Why is Thanksgiving Important in Accounting?

Seems like an unlikely connection, but you really want to get your accounting all caught up by Thanksgiving, and review your P&L Report and Balance Sheet for a clear analysis. That's because Thanksgiving leaves you only one month to make any end of tax plans. Here are your questions to answer as an analysis:

  • Do you have profit, and need to buy some fixed assets? Now is the time to research, shop, and buy before year end. 
  • Do need to reign in spending for the last month? You don't want to show an overly large loss in any one year. So make a list of what you'll need in Jan. Those expenses will count against 2014 profit, which will hopefully be much better. 
  • Do you need to do a big account's receivable collection effort, before year end?
  • You know that your subcontractors will be getting 1099's in Jan. Do you need to collect Social Security #'s, and addresses now? 
There's enough to do at year end without worrying about catching up on routine bookkeeping. If you stay current, you'll start paying bills on time, pocketing the late fees for your own take home pay. Sound good? Now is a good time to count your blessings!