As a beginner at freelancing, having a system that would help me track my financial transactions is essential in tracking progress and financial growth so I can make future decisions for my business.

 

Hence, as a beginner, I will have to use cash accounting to have a simple tracking method in tracking my financial transactions. Meanwhile using Single-entry bookkeeping, a cash-based bookkeeping to simply track my financial transactions.

 

How I handle my personal vs. business expenses?

I handle my personal vs business expense by categorizing transactions I have made and recording them using an excel file. Then, I will create tabs for each category and organize transactions and place them to their respective category. In this way, I will be able to tell for myself how much I have spent towards any personal vs business transactions.

 

What categories your transactions fall under?

Mainly my personal transactions I must say falls into a category of Balance sheet, ideally. This way, I have a simpler way to look at my financial statement.

 

Do you do it yourself or hire a bookkeeper?

Everything at first has to be done by myself in order t have a basic understanding of my financial status. As my business grows, delegation is the key. Therefore, I will be willing to hire a bookkeeper to the bookkeeping for me.

 

Thank you Emily for this sweet but very helpful class. I wish you more success!