Great Habits That Will Save You Money In 2012
Despite the insanity that the New Year brings every Kelowna accountant, or any accountant really, it’s truly an exciting time with the prospect of a great year ahead filled with success, growth and a clean slate. Stats have shown about 45% of people usually set New Year’s resolutions with only 8% actually achieving them.
Although I would love to give a deeper philosophical outlook on growth for 2012 this article is about sharing a few great tips that will get you on track for a bigger bottom line at the end of the upcoming year.
Remember Your Receipts
Don’t roll your eyes at this one. Every year, most people have the same thought when their Kelowna accountant asks them for their receipts.
“I’m sure there were more than this.”
“I hope I’m not missing any.”
“Where did I put all those gas receipts again?”
Spare yourself the headache, save yourself some cash (in the form of tax savings) and create the habit of putting away all of your receipts in a safe place. You should have a folder in your file cabinet dedicated to receipts, but also have an envelope in your car, office and at home for receipts waiting to be transferred to the main folder.
Photocopying or scanning your receipts is a very good idea, especially if you are prone to losing them. The thermal paper receipts are printed on often fade quickly, especially in sunlight, which renders it useless come tax time. It can be a bigger let down to actually remember to save your receipts all year to find them faded and unreadable.
Don’t Make Any Assumptions On What Is Deductible
I am often able to save my clients a lot more than they expected in tax savings when they don’t make any assumptions on what is deductible. Business owners often question whether a certain expense would be recognized as a business expense.
If it looks and feels like a business expense, it just might be a business expense.
Keep all those receipts and present them to your Kelowna accountant. They will be able to advise you on what you can write off and how much you can legally push the envelope at tax time.
Give Your Business A New Year’s Resolution
Commit to a couple of corrective actions that will increase your productivity, efficiency and bottom line once 2013 tax season rolls around.
It might be tough to commit to a personal resolution but step up to the plate when it comes to improving your business.
Consult your Kelowna accountant if you want an opinion on a great resolution that will contribute to your company’s overall strategic plan. What’s more, arrange to meet with your accountant well before tax time to ensure you are on track with your goals. Many of my successful business clients meet with me at least once per quarter to make sure they are taking advantage of ALL opportunities to grow their revenue and decrease their tax liability.
The turn of the New Year always breathes excitement into all of us as we think about the challenges and obstacles to be conquered that lie ahead.
Start pushing the boundaries of your business, think bigger than you’ve thought before, set BIG goals and use the New Year to begin to achieve them. A goal properly set is halfway reached.
Don’t be afraid to take calculated risks but know your limits and don’t hesitate to ask for help. Even the world’s greatest success stories had help along the way.
Is your business committing to any resolutions or corrective actions this year? Have you made an appointment to review your tax planning with your Kelowna accountant yet? Let me know in the comments below!
About the Author
Ken Davidson is a Chartered Accountant with BDO Canada LLP, with their Kelowna accounting firm. Ken specializes in helping Kelowna businesses that are in start-up mode, companies in Kelowna that are in their growth phase and are ready to take their revenues to the next level, and professionals to secure their financial future with solid investment advice. Ken is best known for his strategic planning advice that positions him as a trusted advisor above and beyond being a Kelowna accountant that gives typical tax planning advice. To contact Ken for a Strategic Business Review to learn how he may be able to help your Kelowna business, email him at firstname.lastname@example.org.
Last 5 posts in Strategic Planning
- Is Your Business Safe In A Downward Economy? - March 11th, 2013
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- Taking a Risk In Business: What Your Kelowna Accountant May Not Tell You - November 30th, 2011