It’s clear that every Small Business Professional is required to keep a set of financial records. However, most find this a challenge.

Here are a few tips that can get you on the right track.

Have a Receipt Envelope for Each Month. Pick up some inexpensive 6” x 9” blank envelopes at the local office supply store. Then label one envelope for each month of the year. When you take the receipts out of your wallet, record them into your bookkeeping system, and then put them into the corresponding monthly envelope for easy storage and retrieval.

Reconcile Your Bank & Credit Card Statements. Monthly go through your paper statements and check them against what you recorded in your bookkeeping system. You will be checking to make sure you haven’t missed any entries (in the event you misplaced a receipt or invoice), and that there are no errors make by the bank or credit card companies.

Have a Separate File Box for Each Year. This is a plastic or cardboard filing box where you keep your statements and monthly receipt envelopes. You keep this box in your office until you have received all your statements and receipts for the year, and then carry it out to the garage or storage room for archiving.

Use Simple Bookkeeping Software. When it comes to keeping the books, simple is best. Too often buying a fancy software program creates confusion and frustration. Keep your records on a spreadsheet, or purchase a simplified bookkeeping program such as www.pro-ledgers.com. Then at tax time, supply your accountant with printed statements rather than a shoe box full of receipts.