Troubleshooting Common Accounting Problems
Troubleshooting Common Accounting Problems for Small Business Owners
Even the most organized small business owners run into accounting problems from time to time. From reconciliation errors to missing receipts, small mistakes can quickly snowball into major financial headaches if left unchecked.
The good news: most accounting issues are fixable when you know what to look for. In this guide, we’ll cover how to troubleshoot common accounting problems and when to call in your accountant for help.
Why Quick Troubleshooting Matters
Accounting problems don’t just affect your books — they can impact:
Cash flow: Inaccurate balances make it harder to pay bills or plan expenses.
Tax compliance: Small mistakes may trigger penalties or audits.
Business decisions: Faulty data leads to poor planning and lost opportunities.
The sooner you catch and fix errors, the easier it is to get back on track.
Common Accounting Problems (and How to Fix Them)
1. Reconciliation Errors
The problem: Your bank statement doesn’t match your accounting records.
How to troubleshoot:
Double-check for duplicate or missing transactions.
Confirm deposits and withdrawals are recorded correctly.
Look for timing differences (e.g., checks not yet cleared).
Use your accounting software’s reconciliation tool for guidance.
If you can’t identify the issue within an hour, ask your accountant to review it — unresolved reconciliation problems can snowball fast.
2. Missing or Incomplete Receipts
The problem: You can’t find documentation for a business expense.
How to troubleshoot:
Check digital records — many vendors email receipts.
Look through credit card statements for backup evidence.
Use expense tracking apps that automatically save receipts (e.g., Expensify, Shoeboxed).
Create a consistent filing system for future expenses.
3. Misclassified Transactions
The problem: Expenses or income are recorded in the wrong category.
How to troubleshoot:
Review your chart of accounts for accuracy.
Compare similar expenses to see how they’ve been classified.
Use rules or automation in your accounting software to reduce manual errors.
Have your accountant spot-check categories each quarter.
4. Payroll Mistakes
The problem: Employees are paid incorrectly, or tax withholdings are off.
How to troubleshoot:
Confirm hours worked match timesheets.
Check that tax rates and benefits deductions are current.
Review payroll reports before processing each run.
Consider outsourcing payroll to avoid costly errors.
5. Cash Flow Surprises
The problem: You suddenly don’t have enough money to cover expenses.
How to troubleshoot:
Review accounts receivable — are invoices overdue?
Identify recurring expenses you can cut or delay.
Compare projected vs. actual income and expenses.
Create a rolling 90-day cash flow forecast with your accountant.
6. Software Integration Issues
The problem: Your POS system, payroll platform, or bank feeds aren’t syncing properly.
How to troubleshoot:
Ensure all systems are updated to the latest version.
Disconnect and reconnect your bank feeds.
Manually import transactions when automated syncing fails.
Ask your accountant about software alternatives if problems persist.
When to Call Your Accountant
Some problems are simple to solve — others need professional eyes. Call your accountant if:
You’ve tried troubleshooting and the problem persists.
You notice repeated discrepancies in reconciliations.
You’re facing a tax filing deadline with unresolved errors.
Payroll or compliance issues could trigger penalties.
Remember: catching problems early saves time, stress, and money.
The Bottom Line
Accounting issues happen — but they don’t have to derail your small business. By knowing how to troubleshoot common problems like reconciliation errors, missing receipts, and payroll mistakes, you’ll keep your books accurate and your business healthy.
And when in doubt, lean on your accountant. Your accounting team is there not just to fix problems, but to help prevent them before they happen.
✅ Pro Tip: Keep a monthly checklist of common accounting tasks — like reconciliations, expense reviews, and payroll audits — to catch errors before they become costly.