Difference Between Bookkeeping and Recordkeeping Most business owners think they are doing their bookkeeping. What they are actually doing is recordkeeping. The difference between bookkeeping and recordkeeping is the difference between saving paper and knowing what the paper means. One keeps you out of trouble. The other tells you how your business is doing. Here is what separates them. What is recordkeeping? Recordkeeping is saving and storing the documents that prove mo

Let's get one thing straight: the IRS doesn't care about you. Not in a cruel way. In a completely, utterly indifferent way. They don't care that you've been working 60-hour weeks running your HVAC company. They don't care that your bookkeeper quit without notice. They don't care that nobody told you about self-employment tax when you started your cleaning business three years ago. The IRS has one job: collect what's owed. And they are very, very good at it. THE RULE YOU DIDN'