Goodbye 2020, how do you finalize this year as an entrepreneur?

We’re in the last month of an eventful year. Time to set things straight and make a fresh fiscal start with 2021. So, make sure you tick off this checklist.

1. Collect all your sent invoices. Check the invoice numbers: if there are numbers missing, then there probably are invoices missing as well. If the missing numbers never existed, make sure you can explain why;

2. Make sure all your expenses are in order and you have your receipts and invoices ready. Without a receipt (or a bank transfer) it’s hard to determine if the expense was really made;

3. Have you entered all recurring monthly costs like phone or internet costs? Also don’t forget to calculate a percentage for private use;

4. Make sure you don’t forget other direct debits of which you don’t receive an invoice, such as bank charges or your office rent. Check them and enter the costs. You can also add a copy of your rental contract;

5. Add the kilometres you travelled for your company. You can do so by making a receipt on the last day of the year. Multiply the kilometres by 19 cents. For the VAT-rate, choose: non;

6. Always check your big expenses, like a computer, photo camera, bike or airplane tickets. You wouldn’t want to forget those;

7. The end of the year is also the right moment to check if you need to make investments. If you invested more than 2.400 euros excluding VAT, you can make use of an extra tax deduction: the KIA. So, if you’re right below that limit it can be beneficial to make an extra investment before the end of the year instead of in the new year;

8. If you made use of the NOW to cover personnel expenses due to the impact of the corona virus, then you need to include this in your administration;

9. If you received a TOZO-allowance, it’s also considered as income. You will receive an annual statement from your municipality at the beginning of 2021;

10. Did you or another bookkeeper (than us) complete the previous year? Then add your financial statements of 2019.