monthly Bookkeeping File

Author: GD Bookkeeping | | Categories: Bookkeeper , Bookkeeping Services Kelowna


At GD Bookkeeping, we understand that maintaining monthly bookkeeping can be a challenge. While maintaining a monthly bookkeeping file can be viewed as a stressful or laborious task, with a little preparation, you can handle your bookkeeping quickly and easily.

As experts in bookkeeping in Kelowna, BC, we’ve created a handy checklist to help you complete your books on time with as little stress as possible. Follow our basic checklist to maintain a monthly bookkeeping file so that you can get back to the other essential things in life.

1. Sort documents
If you are still using paper and not using the cloud, then it’s best to sort your documents, by month or by the vendor and put it into folders. However, if you are in the cloud, make sure all expenses get sent to the cloud storage software that you are using. Some common ones we often suggest are Hubdoc, Receipt Bank, or AutoEntry.

2. Post revenue invoices, if not already entered

3. Post all expenses invoices
Double-check your tax amounts and make sure you use the same tax amounts as on the receipt when posting in your file.

4. Complete a mini bank reconciliation to see what you’re missing

5. Enter all missing items from the bank statement
We don’t like to assume any expenses or deposits, so we often set these up as prepayments/deposits. Other bookkeepers often use an account “client to advise” or “ask the client.” You can use whichever method you prefer.

6. Complete bank reconciliation
Make sure, before you complete the bank reconciliation, you don’t have any old outstanding items that shouldn’t be on the reconciliation report. Ask yourself the following: 

(a) Are there old stale dated checks on the reconciliation that need to be replaced?

(b) Are there old outstanding deposits that should have been deposited?

(c) Are there any debit card payments that should have been reconciled already and are showing as outstanding and are possible double entries? 

7. Repeat these steps with any other banks and credit cards that need to be reconciled

8. Review and reconcile the Accounts Payables list
Double-check all the vendor statements of accounts and make sure you have all the invoices posted into your file.

9. Review and reconcile the Accounts Receivables list

(a) Are the customer balances correct?

(b) Are there any negative balances? If so, is it correct?

10. Review and reconcile the Balance Sheet

(a) You need to be able to provide proof of each account balance. 

(b) Your banks and credit card reconciliations should match the Balance Sheet accounts. 

(c) You should have copies of all the current year assets as well as copies of all liabilities such as credit card statements, loans, lines of credit, mortgages, etc. 

(d) You also need to have copies of all your working papers and remittances for tax filings. This is a must to prove your filings in case of an audit.

11. Print PDF copies of the monthly reports for the Income Statement, Balance Sheet, Accounts Payable and Accounts Receivables

12. Prepare an email for the client

(a) Prepare an email to your client and send them copies of your monthly financial statements.

(b) Request that they forward copies of all missing receipts/deposits info that show up as prepayments/prepaid sales on your accounts payable and accounts receivables list.

(c) Communicate and let them know the value of the shareholder balance, the total of tax amounts owing, and any issues you noticed in the current month. 

(d) Ask them to send missing info with the next month’s bookkeeping.

13. File all completed work and financials in a file cabinet, whether that’s in the office or the cloud.

If you have any concerns about maintaining a monthly bookkeeping file, or you’re looking for a bookkeeping firm to help simplify the process, reach out to the bookkeeping experts at GD Bookkeeping, in Kelowna, BC. We are an experienced firm providing bookkeeping, payroll, and government remittances, financial reports, and business consulting.

To learn more about our services, please click here. Have a question? We’d love to hear from you. Contact us here.