Catch-up bookkeeping services are for businesses whose books have fallen months behind, often after a bookkeeper left, the business grew quickly or tax season arrived early. The work is methodical: collect the records, reconcile one month at a time and fix the balances that have drifted.
Key takeaways
- Start by collecting every bank, card, loan and payment platform statement for the backlog period.
- Reconcile month by month in date order, so each month starts from a proven balance.
- Clean up open payables, receivables and suspense accounts before you call the books current.
- Agree a cutoff date with your tax adviser if a filing deadline is near.
- Once caught up, move to a monthly routine so the backlog doesn't return.
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What is catch-up bookkeeping?
It is bringing your accounting records up to date for a period that was not recorded or reconciled properly. The result is a set of books where every account is reconciled, balances are supported and the financial statements can be trusted for tax, lending or investor purposes.
How a catch-up project works
- Scope. List every account and the months that need work. Check the last period that was definitely correct.
- Collect. Gather statements for every bank, card, loan and payment platform, plus bills, invoices and payroll reports.
- Record. Enter missing transactions, starting with the oldest month.
- Reconcile. Reconcile each account month by month. Don't skip ahead, because errors carry forward.
- Clean up. Review open bills and invoices, clear suspense and uncategorized accounts, and fix duplicate records.
- Review. Prepare the financial statements for the period and go through unusual items with you.
Planning around deadlines
If a tax deadline is close, talk to your tax adviser early. They can tell you which periods they need first. Our post on getting your books ready for your CPA lists what they usually ask for.
Get a time estimate for your backlog
Pricing a catch-up project
Catch-up work is usually priced by the hour, because the effort depends on how many months are behind and how many transactions there are. At Oakridge Global, hourly work is $10 per hour. Once the books are current, a monthly plan keeps them that way. See our guide to offshore accounting pricing.
For what monthly upkeep looks like, read monthly bank reconciliation and outsourcing US bookkeeping to India. Our bookkeeping service covers both.
What to gather before you start
The faster you can hand over records, the faster the project goes. Collect:
- Statements for every bank account, credit card, loan and line of credit for the whole backlog period.
- Payout reports from payment platforms and marketplaces.
- Payroll reports from your payroll provider.
- Sales invoices and records of cash or check deposits.
- Vendor bills, receipts and contracts for large purchases.
- Loan agreements and asset purchase invoices.
- The last tax return filed, and any notes from your tax adviser.
If you can't find something, list it. Many records can be downloaded again from banks, platforms and vendors.
Keeping the books current afterwards
A backlog usually builds because there was no routine. Once the books are caught up, agree a monthly schedule: transactions recorded weekly, reconciliations completed by a fixed date after each month end, and a short report sent to you. Our post on onboarding an offshore accounting team explains how to set up that routine.
Frequently asked questions
How long does catch-up bookkeeping take?
It depends on how many months are behind, how many accounts you have and how easy the records are to collect. A clear list of accounts and statements speeds things up more than anything else.
What if I've lost some receipts?
Bank and card statements show the transactions. Your adviser can tell you what supporting records you need, and vendors can often resend copies of invoices.
Can catch-up bookkeeping and monthly bookkeeping run at the same time?
Yes. Many businesses start current-month bookkeeping right away while the backlog is worked through, so they don't fall further behind.
Should I catch up all at once or a few months at a time?
Work in date order, oldest first, but share finished months as you go. That way your tax adviser can start on completed periods while the rest are still being worked on.
Catch up with Oakridge Global
Our bookkeepers clear backlogs for businesses in the US and around the world, then keep the books current. Schedule a consultation with Oakridge Global to scope your project.