Real Estate Bookkeeping 101: 5 Things Every Landlord Should Know

Episode #440 Find Investor-Friendly Tax and Financial Experts: https://www.biggerpockets.com/busines... Episode Show Notes: https://link.chtbl.com/Rookie Join BiggerPockets for FREE 👇 https://www.biggerpockets.com/signup?... Buy “The Book on Tax Strategies for the Savvy Real Estate Investor”: https://store.biggerpockets.com/produ... Find Investor-Friendly Lenders: http://biggerpockets.com/findlenders See Ashley at BPCON2024 in Cancun! https://www.biggerpockets.com/events?... Real Estate Accounting for Newbies: https://www.biggerpockets.com/blog/or... Connect with Sarah: https://www.biggerpockets.com/users/s... Connect with Ashley: https://www.biggerpockets.com/users/e... Real estate bookkeeping is one of the tedious but necessary tasks that comes with owning a rental property. Unsurprisingly, it’s one of the things that can make or break your real estate business. Can you do your own accounting? Should you hire a bookkeeper? It’s easy to become overwhelmed by your financials, which is why we’ve brought in a specialist to deliver a crash course on this important topic! Welcome back to the “Real Estate Rookie” podcast! Today, we’re joined by certified public account (CPA) Sarah Bratcher, who is going to share five things every investor should know about bookkeeping. Along the way, you’ll learn the differences between CPAs, bookkeepers, and financial planners so that you can make the right hire for your real estate business. Sarah also shares some of the biggest red flags to watch out for when hiring a CPA, as well as some telltale signs that it’s time to let your current CPA go! But that’s not all! Commingling personal and business income is an issue that gets investors in hot water with the IRS, but fortunately, Sarah has a simple solution that will help you avoid legal pitfalls altogether. You’ll also learn how to set up software, systems, and accounts that make your life easier! 00:00 Intro 00:58 Advice for New Investors 07:44 Software & Business Accounts 17:15 Systems & Chart of Accounts 24:48 Hiring (and Firing!) CPAs 30:04 HUGE Bookkeeper Red Flags 33:06 Connect with Sarah!