Accounting HELP!!!?

Question

Can someone please help me get my accounting office organized?!?!? I'm doing AP/AR and bookeeping. How should I seperate and organize these files? I need help with labeling and keeping important information in easily accessible areas.

Answer 1

First, get two "1 to 31" file folders. Put all the bills (AP) in one by the due date, or last day to get a discount. Naturally, subtract 5 days, i.e., due on the 20th, file under the 15th, to allow for mail time if you are not paying online.
Then, use the other "1 to 31" day file for the money you are owed (AR). The ones that are not yet due should be flagged with green tabs. When the bill is paid, and the check clears, pull the invoice and file it in the paid file.
If not paid, do the following. Once the due date is is within 5 days, change the tab to blue. After the due date, change the tab to orange. After 10 days more the tab is changed again to red. (You could have bills from more than one month in the same folder if they are past due.)
At some point, collection efforts must begin, but you can determine when to commence dunning your clients...
File all bills and invoices by vendor IF you will have 5 or more per fiscal year from a single client or vendor... Otherwise, file them under MISC by date paid.
Hope that helps....

Answer 2

Are you doing A/P and A/R just for yourself or for other people?

Three ring binders are great! For copies you just punch holes in them and file them behind dividers. You can stick loose items in the inside cover flaps.

I have some of the little drawers you can buy that are about 3 drawers high and you can fit paper documents and bills inside. I keep my personal bills and business bills in drawers like this so they are all together, but seperated.

I keep all my bank records, payroll tax payments, sales tax payment, etc. organized in a yearly three ring binder.

Answer 3

one file for Acc Rec. one for Acc Pay. bingo

Answer 4

Get two different filing cupboards/cabinets, and different colored folders.