Mixing accounts happens — here’s how to handle it:
Steps:
- Identify personal transactions in business accounts
- Categorize them as Owner’s Draw or Personal Expense
- Submit receipts if you want them documented
- Avoid repeating the pattern — consider separate accounts
Why it matters:
- Keeps your taxes accurate
- Protects your business from audit issues
- Gives a true picture of profits
Tip: Even small personal expenses in business accounts should be tracked — it’s easier than cleaning up later.