LLC Accounting & Bookkeeping Guides

Yes. Mixing personal and business funds (called "commingling") is one of the most common mistakes LLC owners make and can jeopardize your liability protection. Always keep a dedicated business bank account and business credit card.

LLCs should keep bank statements, receipts for all business expenses, invoices, contracts, payroll records, tax returns, and formation documents. The IRS generally recommends keeping records for at least 3–7 years depending on the document type.

Not legally required, but strongly recommended. Accounting software like QuickBooks, Wave, or FreshBooks makes tracking income, expenses, and preparing for tax time significantly easier and reduces errors.

For most small LLCs, a bookkeeper handles day-to-day transaction recording, while a CPA reviews financials and files tax returns. You can also DIY bookkeeping with software if your business is simple, but a CPA for tax filing is generally worth the cost.