How do You Manage and Track Reimbursable Expenses?

It can be a challenge to keep up with the small expenses that move through your business each day. Many business owners find that reimbursements and expense reports are time-consuming and tedious, which means that these tasks often fall to the bottom of the priority list. If you are neglecting the financial tracking of your expenses and write-offs, then it is possible that you are missing out on essential tax benefits each year.

Why do Reimbursable Expenses need to be Tracked?

Why is it necessary to keep up with all of the busy work? The tax benefits are the most obvious reason that you need to make sure that you are keeping up with reimbursable expenses. Taxes are calculated based on net income, so you can manage your tax burden by leveraging the expenses as much as possible.

For example, if you are spending money each month on business meetings with potential clients, then these small expenses can be used as write-offs. Whether you spent money on a lunch for the client or invested in Christmas gifts for your business contacts, these expenses need to be tracked so that you can provide a detailed outline of costs to your bookkeeper or accountant.

A Bookkeeper Can Help

When you have an experienced bookkeeper helping with the financial tracking for your company, then you don’t have to stress as much about the details of the cash flow. The bookkeeper can manage and categorize transactions that are moving through your business accounts. Then, you can provide the supporting documentation, such as receipts or other paperwork that is needed to verify the transaction.

Your bookkeeper will keep this information organized and filed. A small business bookkeeper can provide you with detailed financial reports throughout the year, as well as other financial information that might be needed. You don’t have to worry about the small, tedious tasks because a bookkeeper will take care of those details for you.

Streamline Your Bookkeeping System

If you want to reduce your stress levels and maximize the financial results for your company, then you need to hire a professional team to help. By organizing your tracking system and maintaining consistency throughout the year, you can easily provide details about your reimbursable expenses when it is time to file your taxes. Additionally, you will have the peace of mind that you have a reliable filing system to identify receipts and documentation if it is needed.

Are you ready to learn more about how a good bookkeeping system can be beneficial for your company? Contact us at Easier Bookkeeping. We are here to help: (888) 620-0770

Self Employed? Here are a Few Bookkeeping Tips for You!

It is both exciting and scary to choose the road of self-employment. Many people love the idea of working for themselves, but it can be overwhelming to handle the business financials throughout the year.

As a contractor, you don’t have to stress about having a boss looking over your shoulder throughout the day. You work as a contractor, giving you the ability to manage your time and the services that are offered. But, you don’t receive benefits, insurance, or retirement plans that are often offered through corporate employment.

Whether you already have a home based business or you are thinking about self-employment, there are a few things that you need to keep in mind:

Manage Financial Records

Are you consistent with tracking every transaction that moves through the business? The documentation is essential if you are ever audited in the future. You need to be sure that you can provide documentation of the write-offs and business expenses. Without this documentation, you might end up in a situation where you need to pay taxes and penalties.

The best thing that you can do is put together a financial tracking system. Then, have a file folder where you keep relevant receipts and anything else that applies to the costs for your company.

Don’t Mix Personal and Business Finances

Make sure that you have separate bank accounts setup so that you don’t have to worry about mixing personal and business expenses. Keeping these transactions separate will ensure that you are compliant, and it simplifies the bookkeeping process throughout the year.

To keep things clean, it is best to have a business checking account, savings account, and a credit card. All business transactions and revenue should move through these accounts. Then, you can pay yourself by cutting a paycheck for yourself or making a funds transfer from the business account to a personal account.

Hire a Bookkeeper to Help

As a freelancer, you are carrying a lot of responsibilities to keep your business running. Most freelancers don’t have bookkeeping experience, which results in a situation where the financial tracking is mishandled. Or, in some situations, no effort is put into tracking the financial details of the business.

Instead of harming the success of your company, it is better to hire a professional to help. With the right bookkeeping service, you can relax and focus on other important parts of your company. A bookkeeper will offer assistance with transaction management so that you don’t have to worry about it.

If you are a freelancer or you own a small business, then you should consider the benefits of hiring a bookkeeper to help. Call our team at Easier Bookkeeping to learn more about the services that are available: (888) 620-0770

What Will a Small Business Bookkeeper Do for Your Company?

If you haven’t used the services of a bookkeeper before, then you might be wondering how these services can help your company. There are many advantages of hiring a bookkeeping service to support the financial details for your company. Even though the job title might seem simple, these tasks can make a big difference to keep you on track for future success.

What is a Bookkeeper?

A bookkeeper is a person, either an employee or outsourcer, which manages the financial records for a company. Some companies choose to hire an independent bookkeeper, while others prefer to work with a team.

It doesn’t matter if you have a large or small company because all businesses can benefit from bookkeeping services. A bookkeeper assists in the following ways:

  • Stays proactive to update financial statements
  • Keeps track of incoming and outgoing transactions
  • Checks financial records for accuracy
  • Manages invoices
  • Sets up and maintains accounting software programs
  • Data entry for transaction details
  • Monthly reconciliations to search for discrepancies
  • And more!

One of the advantages of bookkeeping services is that they can handle all of the financial details. As a result, you can focus on other aspects of business management instead of spending your time on this type of busy work.

Save Money By Hiring a Bookkeeper

Even though it seems like another unnecessary monthly cost, the truth is that a small business bookkeeper can help you save money. The expenses of running a business can add up, so it is essential that you have someone who is watching each transaction. The right financial team can make suggestions about how to improve cash flow.

Instead of hiring an employee, many business owners are choosing outsourced bookkeeping. This option saves you money because you can avoid the overhead expense of paying for an employee. At the same time, you have access to a professional team of financial experts.

Set Your Business Up for Success

If your business finances are a mess, then you will run into many avoidable issues. The best solution is to hire an online bookkeeper who can help with regular financial management to set your company up for success in the future. Financial organization will help you make educated decisions that can help your company grow.

Are you interested in more information? Call Easier Bookkeeping to learn about how your business will benefit when you hire a small business bookkeeper to help: (888) 620-0770

Common Bookkeeping Myths for Small Business Owners

Small business owners often get caught in the idea that bookkeeping is complicated and difficult. Do you view bookkeeping as a “necessary evil,” but you deal with it every so often to keep your company running? The truth is that bookkeeping isn’t that bad if you have the right system in place.

These are a few common myths that might be impacting your attitude about bookkeeping:

Only Big Businesses Need Bookkeeping Services

It doesn’t matter how many employees you have, every size of company can benefit from bookkeeping services. Even if you only have one or two employees, it is still necessary to calculate paychecks, manage tax deposits, and track business transactions on a regular basis. Failure to keep up with these tasks can have a detrimental effect on the long-term success of your company.

Tax laws and payroll requirements are constantly changing, so there are many benefits to having a professional bookkeeping team handle the details for you. As a result, you can sleep easy at night to know that your business is compliant and you aren’t missing any details along the way.

Bookkeeping Services are Expensive

To manage profit margins, it is necessary to look closely at every expense. Some business owners don’t even look at bookkeeping options because they assume that these services will be too expensive. But, you need to change your perspective and see these services as an investment for your company.

The truth is that these services aren’t as expensive as you might think. For example, choosing an online bookkeeping service reduces the costs compared with the expense of bringing in another employee to help. By using the services of a small business bookkeeping company, you can focus your time and attention on other responsibilities that will help your company grow.

All Bookkeeping Services are Created Equal

Some business owners get caught in the myth that bookkeepers are a dime-a-dozen. The truth is that not all bookkeeping services are created equal. Before you choose a bookkeeping team to work with, it is essential that you learn more about the company that you are planning to hire.

Since bookkeeping services are an investment, it makes sense that you should research the services that you will be receiving. Choose a company with a proven track record and the high-quality services that you deserve.

Do you want to experience the benefits of having a bookkeeping team for your company? Call Easier Bookkeeping for details about the services that we offer: (888) 620-0770

Common Financial Mistakes that are Hindering the Growth of Your Company

Are you perplexed to see that your business growth is stunted? As a small business owner, you have big dreams for the future! But, it can be frustrating to see that your business isn’t growing as fast as you had anticipated. If you are experiencing slow growth, then right now is a great time to assess daily practices and identify the areas that are holding back the success of your company. Here are a few of the most common financial mistakes made by small business owners:

Getting Lazy with Financial Tracking

You know that money is coming in every month, and the bank balances are high enough to pay the expenses. Isn’t that enough information to see that your business is successful? No! Failing to keep up with regular financial tracking can be a death sentence for your company.

Most small business owners don’t have time to keep up with the regular bookkeeping and accounting tasks. As a result, these important items slip to the bottom of the priority pile, leaving the business owner in a situation where he is making uninformed decisions for his company.

If you don’t have time to keep up with accounts payable and receivable, then it is essential that you find the right bookkeeping services to handle the details for you. A small business bookkeeper can manage your financial tracking so that you can focus on the other responsibilities that you have within the company.

Mixing Business and Personal Expenses

It is possible that you are missing out on potential business deductions if your personal and business costs are mixed. Even though it might not seem like a big deal to use the same credit card, it is essential that you separate these accounts and keep clean records for your business.

Set up a bank account and credit card that is dedicated to your business expenses. Then, be diligent about using the right card for the right transactions.

Neglecting Tax Payments

A quick glance at the bank account might make you feel like it is a great quarter for your company based on the balance that shows up. But, are you planning for upcoming expenses? It is essential that you look to the future to ensure that you have the cash flow available to pay the bills.

For example, it might be deceiving to see a high balance in your bank account right before an estimated quarterly tax payment goes through. Consider the benefits of setting up a separate account to save money for these types of expenses.

Our team at Easier Bookkeeping is dedicated to helping you set your business up for success. Contact us to learn more about how small business bookkeeping services can help: (888) 620-0770

What to do Before Hiring Your First Employee

It is an exciting experience to finally have a company that can support an employee on the payroll! As you make this change within your business, it is essential to talk with your accountant and bookkeeper before the employee starts working. By setting the right systems in place, you will be prepared for all of the extra tasks that need to be handled when there is an employee that needs to be paid.

Employee Classification

First of all, make sure that the individual is classified right. In some situations, small business owners might mistakenly classify an employee as a contractor. Or, there might be a mistake regarding whether the person should be paid on an hourly or salary basis.

The best way to choose the right classification is by talking with an experienced financial professional. You can explain the tasks that the employee will be completing. Your accountant or bookkeeper can make recommendations to help you choose the right employment category.

Setup Payroll Services

Payroll management can be a bigger burden than you might initially anticipate. Don’t waste your precious time trying to sort through an online payroll system. Instead, it is much better to hire a payroll service to help out.

Even if you only have one or two employees, it is beneficial to have a payroll service so that you are ready for future growth. This service reduces your stress regarding employee management. You can have the peace of mind to know that paychecks are always sent on time, helping to improve employee morale.

Organize Employee Information

You are required to keep copies of the employee’s information on file. Put together a location where you have everything filed, including their tax paperwork, contact information, training documentation, and any other notes about employee management that occurred during employment. This file is a great place to consolidate all of the information about each person so that you can quickly reference your notes if questions arise.

Hire a Bookkeeping Team

It is frustrating for employees to work for a company that struggles with disorganization. Create the right environment for your employees by having good systems in place. A bookkeeping team will help with the management of your ongoing organizational needs, including digital payments and records.

Here at Easier Bookkeeping, we want to help you avoid some of the common pitfalls that occur when small businesses hire new employees. Contact us today to learn about the best systems and onboarding practices to improve your company: (888) 620-0770

Is it Necessary to Pay for Small Business Insurance?

As a small business owner, your livelihood depends on the success of your company. Starting a new business is fun and exciting, but there are also some risks involved in your new venture. Luckily, there are a few things that you can do to minimize the risk and offset the consequences if something goes wrong.

If you are working with a small business bookkeeper, then that person will help you to minimize costs and maximize cash flow. There are times when you might have the suggestion to stop paying for certain services that might seem unnecessary. Before you start canceling services, you need to consider how essential each service is to determine if you can stop the payments without putting your company at risk.

Prevention and Protection

It is impossible to anticipate problems or accidents that might happen, so it is a good idea to take a proactive approach to prevent problems. Insurance is a great example of necessary protection that can make your life easier in the case of an emergency.

Even though the insurance payment might seem unnecessary, you will be glad for the insurance coverage if something goes wrong. If there is a question about whether you need an insurance policy for your company, then you should consider the benefits of talking with an insurance agent for a risk assessment.

Protect Your Business Finances

Cash flow can disappear if an unexpected event prevents you from selling your products or services. In this situation, it is essential that you have protection in place to keep your company from going under. A good insurance policy can be a great option to help you stay protected no matter what happens.

As you are putting together your financial plan, make sure that you are also working closely with your bookkeeper and accounting firm. This team is a great way to plan for the future and prepare for a rainy day. The advice from a team of finance professionals can be invaluable to help you take your company to higher levels of success.

At Easier Bookkeeping, we have what you need to manage your company finances and prepare for the future. If you are looking for small business bookkeeping services, then we invite you to contact our team anytime to learn more about the options that are available. We are always here to answer your questions and help you find the right services to meet your needs. Call us right away: (888) 620-0770

5 Tips for Small Business Bookkeeping

Bookkeeping is often a thorn in the side of every small business owner, especially if you are trying to handle these bookkeeping tasks on your own. Whether you have been in business for a while or you are just getting started, it is essential that you consider the benefits of small business bookkeeping services.

You Don’t Have to Do it On Your Own

Just because you are a small business owner, doesn’t mean that you have to do everything on your own. In fact, there are many benefits to hiring contractors to help with certain tasks. You should spend your time on the activities and management responsibilities that are most important for your company. Instead of getting bogged down with paperwork and mindless tasks, hire someone else to help so that you can free up your time.

There are many situations where small business owners find a lot of benefit from hiring a bookkeeping service. If you don’t have accounting or bookkeeping experience, then you need to hire the right team to help!

Tips for Bookkeeping

Here are a few tips to help with your small business bookkeeping efforts:

  • Bank Accounts: Make sure that you have a separate bank account for your business so that the funds are handled in a different account from your personal expenses.
  • Software: The right software program goes a long way to keeping things organized and allows you to access the information when you need it.
  • Reports: Running reports on a regular basis will help you to make the right financial decisions for your company.
  • Employee Management: The right bookkeeping system will improve the management of your employees, because the bookkeeper will handle paychecks and employment taxes.
  • Managing Cost: Instead of hiring a full-time bookkeeper as an employee, it is often cheaper to utilize the services of a contractor.

By hiring a contractor to help with small business bookkeeping services, you will find that it is easier for you to help your company grow. These services will be beneficial to save money and improve the financial outlook for the future of your company.

At Easier Bookkeeping, we are available to assist with the financial records for your business. When you are interested in learning more about the bookkeeping services that are available, then you should call us right away. Our experienced team is here to help your company succeed! We will cater your bookkeeping services to match the needs of your company: (888) 620-0770

What You Need to Know about the W-4 Form

The W-4 is necessary for every employee that works for your company, but many small business owners don’t know a lot about this form. If you are hiring employees, then it is important that you take a moment to understand more about this form and what it means.

What is the W-4 Form?

W-4 is the nickname for Employee Withholding Allowance Certificate, which is a tax form used to indicate the amount of money that needs to be subtracted from each paycheck for taxes. Each employee needs to fill out the form based on their individual circumstances, then the withholdings are subtracted from each paycheck and the money is sent to the IRS.

This form needs to be filled out when the employee is hired, and it is essential that you keep the form on file. It is designed as a worksheet to help each person determine the right amount of withholding tax that should be sent directly to the federal government. The goal of the withholdings is to reduce the amount of taxes that will need to be paid when the employee completes their annual tax paperwork each year.

Information on the W-4 Form

Many employees aren’t sure about the information that should be entered on the W-4 form, so it is likely that they will have questions when they are filling it out. The form will request information about their legal name, address, social security number, marital status, claimed dependents, income, and more.

If a person lists a higher number of dependents, then it means that less money will be withheld from each paycheck. The goal is to get as close as possible to the right number, to avoid withholding too much money or creating a situation where the individual needs to pay a lot when they file their annual taxes.

Once these W-4 forms are filled out by your employees, then you need to provide this information to your small business bookkeeper or payroll service. This information will be used on an ongoing basis when paychecks are calculated and distributed. There are times when employees might request to change their W-4 form to update the number of allowances, and you can resubmit the information to your business bookkeeper as needed.

There are many advantages to hiring a small business bookkeeper to help with the financial management of your company. If you need assistance with payroll processing or other financial services, then we invite you to contact us at Easier Bookkeeping to learn more: (888) 620-0770

Top 3 Bookkeeping Tips You Need to Know

Do you dread the time that you have to spend managing the financial information for your small business? Many small business owners make the mistake of trying to take care of too many responsibilities on their own, resulting in a situation where they are stretched thin trying to keep up with all of the tasks.

Remember that simple is better! By implementing a good bookkeeping system right now, you can save yourself a lot of time and frustration in the future. Here are our top three bookkeeping tips to help with the financial management of your company:

1. Choose the Right Software

Whether you are stuck using an old software system or your current system is having problems, then you might consider making a switch to go with a different software program. There are a variety of options available, and you need to make sure that you choose a solution which works well in your industry. It can be beneficial to talk with a bookkeeper or accountant who is familiar with your industry, in order to get recommendations about the software that will fit your needs.

2. Put Simple Systems in Place

One of the biggest problems with an unorganized bookkeeping system is that things get lost along the way. How many deductions are you missing out on because you didn’t save the receipt to track your expenses? Small systems can make a big difference for your long-term success, so make sure that you think through the process and be deliberate when you are setting up your system.

For example, there are different smartphone apps that can be used to track and file your receipts, and these tools help you avoid the paperwork and stay current with your financial documentation. By downloading the app, you can get into the habit of simply taking a picture of the receipt for documentation, instead of keeping track of the slip of paper and trying to remember to put it in the right filing cabinet folder later on.

3. Reconcile Regularly

Reconciliation might seem like a boring and redundant task, but the truth is that regular reconciliations can help you to catch mistakes and improve your financial tracking system. Find a schedule that works for you, and don’t miss your regular reconciliation.

At Easier Bookkeeping, we offer a variety of small business bookkeeping services to make your life easier. We want to help you manage the financial tracking within your company, to free up your time so that you can focus on other important responsibilities. Contact us today for more information: (888) 620-0770