{"id":10428,"date":"2025-11-11T10:00:00","date_gmt":"2025-11-11T15:00:00","guid":{"rendered":"https:\/\/www.ontariobusinesscentral.ca\/blog\/?p=10428"},"modified":"2026-01-08T14:46:31","modified_gmt":"2026-01-08T19:46:31","slug":"bookkeping-for-beginners","status":"publish","type":"post","link":"https:\/\/www.ontariobusinesscentral.ca\/blog\/bookkeping-for-beginners\/","title":{"rendered":"Bookkeeping for Beginners (Side Hustle Series)"},"content":{"rendered":"\n<p class=\"wp-block-paragraph\">Invoices are the lifeblood of getting paid for your side hustle. But once you add in tracking expenses, things can start to feel overwhelming fast. Misplaced invoices or missing expense reports can send you down a time-consuming rabbit hole.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">That\u2019s where bookkeeping comes in. Think of it as your side hustle\u2019s organizational backbone: a simple way to track income, monitor expenses, and keep everything in order. In this post, we\u2019ll walk through how bookkeeping helps you stay organized and save time.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><a href=\"https:\/\/www.ontariobusinesscentral.ca\/blog\/why-start-a-side-hustle-in-canada\/\">Why Start a Side Hustle in Canada?&nbsp; (Side Hustle Series)<\/a><\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><a href=\"https:\/\/www.ontariobusinesscentral.ca\/blog\/register-a-business-while-working-full-time-ontario\/\">How to Register a Business While Working Full-Time (Side Hustle Series)<\/a><\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><a href=\"https:\/\/www.ontariobusinesscentral.ca\/blog\/the-right-business-structure-for-your-side-hustle-ontario\/\">Choosing the Right Business Structure for Your Side Hustle (Side Hustle Series)<\/a><\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><a href=\"https:\/\/www.ontariobusinesscentral.ca\/blog\/tax-basics-for-side-hustlers-in-canada\/\">Tax Basics for Side Hustlers in Canada (Side Hustle Series)<\/a><\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><a href=\"https:\/\/www.ontariobusinesscentral.ca\/blog\/invoicing-and-getting-paid\/\">Invoicing &amp; Getting Paid (Side Hustle Series)<\/a><\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Why Bookkeeping Matters for Your Side Hustle<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Bookkeeping is essential for helping track your business&#8217;s finances. It can be done via software or spreadsheets, depending on your preference. Key benefits include:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Tracking income and expenses to review your business&#8217;s financial health<\/li>\n\n\n\n<li>Staying organized before tax season<\/li>\n\n\n\n<li>Helping you decide when to upgrade your side hustle to a full-time small business<\/li>\n\n\n\n<li>A smoother transition for <a href=\"https:\/\/www.ontariobusinesscentral.ca\/incorporation.php\">incorporating your business<\/a><\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\">Getting Started: Bookkeeping Basics<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Instead of waiting until things get messy, we recommend setting up a system from the start:<\/p>\n\n\n\n<ol class=\"wp-block-list\">\n<li><strong>Select Bookkeeping Format:<\/strong> Spreadsheets are fine when you\u2019re starting out, but software can save time as you grow.<br><\/li>\n\n\n\n<li><strong>Track Expenses:<\/strong> Save receipts and invoices to track sales, supplies, and subscriptions.<br><\/li>\n\n\n\n<li><strong>Separate Accounts:<\/strong> Keep personal and business accounts apart to avoid mix-ups and make reporting easier.<\/li>\n<\/ol>\n\n\n\n<h2 class=\"wp-block-heading\">Sole Proprietorship and Why It Matters for Bookkeeping<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">If you\u2019re running a business under your name, with no other descriptive words, you won\u2019t need to register for a <a href=\"https:\/\/www.ontariobusinesscentral.ca\/blog\/what-is-a-sole-proprietorship\/\">Sole Proprietorship<\/a>. But if you\u2019re using a business name or registering for a General Partnership, then you will need to <a href=\"https:\/\/www.ontariobusinesscentral.ca\/forms\/business-registration.php\">register your business<\/a>.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">At Ontario Business Central, we can help with registration that will be valid for five years. The cost for getting started is approximately:<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>$66 + $60 (non-taxable government fee) + $16 (OBC handling fee) + 13% HST = $152.66<\/strong><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Once registered, you will be able to hire employees and set up a business banking account. Connecting your business allows you to set up things like HST and payroll, which provides you with all the information you need for bookkeeping.<\/p>\n\n\n\n<figure class=\"wp-block-image size-full\"><a href=\"https:\/\/www.ontariobusinesscentral.ca\/forms\/sole-proprietorship-registration.php\"><img decoding=\"async\" width=\"1000\" height=\"524\" src=\"https:\/\/www.ontariobusinesscentral.ca\/blog\/wp-content\/uploads\/2024\/08\/start-a-business-sole-proprietorship-cta.webp\" alt=\"Smiling small business owner in apron promoting sole proprietorship registration services with OBC\" class=\"wp-image-10224\" srcset=\"https:\/\/www.ontariobusinesscentral.ca\/blog\/wp-content\/uploads\/2024\/08\/start-a-business-sole-proprietorship-cta.webp 1000w, https:\/\/www.ontariobusinesscentral.ca\/blog\/wp-content\/uploads\/2024\/08\/start-a-business-sole-proprietorship-cta-300x157.webp 300w, https:\/\/www.ontariobusinesscentral.ca\/blog\/wp-content\/uploads\/2024\/08\/start-a-business-sole-proprietorship-cta-768x402.webp 768w\" sizes=\"(max-width: 1000px) 100vw, 1000px\" \/><\/a><\/figure>\n\n\n\n<h2 class=\"wp-block-heading\">Bookkeeping Tips for Sole Proprietors<\/h2>\n\n\n\n<h3 class=\"wp-block-heading\">1. Open a Separate Bank Account<\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">Once you register your business, you\u2019ll have the option to open a business bank account. This keeps personal and business finances separate, making it easier to track and manage them.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">2. Use Consistent Categories for Expenses<\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">Sort expenses into categories like advertising, supplies, or transportation. Consistency keeps your records clean and makes tax time easier.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">3. Track your HST<\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">If your revenue is close to $30,000 in a calendar year, you\u2019ll need to register for an <a href=\"https:\/\/www.ontariobusinesscentral.ca\/blog\/do-i-need-an-hst-number-for-a-sole-proprietorship\/\">HST account<\/a> with the Canada Revenue Agency. Good bookkeeping helps you spot this before you cross the line, so you don\u2019t get caught with unexpected expenses.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">4. Keep Digital Copies of Receipts<\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">Snap photos or save PDFs of your receipts and invoices, then save receipts and invoices digitally so you won\u2019t have to risk losing necessary paperwork. Additionally, the CRA accepts digital records, so you won\u2019t need to hunt for paper copies during tax season.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Small Business Success Starts with Good Bookkeeping<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Building good bookkeeping habits early on sets your side hustle up for long-term success. With your finances organized, you\u2019ll have the confidence to grow your business and focus on what matters most. Ontario Business Central is <a href=\"https:\/\/www.ontariobusinesscentral.ca\/contactus.php\">here to support you<\/a> with registration and beyond, so you can keep your side hustle running smoothly and enjoy doing what you love.<\/p>\n\n\n\n<p class=\"has-text-align-center wp-block-paragraph\"><a href=\"m&#97;&#x69;&#x6c;&#x74;o&#58;&#105;&#x6e;&#x71;u&#105;&#114;&#x69;&#x65;s&#64;&#111;&#x6e;&#x74;&#x61;r&#105;&#x6f;&#x62;&#x75;s&#105;&#110;&#x65;&#x73;s&#99;&#101;&#x6e;&#x74;ra&#108;&#x2e;&#x63;&#x61;\">&#x69;&#x6e;&#113;&#117;ir&#x69;&#x65;&#x73;&#64;on&#x74;&#x61;&#x72;&#105;&#111;b&#x75;&#x73;&#x69;&#110;&#101;s&#x73;&#x63;&#x65;&#110;&#116;ra&#x6c;&#x2e;&#x63;&#97;<\/a><br>Toll-Free: 1-800-280-1913<br>Local: 1-416-599-9009<br>Fax: 1-866-294-4363<br>Office Hours: 9:00am \u2013 5:00pm<br>Monday \u2013 Friday E.S.T.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><em>Ontario Business Central Inc. is not a law firm and cannot provide a legal opinion or advice. This information is to assist you in understanding the requirements of registration within the chosen jurisdiction. It is always recommended, when you have legal or accounting questions that you speak to a qualified professional.<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Invoices are the lifeblood of getting paid for your side hustle. But once you add&#8230;<\/p>\n","protected":false},"author":3,"featured_media":10429,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_kad_post_transparent":"","_kad_post_title":"","_kad_post_layout":"","_kad_post_sidebar_id":"","_kad_post_content_style":"","_kad_post_vertical_padding":"","_kad_post_feature":"","_kad_post_feature_position":"","_kad_post_header":false,"_kad_post_footer":false,"_kad_post_classname":"","footnotes":""},"categories":[133,188],"tags":[180,179,172,143,161],"class_list":["post-10428","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general-advice-resources","category-side-hustles","tag-business-planning","tag-new-business-owners","tag-side-hustle","tag-sole-proprietorship","tag-taxes"],"rttpg_featured_image_url":{"full":["https:\/\/www.ontariobusinesscentral.ca\/blog\/wp-content\/uploads\/2025\/10\/bookkeeping-101-calculating-business-expenses.webp",1150,768,false],"landscape":["https:\/\/www.ontariobusinesscentral.ca\/blog\/wp-content\/uploads\/2025\/10\/bookkeeping-101-calculating-business-expenses.webp",1150,768,false],"portraits":["https:\/\/www.ontariobusinesscentral.ca\/blog\/wp-content\/uploads\/2025\/10\/bookkeeping-101-calculating-business-expenses.webp",1150,768,false],"thumbnail":["https:\/\/www.ontariobusinesscentral.ca\/blog\/wp-content\/uploads\/2025\/10\/bookkeeping-101-calculating-business-expenses-150x150.webp",150,150,true],"medium":["https:\/\/www.ontariobusinesscentral.ca\/blog\/wp-content\/uploads\/2025\/10\/bookkeeping-101-calculating-business-expenses-300x200.webp",300,200,true],"large":["https:\/\/www.ontariobusinesscentral.ca\/blog\/wp-content\/uploads\/2025\/10\/bookkeeping-101-calculating-business-expenses-1024x684.webp",1024,684,true],"1536x1536":["https:\/\/www.ontariobusinesscentral.ca\/blog\/wp-content\/uploads\/2025\/10\/bookkeeping-101-calculating-business-expenses.webp",1150,768,false],"2048x2048":["https:\/\/www.ontariobusinesscentral.ca\/blog\/wp-content\/uploads\/2025\/10\/bookkeeping-101-calculating-business-expenses.webp",1150,768,false],"obc-archive-card":["https:\/\/www.ontariobusinesscentral.ca\/blog\/wp-content\/uploads\/2025\/10\/bookkeeping-101-calculating-business-expenses-720x405.webp",720,405,true],"obc-archive-card-2x":["https:\/\/www.ontariobusinesscentral.ca\/blog\/wp-content\/uploads\/2025\/10\/bookkeeping-101-calculating-business-expenses.webp",1150,768,false],"obc-archive":["https:\/\/www.ontariobusinesscentral.ca\/blog\/wp-content\/uploads\/2025\/10\/bookkeeping-101-calculating-business-expenses-960x540.webp",960,540,true],"obc-archive-2x":["https:\/\/www.ontariobusinesscentral.ca\/blog\/wp-content\/uploads\/2025\/10\/bookkeeping-101-calculating-business-expenses.webp",1150,768,false],"rt_custom":["https:\/\/www.ontariobusinesscentral.ca\/blog\/wp-content\/uploads\/2025\/10\/bookkeeping-101-calculating-business-expenses.webp",1150,768,false]},"rttpg_author":{"display_name":"Laura Harvey","author_link":"https:\/\/www.ontariobusinesscentral.ca\/blog\/author\/laura-harvey\/"},"rttpg_comment":0,"rttpg_category":"<a href=\"https:\/\/www.ontariobusinesscentral.ca\/blog\/category\/tips-resources\/general-advice-resources\/\" rel=\"category tag\">General Advice &amp; Resources<\/a> <a href=\"https:\/\/www.ontariobusinesscentral.ca\/blog\/category\/tips-resources\/side-hustles\/\" rel=\"category tag\">Side Hustles<\/a>","rttpg_excerpt":"Invoices are the lifeblood of getting paid for your side hustle. But once you add...","_links":{"self":[{"href":"https:\/\/www.ontariobusinesscentral.ca\/blog\/wp-json\/wp\/v2\/posts\/10428","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.ontariobusinesscentral.ca\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.ontariobusinesscentral.ca\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.ontariobusinesscentral.ca\/blog\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.ontariobusinesscentral.ca\/blog\/wp-json\/wp\/v2\/comments?post=10428"}],"version-history":[{"count":2,"href":"https:\/\/www.ontariobusinesscentral.ca\/blog\/wp-json\/wp\/v2\/posts\/10428\/revisions"}],"predecessor-version":[{"id":10694,"href":"https:\/\/www.ontariobusinesscentral.ca\/blog\/wp-json\/wp\/v2\/posts\/10428\/revisions\/10694"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.ontariobusinesscentral.ca\/blog\/wp-json\/wp\/v2\/media\/10429"}],"wp:attachment":[{"href":"https:\/\/www.ontariobusinesscentral.ca\/blog\/wp-json\/wp\/v2\/media?parent=10428"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.ontariobusinesscentral.ca\/blog\/wp-json\/wp\/v2\/categories?post=10428"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.ontariobusinesscentral.ca\/blog\/wp-json\/wp\/v2\/tags?post=10428"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}