A $325 charge could have easily been categorized as “Software Expense” and forgotten.
But something about it bothered me.
Recently, while reconciling the bank accounts for one of our real estate clients, we noticed two recurring charges from Wix subscription.
One was around $18.
The other was $325.
Every month.
From a bookkeeping perspective, this would have been easy.
Categorize both transactions under Software or Dues & Subscriptions.
Reconcile the account.
Move on.
But I kept looking at that $325 charge.
Why would a real estate agent be paying Wix $325 every month when there was already another Wix subscription for $18?
So I asked her.
“Do you know what this $325 Wix charge is for?”
She looked surprised.
“No. I only pay them about $18.”
That’s when we went deeper.
The $325 charge had been coming out of her account for the last six months.
That’s $1,950.
And she didn’t even realize it.
This is exactly why I believe accounting should be about more than simply putting transactions into the right category.
Categorizing the transaction tells you where the money went.
Advisory asks:
Why did the money go there in the first place?
Is this expense necessary?
Is the client being charged correctly?
Is there a duplicate subscription?
Has the cost quietly increased?
Can we find a better alternative?
Business owners are busy running their businesses.
And sometimes recurring charges quietly become part of the background.
Our job as CFO advisors is to notice when something doesn’t look normal and ask the next question.
Because sometimes the biggest value isn't in preparing another report.
It's noticing one transaction that nobody else questioned.
That’s the difference between recording the numbers and actually paying attention to what the numbers are trying to tell you.
When was the last time you looked closely at every recurring charge coming out of your business bank account?
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