Diane Kennedy, CPA
How to Simplify Your Solo Business Finances with AI
You run a solo business—but that doesn’t mean you have to go it alone. When it comes to managing your business finances, hiring an accountant can...
You can do your own bookkeeping, but accuracy, consistency, and tax readiness matter more than control. Learn when DIY works, when it breaks down, and how business owners protect their time and confidence as they grow.
The honest answer is yes, you can do your own bookkeeping. But whether you should depends on your business, your skills, and your time.
Most business owners can learn the basics. The problem is that “basic” bookkeeping is not the same as bookkeeping that is accurate, consistent, and ready for tax filing.
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Take QuizWhat Doing It Well Actually Requires
Good bookkeeping is not just about entering transactions. It requires time, consistency, and understanding.
You have to reconcile bank and credit card accounts regularly, categorize expenses correctly, and catch issues while they are still small. You also have to understand what the numbers mean, not just that they exist on a dashboard.
Even as a CPA, I do not do my own bookkeeping. Not because I can’t. It’s because it is not the best use of my time.
Many business owners reach the same conclusion when they realize how much attention good bookkeeping requires.
When DIY Bookkeeping Can Work
DIY bookkeeping can work well when a business is simple and has low transaction volume. If you have one bank account, a manageable number of expenses, no inventory, and no payroll, it may be reasonable to keep your own books, especially early on.
The key is staying consistent. Doing it once a quarter is usually where problems begin.
When DIY Tends To Break Down
Bookkeeping becomes harder when the business gets more complex.
Common breaking points include payroll, sales tax, contractors and 1099s, multiple accounts, rapid growth, and situations where tax planning matters.
Even small businesses can hit complexity quickly once there are employees, benefits, or an S corporation involved. Or the owner simply gets too busy to deal with the methodical nature of bookkeeping.
When your bookkeeping falls behind, it stops being bookkeeping and becomes cleanup. Cleanup costs more and creates stress right when you least want it.
A Hybrid Approach May Work Best
Some business owners do well with a hybrid system.
The goal is to have confidence that your numbers are right, without having to personally manage bookkeeping every week.
You handle the day-to-day basics, and Lettuce uses AI-powered bookkeeping with built-in oversight to automatically categorize transactions, reconcile accounts, and keep your books continuously tax-ready. This removes the manual busywork while still giving you accurate, reliable numbers you can trust.
The Bottom Line
DIY bookkeeping is possible, but it is not always the best use of your time.
The real question is whether your system produces accurate numbers you can rely on. Confidence matters more than control.
Frequently Asked Questions About Doing Your Own Bookkeeping
Can I do my own bookkeeping as a small business owner?
Yes, especially if your business is simple. The key is doing it consistently and reconciling accounts regularly.
And, while you can, should you?
When should I hire a bookkeeper?
When your bookkeeping falls behind, payroll is involved, the business grows more complex, or you need reliable numbers for tax planning and decision-making, you’ll probably realize it’s too much.
Now is the time to get help. Don’t wait until you’re looking at missed tax filings and penalties.
Is bookkeeping software enough on its own?
Software helps, but it still depends on accurate inputs and regular review. A good system includes both tools and oversight.
Lettuce is built for business owners who want clean, accurate books without spending hours managing them. With AI-powered bookkeeping, automated reconciliations, and continuously tax-ready financials, Lettuce helps you stay compliant, confident, and focused on growing your business instead of chasing numbers.
If you’re ready to stop worrying about whether your books are right, try Lettuce and get started today!
For more guidance from Diane Kennedy, CPA—bestselling author, strategic tax consultant, and founder of USTaxAid and KennedyTax.Tax—visit her author page.