As a business owner, there are probably many things you don’t have time to do yourself. One of those things may be keeping your accounts up to date with income tax payments and other expenses throughout the year. When you hire an accountant, however, there are many things they can help you with that you probably didn’t even know about; here are five accountant tips you can use today to save money and make your business more profitable.
1) Don’t ignore tax
There’s an old saying that there are only two certainties in life: death and taxes. And, let’s face it, death is a lot less stressful than tax time! If you aren’t familiar with what your taxes are, chances are they’re too high. If you use chartered north wales accountants services, then you can be sure that you aren’t paying too much tax.
2) Use your cash wisely
Tracking your spending, even if it’s just with a simple cashbook or spreadsheet, can help you make sense of where your money is going. And it won’t take long before you start noticing some patterns. Are there certain shops that see you drop more cash than others? If so, why? Do your habits change depending on whether or not you have a pay rise in hand or at Christmas time? You might be surprised how quickly a few hours of tracking will teach you about your own spending. And once it’s clear where all that cash is going, it becomes much easier to understand what accounts for any holes in your bank balance and adjust accordingly. Hint: This could be as simple as taking an interest in coupons and discount codes!
3) Pay attention to your finances
Paying attention to your finances is an important habit that everyone should have, whether you are on a limited budget or if you are freer with your spending. Once a month, review your bank statement and check all of your transactions. Add up any numbers that don’t make sense and ask questions about them. From now on, look for ways to cut back where possible, avoid unnecessary purchases and keep track of how much money comes in from various sources each month so that it’s easier to see where it all goes. Keeping track of spending allows people who take care of their finances to avoid wasting unnecessary money or paying fees for late-payments and overdrafts.
4) Get some help
To reduce your energy bills, it’s helpful to know how much energy different appliances and devices are using. You might be surprised at what a difference that knowledge makes. For example, turning off a few lights or unplugging an extra device from your wall outlet can make a measurable impact on your bottom line. The best part is there are no complicated science equations or environmental impact charts—just cold hard numbers showing exactly how much each device is costing you per month. Best of all, it only takes seconds for free electricity savings estimates by plugging in some info about your utility company and home setup; it’s super quick and simple to get started! You can also learn ways to use home improvement to save money.
5) Save on energy bills
Ensuring your business is a responsible environmental citizen will likely earn you some added respect in your community and industry, but there’s also a very real financial benefit. Energy bills add up, especially if they aren’t already factored into your overall operating budget. They can be difficult to predict as well—for example, an unexpected equipment failure or a series of bad weather days that keeps people from coming to work. If energy bills are consistently taking up a chunk of cash that could be better used elsewhere in your business, it might make sense to investigate ways to improve efficiency and cut costs.