Bookkeeping

Calculating your business turnover is simply a matter of adding up all of your sales over a given period and deducting any trade discounts and VAT. If we continue with our example, the turnover rate of 25% would be nothing if you are in manufacturing or retail. However, if you are in education, you need to investigate the reasons behind the high turnover rate. When employees leave an organization of their own will, typically to work in a different organization…

If that’s the case, http://www.belgrade2017.org/en/news/slobodan-brankovic-about-organization-of-eich-2017 will likely live up to your expectations. Its invoicing and online payment acceptance features can help you get paid while its reporting and money management tools ensure you stay on track for tax season and future business growth. You can connect your bank account to Wave, which will automatically import and match your banking transactions with your recorded income and expenses. There is also an option to manually upload a bank statement into the application…

An independent contractor is someone who is self-employed. You generally do not have to withhold or pay any taxes on payments made to an independent contractor. A 0.9% Additional Medicare Tax may apply to you if your net earnings from self-employment exceed one of the following threshold amounts (based on your filing status). You must pay SE tax and file Schedule SE (Form 1040) if either of the following applies. With IRS e-file, your refund will be issued in half…

To keep this from being an issue, base the estimates on recent actual history, adjusted for your best estimate of production activity in the near future. Because the predetermined overhead rate is based on estimates, calculating it with incomplete or inaccurate data can also skew the budgets, reports, and forecasts created using it. It’s a simple step where budgeted/estimated cost is divided with the level of activity calculated in the third stage. It’s called predetermined because both of the figures…

Pricing starts at $19 a month for the Lite plan, which includes five billable clients and unlimited expense tracking. The Plus plan at $33 per month increases that to 50 clients while the Premium plan at $60 per month and Select plan, which has custom pricing, offer unlimited billable clients. The Lite, Plus and Premium plans are available at 75% off for the first four months during the current promotion. Checking in on your account statements is a vitally important…

Here are 8 features you should look for when preparing to invest in an e billing software system for your practice. This process should include guidelines for who will review and follow up on these issues, and when. For example, with unpaid bills, you can use Clio Manage to send automated bill reminders. What is LEDES format and what are its benefits for legal e-billing? This stage can include automatic validation checks, powered by AI, that screen for common errors…

In a perpetual inventory system, a subsidiary ledger is kept for every inventory item. If you do this manually, you need to have a 10-column subsidiary ledger book for every item of inventory. QuickBooks Online is our best small business accounting software and uses the perpetual inventory system to record inventory purchases and sales in the Inventory account. Time Value of Money The Meta company is a trading company that purchases and sells a single product –  product X. The…

Further, it also ensures proper invoice tracking and avoiding duplicate payment. When the company buys or purchases on credit, the liability will occur when goods or services are received. Hence the company will debit goods received or services expended and credit accounts payable as liabilities increase. When doing this, always remember that the debits and credits must be equal. The supplier’s late policy is a $100 late fee and 3% interest on the invoice amount ($300 for a $10,000 invoice).…

A closing entry is a journal entry made at the end of an accounting period. It involves shifting data from temporary accounts on the income statement to permanent accounts on the balance sheet. These accounts must be closed at the end of the accounting year. Closing entries, also called closing journal entries, are entries made at the end of an accounting period to zero out all temporary accounts and transfer their balances to permanent accounts. In other words, the temporary…

Accountants need both a bachelor’s degree in accounting or finance and experience in the field to take the exam. The exam is tailored to each state’s requirements and is administered by the state boards of accountancy. Certified public accountants are legally and ethically responsible to be honest and trustworthy, and to avoid negligence in their duties. CPAs have real influence over their clients, which means their judgment and work can affect not just an individual but an entire company—including its employees, its…