Company Year End Accounting: Are You Prepared?

Despite the best efforts of business leaders to stay on top of accounting duties, it can be common for some tasks to fall by the wayside as the end of the year arrives. The best way to overcome this is to be prepared and understand what financial obligations you must fulfil by the time the calendar overturns to a new accounting period.

At Hysons, Chartered Accountants, we have created a smooth-running process that ensures our clients remain on top of their accounting duties. Keep reading to find out what boxes you need to have ticked before time runs out.

Company Account Tasks To Complete By Year End

Being prepared for business accounting is essential for ensuring mistakes are not made. It also is conducive to a healthy company culture which will keep employees happy and productive. Below is our list of tasks that should be completed or in the works if you want to end your tax year positively:

• Stock and invoicing: This includes ensuring stock records are correct to clearly define assets. Furthermore, all invoices should be up to date which includes any billing and payments. If these are outstanding, they can lean onto the next tax year, which can be tricky to define.
• Ensure bookkeeping is correct: Balance sheets, statements and financial planning must all be updated with the most recent data.
• Get ahead by drafting figures: The worst thing a business can do is wait until the end of the year to gain a view of its estimated accounting records. Instead, it’s essential to obtain a clear view. This is also required for the last interim dividend declarations, which are due around a month before the end of the year.
• Complete these tax-driven tasks: Getting prepared is about more than just tidying up the books. It’s about making sure all contributing aspects are complete. This includes payments such as charitable donations, directors’ loans, remuneration policy for shareholders, pension contributions, and fixed asset management.

What Can I Do To Pre-Prepare For Next Year?

Preparing for the year-end is not just about wrapping up the current year but also setting the right foundations for the next one.

As well as ensuring you have a professional accounting practice in place to support you, you may also look at moving results from a future period into the current one to better end things. This then means more finance can be accessed in the new year when required. Similarly, expenditures can be held off until the new year, which gives you more time to balance things.

Finally, if you don’t have one already, it’s a good idea to establish a monthly plan encompassing all of the points covered in this article.

What Happens If My Company Misses The Filing Deadline?

This is not something you should ever consider as an option, even if your business is up against it admin-wise. You could face a fine ranging from £150 to £1500 and even be struck off in the worst instances.

To stop this being a risk, contact our team to bring in professional accounting support.