Small Business Guides
Income Statem
You run your business. How to use the in
We'll handle your finances.
1 On the first tab, called “C
categories of income, exp
Get started with America's largest use in your business.
bookkeeping service for entrepreneurs
and receive a recent month's books 2 On the second tab, called
completed in one business day: enter your transaction deta
category (matching with t
Accounts tab).
1 We call to learn about your business and
its bookkeeping and tax needs 3 The third tab is where you
display. Just select a date
like to see (for example, M
have your income stateme
2 We do a month of your books and
review them with you
For a more detailed breakd
3 You decide whether Bench is right for how to use Excel for basic
you helpful artic
A Guide to Excel
usiness Guides
me Statement Generator
How to use the income statement generator:
the first tab, called “Chart of Accounts”, enter all the
egories of income, expenses, and cost of sale that you
e in your business.
the second tab, called “Transactions” is where you’ll
er your transaction details—date, description, amount, and
egory (matching with the categories in your Chart of
counts tab).
e third tab is where your income statement will automatically
play. Just select a date range for the income statement you’d
e to see (for example, March 1 to March 28), and voila, you
ve your income statement.
more detailed breakdown of how to use this template (and
to use Excel for basic small business accounting) read our Receive a complimentary
helpful article on the Bench blog: best p
A Guide to Excel Accounting and Bookkeeping Speak with a Bench bookkeeping exp
are accurate, interpret financial statem
m
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best practices:
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nterpret financial statements, avoid common mistakes, and much
more.
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Chart of Accounts
Category Type
Sales Revenue Income
Service Revenue Income
Returns & Chargebacks Income
Interest Income Income
Other Income Income
Cost of Goods Sold Cost of Sales
Cost of Service Cost of Sales
Bank & Merchant Fees Expense
Business Meals Expense
Client Entertainment Expense
Computers or Equipment Expense
Gas & Auto Expense
Independent Contractor Expense
Insurance Payments Expense
Interest Paid Expense
Lawyers & Accountants Expense
Licenses or Fees Expense
Marketing or Advertising Expense
Miscellaneous Expenses Expense
Phone, Internet & Utilities Expense
Postage & Shipping Expense
Rent or Lease Expense
Software & Hosting Expense
Supplies Expense
Taxes Paid Expense
Travel & Transportation Expense
hart of Accounts
What sort of transactions should I put in this Category?
Revenue transactions sourced from selling products
Revenue transactions sourced from selling services
Sales or Service refunds, returns, and chargebacks
Income earned from interest
Other sources of income
Product purchases for the purpose of resale
Transactions that are directly related to the generation of Service Revenue
Fees from Banks or Merchant Processors
Meals with clients
Entertainment with clients
Computer or other equipment purchases
Gas and vehicle maintenance expenses
Payments to people for services
For all business insurance payments
Interest paid on credit cards or loans
Payments for professional services
Local, State, or Federal business licenses or fees
Marketing and advertising costs
Other business expenses
A place for common business utility expenses
Postage and shipping costs to customers
Rent or lease payments
Software and web hosting payments
Other business supplies
Taxes paid by the business
Travelling and transportation costs
How to use this tab:
Enter all the categories of income, cost of sales
and expenses you use in your business.
Note: the categories listed here are for your
reference only.
To learn more about how a chart of accounts
works (with examples) check out our:
Simple Guide to a Chart of Accounts
Transactions
Date Description/Transaction Name Amount
3/13/2021 Deposit 400.00
3/15/2021 Fiverr 25.00
3/15/2021 State patent office 35.00
3/16/2021 Apple 1,350.53
3/20/2021 Bank fee 25.00
3/25/2021 Dividend 3.15
3/25/2021 Refund 35.00
3/25/2021 Deposit 600.00
3/26/2021 Black cab taxi 55.00
3/26/2021 Staples 25.00
3/28/2021 Fed Ex 30.00
3/30/2021 State patent office 55.00
3/31/2021 Meal with client 87.32
3/31/2021 Deposition costs 80.00
3/31/2021 Liability insurance 120.00
End
Category How to use this tab:
Service Revenue 1. Enter transactions one under the oth
Independent Contractor 2. Each transaction needs to have a da
Cost of Service 3. Select the most appropriate category
Computers or Equipment 4. Transactions don't need to be in any
Bank & Merchant Fees
Other Income
Returns & Chargebacks
Service Revenue
Travel & Transportation
Supplies
Postage & Shipping
Cost of Service
Business Meals
Cost of Service
Insurance Payments
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• how Bench helps
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• what our easy-t
Book
e this tab:
actions one under the other
action needs to have a date (MM/DD/YY), description, amount (always positive)
most appropriate category using the "Chart of Accounts" tab
ns don't need to be in any particular order, the income statement is generated from the "Date" column
ed of being your own accountant?
We get it. You've got enough on your plate running your business.
call with one of our small business specialists to learn how Bench's team of
keepers and tax professionals can make managing your company finances a
breeze.
In 15 minutes you'll learn:
• how Bench helps you manage your finances
• how Bench completes your bookkeeping and financial reports
• what our easy-to-use platform looks like
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Income Statement
Date Range
Beginning Date 3/1/2021
Ending Date 3/31/2021
Revenues
Sales Revenue -
Service Revenue 1,000.00
Returns & Chargebacks (35.00)
Interest Income -
Other Income 3.15
Total Revenue 968.15
Cost of Sales
Cost of Goods Sold -
Cost of Service 170.00
Cost of Sales 170.00
Gross Profit 798.15
Expenses
Bank & Merchant Fees 25.00
Business Meals 87.32
Client Entertainment -
Computers or Equipment 1,350.53
Gas & Auto -
Independent Contractor 25.00
Insurance Payments 120.00
Interest Paid -
Lawyers & Accountants -
Licenses or Fees -
Marketing or Advertising -
Miscellaneous Expenses -
Phone, Internet & Utilities -
Postage & Shipping 30.00
Rent or Lease -
Software & Hosting -
Supplies 25.00
Taxes Paid -
Travel & Transportation 55.00
Total Expenses 1,717.85
Net Profit (919.70)
How to use this tab:
Enter beginning and ending dates (MM/DD/YY) in the blue highlighted cells to
generate your income statement for that date range.
Additional Resources
To Help Your Small Business Grow
A Founder's Guide to Startup Accounting
Accounting may be a hassle, but it can also be your
startup's secret weapon. Here's how.
Read article
Understanding an Income Statement
A clear explanation and an easy to follow video explaining the purpose
of the income statement.
Read article
Financial Statements 101
Learn how to read financial statements. They can (and should)
influence every major decision you make in your small business.
Read article
Find more helpful resources for navigating small business
finances on our blog at: bench.co/blog
Return on Investment of
Hiring a Bookkeeper Bookkeeping Basics
If you’re on the fence about hiring a bookkeeper, A step-by-step guide for setting
this short guide will help you determine when it's your own bookkeeping proces
the right time.
Get the guide Get the guide
ookkeeping Basics Small Business Accounting 101
step-by-step guide for setting up Learn the fundamentals of small
your own bookkeeping process. business accounting, and set your
financials up for success.
Get the guide Get the guide
