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Bookkeeping For Dummies, 2nd Australian & New Zealand Edition

Book Description

The bestselling guide to stress-free bookkeeping

Do you want to save time, money, and a few grey hairs by establishing efficient bookkeeping practices? You've come to the right place! Bookkeeping For Dummies, Second Australian & New Zealand Edition, shows small business owners and bookkeepers how to record day-to-day transactions, understand GST, generate Profit & Loss reports, and so much more. Inside, you'll get to grips with bookkeeping basics, discover how to record business transactions correctly, use the latest accounting software, and find out how to manage employee payroll. You'll also get advice on allocating tricky transactions correctly.

The new edition of this bestselling guide has been fully updated to include cloud accounting software, bank feeds, and automated reconciliations. You can find out about changes to BAS Agent legislation, and the latest in payroll and tax reporting obligations. New chapters include how to start your own independent bookkeeping practice, and a practical explanation of the bookkeeper's professional 'code of conduct.'

  • Covers cloud accounting and recent changes in the accounting software landscape

  • Includes information and resources specific to Australia and New Zealand

  • Contains a Foreword written by Matthew Addison, Executive Director of the Institute of Certified Bookkeepers

  • Provides lots of helpful information and tips for students studying Certificate IV in Bookkeeping or Financial Services.

  • Do you know your assets from your equity? Or are you confused about depreciation? Whether you're a small business owner who is new to bookkeeping or a seasoned bookkeeping professional who wants to learn more about creating complex financial reports, Bookkeeping For Dummies sets you up for success.

    Table of Contents

      1. About This Book
      2. Foolish Assumptions
      3. Icons Used in This Book
      4. Beyond the Book
      5. Where to Go from Here
        1. Understanding the Bookkeeping Life Cycle
        2. Figuring How Often to Do the Deed
          1. Working with a shoebox
          2. Doing the books as you go
        3. Staying on the Right Side of the Law
          1. Registering as a business
          2. Getting to grips with GST
          3. Managing payroll
        4. Developing an Attitude
          1. Convince yourself this stuff matters
          2. Quit counting sheep
          3. Do your job well
        5. Getting Skilled Up
          1. Keeping your qualifications up to date
          2. Joining an association
          3. Signing up to a course
        1. Putting Everything in Its Place
        2. Classifying Accounts
        3. Building Your Profit & Loss Accounts
          1. Analysing income streams
          2. Separating cost of sales accounts
          3. Cataloguing expenses
          4. Dealing with personal expenses
        4. Seeing Where the Money’s Made
        5. Itemising Balance Sheet Accounts
          1. Adding up the assets (ah, joy of joys)
          2. Listing liabilities (oh, woe is me)
          3. Accounting for equity
        6. Building a Final Chart of Accounts
        1. Matchmaking with Debits and Credits
          1. Studying a little give and take
          2. Following a modern fable
        2. Putting Theory into Practice
          1. Moving funds in bank accounts
          2. Taking a peek at sales
          3. Checking out expenses
          4. Viewing stock movements
          5. Throwing GST into the mix
        3. Playing the Double-Entry Game with Accounting Software
          1. Drilling down to the debits and credits
          2. Recording general journals
        4. Choosing between Cash and Accrual
          1. Keeping things simple with cash
          2. Getting more info with accrual
          3. Laying down the deal in debits and credits
          4. Enjoying a half-half measure
          5. Using one method for your books, and another for income tax
        1. Reporting for GST
          1. Scraping by in Oz
          2. Muddling through in Middle Earth
          3. Managing cashflow, wherever you are
        2. Staying on Top of Payroll
          1. Meeting payroll deadlines (Australia)
          2. Meeting payroll deadlines (New Zealand)
        3. Generating Reports
        4. Devising a Record-keeping System
          1. Filing that needle in the haystack
          2. Deciding what to keep and how long for
        5. Developing a Bookkeeping Calendar
          1. With golden soil and wealth for toil
          2. Peace, not war, shall be our boast
        1. Deciding Whether to Head for the Clouds
          1. Why cloud accounting is such a big deal
          2. Why cloud accounting doesn’t always fit the bill
          3. Accessing your accounts when the internet goes down
        2. Rounding up the Main Players
          1. Muscling up with MYOB
          2. Playing it straight with Reckon and QuickBooks
          3. Having fun with Xero
        3. Matching Software to the Job in Hand
          1. Starting up a new business
          2. Getting ready to grow
          3. Making stuff and buying stuff
          4. Catering for bigger business or non-profits
        4. Setting Up Accounting Software
          1. Preparing for battle
          2. Firing live on D-Day
          3. Mopping up when the dust has settled
        5. Protecting Your Accounting Data
          1. Backing up data from the cloud
          2. Devising a backup strategy
        1. Coughing Up the Difference
        2. Signing Up (Do You Have a Choice?)
          1. Submitting to the inevitable
          2. Choosing not to register
          3. Picking a reporting method to suit
          4. Reporting for duty
        3. Calculating GST
          1. Going decimal the Aussie way
          2. Keeping quirky east of the Tasman
        4. Figuring What’s Taxed and What’s Not
          1. Move it, groove it, tax it
          2. Transactions with no GST (Australia only)
          3. Transactions with no GST (NZ only)
        5. Understanding Tax Codes
          1. Creating a list of tax codes (Australia)
          2. Creating a list of tax codes (NZ)
          3. Linking accounts to tax codes
        6. Staying Out of Trouble
          1. Avoiding traps for the unwary
          2. Keeping personal matters separate
        7. Dancing the Paperwork Polka
          1. Brewing up a Tax Invoice
          2. Checking supplier bills
          3. Verifying that ABNs are correct (Australia only)
        1. Creating Order Out of Chaos
          1. Getting your hands on the paperwork
          2. Filing stuff so you can find it again
        2. Working with a Micro Business
          1. Automating data entry with bank feeds
          2. Entering transactions one by one
          3. Listing expenses on a spreadsheet
        3. Recording Expenses for a Small Business
          1. Deciding whether to use accrual accounting
          2. Refining the process
          3. Keeping tabs on who you owe
          4. Dealing with EFTPOS and credit card transactions
        4. Bookkeeping for a Larger Business
          1. Managing supplier orders and invoices
          2. Making supplier payments
          3. Dealing with EFTPOS and credit card transactions
        5. Allocating Transactions
        6. Nitpicking over Petty Cash
          1. Storing cash under lock and key
          2. Robbing Peter to pay Paul
          3. Keeping tabs of cash on the run
        1. Keeping Track of Sales and Payments
          1. Recording customer sales
          2. Entering customer payments
        2. Working on a Cash Basis
          1. Recording cash receipts using accounting software
          2. Listing income on a spreadsheet
          3. Combining income and expenses on the same spreadsheet
        3. Bookkeeping for Other Kinds of Income
          1. Recording miscellaneous receipts
          2. Dazzling everyone with your brilliance
        4. Bringing Home the Bacon
        5. Dealing with Tricky Situations
          1. Dishing out discounts
          2. Dealing with prepayments
          3. Giving credits or refunds
          4. Writing off bad debts
        6. Making Sure Cash Doesn’t Go Astray
          1. Separating powers between bookkeepers and the cash
          2. Putting in good controls
        1. Staying Squeaky Clean
        2. Hiring a New Employee
          1. Getting the paperwork in order
          2. Covering against mishaps
          3. Subscribing to super (Australia only)
          4. Submitting to KiwiSaver (New Zealand only)
        3. Doling Out the Cash on Pay Day
          1. Paying folks their dues
          2. Checking timesheets are accurate
          3. Taxing pay (no mercy shown)
          4. Dealing with deductions
          5. Calculating superannuation (Australia only)
        4. Taking Leave in the Land of Oz
          1. Calculating leave on a percentage basis
          2. Calculating hours per pay period
        5. Taking Leave in New Zealand
          1. Calculating annual leave for full-timers and part-timers
          2. Calculating other kinds of leave
        6. Maintaining Proper Records
          1. Keeping records of what’s due
          2. Keeping tabs on employee details
          3. Writing up pay correctly
          4. Issuing legit pay slips
        1. Getting Started
          1. Deciding what bank accounts to reconcile
          2. Calculating your true bank balance
          3. Recording your opening bank balance using accounting software
        2. Doing Your First Reconciliation
          1. Reconciling accounts when you’re not using bank feeds
          2. Reconciling accounts when you have bank feeds
          3. Reconciling accounts with spreadsheets
        3. Keeping Proof that You’ve Done the Deed
        4. Troubleshooting Tricks
        5. Balancing Other Kinds of Accounts
        1. Accounting for Payroll Liabilities
          1. Checking payroll liability reports
          2. Troubleshooting payroll liabilities
          3. Coughing up the dough
        2. Calculating Other Payroll Expenses
          1. Splitting hairs with fringe benefits
          2. Hitting the payroll tax threshold
          3. Reporting for workers comp (Australia)
          4. Reporting for taxable payments (Australia only)
          5. Covering for accidents (New Zealand)
        3. Getting Pedantic at Year’s End
        4. Generating Payment Summaries (Oz Only)
        5. Meeting Minimum Pay and Conditions
          1. Applying the law (Australia)
          2. Applying the law (New Zealand)
        1. Buying In, Stocking Up and Selling Out
          1. Buying inventory to fill the shelves
          2. Selling inventory to make a buck
          3. Measuring the profits
          4. Calculating the value of inventory
        2. Organising Stocktakes
        3. Balancing Your Inventory Account
        4. Accounting for Assets
          1. Figuring out if something is an asset or an expense
          2. Recording new asset purchases
          3. Recording the sale of assets
          4. Dealing with personal assets
        5. Depreciating Assets, One by One
          1. Calculating depreciation
          2. Depreciating using asset pools
          3. Recording depreciation
          4. Checking your schedule
        1. Recording Journal Entries
        2. Plunging Into Debt
          1. Going into the red
          2. Aiming towards the black
          3. Recording loan interest and fees
        3. Working with Hire Purchase, Leases and Chattel Mortgages
          1. Taking on a new hire purchase debt
          2. Recording hire purchase payments
          3. Living it up with a new lease of life
          4. Signing up with a chattel mortgage
        4. Adjusting the Bottom Line
          1. Reallocating prepaid expenses
          2. Accruing future expenses
          3. Figuring out leave provisions
          4. Separating private expenses from business ones
        5. Bringing Income into Line
          1. Shifting income received in advance
          2. Grossing up dividends
        1. Starting With the Bank Accounts
          1. Step 1: Checking that everything reconciles
          2. Step 2: Hunting for stale transactions
          3. Step 3: Drilling down on dates
        2. Spring Cleaning Your Debts
          1. Step 4: Getting debtors spick and span
          2. Step 5: Sweeping through the creditors
        3. Putting GST under the Griller
          1. Step 6: Hunting for coding mistakes
          2. Step 7: Balancing GST liability accounts
        4. Understanding Control Accounts
          1. Step 8: Balancing debtors and creditors
          2. Step 9: Giving inventory the once over
          3. Step 10: Priming the payroll
        5. Doing a Mini-Audit
          1. Step 11: Scanning transaction reports
          2. Step 12: Analysing summary results
        1. Telling the Story with Profit & Loss
          1. Putting income under the microscope
          2. Weighing up gross profit
          3. Watching expenses, dollar for dollar
        2. Painting a Picture with the Balance Sheet
          1. Sketching assets, black as ink
          2. Drawing liabilities, red as blood
          3. Sculpting equity, cast in gold
        3. Understanding the Relationship between Profit and Cash
          1. Why there’s profit but no cash
          2. Why there’s cash but no profit
          3. Reporting where cash came from, and where it went
        4. Putting Results Under the Microscope
          1. Comparing this year against last year
          2. Calculating ratios
        1. Finalising the Old Year
          1. Out with the old year … in with the new
          2. Generating end-of-year reports
          3. Protecting against accidents
        2. Sending Data to Your Accountant
        3. Matching the Accountant’s Figures Against Your Own
          1. Recording year-end journals
          2. Dealing with adjustments that only make things worse
          3. Getting creative when the accountant gives you nothing
        4. Bridging the Communication Gap
        5. Starting a New Year
          1. Understanding what happens when you start a new year
          2. Archiving data — just one more time
        1. Deciding Whether You’re Ready
          1. Five good things about starting your own bookkeeping business
          2. Five not-so-good things about starting your own bookkeeping business
        2. Thinking through the Practicalities
          1. Getting qualifications in order
          2. Updating your skills (and choosing software)
        3. Launching Your New Business
          1. Creating a plan — no excuses
          2. Deciding what to charge
          3. Calculating billable hours
          4. Thinking about your rate of return
          5. Looking for clients
        4. Building a Successful Business
          1. Identify what makes you different
          2. Join a professional association
          3. Set goals, and reach them too
          4. Look to the future
        1. Becoming a BAS Agent
          1. Figuring out whether you have to register
          2. Checking out what skills and qualifications you need
          3. Covering yourself with insurance
        2. Acting Honestly and Independently
          1. Staying squeaky clean
          2. Avoiding conflicts of interest
          3. Keeping stuff confidential
        3. Making Sure Information Is Correct
          1. Providing competent services
          2. Supervising others’ work
          3. Taking reasonable care
          4. Ensuring tax laws are applied correctly
          5. Understanding the limits of your advice
        4. Setting Up Systems
          1. Writing an engagement letter
          2. Protecting client data
        1. Know and Love Your Cost Centres
        2. Become the Budget Queen
        3. Get the Terminology Right
        4. Report to the Board
        5. Get Help with Payroll
        6. Do Killer Grant Reporting
        7. Be Accountable at All Times
        8. Make Sure You Can Survive an Audit
        9. Track Membership Dues with Care
        10. Know When to use Trust Accounts
        1. Draw Up a Credit Policy
        2. Do Your Homework
        3. Don’t Waste a Moment
        4. Calculate the Cost of Debts
        5. Get on the Blower
        6. Don’t Give Too Many Options
        7. Keep a Dossier
        8. Track ’em Down
        9. Stick to the Law
        10. Get Drastic
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