How To Close Out The Year

As if there isn’t enough to do in December, it’s time to organize for closing out the year (and maybe to start planning for the next year!). Some things to consider:

  • Does anyone owe you money? If you have long overdue accounts receivable, this is a good time to follow up on it, and to make agreements for payment. You may also consider writing off anything that you don’t think you’ll collect as bad debt.

  • Do you have appropriate documentation in place for all of your contractors? You’ll want to make sure you’ve collected a W9 form, and that you have a good record of what you’ve paid them over the course of the year. If it’s more than $600, you’ll need to send them a 1099 in January.

  • Plan to do a count of your inventory and fixed assets. You’ll want to reconcile what you actually physically have against what you have on your books to close out 2016.

  • Consider doing an annual performance review with your employees. These can be done at anytime, but for many of us, it makes sense to think back over the past twelve months, discuss what’s been accomplished, and set some goals for 2017!

  • Do something fun! This is a stressful time for lots of people, which also makes it a great time for a potluck, gift exchange, or excursion -- anything that shows your employees, vendors, and customers your appreciation for their hard work and support of your business.

Need help with any of these items? Email us at with questions.