Hints & Tips
To keep good control of your financial record keeping, get into these good habits:
| What you need to do | When you need to do it |
|---|---|
| Record sales in the sales ledger | As soon as you make out the invoice |
| Record payments received in the sales ledger | As soon as you get them |
| Record purchases in the purchase ledger | As soon as you receive a bill or, better still, when you place an order |
| Record payments made in the purchase ledger | As you write out your cheques |
| Reconcile the sales and purchase ledgers | Every month |
| Chase all outstanding payments | As soon as they are overdue |
| Check your cash book against your bank statements and your sales and purchase ledgers against your cash book | Every time you receive a bank statement |