With 2016 right around the corner, here are a few strategies from Ramey’s financial guru to help your business organize for Year-End and prepare for the next fiscal year:

• Reconcile all balance sheet accounts to verify for accuracy & reasonableness.
• Review sales, cost & expense accounts to prepare a budget for the next fiscal year.
• Evaluate Year-End Accounts Receivable and write-off any uncollectable accounts.
• Compare allowance for bad debt to actual sales. Evaluate where the current balance percentage is reasonable for any potential write-offs.
• Review fixed asset balances. Identify and dispose of any assets no longer in service.
• Review Year-End payroll tax reports for accuracy.
• Verify the balances in the General Ledger on any Notes Payable Accounts compared to the lender balances for any discrepancies.
• Verify Depreciation Expense calculations for accuracy for current year.
• Use current year sales, billing costs, and expenses to prepare a reasonable budget for the next fiscal year. If unsure about allocation of expenses and increases, a good rule of thumb is to budget an additional 10% for the next fiscal year.
• Review tax laws with a tax accountant/attorney for any changes that need to be recognized and planned for in future years.
• Review payroll laws with a payroll specialist/accountant/attorney for any changes that will need to be taken into account for the next fiscal year.
• Compare current staff with current sales/projected sales to plan for any potential increase/decrease that may affect budgets.
• Gather Year-End data that will be used for backup for the tax preparer/auditor.
• Dispose of any reports/documents past the recommended retain date of the Internal Revenue Service.
• Organize files for the current year in a manner in which the records are easily accessible, but not taking up valuable space for the coming fiscal year.
• Compile a to-do list for the coming months, in order to assist in the maintaining of accurate records.
• Compile a checklist for reports that need to be filed to any Federal/State/Local governments. By using a checklist you will not miss those important filing deadlines.