September Bookkeeping Reset: 5 Things Every Realtor Should Do Before the Busy Season
September has a way of making life feel a little more organized.
The kids are back in school, summer schedules are winding down, and you're finally getting back into a routine.
For Realtor moms, that can mean something else, too: a little more time to focus on your business.
And if your bookkeeping got pushed aside during the summer, September is the perfect time to hit reset.
Because as a Realtor, you don't have a predictable paycheck. You have closings, commission checks, slower months, busy months, marketing expenses, mileage, client gifts, and a whole lot of moving pieces.
When your income isn't consistent, knowing your numbers becomes even more important.
So before fall gets busy and the final quarter of the year flies by, let's get your books in order.
1. Look at Your Year-to-Date Commission Income
When was the last time you actually looked at how much your business has made this year?
Not the balance in your bank account.
Not the commission check you just received.
Your actual year-to-date business income.
Pull up your Profit & Loss and look at your total commission income so far this year.
Then ask yourself:
How much have I earned year-to-date?
How does that compare to last year?
Which months were strongest?
Which months were slower?
Do I have upcoming closings that will significantly change my income?
Am I on track to hit my annual income goal?
This is one of the biggest reasons I encourage Realtors to review their books monthly.
Your bank account tells you how much cash you have.
Your financial reports tell you how your business is actually performing.
And when your income can change dramatically from month to month, you need to know the difference.
2. Make Sure Every Commission Is Recorded Correctly
Realtor bookkeeping can get a little more complicated than simply recording money coming into the bank.
You may have gross commission income, brokerage splits, transaction fees, referral fees, marketing expenses, and other deductions happening around the same transaction.
That's why September is a great time to make sure your commission income is being recorded consistently.
Take a look at your recent closings and make sure your books reflect what actually happened.
If your commission was $10,000 but $2,000 went to your brokerage before the money hit your bank account, for example, you want to make sure your bookkeeping accurately reflects the transaction rather than simply recording the amount that landed in your account.
Your books should tell the story of your business.
If you're not sure whether yours do, that's a sign it's worth taking a closer look.
3. Review Your Realtor Expenses
Now let's talk about the money going out of your business.
Realtors have a lot of expenses that can add up quickly.
Think about:
MLS and association dues
Brokerage fees
Lead generation
Zillow or other advertising
Social media marketing
Business cards and signs
Photography and staging-related expenses
Client gifts
Continuing education
Licensing expenses
Software and subscriptions
Mileage and vehicle expenses
Cell phone and internet
Professional services
September is a great time to review these expenses and ask yourself:
Are these expenses actually helping me grow my business?
Maybe you've been paying for three different marketing platforms and only using one.
Maybe you're subscribed to software you forgot about.
Maybe your advertising budget has increased but your lead generation hasn't.
Your bookkeeping should help you spot those things.
And keeping accurate records throughout the year is also important when it comes to tax preparation. Realtors who are self-employed generally need to keep records of business income and expenses, including expenses that may be deductible. IRS: Licensed Real Estate Agents and Real Estate Tax Tips
4. Check Your Tax Savings Before Your Next Closing
Let's talk about everyone's favorite topic: taxes.
Okay, maybe not everyone's favorite.
But as a Realtor, this is something you can't afford to ignore.
When you're self-employed, taxes aren't automatically withheld from your commission checks the way they are with a traditional employee paycheck.
That means you need a plan for setting money aside.
And here's where having current bookkeeping makes a huge difference.
If you don't know your year-to-date income and expenses, how can you confidently decide how much you should be saving?
September is a great time to check your tax savings and make sure your plan still makes sense based on how your year is actually going.
And if your income has changed significantly since you estimated your taxes, this is a good time to connect with your CPA or tax professional.
For many self-employed taxpayers, September 15 is also the deadline for the third estimated tax payment of the year. IRS: Estimated Taxes
Your bookkeeper keeps the numbers organized.
Your tax professional helps you determine what those numbers mean for your tax situation.
You need both.
5. Get Your Books Ready for the Final Quarter
Here's the part I really want you to pay attention to.
You still have time.
September means there are only a few months left in the year—but that's actually a good thing.
You still have time to make intentional decisions about your business.
Maybe you want to hit a specific GCI goal.
Maybe you want to increase your average commission.
Maybe you want to invest more into lead generation.
Maybe you want to finally hire an assistant.
Maybe you want to increase your personal income.
Or maybe you simply want to finish the year feeling like you actually know what's happening with your money.
Whatever your goal is, your numbers should help guide the way.
Instead of asking, "Can I afford this?"
You can start asking better questions:
"What does my business actually have the capacity for?"
"Is this investment producing a return?"
"How much can I comfortably pay myself?"
"Am I on track for my income goal?"
That's the kind of confidence that comes from having clean, current books.
Your September Realtor Bookkeeping Reset
If your bookkeeping has been sitting on your "I'll get to it eventually" list, let September be the month you finally deal with it.
Start with these five things:
1. Review your year-to-date commission income.
2. Make sure your commissions are being recorded correctly.
3. Review your Realtor expenses.
4. Check your tax savings.
5. Get your books ready for the final quarter.
And if you're reading this thinking, "Nikole, this all sounds great, but when exactly am I supposed to find the time to do this?"
That's a fair question.
You're already juggling clients, showings, negotiations, inspections, contracts, closings, lead generation, marketing—and probably a family schedule on top of it all.
You shouldn't have to spend your evenings trying to figure out QuickBooks, too.
At Numbers By Nikole, I help busy Realtors keep their books organized, understand their numbers, and feel confident about where their business stands.
Because your bookkeeping should do more than help you prepare for tax season.
It should help you run your real estate business with clarity and confidence.
So as you settle into the September routine, take a little time to reset your business finances, too.
Your future self—and your CPA—will thank you.
Disclaimer
The content in this blog post is intended for general informational purposes only and does not constitute professional tax, accounting, or legal advice. I am a bookkeeper, not a Certified Public Accountant or licensed legal professional. While I strive to share accurate and helpful information, I make no guarantees regarding the accuracy, completeness, or applicability of this content to your specific situation. Please consult a qualified tax or legal professional before making any financial decisions. I am not liable for any actions taken based on the information provided in this post.
