Proper accounting records help a business person to know the company’s cash flow trends. Bookkeeping provides records for income, taxes, payments, debts, petty cash, and company management costs. It is not always easy to keep a seamless accounting record due to the volume of paperwork involved.
- 1 Bookkeeping Templates
- 2 What are accounting worksheets templates?
- 3 Excel Accounting Templates
- 4 Examples of accounting worksheets templates
- 5 Why proper bookkeeping is important to a company?
- 6 Accounting Spreadsheet Templates
- 7 How do I make a bookkeeping spreadsheet?
- 8 Accounting Worksheets Templates
- 9 How an accounting spreadsheet template benefits a company?
An accounting spreadsheet template provides the best option for the business person to easily keep proper accounting records. The template is downloaded online, and the business owner can customize it to fit into every accounting need of their business.
What are accounting worksheets templates?
There are different types of accounting worksheet templates available online. They are pre-built accounting documents that a business owner can download and use in an instant. The sheets are customizable according to business needs. The expert designers of the accounting spreadsheet template pre-populate it with a wide range of information. The user simply fills in information in the blank spaces to create detailed accounting data.
Excel Accounting Templates
Examples of accounting worksheets templates
You can find any type of accounting worksheets templates online and customize them as you wish. They make accounting work easier because they are pre-built with various editable fields. You can use general ledger templates, invoice templates, statement of account templates, and many more. Here are several examples of accounting worksheets templates that you can find online.
- Cash flow accounting spreadsheet template
A cash flow accounting spreadsheet template provides business owners with detailed information about the business cash flow within a given period. When the owner wants to scale up their business, the cash flow accounting spreadsheet template becomes very important. It helps them to know if the business cash flow will be sustainable or not. In such a scenario, the business person requires to prepare a cash flow statement for the past year or more.
- Income statement Excel accounting template
An income statement Excel accounting template is a pre-created sheet that helps business people to record a summary of the company’s entire income over a given period. For example, the business person may want to know an income summary for the past six months.
The summary will show the expenditure during that time, sales, and net sales. A company’s income statement is often referred to as a profit and loss statement. You can download a wide range of income statement excel accounting templates online and customize them to meet your company’s needs.
- Managerial accounting spreadsheet template
A managerial accounting spreadsheet template is like a financial accounting spreadsheet template. The main difference is that it keeps focusing on monthly expenditures. Every month, the company management needs to provide a budget to sustain the company throughout the month.
The salaries department needs to prepare salaries. The marketing department needs money for marketing. Company vehicles must be fueled, and so on. Before the management prepares a new budget, they have to account for the past month’s allocation.
- Balance sheet template
Balance sheets are the main types of accounting spreadsheets. They provide accounting details for all business assets and liabilities. They are important in providing a company’s book value by listing all assets, equity, and liabilities over a given period. Balance sheets mostly account for annual company accounting.
- Accounts payable template
The accounts payable template provides details of the money that the company is obligated to pay its suppliers. In other words, it is the debt the company owes other companies and individuals. Accounts payables can either be short-term or long-term. In the balance sheet, they show as account payable in their specific column. An accounts payable template details the names of suppliers and the amount owed to each.
Why proper bookkeeping is important to a company?
Keeping proper accounting records benefits your business in different ways.
- Avoid getting late for tax submissions
Every year, companies are required to submit their tax reports to the company. The report shows the profit and loss account of the company. If the company makes a profit, the government should get a share of the profit as taxes. If the company makes losses, it can get a waiver if the law allows it.
Whether a business made a loss or profit, the law requires it to submit the report before the annual tax submission deadlines. If the business person fails to submit according to law, it will attract a heavy penalty once the deadline passes.
- It is important for accounting purposes
There will always be an expenditure in any business but without proper bookkeeping records, it is hard to tell where the money is going. One department could be spending too much money compared to another department. The business could be spending too much money on paying salaries and allowances, which can affect its operations.
The business person needs to keep track of expenditure. This way, they can tell what money was spent in what department. If one department is spending more, measures can be taken to mitigate the expenditure. The business person can know if the company is making profits or losses.
- Managing growth of the business
It’s not possible to grow a business without attractive financial records. If the records are good, the bankers can agree to loan the business to boost growth and development. Managers can create concrete growth plans when they are certain there is enough money to support the plans.
- To make information available
Proper business records help the employer to retrieve the latest information anytime they want. Accurate bookkeeping provides real-time information about what the business requires at the moment. The employer gets the advantage of readily available records, which can be a good gesture to investors and financiers.
- The business stays organized
Proper bookkeeping helps the company to keep organized financial records. It is easier to retrieve records for the past one week, month, four months, six months, and one year. Both the accounting department and the employer keeps the latest information at their fingertips.
- The employer avoids penalties and interests
The business owner could be managing loans that attract more interest and penalties if they are late to make payments. When a business is dealing with so many transactions, it is easy for some obligations to be overlooked or delayed. That means the business will continue to be penalized every month. This challenge can be avoided if the business owner learns to keep proper bookkeeping records.
Accounting Spreadsheet Templates
How do I make a bookkeeping spreadsheet?
The best way to manage your business accounts is to create an accounting spreadsheet template. It will help you enter information and do all the calculations based on it. You can use the spreadsheet to change currencies, dates, numbers, decimals, and fractions.
Whenever you need to do calculations, all that you need is to multiply, add, subtract, or divide as necessary. Create formulas so that as you add data, the totals will update automatically. Although the details in a spreadsheet may vary between businesses, most of them have similar elements. Follow these steps to make a bookkeeping spreadsheet.
Download an excel accounting template
Start by downloading an excel accounting template. Instead of creating from scratch, it is easier to download a customizable excel accounting template. Its advantage is that the fields are already created and all that you need to do is to fill in the information or edit it to fit your needs.
Choose your best accounting method
Companies use two main accounting methods, namely the accrual and the cash accounting methods. The main difference between them appears when recording your business expenses versus revenue. With accrual, they are recorded after they are earned. In cash accounting, all expenses and revenue are recorded after receiving or paying them. Both methods will work for your business and you can be able to use them comfortably on the excel accounting template.
Develop your chart of accounts
The chart of accounts in your accounting spreadsheet template records all lists of your company’s financial activities. It is important to list all the financial activities in your bookkeeping spreadsheet. It helps you to track your income and expenditure effectively. Each list acts as an accounting category.
Under each category is where you will be recording your financial activities/transactions, which will be updated according to the formulas you have created. Although your accounting spreadsheet template is already listed with different fields, there is no harm if you tweak it to fit your needs. Number each account type list for ease of identification. Ensure you keep the numbers constant throughout your spreadsheet. Include all fields such as:
- Petty cash
- Cost of goods production
- Cost of goods sold etc.
Develop your income and expenditure spreadsheet
When developing your income and expenditure spreadsheet, you didn’t have to create a new sheet. There is no harm if you decide to create a new spreadsheet. However, you can add another tab on the same sheet. The income and expenditure spreadsheet is necessary if you want to achieve a consistent bookkeeping culture.
The records should be entered into the spreadsheet immediately after the transactional receipts come in and the receipts are filed. These two documents are crucial when the time for auditing and tax filing comes. Traditionally, receipts were in paper form only but today, companies get both electronic and paper receipts.
The employer should have a filing system for both types of receipts. Electronic records can be safer compared to paper records. To improve the security of your records filing, you may want to take photos of your paper receipts and store them in your electronic files. The best idea is to create a filing system that works best for your company.
Develop your optional bookkeeping reports
You can tweak the excel accounting template in many ways as accounting needs increase in your company. You may decide to develop the excel accounting template to create bookkeeping reports. The reports help you keep your company’s financial health in check. Here are bookkeeping report options that you can consider.
Balance sheet: A balance sheet gives you an overview of your business assets, liabilities, and equity in a given period. The period length can either be a month, quarterly, semi-annual, or annual.
Income statement sheet: Another name for an income statement sheet is a profit and loss sheet. It records the profits made by your company over a given period. It provides details of different business aspects so that you can know which one is most or least profitable.
Cash flow statement spreadsheet: A cash flow statement spreadsheet records the amount of cash flowing into your business over a given period. The statement contains records of real cash received from paid transactions.
Accounting Worksheets Templates
How an accounting spreadsheet template benefits a company?
Whether you want to create an accounts payable spreadsheet or other types of bookkeeping sheets, the accounting spreadsheet template provides businesses with several advantages.
- No skills required. An excel accounting template is pre-made. Most of its fields come already created and all that you need is to insert information according to the fields created. If you want to edit some fields and insert your information, it is easy to do so. With the accounting spreadsheet template, even workers who have never trained as accountants can use them.
- It saves costs. You don’t need to keep downloading a new accounting spreadsheet template every time you want to update your fields or add new information. After downloading it the first time, you can start adding new data daily and it will keep updating the totals automatically based on the formulas you have created. It saves a lot of costs for your business.
- It has multiple functions. You don’t have to struggle to create new functions in your accounting spreadsheet template. You can easily use it for additions, multiplications, and divisions, insert formulas, use macros, etc.
- You can use it to create different presentations. The accounting spreadsheet template can be used to create different graphical presentations, such as pie charts, tables, bars, etc., to present your company’s performance from different angles.
- It can be shared. The accounting spreadsheet template can be shared by different workers in your accounting department. One staff member can use it to edit information, and another one can use it to enter new data, while another can use it to view the information and create reports.
There are more advantages of using an accounting spreadsheet template. They are useful to every company that doesn’t want to undergo the expense of hiring skilled accountants. It will help with maintaining proper bookkeeping practices to avoid tax penalties or operating under losses.