Book Keeping

[torontokids]

So I had a ton of start up costs (acquiring materials, toys, we did some renovating to make the space more suited to a daycare) I kept all these receipts but haven't done anything with them.

Now my daycare has been up and running, I track payments from parents on an Excel spreadsheet. I have a separate daycare bank accountant and a credit card I only use for the daycare. With new expenses I use the daycare credit card and pay the bill from my daycare accountant. What about my past expenses. Can I just take the money from my daycare account for each receipt or just leave it until tax time. Any guidance would be appreciated.

[mimi]

I am thinking yes you can take the funds from your daycare account and transfer to your personal account as long as you account for the receipts responsible for the amount transferred. I wonder if you can claim this as a loan to the daycare and charge the daycare account interest which you could then write off as a business expense.
I have an accountant to does my business/personal taxes. He charges my $280.00 to do both and I can pick his brain if I have any questions during the year. I know a lot of providers on this forum do their own taxes, I just prefer to leave it to an expert and know I have claimed everything I am entitled to and one less thing for me to worry about LOL.

[playfelt]

As long as you have the receipts for all expenses you made before getting the daycare bank card etc. there is no reason not to claim them. Just put them down on a separate page saying set up costs and list what you spent, on what and when and method of payment etc. as you are doing now. Then come tax time it is just added up and included in your expenses. The only time it matters how you paid for something and when is if you are audited. Otherwise it doesn't matter.