A tax accountants guide to organising your finances

It’s the beginning of the year, or quarter, or month and you have promised yourself (yet again) that you will set some time aside to organise your finances.

Samip Katuwal - Business Manager at MJWebs

Samip Katuwal

Jan 14, 2021

It’s the beginning of the year, or quarter, or month and you have promised yourself (yet again) that you will set some time aside to organise your finances. Unlike all those other times, you are actually going to do it this time, but you don’t know where to start, or even how to get your finances organised. Everyone has been in your shoes at some point in their lives. Managing your finances isn’t as easy a task as it seems, however, if it is done properly, it can be the single most powerful and effective tool in achieving your financial goals. At SNS Accounting and Business Services, we can help you do just that. We have prepared a step by step guide to help you get started. Please note this guide is for a personal finances, and not business finances.

Don’t just think about it, don’t just plan it; schedule it.

“I’ll do it tomorrow” is the procrastinators favourite tool, but you’re not a procrastinator, are you? You are serious about your finances and your financial goals. ‘Tomorrow’ is the day that never comes, so the first thing you need to do is look at your schedule and book in a 1 hour time block with yourself to get organised. Once you’ve booked it in, make sure you stick with it.

Choose and Financial home

What we mean by this is you need to have one place where all your documents, receipts, budget, bills etc. are kept. This will ensure that you always have all the documents you need on hand, and that you always know where to find them. This could look like a filing tray on your work desk and/or a specific folder in your google drive or email account. When your bills arrive, or when you come home with receipts and any other financial documents, immediately file them in their financial home.

Keep yourself Accountable

Keep in mind that organising your finances is only the beginning of your journey to achieve your financial goals. Being consistent with your accounting and financial obligations is where most people fail. So, with that in mind, when you schedule your one-hour time block, you also need to schedule in at least one 15 minute time block a week to keep yourself accountable. Book it in your calendar so you can annoy yourself with enough notifications that you will actually do it. Name these 15 minute blocks something exciting like “15 minutes for Financial Success” which will motivate you enough to actually do it. Use this time to review your spending, budget for the week, pay your bills, and track your expenses and net worth. The first few times may be longer than 15 minutes, but if you stick with it, they will become quicker and easier. If you don’t stay consistent, the bookkeeping, accounting and paperwork can stack up and leave you overwhelmed.

Pay yourself first

What we mean by this is, make sure you are setting aside a portion of your income for your future wealth. This is an important step in organising your finances and should be seen as separate from any emergency savings, or savings for other expenses or items. Paying yourself will allow you to invest and grow your wealth for the long term. When you pay yourself first, you are valuing yourself and your current financial goals, so that you can help set up your future self.

Get a professional on your team

It is so important to have a team around you to help you achieve your financial goals, including advisors and accountants. At SNS Accounting and Business Services, we are not simply accountants and business advisors. We are your personal go-to for all things finances and business. We are a partner in your business and personal finances, and we get a kick out of helping you achieve your financial goals.