Great decisions come from great data. Bookkeeping turns daily transactions into reliable financials so you can price correctly, manage cash, file taxes confidently, and qualify for financing. At Henriquez Accounting & Tax Services, we align monthly bookkeeping with quarterly tax planning and year-end returns so your numbers are always tax-ready and decision-ready. Explore our Bookkeeping, Outsourced Controller/CFO, and Tax Preparation services.
Why Bookkeeping Matters
- Tax readiness: clean, reconciled books mean accurate returns and fewer surprises.
- Cash control: see where money comes from and where it goes—plan payroll and taxes with confidence.
- Smarter pricing & margins: track costs by job/sku/service to protect profit.
- Financing & insurance: lenders and underwriters want timely, accurate financials.
- Audit trail: proper documentation supports deductions and speeds up responses to notices.
What “Good Books” Look Like
- Bank, credit card, and payment processor reconciled monthly.
- Chart of accounts that’s simple, consistent, and mapped to tax categories.
- Owner pay, loans, inventory, and sales tax handled correctly (no miscoding).
- Monthly P&L, Balance Sheet, and Cash Flow with notes on variances.
- Digital source docs (receipts, invoices, statements) linked where possible.
The Monthly Close Rhythm
- Post & classify transactions; apply rules for recurring vendors.
- Reconcile bank/credit/merchant accounts; tie loans and inventory.
- Record payroll, benefits, depreciation, and interest.
- Review A/R & A/P aging; send statements and cut AP in batches.
- Publish financials and lock the period.
Owner’s Dashboard: KPIs to Watch
- Gross & operating margin trends
- DSO/DPO (collections vs. payables timing)
- Cash runway and 13-week forecast (if applicable)
- A/R & A/P aging health
- Budget vs. actual with action items
How Bookkeeping Powers Taxes & Financing
- Accurate quarterly estimates and fewer penalties.
- Clean year-end workpapers for faster return prep and lower cleanup costs.
- Reliable statements for loans, leases, and vendor terms.
DIY vs. Hiring a Pro
- DIY works for very small, simple operations with low volume.
- Hire a pro when revenue is steady, you’re hiring, carrying inventory, or selling in multiple states.
- Best practice: monthly bookkeeping + quarterly tax planning + annual returns.
Common (Costly) Mistakes
- Mixing personal and business spend; missing reconciliations.
- Misclassifying owner draws, loan principal, or inventory/COGS.
- Ignoring sales tax nexus or 1099 requirements.
- Too many/duplicate accounts in the COA—hard to analyze, easy to miscode.
Our Process
- Onboarding: access checklist, COA review, workflow map (AR/AP, payroll, sales tax).
- Monthly close: reconciliations, financials, and variance notes—locked and ready.
- Quarterly: tax projections, vouchers, KPI review, and process tune-ups.
- Annually: 1099s, fixed-asset roll-forward, year-end planning, and return prep.
FAQs
How often should I close my books?
Monthly at minimum; weekly reviews help if volume is high. A monthly close creates timely financials and a clean audit trail.
What’s the difference between bookkeeping and accounting?
Bookkeeping records and organizes transactions; accounting analyzes them for strategy, taxes, and planning. We provide both, sized to your needs.
Which accounting method should I use—cash or accrual?
Cash is simpler for small service businesses. Accrual is better as you scale, carry inventory, or extend credit. We’ll recommend the best fit.
What documents do I need to keep?
Bank/credit statements, invoices, receipts, payroll reports, loan docs, and tax filings—stored digitally and linked to transactions when possible.
Can you fix my existing QuickBooks file?
Yes—cleanup, reclassifications, prior-period adjustments, and process fixes so you stay clean going forward. See Bookkeeping and Tax Preparation.
Ready to get books you can trust?
We’ll implement a reliable monthly close, quarterly tax planning, and year-end filings—so your numbers drive better decisions all year. Talk to an Enrolled Agent today. Schedule Consultation
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