5 Bookkeeping Tips for Busy Electricians

You didn't become a sparky to sit behind a desk pushing paper. Yet, poor bookkeeping is the #1 reason electrical businesses fail.

Here are 5 tips to keep your books clean without spending your weekends doing data entry.

1. Invoice on Site (Immediately)

The longer you wait to send an invoice, the longer you wait to get paid. Use a mobile app like Xero or ServiceM8 to send the invoice from your van before you even leave the driveway.

2. Separate Materials vs. Labour

On your invoices, clearly separate materials (cables, fittings) from labour. This helps you track your profit margins on parts versus your time.

3. Snap Receipts at the Wholesaler

Don't put receipts in your pocket or the glovebox. They fade or get lost. Use the Dext app to snap a photo of the receipt at the wholesaler counter. Throw the paper away immediately.

4. Track 'Waste'

Copper scraps and leftover cable add up. If you scrap copper for cash, record it! If you don't, and the cash appears in your bank account later, the ATO may treat it as undeclared income.