Stay Organized, Save Time, and Keep Your Business Financially Healthy
Whether you’re managing your own books or working with a professional, staying on top of your monthly bookkeeping tasks is essential for a financially healthy business.
But let’s be honest—bookkeeping isn’t most entrepreneurs’ favorite task. It often gets pushed to the back burner… until tax season (or a cash flow crisis) reminds you how important it really is.
At Your Bookkeeper On Call, we make bookkeeping simpler for small business owners through live, on-demand bookkeeping support and DIY coaching. If you want to keep your finances in order without the overwhelm, this monthly bookkeeping checklist is your new best friend.
Why Monthly Bookkeeping Matters
Doing your bookkeeping monthly instead of waiting until the end of the quarter or year helps you:
- ✅ Avoid costly mistakes and missed transactions
- ✅ Make smarter business decisions with real-time data
- ✅ Stay compliant with taxes and reporting
- ✅ Reduce stress during tax season
- ✅ Understand your business performance and cash flow
Consistency is key. With a simple checklist like this, staying on track is easier than you think.
✅ The Ultimate Monthly Bookkeeping Checklist
Here’s what you should be reviewing, recording, and reconciling every month:
1. Download and Review Bank & Credit Card Statements
- Grab your most recent bank, credit card, and PayPal statements
- Look for any unusual or unrecognized transactions
- Check for duplicate charges or missed refunds
➡️ Why it matters: You can’t fix what you don’t catch—and monthly reviews keep your books clean and accurate.
2. Reconcile All Accounts
- Use your accounting software (e.g. QuickBooks, Xero) to reconcile bank and credit card accounts
- Match transactions to your statements
- Investigate and resolve any discrepancies
➡️ Why it matters: Reconciliation is the foundation of accurate financials. If your books don’t match your bank, your reports can’t be trusted.
3. Record All Income and Deposits
- Ensure all customer payments, sales, and deposits are entered and categorized correctly
- Confirm nothing is missing or miscategorized as “uncategorized income”
➡️ Why it matters: You don’t want to underreport income—or worse, overstate it and pay more in taxes.
4. Enter and Categorize Business Expenses
- Log all business expenses, subscriptions, and purchases
- Upload or attach receipts to each transaction (use tools like Dext, Hubdoc, or your accounting app)
- Make sure each expense is assigned to the correct category (e.g. software, marketing, supplies)
➡️ Why it matters: This ensures you’re maximizing deductions and maintaining audit-ready records.
5. Review and Send Invoices
- Check for any outstanding invoices or overdue payments
- Send reminders to clients as needed
- Create and send new invoices for completed work
➡️ Why it matters: Invoicing on time helps keep your cash flow steady—and reduces the risk of missed income.
6. Pay Your Bills and Track Liabilities
- Review bills you’ve received and schedule payments
- Track any loans, credit card balances, or other liabilities
- Update any recurring vendor payments
➡️ Why it matters: Staying current with bills protects your credit, avoids late fees, and maintains strong vendor relationships.
7. Check Payroll (If Applicable)
- Run payroll and verify employee or contractor payments
- File and pay payroll taxes (or ensure your payroll provider does)
- Update records for any new hires or terminations
➡️ Why it matters: Payroll errors are costly and stressful. Consistency here is essential.
8. Review Financial Reports
Run the following basic reports from your accounting software:
- 📄 Profit & Loss Statement – Are you profitable this month?
- 📊 Balance Sheet – What’s your overall financial position?
- 💵 Cash Flow Report – Can you cover upcoming expenses?
➡️ Why it matters: These reports tell the story of your business—and help you make informed decisions.
9. Back Up Your Financial Data
If your software doesn’t automatically back up your data (most cloud-based tools do), make sure you save a local or secure copy of your monthly reports and documentation.
➡️ Why it matters: If anything ever goes wrong, you’ll still have a paper trail.
10. Meet With Your Bookkeeper or DIY Coach (Optional but Recommended)
Take time to review your numbers with a professional—especially if you’re unsure about anything or want to improve your financial habits.
➡️ Why it matters: A second set of eyes can catch errors, offer insight, and save you time and money.
Bonus: Set a Monthly Reminder
Choose a specific day each month (like the 1st Monday or the last Friday) to run through this checklist. Put it on your calendar and treat it like a non-negotiable meeting with your business.
Want help building this into a simple system? That’s exactly what we do at Your Bookkeeper On Call.
How We Can Help
At Your Bookkeeper On Call, we meet you where you are:
✅ DIY Bookkeeping Coaching – Learn how to manage your monthly bookkeeping like a pro with our hands-on guidance.
✅ Live, On-Demand Bookkeeping – Need help reconciling, categorizing, or reviewing your reports? We’re here when you need us—without a full-time commitment.
✅ Catch-Up and Cleanup Services – Behind on your bookkeeping? We’ll help you get back on track quickly and painlessly.
Final Word
Your monthly bookkeeping doesn’t have to be a mess—or a mystery. With a clear checklist and the right support, you can stay financially organized, avoid surprises, and make smarter decisions every single month.
👉 Want this checklist as a downloadable PDF? Contact us and we’ll send it straight to your inbox.
