How to do Accounting for Trucking Companies?
Trucking is a unique type of business wherein you have to undertake the day-to-day tasks along with reporting and attending to campus office duties.
Success in trucking can easily be achieved when accounting, one of the most important aspects of running any business is done properly. Success is ensured when schemed and proper accounting for trucking companies is achieved.
However, it becomes difficult for trucking companies to properly keep a track of their accounts since they have to perform a daily set of tasks for their job. One of the best options in this regard is outsourcing your bookkeeping services.
Key-CMS is one of the leading brands providing accounting services in India. Our accounting outsourcing services help takes over your day-to-day accounting transactions, and manage and record them properly to ease your workload.
Want to know how we manage your accounting to the highest level of accuracy? Find out here!
We ensure that your books are balanced and errorless by handling everything related to accounting with the utmost diligence.
By outsourcing your accounting to us you gain easy access to expert accountants looking into your bookkeeping services and leaving you free for handling all the technical aspects of your trucking business.
We ensure smooth business processes, agile and fast decision making and optimum utilisation of resources. Our value-driven approach is all that you need for your trucking business.
Before finding out how to enhance the accounting procedure for your trucking company, let’s discover what are the reasons you should maintain proper bookkeeping for your company.
Why is bookkeeping necessary?
Most people expect truck drivers to spend the majority of their time on the roads. However, this is only partially true.
Truckers also have to devote their time to non-driving activities which include filling out daily logs for activities and loading and unloading freight. With all of these in mind, it is normal that truckers tend to avoid accounting or bookkeeping tasks.
However, bookkeeping is very much necessary when you are running a trucking business for effectively recording the transactions, ensuring the compliance of the finance of the company and enabling the financial statements to be properly audited.
Fortunately, numerous firms provide accounting services in India and help you to outsource your accounts department.
Key-CMS is one of the most reliable bookkeeping service providers furnishing users with expert accounting services in India across the country. Our expertise and complete takeover of your accounting department enable you to have a carefree accounting system.
We hold extensive knowledge and years of experience in accounting for trucking companies.
Now let us discover some of the best tips for accounting for Trucking Companies.
10 accounting tips for getting it all right!
Here are some of the best tips that’ll ensure you an easy accounting procedure with just the right schemes fitted out with your work.
- Understand the type of your business.
When setting up a career business, it depends on you how you want to plan and structure your company. This structure will affect the system of accounting or bookkeeping for your company.
In whatever structure you set up your trucking business, look into the basic finance methods of the structure for effective accounting and management services.
Bookkeeping service providers also take these as the first steps to initiate the process by understanding the structure of your business. Being aware of the financial structures of your business is the first step toward successful bookkeeping.
2. Know your costs.
One of the most important metrics of accounting for Trucking Companies is to know your travelling costs.
Having proper knowledge of your average costs per distance helps you determine the prices for your services to make the entire system profitable.
This will also help you find out the areas of high cost and chalk out ways to reduce and eliminate them depending on your preferences.
3. Save every small receipt
Reducing as many legitimate transactions as possible from taxation by keeping a record of every small transaction that you make.
Easy storage of paper receipts can be done in envelopes in your trucks and storage of e-receipts can be simplified by organising folders.
4. Use a separate business credit card
Use a separate card for your business transactions. Find a credit card with low levels of interest and generous reward plans. Paying up the balance every month will ensure you don’t have debts and will also help you organise your bookkeeping.
5. Keep detailed records, and have a notebook in your truck.
Maintain your logbooks, and keep a notebook in your truck to measure the business transactions while you travel. These logs are the best proof of your per diem entitlement.
Use the notebook for keeping a record of those transactions if you cannot receive a receipt. These small efforts of hard work will pay up in the future.
6. Plan for required expenses
Have a rough estimate of your expenses, and plan. Gain an understanding of your upfront costs, and continuous expenses.
Planning is required since you have to cost your services properly so that your expenses are easily covered up with an extensive and increasing profit.
7. Use the best accounting software
Trucking companies have certain demands for bookkeeping which are different from other companies. Find out how accounting services in India deal with the demands of bookkeeping services for trucking companies.
Small or big businesses don’t matter when it is about trucking companies. Proper accounting software or platform is extremely essential for sealing the success of the company.
8. Ensure that your books are audit-proof
Truckers should maintain separate accounts for trucking and personal uses and ensure that their records are audit-proof.
If you are successful at avoiding audits and avoiding taxation, boom! Your work is done!
9. Review your finances frequently
Review your money, maintain regular invoices and find easier ways to make, send and pay bills, ensure online transactions are carried out properly.
Ensure that transactions from your banks are legitimate, and spot discrepancies, if any before they can cause greater harm to your business.
10. Have a month-end close out.
Make sure you have a closure every month, keeping all the records in mind, and tie expenses with revenue at the end of every month.
Bottom line.
That’s all for proper bookkeeping techniques and methods. If you have a strong grasp of accounting for trucking companies, no one can hold you back from succeeding and flourishing in your business.
However, you always have the choice to outsource your bookkeeping services to us! Key-CMS has been into providing the best accounting services to successful companies in the market. Your accounting is our priority! Find out how Key-CMS adapts to the various companies countrywide to get the best results in bookkeeping, here.
Bookkeeping has never been easier! On that note and wishing a successful trucking business for your company, we hope these bookkeeping tricks will ensure you a successful accounting with increased profits and saved time.
