Bookkeeping Checklist for Edmonton Small Businesses

Monthly Tasks

Monthly bookkeeping keeps your records current and catches errors early. The core tasks are bank and credit card reconciliation, recording all transactions, and reviewing accounts payable and receivable. Ahmed offers monthly bookkeeping packages with fixed-fee pricing for Edmonton and Alberta businesses.

• Bank reconciliation: Match every transaction in your accounting software to bank statements.
• Credit card reconciliation: Reconcile business credit card transactions and categorize expenses.
• Record transactions: Enter or categorize all income and expenses in QuickBooks.
• Review AP/AR: Check who owes you and what you owe. Follow up on overdue accounts.
• Payroll remittance: Remit CPP, EI, and income tax deductions by the due date.

Quarterly Tasks

Quarterly tasks include GST/HST filing (if on quarterly frequency), reviewing financial statements, and assessing quarterly tax installments. These check-ins ensure your business stays on track and avoids year-end surprises.

• GST/HST filing: File and remit GST/HST return if on quarterly filing frequency.
• Financial statement review: Review P&L and balance sheet for accuracy and trends.
• Tax installment review: Assess whether corporate installment payments are on track.
• Budget vs actual: Compare quarterly results to budget and adjust projections.

Annual Year-End Tasks

Year-end bookkeeping produces the financial statements and supporting schedules that feed into your T2 and T1 tax returns. This includes finalizing reconciliations, adjusting entries, preparing the year-end package, and ensuring all documentation is organized for tax preparation.

• Final reconciliation: Reconcile all accounts for the full fiscal year. No exceptions.
• Adjusting entries: Record depreciation, accruals, and any corrections.
• Year-end package: Reconciled statements, trial balance, GST summary, payroll summary.
• T4 preparation: Prepare T4 slips and T4 summary by February 28 deadline.
• Document organization: Organize all receipts and invoices for tax preparation and potential audit.

Bank Reconciliation Steps

Bank reconciliation compares your accounting records to your bank statements to ensure every transaction is accounted for. CRA expects reconciled books during an audit. Unreconciled accounts are a red flag. Follow these steps monthly.

• Step 1: Download or access your bank and credit card statements for the period.
• Step 2: Match each transaction in QuickBooks to the corresponding bank statement entry.
• Step 3: Investigate any discrepancies: missing entries, duplicate charges, or errors.
• Step 4: Record bank fees, interest, and any auto-transactions not yet entered.
• Step 5: Confirm the ending balance in QuickBooks matches the bank statement exactly.

Receipt Management

Every expense claim needs a receipt. Bank statements alone aren't sufficient for CRA. Digitize receipts using QuickBooks or a receipt scanning app. CRA requires records be kept for 6 years from the end of the tax year they relate to.

• Digital receipts: Scan or photograph receipts and attach to transactions in QuickBooks.
• 6-year retention: CRA requires records kept for 6 years from the end of the relevant tax year.
• Receipt details: Each receipt must show date, amount, vendor, and business purpose.
• Mileage log: Vehicle expenses require a detailed mileage log. CRA will ask for it.

CRA-Audit-Ready Record Requirements

As a former tax auditor, Ahmed knows exactly what records CRA expects. Audit-ready books have reconciled accounts, organized receipts, supporting documentation for every expense, and clear categorization. If CRA requests records, you should be able to produce them within the response deadline.

• Reconciled accounts: Every bank and credit card account reconciled monthly.
• Supporting documentation: Receipts and invoices for every expense claim.
• Clear categorization: Expenses categorized consistently. No personal expenses mixed in.
• Mileage logs: Detailed vehicle logs with date, purpose, and kilometers for each trip.
• Response readiness: Records organized to produce within CRA's response deadline.

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