Special situations
Multi-year catch-up
Years of unreconciled books get brought current in one scoped engagement: every backlog period categorized against bank and card statements, every correction logged, and opening balances agreed before monthly bookkeeping resumes. Vendor payments are checked against the 1099-NEC reporting threshold along the way, so nonemployee compensation is coded correctly from the start rather than corrected later at filing time.
Bank reconciliation summary
Illustrative client · August 2026
USD
| Account | Difference | Status | ||
|---|---|---|---|---|
| Operating account··4821 | 184,220.16 | 184,220.16 | 0.00 | Reconciled |
| Reserve account··0937 | 60,000.00 | 60,000.00 | 0.00 | Reconciled |
| Company card··1006 | (12,418.52) | (12,418.52) | 0.00 | Reconciled |
| Card processor clearing | 8,905.40 | 8,905.40 | 0.00 | Reconciled |
| Payroll clearing | 0.00 | 0.00 | 0.00 | Reconciled |
Last weekly runFri, Aug 28, every account agreed to its statement.
Two open itemsTwo card receipts requested from you, marked on the card account until they arrive.
Illustrative. An example of the document, not a client's figures.
What a multi-year catch-up covers
A backlog rarely stops at one bad month. Two or three years of backlog is typical, sometimes longer, with bank feeds that were never reconciled and a chart of accounts that stopped matching how the business actually runs. We start by pulling every available bank, card and processor statement for the full backlog period and reconciling against them directly, rather than trusting whatever was entered at the time.
Every correction goes into a written adjustments log: what changed, why, and which period it affects. That log matters more than it sounds. A lender, an investor, or the IRS reviewing a prior filing can trace any figure back to a specific fix instead of taking a clean-looking report on faith. Once the backlog is reconciled, we agree opening balances with you so ongoing monthly bookkeeping starts from a base that actually holds.
Contractor and vendor payments get particular attention during a catch-up, because the IRS reporting threshold for Form 1099-NEC and Form 1099-MISC nonemployee compensation rises from $600 to $2,000 for payments made in 2026 and later years. Getting vendor coding right across the backlog avoids a scramble when January 31 filing deadlines come around. Where a catch-up surfaces amounts that belong on an overdue federal return, we prepare the supporting numbers; the return itself is signed and filed by your credentialed preparer, per IRS practice-before-the-IRS rules.
Most multi-year catch-ups run alongside records reconstruction when documentation is thin, and often feed directly into a switching-from-Bench or similar provider transition. See how it works for the intake process.
Questions
Frequently asked questions: Multi-year catch-up
How far back can a bookkeeping catch-up go?
As far back as you have bank and card statements. We scope the engagement by backlog period once the accounts and volume involved are reviewed, and quote per backlog period rather than one flat fee.
Will a catch-up change numbers already reported to the IRS?
Only where the reconciliation shows a genuine error, and every change is recorded in a written adjustments log. We do not amend a filed return; your credentialed preparer decides whether an amendment is needed.
Does the new 1099-NEC threshold change how you code old vendor payments?
The $2,000 threshold applies to payments made in 2026 and later, so backlog years before that stay on the prior $600 threshold; we code each year to the rule that applied at the time.
What does multi-year catch-up actually include, month to month?
Multi-year catch-up covers every backlog year sorted into categories and reconciled to bank, card and processor statements, along with a written adjustments log covering each correction made to prior periods. The work runs inside QuickBooks Online, Xero, Dext or Hubdoc, the file stays under your own subscription, and a senior principal reviews the output before it reaches you each period.
What access do you need to start multi-year catch-up?
View or edit access to QuickBooks Online, Xero, Dext or Hubdoc is enough to begin; nothing about your existing subscription or login changes on our side. Any additional access needed for a specific deliverable, such as a bank portal or receipt inbox, is agreed with you first, and the scope is set out in your engagement letter.
How many years can you catch up at once?
As many as you have statements for. We scope the engagement by backlog period once the accounts and the volume involved are reviewed.
Will catch-up work change numbers you already reported?
Only where the records show an error, and every change is recorded in a written adjustments log you can review.
Do you handle overdue tax filings as part of a catch-up?
We prepare the books and the supporting schedules; a credentialed signer or registered filing partner handles the actual filing.
What is included in multi-year catch-up?
Multi-year catch-up covers every backlog year sorted into categories and reconciled to bank, card and processor statements and a written adjustments log covering each correction made to prior periods. The exact scope is agreed and set out in writing before work starts, so you know precisely what is and is not covered before the first deliverable arrives.
Related services
- BookkeepingCatch-up and cleanup bookkeepingMonths or years of books brought up to date and reconciled, with a written record of every adjustment, so monthly bookkeeping can start from a clean base.
- Special situationsRecords reconstructionRebuilding a business's financial history from bank statements, receipts and other source documents when the original books are incomplete, lost or unreliable.
Industries
- Ecommerce (Amazon and Shopify)Bookkeeping for online sellers on Amazon, Shopify, Etsy and their own storefronts, built around clean payout and sales tax data.
- Restaurants and multi-entity franchise groupsBookkeeping for restaurant groups and franchise operators running several locations or legal entities at once.
- Startups and VC-backed companiesBookkeeping and reporting for early-stage, venture-backed companies watching burn, runway and investor reporting closely.
Next step
Talk to the team that would run your books
A short call covers your setup, your software and what a first month would look like. You get a written scope and price after it.