Category: Business Bookkeeping
Why “Bookkeeping by Download” is Bad Practice
There are so many products, including QuickBooks, that allow a user to do what I call “bookkeeping by download”; the process of linking a bank account to QuickBooks and downloading those transactions automatically, bypassing the manual entry method. While this may seem like a timesaver, it’s not a good practice. Income and expenses that have […]
7 Reasons for Small Business Owners to Outsource their Bookkeeping
Do bookkeeping chores take too much time away from your core business? Is employing a bookkeeper cost-prohibitive? If so, outsourced bookkeeping may be the perfect solution. It will help you: 1 – Reduce overhead costs Employing a bookkeeper in-house is expensive. The cost includes not just salary and benefits, but other expenses like payroll taxes […]
Cross-Reference Your Cash Receipts for Easier and More Accurate Bookkeeping
Reconciling your company bank statements does not have to be an onerous chore. Of course, it’s much easier to track customer payments by credit card or check, but what about reconciling your bank statements when it comes to cash receipts? By implementing a few steps into your bookkeeping process, you can make it much easier […]
Good Business Performance Starts with Good Record Keeping
Good financial record keeping is vital to the success of any business. Good records help plan for the future, prepare accurate financial statements and tax returns, and enable business owners to create sensible budgets and cash flow projections. How keeping good records is good business – Your bookkeeping records help you make smarter and well-informed […]
Are your books well adjusted?
Keeping accurate financial records means more than recording every sale and expense and bookkeeping adjusting entries. You may think that as long as someone is recording every sale you make and every expense you pay, you’re doing well. But some important items don’t get into the books simply by recording daily transactions. Appropriate adjusting entries […]
How to prove business expenses
All businesses must keep records in order to prove business expenses. Good records can help a business prepare its business tax returns as well as support items reported on the returns. All taxpayers must also keep business records for the IRS. To claim any deduction, a business owner (or taxpayer) must prove what the expenses […]
Separate Business Bank Accounts and Credit Cards
If you run a small business, it may seem simplier to use one bank account for all your money – personal and business. As Marcia Van Norman CPA of Round Rock, Texas explains, mixing business and personal funds is not the ideal approach. Separate Business Bank Accounts and Credit Cards Marcia: While it is technically […]
Independent Contractor vs. Employee
With today’s technology and ease of communication, employers often hire independent contractors who work remotely – the obvious benefits are cost savings on a number of levels including employment taxes. What determines an Independent Contractor vs Employee? Dave Heistein of Profitwise Accounting, Inc. in San Diego discusses this often murky subject. Dave: At first glance, […]
Bookkeeping and Accounting – what are the differences?
Business owners often feel there is little difference between bookkeeping and accounting. Popular accounting software like QuickBooks allows business owners to produce their own P&L and balance sheets, but is this all there is to it? Tu Dao, a CPA in Houston, Texas discusses the differences between bookkeeping and accounting, and how the evolution of […]
Don’t hire a bookkeeper or accountant solely on their hourly rate
Don’t hire a bookkeeper or accountant solely on their hourly rate Hiring a bookkeeper or accountant solely on their hourly rate can result in an experience similar to buying cheap shoes: Bad fit, wear out easily, funky style. John Turcott offers advice on how to choose a bookkeeper or accountant and what questions to ask. […]
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