It is hard to believe that year-end is fast approaching and 2011 is staring us in the face. Some of you have probably thought about it for a second, others might not even be fazed by it. If you are a small business owner, it is an important time to see where you are at financially for a number of reasons. Take the time to make sure you have your books up to date, make sure you are not missing any valuable deductions. It is also a great time to see how you are going to end the year versus how you forecasted for 2010. Have you achieved all you thought you would or did you fall short? What were the reasons why you might not have ended the year how you thought? What can you do a little differently for next year's planning? I have said it before in previous posts, it is most essential for small business owners to write things down. It holds you accountable, especially at year end to see where your short falls were and more positive, all the you accomplished.
Other tips:
Increase your expenses by purchasing those items you will be need to buy in the immediate future to maximize the deductions for this year. It might be a good idea to stock up on supplies OR pay bills before year end such as cell phone bills, utilities, or rent.
It might be a good time to contribute to a Retirement plan or if you do not have one yet, set one up. You need to be certain to check the contribution limits for the type of plan you.
Of course all these tips will apply differently to each business owner's situation
Take the time to review the best strategy with a professional advisor and make the most of the year-end tax planning for your small business.
