Greetings to all,
just wanted to pick your brains as to what tools you have founds to be most efficient & not too time consuming to use to keep track of records, so that when it comes to tax time you are well and truly ready.Having multiple investment properties myself I have found this to get a little out of hand when it comes to the end of the FY, it practicaly takes me till the end of the next FY before I get my act together, its a constant catch up. I’ve tried using a combination of spreadsheets, Quicken & MS Money by just downloading my transactions from my bank/lender & importing into the application/file where I generate reports for my accountant. Anyone have any better ideas ?
[blink]I use a very simple, no frills, free excel spreadsheet I developed for each property.
In my opinion the simpler the system the better but the critical details is regular data entry and information management.
I get a little anal with paperwork and will make data entries as the income or invoice statement crosses my desk. Each paper reference is then filed immediately into the appropriate lever arch file.
At tax time I gather the appropriate file (a central accounts one) and print off the spreadsheets and toodle off to my accountant.
I find if I stay on top of the paperwork it is not a hassle.
Derek
[email protected]
http://www.pis.theinvestorsclub.com.au
0409 882 958
Skype – derekjones2113Same here…..
Hi All,
Each of my property managers email me an end of year schedule of all income and expendture relating to my properties and I just file my bank statements as they arrive.
My accountant emails me a spreadsheet at the end of the financial year and I take about 1hour to fill it then I email it back to him.
He gets back to me if there are any problems or to suggest anything that I may need to bring for our face to face appointment.
Finished !! [biggrin]
Todd Burns
http://www.freepropertyhelp.com.auI just use a simple Spreadsheet…
At about the 10th day of the month I do my last month end. Takes about 1 hour to download all transactions and cross check all statements and bills. Its also when I query my agents regarding repairs, tenant issues, etc.
I use the end of year statements from the agents as a reconciliation process, however I take my monthly updates as the master.
Oh, if you have multiple properties its just as important to correctly structure your bank accounts to make it easier to manage. eg Have a separate account and card for all investments so that every transaction is clearly tax deductible in some way.
OH Njivs, thanks for bringing up this topic now- before it gets too close to the 1st of July! [blush2]
It’s a good reminder to do something about my ever-growing piles of papers around the house (and the few that have fallen behind the desk) that are waiting to be *neatly* filed [buz2]
Derek makes it sound so easy- just a matter of getting organised!
I was so good at the beginning- hehe where did I go wrong?[rolleyesanim]
So thanks, I’ll be all organised well in time this year [biggrin]Celivia
I also use an excel spreadsheet. I have composed it from the previous years tax return from the accountant. You know, the long version they print out for you to check all the entrees before you sign as correct and they lodge it for you.
On this speadsheet, I have put in all the formulas and tax rates with provision for cgt if I have sold anything. I have all the depreciation tables in there and each IP has its own income/expenses section.
The next year, I copy the speadsheet to a new annual file and update the depreciation amounts. During the year, I enter in the rents/expenses usually every month. I keep all statements/receipts in a couple of binders with sections for each ip.
The rents I enter, I also put in the dates of rent paid from/to and add in when I want rents increased or tenancies renewed. Then I can see immediately if anyone is getting behind in rent usually before the pm does.
Because I leave in last years wages/rents expenses until the new info comes to hand and I change it, at any time I can scroll down to the bottom and see how much tax I will have to pay at the end of the financial year. [biggrin]If you want to get out of a hole, first stop digging.
You must be logged in to reply to this topic. If you don't have an account, you can register here.
