This month we are focusing on Bookkeeping and this week we look at – What do you really need to record for bookwork?
We recommend that you record the following as a minimum:
For each transaction (eg. sale or purchase) you should record:
• Amount £ (and other currency)
• VAT £ (if you are VAT registered)
Keeping your VAT sales invoices in numerical order
• Name of other business or people as appropriate (eg. customer or supplier)
• Date of transaction (eg. invoice date and later payment date)
The following are typical transactions which should be recorded:
• Money received from Sales
• Purchases & Expenses
• Payments for Purchases and Expenses
Remembering ‘Cash’ – often missed if the majority is paid via the bank it’s easy to pick it up – get inot a good habit of putting your cash receipts somewhere safe for record keeping.
• Capital purchases