CFOAndrew Freelancer Report Card

Separation and Money Flows

I have one account for business and personal.

I have a business bank account but my credit card contains personal & business transactions.

I have a separate bank & credit card that I use just for business, but my home office is still paid through my personal account.

I have a separate account & credit card for my business, and the totals tie out exactly to my return

Keeping Books and Records

Books? I have lots of books on my shelf! Why do you ask?

I have most of my numbers written down somewhere that I update a couple times a year.

I have a spreadsheet or accounting software that I update sporadically - once or twice a year.

I have accounting software that I update no less than once a month.

Tax Payments - Up-to-Date & Quarterlies

I owe taxes for previous years, or have not filed.

I haven't paid any taxes yet this year and I have no idea how much I might owe.

I have a rough idea of what I'll owe and have some or most of that amount set aside.

I have a very good idea of what taxes I owe and I pay that amount in equal installments every quarter.

Compensation

I pay no compensation to myself.

I have a 1099 to myself, but no official W-2.

I have a W-2, but it is an arbitrary number.

I have a W-2 and I have a worksheet that supports the amounts.

Medical Plans

I'm not eligible to maximize health benefits.

I am deducting my medical expenses by having the company pay for them directly.

I am deducting the benefits and have a worksheet and/or method for how and why.

I have a written accountable plan for myself and my employees that is updated annually.

Retirement Accounts

I plan to die before I need to worry about retirement.

I put money into an IRA every year.

I have some retirement accounts and contribute whenever I have some money and however much I decide to do.

I have a company sponsored and employer matched plan which I contribute to regularly throughout the year.

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