{"id":270490,"date":"2024-07-08T15:48:28","date_gmt":"2024-07-08T03:48:28","guid":{"rendered":"https:\/\/www.reckon.com\/au\/?post_type=sbh&p=270490"},"modified":"2024-07-11T17:51:12","modified_gmt":"2024-07-11T05:51:12","slug":"data-entry","status":"publish","type":"sbh","link":"https:\/\/www.reckon.com\/au\/small-business-resources\/bookkeeping\/data-entry\/","title":{"rendered":"Bookkeeping data entry"},"content":{"rendered":"

[et_pb_section fb_built=”1″ custom_padding_last_edited=”on|phone” _builder_version=”4.23″ custom_padding_tablet=”” custom_padding_phone=”0px||||false|false” locked=”off” global_colors_info=”{}”][et_pb_row column_structure=”1_3,2_3″ _builder_version=”4.23″ background_size=”initial” background_position=”top_left” background_repeat=”repeat” width=”100%” custom_padding=”||0px||false|false” global_colors_info=”{}”][et_pb_column type=”1_3″ module_class=”table-contents” _builder_version=”4.23″ background_color=”#f3f2f6″ custom_padding=”25px||25px||true|false” sticky_position=”top” sticky_limit_bottom=”section” sticky_position_tablet=”top” sticky_position_phone=”none” sticky_position_last_edited=”on|desktop” pac_dcm_carousel_specific_module_num=”0″ border_radii=”on|24px|24px|24px|24px” global_colors_info=”{}” custom_padding__hover=”|||”][et_pb_text _builder_version=”4.23″ text_font=”||||||||” global_colors_info=”{}” background__hover_enabled=”on|desktop”][\/et_pb_text][\/et_pb_column][et_pb_column type=”2_3″ _builder_version=”4.16″ custom_padding=”|||” pac_dcm_carousel_specific_module_num=”0″ global_colors_info=”{}” custom_padding__hover=”|||”][et_pb_text admin_label=”Copy paste body text here” _builder_version=”4.23.1″ header_2_font_size=”32px” header_2_font_size_tablet=”30px” header_2_font_size_phone=”26px” header_2_font_size_last_edited=”on|tablet” global_colors_info=”{}”]<\/p>\n

Ah yes, bookkeeping data entry. Riveting stuff. But hey, it\u2019s a necessary evil in the world of business. Let\u2019s get into it.<\/p>\n

If you do your own bookkeeping or manage your own business<\/a>, you should certainly have a basic understanding of bookkeeping data entry. With this knowledge, you\u2019ll not only have a better grasp on the importance of accurate data, you\u2019ll be able to fully trust in your reporting and thus compliance and forecasting.<\/p>\n

Getting the numbers wrong could have serious complications when it comes to financial management<\/a> and compliance. Get them right, however, and you have a reliable set of books from which to base important business decisions. Neglect it at your peril!<\/p>\n

What is a data entry?<\/h2>\n

Data entry is an elemental affair \u2013 yet a vital undertaking for all manner of recording and transacting.<\/p>\n

The aim of data entry is simple, record all transactions both into and out of your business<\/em>. Record them accurately, with all necessary details, and on time.<\/p>\n

Why does data entry matter in bookkeeping?<\/h2>\n

Data entry is the very cornerstone of bookkeeping. When you break it down \u2013 data entry is<\/em> bookkeeping.<\/p>\n

When you record your business\u2019s financial data into logs and software tools<\/a>, you are laying the groundwork for everything that comes after: from tax and GST to calculating your earnings and expenses.<\/p>\n

If the data is entered incorrectly, the resulting calculations will also be incorrect, which can create compliance issues. So, if you want to avoid compliance issues and ensure you have an accurate set of books<\/a> from which to garner financial performance information, enter your financial data very carefully \u2013 or seek advice from a professional<\/a>.<\/p>\n

How to do data entry?<\/h2>\n

After any sale, the seller should typically record information like the value of the purchase and the transaction details, such as the date and who processed the sale.<\/p>\n

Sometimes this is a manual entry, however, purchase and sale data is now often sourced through POS systems, bank statements, invoices or receipts. You may have several sources to gather the necessary information.<\/p>\n

By making sure every single business transaction is properly and accurately recorded \u2013 in a system of your choosing \u2013 you have achieved the basics of data entry.<\/p>\n

Modern bookkeeping data entry<\/h2>\n

Luckily, the world has moved on from a physical ledger where you would use a pen to record all of your money, income and expenses.<\/p>\n

With modern accounting software<\/a> and payment systems, much manual data entry can thankfully be automated.<\/p>\n

For example, you can link systems like POS, eCommerce<\/a> and inventory with your core accounting software to automate data entry in bookkeeping:<\/p>\n

\"bookkeeping<\/p>\n

By creating a neat and linked system, your manual data entry duties as a business owner will be minimised.<\/p>\n

Extra bookkeeping tips!<\/h2>\n

Here are a few handy tips to keep in mind when tending to your business books and creating reports and accurate financial data:<\/p>\n

    \n
  1. Maintain a specific time of the week to tend to your bookkeeping duties<\/strong> – this ensures you keep on top of it.<\/li>\n
  2. Always keep your business purchases and income in a separate business bank account.<\/strong> Never mix business transactions with personal cards or accounts. This allows neat and accurate bookkeeping with no uncertainty or messiness.<\/li>\n
  3. Maintaining a thorough digital receipt storage system<\/strong> \u2013 this helps enormously with daily bookkeeping and ATO compliance and tax returns<\/a>.<\/li>\n
  4. Always use proper cloud accounting software to complete regular bookkeeping tasks<\/strong> such as recording and reconciling. These software tools automate much of the headache and keep your important data in one place to report upon.<\/li>\n
  5. For the sake of automation and accuracy, connect your accounting software with as many solutions as possible<\/strong> including POS systems, eCommerce, receipt scanners and inventory.<\/li>\n
  6. Get a professional bookkeeper to help create good bookkeeping workflows for you to maintain<\/strong>. You should always rely on one in particular when it comes to tax returns and other compliance<\/a> needs.<\/li>\n<\/ol>\n

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    Whether you\u2019re handling your own finances or working with a professional, data entry is the backbone of bookkeeping. In today\u2019s digital landscape, it\u2019s crucial to grasp modern bookkeeping data entry. 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