What's still charging your card every month?

A carpet cleaning company. Reviewing May, I went through the software and insurance lines with the owner. Not the totals. The charges, one at a time.

Three things came up in a few minutes.

A small business insurance policy, paid by credit card. He was sure he had two policies, both with other companies. He didn’t recognize this one.

A tool costing about $300 a year. He told me to cancel it on the spot.

A free trial he forgot to cancel. $115. His comment on that one is not printable.

None of these is big. That is the problem. Small recurring charges never set off an alarm. A bookkeeper codes them to the right account every month, the account looks normal, and nobody asks whether the business still wants them. Coded correctly is not the same as needed.

They also add up in a way you don’t feel. A trial that turns into a subscription is not one $115 charge. It is $115 every cycle until someone notices. An insurance policy you don’t know about is either coverage you are paying for twice, or a charge that isn’t yours. Either way you want to know before it renews.

They survive because they are deductible. A deduction gives you back a fraction of the charge. Canceling gives you back all of it.

What to do before year end:

1. List every charge that repeats on your business cards and bank account.
2. For each one, name who uses it. If nobody can, cancel it.
3. Call about any insurance charge you don’t recognize. Ask what it covers and who sold it.
4. Put the renewal dates for the ones you keep on your calendar.

In QuickBooks Online, go to Reports and open Transaction Detail by Account. Set the dates to the last 90 days and filter to your software, subscriptions, and insurance accounts. Sort by name. Read the list and circle every name you can’t explain.

If your card has charges like these, start the 5-minute intake.