Author Archives: John Alexander

QuickBooks Desktop Users – Ready to Save?

Have your businesses been using QuickBooks Desktop? Are you ready to prepare your businesses for the future of accounting? QuickBooks Online is here!

Run multiple businesses? Ready for a single login? All of this is possible with QuickBooks Online.

 

Exisiting QuickBooks Desktop users can save big today with the upgrade to QuickBooks Online.
The Clark Sclater, LC CPA Team can help, reach out today for a free consultation.

 

Ready to upgrade and save? Clark Sclater, LC offers a range of bookkeeping services. We are so confident in our services, the first month is on us!

 

 

 

 

 

QuickBooks Online Reports

Are you a small business owner wearing many hats with little time for accounting? This quick tip guide will focus in on two key reports available to small business owners when utilizing QuickBooks Online. These reports will assist you in running your business more effectively.

1. Profit & Loss Statement

The Profit & Loss report is also known as the Income Statement. It consists of Sales (revenue, income) minus costs (expenses) resulting in either a profit or loss (net income).

QuickBooks Online allows you to break down both income and expense accounts into categories. As you can see in the example statement, Craig’s Design and Landscaping Services has chosen to include 5 different income categories to track income. These categories can be customized to suit the needs of your business.

The Profit & Loss Statement is a summary of revenues and expenses during a certain period of time. Knowledge of these numbers can really help small businesses make better decisions.

QuickBooks Online will also generate a Profit & Loss Comparison report. This report summarizes your income and expenses for both this month and this month last year. You can tell whether you’re operating at a profit or loss, and you can compare this month’s performance against your profit or loss for the same month one year ago.

2. A/R Aging Detail Report

The Accounts Receivable Aging Detail Report is a summary of all amounts owed your company. These amounts are categorized by length of time the invoice has been outstanding. Once an invoice is sent in QuickBooks Online, the amount is recorded in the accounts receivable and revenue accounts.

The report gives you information on which customers are slow to pay. It will allow you to evaluate how much credit risk your business is taking with certain customers. The report will also be sure you are asking yourself the right questions. Does your business need to evaluate payment terms?

QuickBooks Online allows business owners to analyze this data in real-time and make informed decisions.

Proper bookkeeping and accounting are vital when it comes to the health and success of your business. There are more productive ways to spend your time than filing receipts, reconciling statements and processing payroll. This is where we come in! We can focus on the books so you can focus on what you are best at, which is running and growing your business. We’ll even give you a free month! Sign up here.

By using cloud-based technology, we have created streamlined accounting processes.Technology is always changing so we are constantly reviewing new technologies and application for our client’s success.

Why hire and maintain a fully staffed accounting department, when you can skip the interviews, training, and financial burden? Partner with us and you will gain peace of mind knowing that two CPAs are doing their best to let you do your best!

Free Month of Bookkeeping Promotion

Did you know the month of April is Financial Literacy Month?

The CPAs at Clark Sclater, LC are celebrating the month by offering new customers a free month of bookkeeping services. (First 10 customers, up to 150 transactions)

Whether you are self-employed or own a small business, we can help you take control of your finances. Sign up today to take advantage of this special offer.

Proper bookkeeping and accounting are vital when it comes to the health and success of your business. There are more productive ways to spend your time than filing receipts, reconciling statements and processing payroll. This is where we come in! We can focus on the books so you can focus on what you are best at, which is running and growing your business. We’ll even give you a free month! Sign up here.

By using cloud-based technology, we have created streamlined accounting processes.Technology is always changing so we are constantly reviewing new technologies and application for our client’s success.

Why hire and maintain a fully staffed accounting department, when you can skip the interviews, training, and financial burden? Partner with us and you will gain peace of mind knowing that two CPAs are doing their best to let you do your best!

Tips for Self-Employed Individuals

Are You Self-Employed?
Generally, you are self-employed if any of the following apply to you.

  • You carry on a trade or business as a sole proprietor or an independent contractor
  • You are a member of a partnership that carries on a trade or business.
  • You are otherwise in business for yourself (including a part-time business)

 

Tip # 1 Avoid Forgetting About Taxes

 

Self-Employed Tax Obligations
As a self-employed individual, you are required to file a Schedule C along with your income tax return. The Schedule C details the income and expenses of your business. What individuals tend to forget is making their estimated quarterly tax payments as well as their portion of self-employment tax. Self-employment tax refers to the company’s portion of Social Security and Medicare taxes.

 

How To Make Estimated Quarterly Tax Payments?
Form 1040-ES is used to calculate these taxes. Use the worksheet found within the form to find out if you are required to file quarterly estimated tax. Blank vouchers are also included within the form to mail your payments, or you may utilize the Electronic Federal Tax Payments System.

 

Penalty for Underpayment of Estimated Tax
If you didn’t pay enough tax throughout the year you may have to pay a penalty for underpayment of estimated tax. Generally, most taxpayers will avoid this penalty if they owe less than $1,000 in tax after subtracting their withholdings and credits, or if they paid at least 90% of the tax for the current year, or 100% of the tax shown on the return for the prior year, whichever is smaller. Use Form 2210 to calculate any penalty owed for underpaying your estimated tax.

 

Tip # 2 Review Available Business Structures

 

Types of Business Entities
There are several types of business entities, each designed for different situations. The different types of entities are: Sole Proprietorship, Partnership, Corporation, C Corporation, S Corporation, and Limited Liability Company. Advantages and disadvantages exist for them all. Having a trusted advisor review your business structure may save you money.

 

 Tip # 3 Keep Your Data Current

 

Tracking The Numbers
Having current data to analyze your business should help you make informed decisions. Tracking mileage expenses, separate business and personal expenses, maximizing your Schedule C deductions, and estimating quarterly taxes timely can all benefit you and your business. Finding a sustainable solution to accomplish all this is not as hard as you may think.

 

Long Term Sustainable Solution
We recommend utilizing QuickBooks Self-Employed to maintain all your records and keep a snapshot of your business only fingertips away. Leveraging this software will save you money and time. Some of the benefits include: Automatic mileage tracking, separate business and personal expenses efficiently, maximize your Schedule C deductions, Quarterly estimated taxes calculated automatically, send and track simple invoices.

 

Learn About Partnering with Clark Sclater, LC

Self-Employed Full Service CPA Bookkeeping
Partnering with a professional to assist you with the initial set-up and ongoing tracking is recommended. The Certified Public Accountants at Clark Sclater, LC offer these services for only $49-$99 a month including the software. Not only do we strive to provide maximum value to our clients, we will even give you the First Month Free!