The idea of accounting and high finance stops the experienced and novice therapist alike. After all, we are “people persons” rather than formula folks. Time to change all that and jump in with a few office supplies and a couple of business categories. Do you want easy bookkeeping for your therapy practice? You can upgrade to a computerized system when your practice is in double digit clients.
Get some File Folders with pockets, a three ring binder (with A-Z tabs), and a package of basic bookkeeping sheets. Label one folder “Income” and the other “Expenses”. Designate one sheet for each client with first name, last initial. Punch some holes, and place your folders and sheets in your binder.
Save all of your receipts in the Expense folder and reconcile weekly during your Business Meeting Hour. Don’t forget any credit card statements or on-line purchase receipts.
Capture checks and cash in your Income folder and all Credit Card reports from a monthly generated report printed from an on line down-load. We like Square for ease of use and clear, concise reports.
Use your individual client forms to capture date of service, amount paid, balance and check number or credit card verification.
Give out receipts on a super bill–one that’s made especially for you or one you have downloaded from the internet.
Finally, have one bookkeeping sheet labeled Total Income and Expenses. Position it so it’s the very first sheet you see when you open your bookkeeping binder. Each Month, report your Income and your Expenses to give you an up-to-date picture of your financial reality.
Congratulations! You have created a simple yet effective bookkeeping system. You have everything you need to report to the IRS and to keep track of your hard-earned money. Read on if your are feeling confident enough to take it online….and find out how to take your bookkeeping and accounting systems. online.