Bookkeeping Checklist for Philippine Small Businesses

Most Philippine small businesses do not get into trouble because of fraud. They get into trouble because the books fell behind. Receipts were lost, personal and business money got mixed, and when the BIR deadline arrived, nobody could say what the real numbers were.

The fix is not complicated. It is a small routine done every month. Use this bookkeeping checklist as your starting point.

Set up the basics once

• Register properly. Make sure your business registration, BIR registration and the invoices you issue are all in order. If you are unsure, ask your RDO or accountant.
• Open a separate business bank account. Never pay personal expenses from it and never deposit business income in a personal account.
• Choose how you keep books. Spreadsheets can work at the very start, but they get risky fast. Accounting software that follows BIR requirements saves time and prevents errors.
• Create a simple chart of accounts so every peso is recorded in the same category every time.

Every week

1. Record sales. Every invoice you issue should be in your books the same week.
2. Record expenses with proof. Keep the supplier's invoice or receipt, and make sure it carries the details your accountant needs. Expenses without proper documents may not be accepted as deductions.
3. Note any tax withheld by customers, and any tax you withheld from suppliers or workers.
4. Photograph paper receipts the day you get them. Thermal paper fades.

Every month

1. Reconcile your bank account. Compare your books with your bank statement and explain every difference.
2. Follow up unpaid invoices. List who owes you money and for how long. Send reminders before the invoice is a problem.
3. Pay your bills on time, and note which are due next month.
4. Check certificates. Compare your payments received with the BIR Form 2307 certificates from clients. See our BIR Form 2307 guide for what to look for.
5. Review payroll records, if you have employees, including contributions to SSS, PhilHealth and Pag-IBIG. Our 2026 contributions guide explains the numbers.
6. Close the month. Once it is reviewed, treat it as locked so figures do not quietly change later.

Every quarter and year

• Prepare for your quarterly returns early, not on the deadline. Deadlines can shift because of holidays or announcements, so check the BIR's current calendar every year.
• Prepare your annual records, schedules and final reports with your accountant.
• Review profit by customer, product or project. This is where owners often discover that their busiest client is their least profitable.

Three habits that protect you

• One place for everything. Invoices, receipts, certificates and bank statements should be filed where anyone on your team can find them.
• Same-week entry. The longer you wait, the more details you forget.
• A second pair of eyes. Ask an accountant to review quarterly, even if you do the day-to-day yourself.

Let the system do the repetitive part

The checklist is easy. Doing it by hand forever is not. Accounting built for Philippine requirements can handle invoices, withholding tax and reporting in one place, so your monthly review takes minutes. See what GodoERP includes, or try it free.

General information only. Requirements depend on your business type and registration, so confirm with the BIR or your accountant.