Using Facebook ads is a popular way to market your business. Being relatively new to creating paid Facebook ads, I do find that a lot of my time and energy is spent on coming up with the marketing material and then navigating my way around Facebook Ads Manager (Arghh, so many decisions. So much time spent going around in circles).
How you feel when you’ve finally finished creating your Facebook ad campaign!
And then the fee gets deducted from your bank account. If you’re a Xero user, you’ll see the charge come up automatically in your bank feed the next day and know what you’ve been charged and when. So now you need to take care of the bookkeeping side of things as well.
As an Australian business owner we know that we need copies of receipts in order to keep the tax office (and therefore our bookkeeper) happy. We do know that, right? Oh good.
So here are the steps needed to download a receipt for your Facebook ad:
Go to your business Facebook page.
Click on the Ad Centre drop-down arrow on the left side-bar
Click on ALL ADS
Click on the blue ADS MANAGER in centre of screen
Click on 3 Bars under the Home icon
Click on BILLINGS (suggest you bookmark this page for easy access)
Change the date range in the top right corner, to include the date of the receipt that you’re looking for. Click Update
Under the “Action” heading, click on the Download button next to the receipt you want
Save to an appropriate folder in your computer.
Bonus points if you attach the PDF to your transaction within Xero.
OR, alternatively, if you’re more familiar with Business Suite:
Go to your business Facebook page.
Click on BUSINESS SUITE on the left-hand side
Select ALL TOOLS
Hover over the black sidebar to the left to view all the options
Click on MORE TOOLS
Under MANAGE select BILLING (suggest you bookmark this page for easy access)
Change the date range in the top right corner, to include the date of the receipt that you’re looking for. Click Update
Under the “Action” heading, click on the Download button next to the receipt you want
Save to an appropriate folder in your computer.
Bonus points if you attach the PDF to your transaction within Xero.
If you’re unsure whether you’ve provided Facebook with your ABN, look for it in the bottom right-hand corner of your Receipt.
Happy bookkeeping….
Sarina
Festival Bookkeeping are Xero bookkeeping specialists located in Adelaide, South Australia. We have happy clients Australia-wide that are succeeding and growing in business, while we take care of the books.
About the author.
Sarina Abbott is the owner of Festival Bookkeeping. She’s a registered BAS Agent and Xero adviser who has previously worked in the legal and conveyancing industry, as well as for a registered training organisation. She lives in Adelaide, South Australia with her husband and 2 sons.
You can find out more about Festival Bookkeeping here.
You lean over and turn off your computer after a full day of work. You feel relieved that another day is done. Your mind turns to what you’re going to have for tea and whether you’re going to need anything from the supermarket. Then out of the corner of your eye you spot a couple of receipts partly folded and starting to fade that are placed precariously on top of a pile of other papers. Sigh….you still haven’t done your bookkeeping. Another day has gone and you didn’t get around to it like you promised yourself you would. Again.
If you don’t run your own small business, this scenario might seem a little trivial. It’s just entering a few dates, names and numbers, right?
Well I’ve lost track of the number of small business owners that have confided in me how bad they feel about being behind in their bookkeeping and how much it’s affecting their personal life and business life.
This is what I hear a lot:
“My partner is getting frustrated with me because I don’t know my figures” “My tax return is overdue and I’m sure I’m going to get a big fine that I can’t afford” “I’m sure I will need to register for GST soon, but I don’t know what my income is. It’s really worrying me because I know I have to do something about it soon” “My business coach keeps asking for my figures – but I don’t know them”
Now you would think I’m going to tell you that you should outsource to a bookkeeper or buy this new, beaut software. But that’s not what this post is about. This post is to genuinely share methods that small business owners can use themselves, in order to gain the motivation to get their bookkeeping done. These methods are what I use myself when motivation is low, or overwhelm is high. They are not expensive or difficult and I’m sure that if you use even a couple of these methods, you will get your bookkeeping done or at the very least make great progress.
1. Use a timer
This can be an online timer, your watch, or even try an old-school method. Set the timer for a short period of time – 40 minutes is fine. Commit to 40 minutes of bookkeeping only. Smash it out and feel great about the progress you just made. Maybe that’s enough – you’ve achieved what you set out to do. Turn off your computer and forget about it for today. Now maybe the time went quickly for you and you feel you’ve got another 40 minutes in you. You’re on a roll. Go off and step out into the sunshine for 5 minutes or make a cup of coffee to reward yourself. Go back to your computer, set the timer for another 40 minutes and smash out another 40 minutes of bookkeeping.
2. Work somewhere different
If you’ve got a laptop, move it out of the office to the dining room table. Or move it from the dining room table to the bedroom. Personally I would have difficulty working outside, but if that works for you, then go for it. Go to the library (I get phenominal amounts of work done when I work from the library – however it’s usually business development work and not accounting, as I don’t want to risk others accessing my accounting information because I’m using a public internet connection). Go to your parent’s house. Book a once-off day to work from a co-working space. Just change up where you’re working from, because sometimes just the thought of sitting down at that same spot that you’ve already spent hours at can be depressing.
3. Treat yourself
Buy snacks for yourself that you wouldn’t normally buy – specifically for bookkeeping. Treat yourself with something nice, so that sitting down to do your bookkeeping is a positive experience.
4. Do smaller amounts often
Now you might not realise that this is one of the reasons you put off your bookkeeping. But if you’re only logging into your software or opening up your spreadsheet every few months (or even longer), then you’re probably forgetting how to do a lot of it. Decision fatigue is a thing! If you have to keep stopping and deciding what to do next, or are trying to remember how you did something last time, then you’re wearing yourself out without even realising it. By doing it more regularly, everything will stay fresh in your mind.
5. Eat the ugliest frog first
This has been one of my most helpful business mantras since I discovered it about 5 years ago. If I’ve lost you here, check out Brian Tracy. I’m thinking bookkeeping might be your Ugliest Frog. So eat it first!! Practise a bit of tough love on yourself and do your bookkeeping before you do anything else that day. You can even try getting up 40 minutes earlier, for the sole purpose of getting bookkeeping done. The rest of the day will feel SO good for you that the decision to then get up and do the same thing the next day will be even easier. Your day will flow a lot better and you’ll become much more productive in general. You can use this concept for anything in your personal or business life.
6. Listen to music
This seems a bit obvious, but how often do you actually make the effort to put on music while you work at your computer? Or if you are doing your bookkeeping first thing in the morning, have music on while you’re in the shower before you start. Similar to the special snacks you treat yourself with, you will start to look forward to doing your bookkeeping because you’ve made a fun ritual for yourself.
7. Start tracking your monthly income
This doesn’t need to be fancy. Start writing down your total sales each month. Each time you get another month’s bookkeeping done, record somewhere separately what that monthly sales were. Some months it may be less than the month before – that’s okay. You just motivated yourself to kick butt that bit more in the next 4 weeks. Some months it will be more than the month before – congratulations! Something you’re doing is working – the proof is in the numbers. It’s quite addictive once you start tracking your numbers – you will find yourself automatically motivated to get your bookkeeping done.
8. Just turn on the computer
In my early 30’s I used to run a lot. There’s a trick with runners to keep motivation up – they say just to “put on your sneakers”. It really works. Once those runners are on, it’s that much more easier to just step out the door and do your run. Do this trick with your computer. Get up and turn it on! Before you get dressed. Before you make your coffee. Before you check your phone. When I have a particularly overwhelming and large client job to do, this (oh so easy) tip works every time.
9. Positive mindset
I know it’s easy to get into the mindset that bookkeeping is boring. Bookkeeping is pointless. Bookkeeping is hard. Or thinking “numbers aren’t my thing”. Well I challenge that mindset. You’re not going to love everything in business – if it was easy, then everyone would be doing it and doing it successfully, right? Having a positive mindset helps in all areas of your business and personal life. You can choose to keep thinking bookkeeping is horrible – and continue to avoid doing it – and continue to beat yourself up over not doing it. Or you can choose to re-frame your thinking around it.
For example:
I can’t wait to get that 40 minutes of bookkeeping done, because then I’ll be on track to get my tax return done early this year. Gee that’s going to feel good.
I feel like my sales are up this month – I can’t wait to check my income spreadsheet to see if I hit $5,000 in sales finally.
Woo hoo – another month’s bookkeeping done. Time to hit the pub.
Okay – so these might seem a bit corny, but you see what I mean. Your bookkeeping is what you tell yourself it is. You get to choose your attitude.
Why would a bookkeeper share these tips?
I don’t mind sharing these tips with small business owners. There will always be business owners that don’t want to outsource their bookkeeping. There will always a point in time when it makes sense for a small business owner to do their own bookkeeping. When it’s time to outsource – it’s time to outsource. The cons of doing it yourself will outweigh the pros and you will (probably with relief I’m thinking) hand it over to a professional bookkeeper.
In the meantime, I just know there’s a tip or 2 above that you can implement straight away. My wish for you is that you no longer feel bad about being behind in your bookkeeping and get to experience that feeling of relief that comes with being up to date very soon!
Happy bookkeeping….
Sarina
About the author.
Sarina Abbott is the owner of Festival Bookkeeping. She’s a registered BAS Agent and Xero adviser who has previously worked in the legal and conveyancing industry, as well as for registered training organisations. She lives in Adelaide, South Australia with her husband, 2 sons, a dog and a rabbit.
You can find out more about Festival Bookkeeping here.
It’s a great feeling when your trust account is in order and reconciled!
Smokeball is online software, primarily for those working in law and conveyancing. It integrates with Xero accounting software. If you haven’t seen their promotional video with Calista Flockhart, you can check it out here http://www.smokeball.com.au/calista.html. I got a giggle out of it!
If you’re new to Smokeball, here are my 10 tips for reconciling your trust account.
If you’re moving towards a paperless practice, work from an electronic copy of your trust account bank statement instead of printing off a hard copy. If you open your Statement with Adobe Acrobat Reader you can use the Highlight Text tool to highlight discrepancies or use the Sticky Note tool to add notes. For your first few reconciliations you may feel more comfortable working from a hard copy that’s been printed out, and then progress to using electronic copies later.
Once you select RECONCILE you can’t undo that action. So be sure to fix any discrepancies within that date period first if you can.
Anything that is on your bank statement but missing from Smokeball will have to be recorded in the ADJUSTMENTS tab until it has been fixed and can therefore be ticked at a later date.
Make use of the SAVE DRAFT feature – this will enable you to come back and finish reconciling when you’re ready. You’ll be able to pick-up your reconciliation where you left it.
If you have to reverse a transaction to fix a mistake, it will default to the current day’s date and this date can’t be changed or backdated. You won’t be able to reconcile these entries until you complete the reconciliation for that period.
Don’t select RECONCILE until you have a “0” variance in the brackets below the Reconciliation Balance figure on the right-hand side.
Always record the details/reasons for any Reversals or Adjustments. If someone else logged into your software, would they be able to see a complete story of what has occurred and why? You’re aiming for an easy to follow audit-trail of all your clients’ trust monies and any problems that you’ve fixed.
You can go back and print off your Bank Reconciliation reports at any time, regardless of whether you’ve closed off (clicked RECONCILE) or not.
Save electronic copies of all your bank statements and reconciliation reports in one place and in date order so that they’re easy to find.
Reconcile regularly. The more transactions you have, the more often you should be reconciling to keep on top of it. You don’t want to let your reconciling grow into a bookkeeping monster that you’re afraid to face!
For further information on working with trust accounts, you might like to read my post Working with trust accounts
Festival Bookkeeping specialise in helping Australian conveyancing firms with their bookkeeping needs – including trust account reconciling using software such as Smokeball and CATS. You can find out more about us on our website: http://www.festivalbookkeeping.com.au/
It’s important that you don’t let your record-keeping overwhelm you – to the point that it discourages your from buying further investment properties. Be on top of your record-keeping from the start and have a simple system that works for you. A good filing system and a spreadsheet for starters. Online software such as Xero Cashbook are an even better option.
2. The first year is the most complicated
You won’t be able to claim immediate deductions for all your expenses in the first year – some expenses may need to be written off over several years and some may come into play when it comes time to sell. Be sure to keep extra documentation such as your purchase and sale Contracts, conveyancing documents and loan documents. An accountant experienced in preparing Tax Returns for property investors will know the ins-and-outs, but it’s in your best interests to ensure they have access to everything in order to get the best outcome for you.
3. If you can’t substantiate it, you can’t claim it
Make sure you keep invoices, receipts and bank statements for all property expenditure, as well as proof that your property was available for rent, such as rental listings. Purchase a diary to help keep track of key dates and travel.
4. Your record-keeping responsibilities aren’t over once a property is sold
Capital gains tax may apply when you sell your rental property. Keep records over the period you own the property and for five years from the date you sell the property.
5. Protecting your documents
Scan all your receipts and paperwork for safe-keeping and peace of mind. Have you ever pulled out a cash register receipt after 6 months and the writing has already faded? Imagine what it will look like in 5 years’ time.
If it doesn’t (and you’re only human) I’m not suggesting you get rid of it from your life completely. It might be a good time to tidy it up though.
Messy data means inaccurate records. Does this really matter? Well yes, because inaccurate records can mean:
Paying too much income tax
Paying too much GST
Underpaying super for your employees
Missing out on a bank loan
Making bad business decisions because you’re looking at incorrect figures
4 common issues that I come across when working with client’s accounting software are:
1. Doubling-up of expenses
2. Not reconciling bank accounts correctly
3. Old unpaid Bills and Invoices
4. Recording superannuation, GST, PAYG withholding and income tax payments
using the wrong Account code
Here are some examples, using Xero accounting software:
1. Doubling-up of expenses
You receive a bill from a supplier and enter the Bill into your accounting software. You pay the bill at a later date and when it comes through your automatic bank feed you enter it directly from the Bank Feed screen as a Spend Money transaction instead of closing off the Bill. The bill sits there as unpaid in your system with the expense now being recorded twice.
2. Not reconciling bank accounts correctly
You merrily work your way through your Bank Feed – hitting the Green “OK” button and watching those transactions disappear from sight. You get the message “Congratulations. You Reconcile!” But wait – your bank had a glitch a couple of months back and several transactions didn’t feed through. You also deleted some bank statement lines because they were for personal purchases. And you had closed off a couple of bills that you never ended up actually paying. The result is missed income and expenses, doubled-up expenses and incorrect Asset and Liability figures in your Balance Sheet.
3. Not checking for old unpaid Bills and Invoices
Old unpaid bills still sitting in your software can be the result of doubling-up (refer no 1), paying bills from personal funds but forgetting to record them and bills that need to be closed off due to credit notes being issued or contra agreements being made.
Old unpaid Invoices still sitting there might need to be followed up with your customers, or could be mistakes that need to be dealt with, or written off due to non-payment.
4. Recording superannuation, GST, PAYG withholding and income tax using the wrong Account code
These errors are made really easily, especially if you aren’t familiar with double-entry bookkeeping. Knowing when to use Expense type accounts and Liability type accounts in your software can get confusing. There are also special rules regarding how Income Tax payments get recorded in your software.
For me, the 4 abovementioned issues are the ones that crop up the most. They need to be fixed correctly so that financials are accurate.
Sharing some of my favourite (and essential) resources and tools that I use as a small business owner in Australia.
General Business
Australian Taxation Office – information on everything from record-keeping, GST, super, tax, employees and everything in between (recommend subscribing to the Small Business Newsroom)
Return To Work SA – worker’s compensation information including whether you need to register and how to go about paying and lodging
Business.gov.au – information, links and guides on starting a business, running a business or exiting a business
ABN Lookup – to check if other businesses you are dealing with have an ABN and if they’re registered for GST
Grant Assist – information on grants available to South Australian small business owners
Workshops and Events
Eventbrite – Find workshops and networking events in your local area
Inspiration
Small Business Secrets – TV show on SBS. Interviews with various types of business owners around Australia.
(Confession: I’ve spent way too many hours on a quiet Sunday morning up
binge-watching recordings of this under a rug with a cup of coffee before anyone else
gets up. It’s an inspiring start to the day but then I find it hard to snap out of business
mode for the rest of the day…watch at your own risk).
“We started Xero to change the game for small business. Xero is now one of the fastest growing Software as a Service companies globally. We lead the New Zealand, Australian, and United Kingdom cloud accounting markets, employing a world-class team of more than 1,400 people in 20 offices worldwide. Our beautiful cloud-based accounting software connects people with the right numbers anytime, anywhere, on any device.” ReceiptBank – popular record-keeping automation software that can be integrated with your accounting software
“Receipt Bank helps small to medium-sized businesses, sole traders, and individuals save valuable hours by pulling information from receipts and invoices quickly, accurately, and efficiently.”
I’m always on the lookout for ways small business owners can increase their profits or remove stress. It doesn’t have to be ground-breaking – big or small it all adds up. As Gary Vaynerchuk says “1 is greater than 0”. I love that saying by the way…. when you feel like what you’re doing isn’t enough or your business isn’t where you want it to be, it gives you reassurance to keep going.
So here are my 3 money tips for salon owners.
Gift certificates
Do you track the gift certificates you give out? Not tracking them leaves you open to fraud. Tracking them gives you an opportunity to help your clients out if they lose a voucher – you can easily confirm the date, amount and client name.
You can manually track them by giving each one a unique number and noting the number and details in a notebook or spreadsheet. Even better, track them in your salon software. Using your software makes it easy to find valuable information – such as which services are most commonly purchased using gift vouchers.
Discounts
If you give discounts, do you know how much they’re costing your salon? Do you have guidelines for yourself and your staff as to how much is acceptable or is it dependant on how generous you’re feeling that day? You might think you’re only missing out on a couple of hundred dollars a year, but in reality it could be a lot more. If you do your usual amazing job with these clients, do you think they would mind if you stopped giving discounts? Start keeping track for a set period of time – say 3 months. Times this figure by 4 to see how much you could be out of pocket over the course of a year. Could this money be better spent on marketing to bring new clients in the door or on training a staff member up in a new service offering?
Online bookings
Let clients make their own bookings using online scheduling software, so that you and your staff spend less time running back and forth to the phone. A common way to manage online bookings is to have your calendar linked to a booking button on your website or business Facebook page. I interviewed salon owner Silvana of Silvana’s Beauty Salon recently – she uses Timely appointment scheduling software. Using this software for her online bookings has resulted in an increase in business. It’s a win-win situation for both her and her clients. Businesses that aren’t embracing automation risk being left behind and are missing out on opportunities to save time and money. You can read the interview here: Timely Software – A Salon Owner’s Perspective
One of my favourite business books is called The Naked Salon by Lisa Conway. Salon owners – if you have a chance to get your hands on a copy, you won’t regret it – whether you’re just starting out or have been in business for years.
For more information on Timely online appointment scheduling software, you can find their website here. The website also has a great blog with salon owner interviews, tips and industry news.
With only a week to go until Christmas many small business owners are desperately trying to keep everything together and make it through this busy time of year. It’s not just running a business, it’s also end of school functions, sport functions, work functions, organising pets and holidays, organising food and getting the present shopping done.
If you have employees then you can also throw payroll issues into the mix as well. The Christmas period brings with it a few extra challenges to face as an employer, so I’ve prepared these 5 tips to help you through so you’ve still got some wind left in your sails to enjoy the silly season. These tips apply to Australian readers, but will give other readers some ideas as to what they need to look out for as well.
1. Christmas bonuses and super
Bonuses are considered Ordinary Time Earnings (OTE) and must therefore be included in your calculation of the super guarantee for your employees. More info on bonuses here.
2. Asking employees to take Annual leave
This is really interesting and can be a bit of a touchy topic for employers and employees. When I was an employed bookkeeper I was asked to use up some of my annual leave – not just over the Christmas break but when I had a bit accumulated during the year. An employer can only direct an employee to use up their annual leave in some situations. There is often an amount of notice you must give your employees as well. You need to check the relevant Award or Registered Agreement to see under what circumstances you’re allowed to direct your staff to take annual leave.
2. Rest breaks
Many businesses are busy this time of year, however there is a maximum amount of hours you can make your employees work without a break. Check the Award or registered agreement that your employees come under. For example, the Clerks Private Sector Award 2010 stipulates (at the time of writing) that employees who work for 5 hours or more must get at least 1 meal break. More info on Awards and break entitlements here.
4. Casual vs part-time vs fixed term
There are differences between casual employees, part-time employees and fixed term employees – and yes, the onus is on the employer to ensure they have categorised the employee correctly and have given them the appropriate entitlements. You may hire someone on a casual basis over the Christmas break but the actual working conditions may change over time and their entitlements should be reviewed accordingly.
5. Christmas parties
Ahhh … Christmas parties. What to claim and what not to claim? There are rules around when you can claim a tax deduction, when you can claim GST credits and what you need to pay fringe benefits tax on. First you need to determine if the food and drink you’re providing is considered “entertainment” in the eyes of the ATO. You need to look at why the food and drink is being provided, what type, when it’s being provided and where (on or off business premises). You can find the ATO’s rules regarding providing entertainment and the associated taxes here. There are some helpful scenarios that walk you through the process of deciding what to claim.
Continuing on from my post “Cliniko + Xero”, I wanted to share some more thoughts on scheduling software. In particular, scheduling software that integrates with Xero.
I found that once I started looking into these types of software solutions it was like a vortex dragging me in deeper and deeper. So many options – all offering slightly different features and aimed at slightly different target markets. It took all my willpower not to drown in the sea of information and to remain focused!
So after extensive research, I came up with 5 software solutions that all have something to offer the small business owner looking for scheduling software. Some are more suited to the health and well-being industry, some are aimed at the hair and beauty industry and some are general in nature and could suit consultants or personal trainers. They’re all hosted in the cloud, so no need to mess around installing software. Being hosted in the cloud also means you can access them from mobile devices. They all offer the ability for the business’ clients to book appointments for themselves online.
Once you outgrow booking in client appointments with paper and a pen, these types of software solutions are a huge asset to the busy business owner. They offer so much more than appointment scheduling and are complete practice management systems.
I’m only covering the basics here. This list doesn’t cover everything that you’d want to know before making a decision to commit to one solution over another. It will give you an idea of some of the differences, though, and an idea of cost. Prices are in Australian dollars and include GST (as at the date of writing).
My research has uncovered many more variables between each of the products listed. Each of your businesses is unique and has its own needs – I would recommend you delve deeper than this table and look beyond the “features” listing on the respective software websites. Alternatively, invest in the services of a Xero adviser who can do the research for you. It will save you a lot of time and they will also be well placed to assist you with your Xero integration if needed.
Looking forward to sharing more of my findings – there are some great small business solutions out there that integrate with Xero.
You don’t have to spend hours learning something new in order to make the most of technology. In this video I’m sharing 10 really easy ways that you can take advantage of technology (with the minimum of time investment). These tips will reduce hours spent on admin and take your professionalism up a notch.
The savvy bookkeeping blog 