I switched back to making my to-do lists on paper about a year ago, and found it helped me organize my thoughts and remember what I wanted to get done better. Really neat to see that it wasn’t just a good hunch on my part… these studies show that taking notes by hand helps you remember better than if you type them on a computer.
Category Archives: Tips
Fabulous Small Business Accounting Resource
I am wondering how I’ve never come across this resource before. My favorite presenter at the Sleeter Accounting Technology Conference this year was Greg Lam — which is pretty funny, because due to a last-minute emergency, he had to record his presentations for us and have them played back during his sessions. THAT’s how good a presenter he is… I watched his recordings and found his sessions to be the best of all the [amazing] presentations.
Anyway, it turns out that Greg runs an amazing little website called The Small Business Doer. For $15 — a one-time fee for lifetime membership — you get access to all his incredible “how-to” video recordings, interactive lessons, quizzes, course materials, and the ability to ask him questions. It sounds ideal for a small business entrepreneur who wants to learn more about accounting and bookkeeping, without paying someone like me to train them on the basics.
I kind of wish I could require all my clients to take Greg’s courses first, and then come to me for the bits and pieces of training specific to their situations. I think it would be a win-win situation. And lest anyone think I’m just trying to point folks toward a colleague’s website for marketing purposes, I should point out that I’ve never even met this guy — I’m just a huge fan of what he does, and I love reading his Sleeter Group articles (these are aimed at accounting professionals, as opposed to small business owners).
If you end up becoming a member and using his resources, or if you get to ask him questions or meet him, I’d love some feedback, to know how strongly I should be recommending this membership. Please comment below.
Money Management for Small Businesses
Setting New Year’s Resolutions for your small business or freelance work? The author of this “Intuitive Accountant” article shares some nice thoughts about money management goals and methods to consider adopting:
Money Management for Small Businesses and Proprietors – intuitiveaccountant.com.
Volunteering & Charitable Contributions — what’s deductible, and how?
I was chatting with wonderful old friend tonight and helping her with some year-end tax advice, when I found out that she had some misconceptions and missing knowledge about how charitable contributions and volunteer deductions work. I realized she might not be the only one, so here I find myself inspired to spread the word during this time of holiday cheer and giving.
Volunteering — did you know you can deduct 14-cents-per-mile when driving on behalf of a charitable organization during your volunteer work? For example, if you pick up meals from a soup kitchen and deliver them to folks around your city, you can deduct that mileage as a charitable contribution. Or if you drive to visit an elderly person for a regular visit as part of a non-profit Eldercare program. Or if you drive to pick up organic plant seedlings to be sold by a non-profit community garden or a group like Slow Food. The list goes on! Just make sure to log the date, location, number of miles, and purpose (same info as for business mile tracking for the standard mileage deduction).
Non-Cash Charitable Contributions — my friend got the wrong idea from her accountant that it’s somehow difficult or inadvisable to deduct $250 or more when giving away old clothing, household items, or other Goodwill/ Salvation Army/ Brown Elephant-type stuff. Not true! All it means is that you have to fill out an extra form on your tax return that lists the following: what types of items were donated; the fair market value (how much would the usual consumer buy it for at a thrift store); the date of contribution; the name & address of the donee. Thing is, you should be keeping this information anyway, even if the donation was under $250. Only difference is that the IRS requires it to be noted on the tax return for $250 or above.
People often underestimate the value of these used items. I just use a spreadsheet with columns: ITEM; VALUE; QUANTITY; TOTAL (quantity times value). Then I add up the TOTAL column. Easy peasy. However, I’ve also worked with clients who use the tool “It’s Deductible”, by Intuit which has a free version they use to try to entice you into buying their Turbo Tax product. But it’s a good tool, worth trying — https://turbotax.intuit.com/personal-taxes/itsdeductible
Charitable Contributions via cash, check or credit card — Lastly, here’s a nice little list of tips from the IRS on deducting Charitable Contributions. It’s such a great way to lower your tax bill, and give back to the causes that move you, or to “invest” in your own community. Don’t forget to check out your charities on http://www.charitynavigator.org to make sure they’re using your dollars efficiently. Happy Giving!
IRS Raises Standard Mileage Rate for Businesses
Extra, extra! This just in!
Beginning on Jan. 1, 2015, the standard mileage rate will be 57.5 cents per mile for business miles driven, up from 56 cents in 2014.
Year-End Tax Tips for Businesses
Nice little article in Accounting Today on year-end tax tips helpful for businesses (ignore the annoying comments section).
Oh, What A Relief It Is
I’m looking forward to sharing more about the amazing experiences I had at the back-to-back accounting conferences I just attended. However, one short post in the meanwhile:
It is SUCH a relief to find out that so many of the workarounds I’ve created for my clients — most notably, recurring daily journal entries to capture data from online Point of Sale systems (although there were at least two other topics) — aren’t because I was just “missing something” or confused about how these systems (Square, Vend, etc.) work. The fact is, they simply don’t function properly. The “integrations” with QuickBooks Online aren’t what they purport themselves to be, and I have it on good authority that the most expert POS consultants in the world are using the same exact workarounds that I thought I’d invented. It may not be “good” news, per se, but it’s such a relief!
Commonly Overlooked Deductions
Here are some routine deductions that many business owners miss. Keep your eye out for them.
- bank service charges
- business association dues
- business gifts (limited to $25 per recipient per year)
- business-related magazines, books & subscriptions
- casual labor and tips (make sure to issue a 1099-MISC if over $600 per recipient per year)
- casualty and theft losses
- coffee and beverage service for clients/customers
- commissions
- consultant fees
- credit bureau fees
- office supplies
- online computer & internet services related to business
- parking and meters
- petty cash expenses/payouts
- postage/shipping
- promotion and publicity
- seminars and trade shows
- taxi, train and bus fare
- telephone calls related to the business
- training related to business skills