Let's be honest, bookkeeping isn't the reason you started your business. But keeping your books up to date is what keeps your business alive and thriving. The good news? You don't need to be a finance nerd to stay on top of it, you just need a solid monthly routine.
Think of this as business self-care: a quick check-in that keeps things calm, compliant, and cash-flow positive.
Why a Monthly Bookkeeping Routine Matters
When you review your books monthly, you:
- Catch issues early - before they snowball into ATO headaches.
- Stay BAS-ready - no more panic at lodgement time.
- Understand your profits - and where the money actually went.
- Make better decisions - based on real numbers, not gut feelings.
A little consistency goes a long way - 30 minutes now can save hours later, and if you don't feel you have 30 minutes a month you really need to outsource something… could be the bookkeeping 😛
Your Simple Monthly Bookkeeping Checklist
Here's what to tick off each month to stay organised and stress-free:
1. Bank Reconciliation
Match your bank, PayPal, and credit card transactions with your accounting software.
👉 This ensures every dollar coming in and going out is recorded properly.
Pro tip: Automate it with bank feeds to make it painless. Include all your bank accounts - it's easier to exclude drawings on your secret account than to go looking at BAS time.
2. Payroll Reconciliation
Check that your payroll matches what's reported to the ATO through STP.
Confirm super, PAYG, and leave balances are correct.
Pro tip: Reconcile before you finalise each pay cycle - errors compound quickly. Oh, and check the "Wages Payable" account, it needs to be 0.00 at some point… trust me.
3. Review Your Invoices and Bills
- Follow up on overdue invoices (cash flow loves you for it).
- Record and pay any outstanding supplier bills.
- Store receipts digitally for GST and tax proof. Most Australian software has free tools for this - start using them and stop storing paper copies.
4. GST & BAS Preparation
Check that all transactions are coded correctly with GST.
Run your BAS report and review your figures for accuracy.
If you're not sure, send it to your BAS Agent for review. And make sure your bookkeeper is registered - getting advice from a non-agent is like seeking medical advice through Google.
5. Profit & Loss Review
Take five minutes to look at your monthly P&L. Ask yourself:
- Did I make a profit this month?
- What changed from last month?
- Am I spending more than I planned?
This is your monthly reality check - numbers don't lie, and they help guide smarter business decisions. Some accounting software can even email your report automatically - a simple reminder that helps keep you on track.
Treat It Like Self-Care for Your Business
Your books tell the story of your business health, just like a regular check-up tells you how your body's going.
A clear bookkeeping routine means:
- Less stress at tax or BAS time
- More confidence in your numbers
- Better control over cash flow
So pop it in your calendar, grab a coffee, and make it part of your monthly rhythm. Your future self will thank you.
Bonus Tip: Make It Easier
Use a checklist app or calendar reminder. Or better yet, work with a bookkeeper who keeps you on track and handles the heavy lifting so you can focus on what you do best. I personally do as little or as much as my clients require, but they all get a Profit and Loss at least every quarter - I hope they’re reading it!
