How to Organize Payment Records for a Home Business

Keeping track of payment records for any business is very important. These are good records to track the success of a business and also appropriate to have at tax time as well. By purchasing a few folders and creating a few simple documents in Word or Excel, your payment records for your business can stay easily organized.

Things You'll Need

• Multi-colored folders
• Labels
• Microsoft Word or word processing software
• Excel or spreadsheet program

Instructions

1. Purchase a few different colored folders. Label each of your folders. Label one folder that says "Payments Received" and another one marked "Invoices."

2. Keep a list of all of your current customers and/or clients. Purchase a folder for each client or customer. Store all invoices and statements that correspond with each client or customer.

3. Create an invoice on your computer using Excel spreadsheet or Word document. Make sure you have the type or service or goods purchased, the amount paid or expect to be paid and the date.

4. Place the copy in its appropriate folder.

5. Use Excel or a spreadsheet program to keep track of payments received for each month. Label each new page or workbook tab by months. List all of the payments received for the current month. At the end of each year, print out each monthly statement and file it into a folder labeled with the appropriate year.

6. File all of your payment records in a safe place such as a file box or desk so that they will be accessible around tax time. Also, you can use them to look back to see how successful your business may or may not be doing.