If you’re mixing your personal and business expenses on the same credit card, you’re setting yourself up for a financial headache—and possibly losing money in the process. The simplest fix? Use separate credit or debit cards for business and personal expenses.
How Mixed Finances Hurt Your Business
When you don’t separate your finances, you run into several problems:
🚨 Messy bookkeeping – Sorting through transactions at tax time becomes a nightmare.
🚨 Missed tax deductions – If you’re not tracking properly, you could overlook expenses that qualify as write-offs.
🚨 Audit risk – If the IRS audits you, mixed transactions make it harder to prove which expenses are business-related.
🚨 Confusing cash flow – Blending expenses makes it difficult to see how much your business is truly making and spending.
The Easy Fix: Use Separate Accounts
✅ Assign a dedicated card for business expenses – If you have an Amex, Visa, or Mastercard, designate one specifically for business.
✅ Track your expenses properly – Use QuickBooks Online or another simple accounting software to monitor what you’re spending.
✅ Keep your records clean – Even if you’re unsure whether something is a write-off, track it anyway so your accountant can help you determine its eligibility.
Good Bookkeeping = More Money in Your Pocket
Bad bookkeeping costs business owners thousands of dollars every year—whether through missed deductions, overpaying taxes, or financial disorganization. The good news? You can start fixing it today with one simple step: separate your personal and business finances.
And if you want expert eyes on your tax strategy or need help setting up systems that make tracking easier, our team at J&S Accounting is here to help.
Fill out an intro questionnaire, we can chat on an intro call, and let’s make sure your fitness business is financially fit too.
