Five habits that make the biggest difference
- Use a separate business bank account. Mixing personal and business spending is the most common reason books take longer and cost more.
- Connect your bank to Xero. Transactions come in every day, so you’re only matching them, not typing them.
- Snap receipts as you go. The Xero app lets you photograph a receipt the moment you get it.
- Reconcile weekly. Ten minutes a week beats a lost weekend every quarter.
- Chase what you’re owed. Send invoices straight away and use automatic reminders.
How long to keep records
| Who | Keep records for |
|---|---|
| Sole traders and landlords | At least 5 years after the 31 January filing deadline |
| Limited companies | 6 years from the end of the financial year |
Digital copies are fine, as long as they’re clear and complete.
What counts as a record
Sales invoices, purchase receipts, bank statements, payroll records, VAT records, mileage logs and details of any money you put in or take out of the business.
Getting it done for you
If bookkeeping isn’t how you want to spend your evenings, our team can do it each month or quarter, so your VAT returns, Making Tax Digital updates and year-end accounts are straightforward.
Common questions
Do I need accounting software?
For VAT-registered businesses and anyone under Making Tax Digital for Income Tax, yes. For everyone else it saves time and mistakes.
How long should I keep my receipts?
Sole traders and landlords should keep records for at least five years after the 31 January deadline. Limited companies should keep them for six years.
Can you do my bookkeeping for me?
Yes. We can keep your books up to date monthly or quarterly in Xero.
This guide is general information, correct as of November 2026. Rules change and every situation is different, so speak to us before acting on it.