It's tax time. Do you have your paperwork together and are all your statements reconciled? Before you start pulling your bank statements and backup support paperwork together for your accountant for last year's tax return, you should go through and reconcile your credit card statements for your small business. Why? You may ask. We all know that reconciling a bank account makes it easier to confirm the funds are correct. It will limit the error of bounced checks and improper managing of accounts … [Read more...]
How To Organize Employee Records in Your Small Business
How do you keep your employee's paperwork? Do you have one folder for each employee? Or, are they all in one folder? Do you know where all your employee paperwork is? Do you have subcontractors? Where are all the sensitive W-9 and W-2 paperwork? Are they in a secure place? Every small business needs to keep employee records. I have found that several small businesses do not know where all their paperwork is. And, if this information falls into the wrong hands, you could be creating undue … [Read more...]
Easy Ways to Track Mileage for Your Small Business
Whether you are tracking your small business mileage for tax purposes or tracking mileage to bill clients, it is important to keep good records. It's really frustrating and stressful at the end of the year, you are missing information because you didn't track it properly or consistently. Then, you have to run around tracking down all the information that should have been tracked all along. I know we have all been there. But, this year, let's vow to keep our mileage tracking more accurate by … [Read more...]
Benefits and Tips to Revisit Paper Files Yearly
If you needed a piece of paper from 10 years ago, how easy would it be to get it? Not many small business owners who have worked for years could say they would be able to find a piece of paper from 10 years ago. And, that is OK. We all don't keep every single piece of paper, though I found while working with several small businesses that not finding that piece of paper gives them undue stress for days if not weeks trying to find it. So, instead of stressing about lost papers, let's create a … [Read more...]
A Complete Guide to Home Office and Business Deductions
As a small business owner, you probably have lots of deductions for your business. But are you taking all the deductions? There are probably deductions you don't want to make because 1. you don't have the paperwork to support it or 2. You have paperwork, but it's so disorganized that you just don't have the time to sort them. To make your life a little easier this time of year, I created this post with business deductions tips to make this process simpler to manage. First, use a software like … [Read more...]
Tips To Be Better Prepared for EOY Tax Return
Each year, we need to go through paperwork and create some order so we can give it to our accountant, right. We may have to go through piles and piles of neglected papers and receipts to find those tax deductible gold copies that will help us. We all gather these receipts each year, but we don't have to spend a lot of time doing this task. I swear we don't have to spend a lot of time at all. Here are my favorite tips to help be better prepared for the end of year business … [Read more...]
Tips On How Long I Should Keep Business Records
How long do you keep your business files? Do you keep them forever or do you get rid of them after a certain length of time? Keeping files for a business is different from keeping your personal files. There are many different types of files that need to be kept at different lengths of time. Over the years small business owners have asked me these questions. To be honest, the IRS doesn't have a clear, across the board answer to this question so here is what I suggest. If you wish to visit the … [Read more...]
1099-Misc Minimum Discrepancy
Each year, businesses are required to send 1099-misc for subcontractors that work for them. The minimum dollar amount that needs to be reported on a 1099-misc box 7 is $600.00. It has been that way for years. It's pretty straightforward. If your subcontractor made over $600.00, you need to complete and print 1099-misc form, mail to your subcontractor and submit to the federal, state, and local (if applicable). There is a 1099-misc instruction booklet that explains how to fill … [Read more...]
What are the Quickbooks Online Pros and Cons
Recently, I had the opportunity to test out QuickBooks Online for a few months for a client who wanted the flexibility to view her books anywhere. Here are my QuickBooks Online Pros and Cons List: QuickBooks Online Pros: There is an app. Here is the link for the app so you can review it. Intuit: QuickBooks Online: Mobile Account Software. When you link up your bank, it will download the bank transactions once a day automatically. Though if you want to download it or there is an issue, … [Read more...]
