Pre-Holiday Checklist: Get Your Books Ready Before the November–December Surge
As the year’s busiest months approach, many business owners focus on holiday promotions, seasonal hiring, and last-minute marketing pushes. But before you dive into the November–December rush, your books need to be ready too.
Holiday prep for business is more than checking your sales and inventory. It is also about ensuring your financial systems can handle the surge of activity, extra transactions, and year-end reporting that come with it. (Not to mention saving for the rainy/snowy days ahead.) When your bookkeeping is clean and your systems are organized, you can move through the holiday season with clarity and confidence.
This checklist will walk you through the essential bookkeeping tasks to complete now so you can enjoy a smoother, more profitable finish to the year.
1. Reconcile Q3 Completely
Start your holiday prep with a clean slate by reconciling every account for the third quarter. This means matching all bank, credit card, and loan transactions with your bookkeeping records through September 30.
Why this matters:
The end of Q3 is your final checkpoint before year-end. If your numbers are off now, those errors will only compound in Q4 when your transaction volume increases. Reconciliation ensures your Profit and Loss statement, balance sheet, and cash flow reflect reality.
What to do:
- Reconcile every account through September.
- Review your profit and expense allocations if you follow Profit First.
- Double-check that all transfers, vendor payments, and payroll entries are recorded correctly.
- Flag any discrepancies immediately.
When you start November knowing your books are current, you will make better spending decisions during the holidays and enter tax season with confidence.
2. Send Outstanding Invoices
Cash flow can get tight as the holidays approach. Many clients or customers slow down on payments while their own businesses get busier. That is why now is the time to review and collect on all outstanding invoices.
Why this matters:
Unpaid invoices are silent profit leaks. By collecting now, you free up cash to fund your holiday marketing, bonuses, inventory orders, and seasonal expenses without relying on credit.
What to do:
- Run an Accounts Receivable Aging Report and highlight anything 30 days past due.
- Send friendly yet determined reminders to overdue customers.
- Offer easy payment options such as online pay links or ACH transfers.
- If appropriate, request partial payments for larger balances.
Getting invoices cleared before November ensures cash is available when you need it most.
3. Prep for PTO and Staff Changes
Holiday season often means vacations, schedule changes, and temporary hires. A little planning now will prevent payroll errors, confusion, or missed handoffs later.
Why this matters:
Your team’s schedule affects payroll, customer service, and project completion. If you do not plan coverage and permissions early, you may end up scrambling when key employees are out.
What to do:
- Review your team’s planned time off for November and December.
- Double check if PTO is still available for each employee – consider sending a year-to-date report to each employee so they are aware of what is available to them.
- Cross-train staff to cover holiday/PTO time taken.
- If hiring seasonal help, set them up properly in payroll and accounting systems.
A clear staffing plan reduces disruption and ensures your operations continue smoothly through the busiest time of year.
4. Pre-Schedule Key Reports
The last thing you want in December is to scramble for financial data. Pre-schedule or automate your critical reports now so you always know where your business stands.
Why this matters:
When sales are peaking, decisions need to be fast and data-driven. Having reports ready allows you to track performance, monitor spending, and make strategic adjustments throughout the season.
What to do:
- Schedule weekly cash flow and sales reports through December.
- Set up automatic P&L and expense summaries to hit your inbox every Monday.
- Review your KPI dashboards or Profit First allocations weekly.
- Identify your breakeven point for the holidays so you can measure progress.
Automated reporting turns chaos into control and ensures you are managing from facts, not feelings.
5. Review Vendor Contracts and Spending
Before the holiday rush, take one last look at your vendor list. Many businesses overspend during Q4 because they forget to adjust for seasonal needs or re-evaluate contracts.
Why this matters:
Small recurring expenses add up fast, especially when you are ordering more frequently or using additional services. Reviewing contracts now can help you negotiate better terms or catch unnecessary charges.
What to do:
- Review all active vendor and software subscriptions.
- Cancel or pause anything not essential through year-end.
- Confirm holiday delivery schedules and rush fees with key suppliers.
- Check that vendors have current W9s and contact information for tax reporting.
This review will tighten your overhead and eliminate surprises when the bills arrive in January.
6. Organize Year-End Tax Documents
Getting a head start on tax prep will save you major headaches later. Organize your records now while things are still calm.
Why this matters:
January is too late to realize you are missing receipts, 1099 information, or key deductions. Early preparation helps you plan cash flow for taxes instead of scrambling for money after the holidays.
What to do:
- Confirm your 1099 vendor list.
- Gather W9s from any contractors you paid this year.
- File digital copies of all receipts and invoices by month.
- Note any upcoming equipment or supply purchases that may qualify as deductible business expenses before year-end.
A clean, organized file system now means a smoother transition into tax season later.
7. Revisit Profit Allocations Before the Year Ends
Profit First businesses know that allocations are the heartbeat of financial health. The holidays often bring both opportunity and risk. You may earn record-breaking revenue, but you may also see high costs. Take time now to evaluate whether your allocation percentages still reflect your business goals.
What to do:
- Review your Q3 results and see if your current percentages still make sense.
- If your expenses have crept up, tighten OPEX slightly for the remainder of the year.
- Consider increasing your Profit or Tax allocation in Q4 if you anticipate a strong season.
Adjusting allocations ahead of the holidays helps you finish the year profitably and keeps your cash flow stable.
8. Confirm Your Financial Buffer
Finally, ensure your financial cushion is ready. The holidays bring extra expenses like overtime pay, holiday bonuses, and higher inventory orders. Review your reserve accounts to ensure you have a healthy safety net.
What to do:
- Check your reserve balances and confirm at least one month of OPEX is available.
- If your reserves are low, set a temporary plan to boost your allocations over the next few weeks.
- Label each account clearly (Fixed Reserve, Growth, or Crisis) so you always know its purpose.
A well-funded buffer keeps you from borrowing during the holidays and ensures your Profit First system runs smoothly even during busy months.
Make This Your Most Profitable Season Yet
Holiday success is not about working harder. It is about preparing smarter. By following this checklist, you’ll reduce stress, improve cash flow, and enter the busiest months of the year with clarity and control.
If you want extra help creating a customized strategy for the holiday season, join us for one of our most popular programs of the year.
🎁 Free Double Your December Webinar: Learn simple, actionable steps to maximize your revenue and profit during the holidays.
💡 Holiday Game Plan Workshop ($97): Build your personalized action plan for sales, cash flow, and year-end success.
