Cleanup guide
How a Bookkeeping Cleanup Works, Step by Step
Every cleanup follows the same seven stages, whether it covers three months or five years. Here is what happens in each one and what is needed from you.
The seven stages
1. Triage
A short conversation about what is behind, what is due, and what the books are needed for. Anything with a clock on it, such as a payroll deposit, a response date or a lender’s deadline, is identified here and moved to the front.
2. Scope and quote
We look at the accounts, the period and the state of any existing file, and give you a figure for your situation before work begins. You know what is included and in what order.
3. Gathering
Statements and reports for every account are collected for the whole period. Gaps are listed straight away so reissued statements can be requested while work starts on what is already in hand. See what to gather.
4. Rebuilding
Transactions are entered or corrected, oldest period first. Transfers are matched, loans and owner money are moved to the balance sheet, and the rest is categorized against a chart of accounts that follows the tax return.
5. Reconciling
Every bank, card and loan account is reconciled to its statement for every month. This is the proof stage. Books that have not been reconciled are a list of entries; books that have been are a record that agrees with the bank.
6. Questions and review
Anything the statements cannot explain comes to you in one grouped list per period. Your answers are applied, the year is reviewed against the prior return, and the financial statements are produced.
7. Filing and handover
Outstanding returns and filings are prepared from the finished books. Then the file is kept current monthly, by us or by you with notes on how.
What you do, and what you do not
- You provide access and statements. We do the sorting
- You answer one batch of questions per period. We do not send them one at a time
- You decide the judgment calls that are yours, such as whether a payment was personal
- You do not need to learn the software, tidy anything first, or explain how it got this way
What you receive
- A profit and loss statement and balance sheet for each period
- Reconciliation reports for every account
- A list of what was corrected and why
- A note of anything that could not be supported, and what was done about it
- Books that a return can be prepared from, and the returns themselves where they were outstanding
Our catch-up bookkeeping page describes the service, and where to start covers the order when several years are open.
Frequently asked questions
What is the difference between catch-up and cleanup bookkeeping?
Catch-up means entering a period that was never recorded. Cleanup means correcting a period that was recorded badly. Most engagements are both: part of the history is missing and the rest needs fixing. The stages are the same. See catch-up bookkeeping.
What does reconciled mean?
It means the transactions in the books for an account have been checked against that account’s statement, and the ending balance in the books equals the ending balance at the bank. It is done for every account, every month. The glossary defines the other terms a cleanup uses.
Can the work be done remotely?
Yes. Statements and reports are exchanged electronically and questions are handled by message or call. We work with clients in the Easley office and virtually.
Not the question you had? The full tax FAQ covers more ground, and our client reviews say what the work is actually like.
Related situations and guides
What to gather, and how to get it
The full document list, ranked by how much each item helps, and how to replace what is lost.
Learn moreWhich year to start with
Why oldest first is the default, and the four deadlines that change the order.
Learn moreHow long a cleanup takes
The six things that decide the timeline, and the two you control.
Learn moreWhat a cleanup costs
What a quote is based on, what waiting adds, and how to keep the figure down.
Learn moreCleanup Planner
Eight questions, then a plan: what comes first, what to gather, and which guides apply.
Part of Messy Books Help, alongside our catch-up bookkeeping service.
Tell us what you need
Send a short note about your situation and we’ll come back to you with a straight answer — whether that’s a quote, a next step, or a referral if it isn’t something we handle.
Prefer to talk it through first? Book a consultation and we’ll find a time, in the Easley office or virtually.
Send us the mess. We will send back a plan.
Call (864) 781-4035 or book a consultation, in the Easley office or virtually.