Do your patients/clients sometimes pay you in cash? 💶 That's why it's mandatory to keep track of these payments in a cash book (for both individuals and companies).
The professions particularly concerned are physiotherapists, osteopaths, psychologists, general practitioners, logopedists, psychomotricians, chiropodists, occupational therapists, medical specialists, beauticians, pedicurists/manicurists, masseurs, coaches, etc.
What is a cash book?
Just as transactions in your bank account are recorded in bank statements, cash movements must be tracked in a similar system, called a cash book 📙
For bank movements, banks are responsible for recording your transactions and keeping an up-to-date balance of your business account. For cash movements, the obligations are the same, but you must record all transactions yourself 💾
Fortunately, BILLY is here to help you, and provides you with a tool to manage this with complete peace of mind 🏖️ Discover it here
How it works in a nutshell
Once you receive a cash benefit as part of your business, it belongs to your company's assets. If you use part of it for your own private use, it's like paying yourself a salary 💵
A cash balance exists from this point onwards, representing the amount of cash you have at any given time 🔢
So that there is no difference between the amount actually possessed and your cash balance, Each use must be indicated in the cash book 📊 Whether for private use (this is similar to wages), a deposit into your business bank account or payment to a supplier.
💡It's important to make a clear distinction between professional and private cash. As soon as you collect cash, it belongs to your company's assets. You must therefore always keep a record of how you use it.
In the past, cash movements had to be recorded in a paper ledger on a daily basis, and the balance calculated manually. Electronic tracking is now possible, albeit subject to strict legislation. Transactions must not be modifiable, so using an Excel file will be challenged in a tax audit ⛔
What's the difference between a revenue book and a cash book?
Belgian tax law requires separate tracking of income and financial movements 📖
Income is recorded in a revenue book, financial movements in a bank book (for your bank account) and a cash book (for cash movements).
The revenue book records all your services, regardless of the method of payment. If you need to issue invoices, these will be recorded in another journal, the billing journal.
The cash book contains the history of your cash transactions. It records cash receipts and payments, but does not record income or expenditure. These movements increase and decrease your cash balance.
Your income is therefore declared and taken into account via the receipts book, not the cash book. The cash book only records cash flows.
How can BILLY help me?
With BILLY, you have the all-in-one tool for managing your income and cash movements 😌
Thanks to BILLY, you fulfill the obligation to keep a receipt book and a cash book in a single operation ! ⏱️ When you create a cash entry, an income is added to your recipe book and a financial movement is added to your cash book at the same time.
No more Excel files or loose sheets on your desk. Encode your income directly in the app!
👉 Find out how to keep your cash journal here 👈