Bookkeeping Status Overview
Bench automates the secure inflow of financial information when you connect your accounts. This ensures that you can see financial information updated in real time, giving you insights you can use whenever you need, even before your books are ready.
Here’s how you can tell what the status of your books is and how you can best use the financial information at each stage.
Any time you’d like to check in on your monthly books, go to the ‘Bookkeeping Status’ on your ‘Overview’ tab when you log in
What does each status mean?
- In Progress
When you see the “In progress” status, it means that your team is actively reconciling your financial data behind the scenes. They’re still collecting and reviewing your financial data, categorizing transactions, and doing any required adjustments. Books that are in progress are not yet at a stage where they can be used for financial reporting.
There are 3 things happening behind the scenes at this stage:
Data Collection:
This step marks the beginning of the monthly accounting process. We collect raw financial data from your connected bank and credit card accounts, merchant or payroll processors, monthly statements, and other important financial documents.
Categorization:
During this stage, we do most categorizations for you in the background. However, from time to time, we may need your help to provide additional context on some specific transactions. If additional details are needed, we will let you know right in the notification center. Your quick responses will ensure we can get your books ready on time and accurately. Learn more about why we need your input here.
Adjustments:
In this phase, we make the necessary adjustments and reconcile transactions to ensure accuracy and completeness. These may include adjustments for merchant fees, loan interest, and payroll, among others, to capture your expenses and revenue fully and make sure your books are compliant for future tax filing. This is the more complex stuff that often gets missed when people do the books themselves.
- Your input needed
When you see this status, it means that your bookkeeping team is working on your books but needs your help in order to continue.
At this step you might need to upload additional documents, re-connect accounts, or categorize transactions. As the owner or manager of the business, you have a deeper understanding of the nature of your business transactions. Some transactions might be unique or complex, and your insights can help your bookkeeping team categorize them accurately.
Your bookkeeping team will let you know when your input is needed right in the notification center. Your quick responses will ensure your team can get your books ready on time and accurately.
Note: It is normal for the status of your books to go back to “In Progress” after you’ve provided input, as your team will resume working on your books with the new information you provided.
- Ready for Insights
This status indicates that your books are considered ready to use for day-to-day business decisions. This means that your business transactions are all accounted for and have been categorized. This is what the majority of our customers say they care about most. With insight ready books you will have a complete picture of how much money has come in, how much went out, and can make day-to-day business decisions with confidence. Small adjustments may still be made later by your bookkeeper, before the books are fully complete.
Pro Tip: The more connected your accounts are, and more engaged you are with your bookkeeping team, the faster your books will get to this stage.
- Complete
Your books will move from “Ready for Insights” to “Complete”after we make our adjustments and complete a review of your books. At this point, all the financial data for the month is captured and your team has completed the monthly bookkeeping. Before your tax filing, any further refinements for compliance and precision will be made by your team as they finalize your Year-End Financial Package.
If at any point, you are looking to use your reporting to apply for a loan, or secure an investment, and your books are not yet in “Completed” status, let your bookkeeping team know and we will try our best to have your books ready for you.
Note: If new transactions or documents become available after the books are completed, your bookkeeping team will reopen the books and ensure the new information is accurately captured. During this time your books might show up as “In Progress” again. This is quite common to happen throughout the year as some documents or transactions might be submitted after but don’t worry, we have you covered every time.
When can I use my financial information to make confident business decisions
You can already use your financial information to make business decisions for things like applying for funding, reporting with your investors, major spending decisions, etc. when your books are in the “Ready for Insights” stage. Your books are considered accurate and reliable for decision-making, and small adjustments may still happen later by your bookkeeper.
To learn more about Bench’s financial reports that you can use for daily, monthly, or yearly decision making check out this article.