Small Business End of Year Checklist

Posted on Dec 14, 2018

As the year comes to a close it’s important to get all your ducks in a row so that you can be prepared for when taxes become due. Here is a handy check list of tasks that you should complete prior to December 31st, and after January 1st to help streamline the process:

Before Dec 31st:

– Take a look at your Profit & Loss Report. If you have a larger than expected profit, are there any major purchases that you can make now that can be depreciated? Make sure that you have the available cash and talk with your accountant if you are unclear about the depreciation rules.

– Verify any loan accounts and clean them up if needed.

– Verify that you have all correct 1099 information for vendors. If not, ask them for the information now so that delayed responses won’t hold up your tax filing.

– Will you be giving out end-of-year bonuses? Your P & L report can help you determine if you will be giving those out by end of the year or in January.

– Are there any fringe benefits that you need to report on your W-2’s? Such as health & life insurance, transportation, moving, and/or educational reimbursements/subsidies, employee loans that you’ve forgiven?

– Take a physical inventory of your products and update inventory log as needed.

– Create budgets for the next year.

– Create a list of all of your major accomplishments for the year and share with your staff to ensure positive encouragement and reinforcement for a job well done.

– Write out a list of goals for the next year.

– Double check your website to make sure that all content is correct and links work.

After January 1st:

– Finish your book keeping and reconcile all accounts in your accounting system such as bank and credit cards.

– Print and mail payroll forms. (W-2, W-3, 940 & 941)

– Print and mail 1099’s to independent contractors by January 31st. Make sure to do this ASAP incase their is an error.

– Make depreciation entries. (May require help from your accountant.)

– Print and mail 1096 to IRS by February 28.

We hope you find this helpful in preparing for the new year.
Cheers & Happy Holidays!