Accounting books sample entries

Updated: 20 October 2014

8 January 2013


Sample entries of accounting books for the Filipino freelancer

by Al Sabado

NB: The accounting book entries on this page are samples only. Please modify accordingly the "handwritten" entries  (e.g., add a column for non-operating income, such as dividends, miscellaneous, etc.) on your BIR-registered accounting books, based on the latest BIR Form 1701 (see pages 6 and 7) and the nature of your business as a freelancer or self-employed professional income earner. Thank you.

Just like fellow freelancers who asked me how to use the four (now five) BIR-registered accounting books or what to write on them, I too had the same concerns which I consulted with the personnel of BIR-RDO in Marikina: "Pa’no po gamitin ang books?" I was told, "Kung pa’no po ang alam nyo." What a relief to know that! My annual income remains to be much lower than five hundred thousand pesos, the amount requiring the expertise of a certified public accountant. So I simply follow the BIR personnel's advice and do what I know about bookkeeping. You may do that as well and be free from the unnecessary stress, worry, and confusion. Entries in all these books should be handwritten; they are only typed in the following samples for the purpose of presentation. You may use or change the book headings appropriate to the nature of your freelance work.

Among my favorite months. I have chosen to share here my book entries in January because this is the time I settle my premiums or contributions to Pag-IBIG, PhilHealth, and SSS. I encourage you to settle these three as well at the beginning of every year. Why? Because when priorities of the year pile up, human tendency leads some to think this way: "Ay sige, next month na lang ako ulit magre-remit ng contribution sa SSS." So to avoid skipping monthly contributions, let's settle our premiums first thing every new year and save up for the maximum contributions for the following year.

I know, some people have stopped contributing to their monthly SSS premiums due to the small amount pensioners receive upon reaching the age of 60. But since contributing to said institutions is mandated by law, we comply--and expand/diversify investments and monetary savings wherever, whenever possible. Remember the parable of the talents in Matthew 25:14-30? (See also Spend less, save more where I have mentioned options for investments.)

11 And that ye study to be quiet, and to do your own business, and to work with your own hands, as we commanded you;
12 That ye may walk honestly toward them that are without, and that ye may have lack of nothing. (1 Thessalonians 4:11-12)

Number of book columns. You may choose whichever is appropriate for your use. For example, you have eight headings for the cash disbursements, then you may opt not to buy a columnar with 12 or more columns.

Daily recording. I just notice that difficulty arises when I fail to record my transactions on a daily basis. Just imagine how a backlog of one month becomes a chore with our real work ongoing. . . . So do make time to record your transactions daily and avoid the unwanted hassle of doing everything in a single, protracted sitting.

These samples are intended for viewing only, not for sharing via Google docs. All entries are handwritten on the actual BIR-registered accounting books. You may modify content (column headings, etc.) based on the latest BIR Form 1701 and according to the requirements applicable to your freelance business.

Well, that's about it. Have a blessed day! ;)