As a daycare provider, monthly daycare receipts (receipts for daycare purchases) can be never ending.
Here's 3 simple ways to organize daycare receipts weekly to get the MAXIMUM tax deductions possible (without spending hours and hours a week bookkeeping).
Because, who has time for that?
#1. Choose a weekly receipt day.
The easy and simplest way to organize daycare receipts is to choose a weekly review day. Pick one day a week to spend time review receipts and log tax deductible expenses (my favorite day is Wednesday during nap time).
#2. Store receipts safely and securely.
Nothing slows down reviewing receipts like looking for a missing daycare receipt at the bottom of your purse. To store receipts safely and securely, use a receipt folder for storage.
Not only does a receipt folder prevent receipt tears or spills on receipts, receipt folders keep all daycare receipts in one place and prevent ink fading for providers who like to scan and archive receipts at a later date.
For a compact receipt folder that stores daycare receipts by month and can fit in your purse or sit neatly on your desk, click HERE.
#3. Separate purchases by category.
While there are 10 major tax deductible expense categories for daycare providers, the following 3 can take the most time to log:
Food, cleaning, and daycare art/learning materials.
And, here's why:
Out of all the tax deductible expense categories, daycare food, cleaning, and art/learning supplies) are often bought together at major retailers such as Wal-Mart, Target, Costco, etc (making for a really long and confusing receipt if items are scanned in random order).
To make reviewing receipts and logging tax deductible expenses MUCH easier:
Separate food, cleaning products/ supplies, and daycare art/learning items before purchase and pay for each category separately.
That way, at the end of each shopping trip you'll have 3 clear receipts totaling how much was spent on daycare food, daycare cleaning supplies, and learning/art materials.
Then, when it's time to log your tax deductible expenses for the week, it will be so much easier to review receipts and log tax deductible expenses in each category.
Need a tax deductible expense purchase log for your daycare?
For a monthly daycare tax deduction log and daycare financial planner and record book, be sure grab the Ultimate Daycare Planner & Financial Record Book.
The Ultimate Daycare Planner & Financial Record Book helps you track daycare income, expenses, and salaries weekly, plan annual daycare financial goals, track tax deductible expenses and so much more.
(For only $17, it's a total steal).
THE ULTIMATE DAYCARE PLANNER & FINANCIAL RECORD BOOK
