Start-of-Month Bookkeeping Routine: Setting Up for Financial Success

Starting each month with a solid bookkeeping routine ensures your business maintains accurate financial records and stays ahead of potential issues. Here's your comprehensive guide to beginning the month right.

Review Previous Month's Performance

Begin with a thorough assessment:

• Review completed month-end closing reports for accuracy

• Analyze profit and loss statements for insights

• Compare performance against monthly budgets and goals

Process Recurring Transactions

Handle regular financial tasks:

• Process recurring customer invoices and subscriptions

• Set up scheduled vendor payments and utilities

• Review and update recurring journal entries

Cash Flow Management

Ensure healthy cash flow:

• Project upcoming expenses and income

• Review payment schedules and due dates

• Plan for major purchases or investments

System Maintenance

Keep your systems current:

• Update accounting software and backup data

• Review and update customer/vendor information

• Organize digital and physical financial documents

A well-executed start-of-month routine sets the foundation for successful financial management throughout the month, helping you stay proactive rather than reactive.