Issue 1 – August 2012
Welcome to my first of what will be regular newsletters I will be sending out on accounting and tax topics. Hopefully you will find these topics useful for your business or personal financial affairs.
If there is any particular topic you would like covered in a future newsletter do not hesitate to contact me.
Enjoy the newsletter.
Mark Smith – August 2012
TOPICS IN THIS NEWSLETTER
Upcoming Dates For Your Diary
Do You Need Accounting Records
QuickBooks Tip – Undeposited Funds Account
Simple Payroll App
Check Your Withholding
UPCOMING DATES FOR YOUR DIARY
August 10, 2012 – Any employees with more than $20 of tips in July 2012 need to to report these to you.
September 17, 2012 – Individuals pay third estimated tax installment. If there have been any changes in your circumstances since the last tax installment you may need to change the amount of your payment or start making payments. Changes to consider include big increases in your income such as self-employment, capital gains or rental income. Call me if you need assistance calculating your estimated tax payments.
September 17, 2012 – Partnerships that filed an extension must file their 2011 tax return form 1065.
September 17, 2012 – Corporations or LLCs taxed as corporations that filed an extension must file their 2011 tax returns forms 1120 or 1120S.
Since the end of the tax season I have been working on my QuickBooks certifications and I am pleased to announce that I am now an Advanced Certified QuickBooks ProAdvisor, Certified QuickBooks Enterprise Solutions ProAdvisor and a Certified QuickBooks Point Of Sale ProAdvisor.
Whatever QuickBooks help you need whether it be setup, training, support, bookkeeping or management reporting I can help you make the most of your investment in QuickBooks.
DO YOU NEED ACCOUNTING RECORDS
If you are running your own business it is important you maintain accounting records. Although these often get relegated to the bottom of the pile amongst the 101 things to do running a business here are some of the reasons for having accounting records.
- Monitor your financial performance
- Satisfy IRS record keeping rules
- Budgeting and forecasting
- Obtaining funds for your business
Read more here……
In QuickBooks the Undeposited Funds Account is one of the key accounts but also one that causes a lot of confusion. Use this account correctly and you will have good control over your bank and cash balances in QuickBooks. Incorrect use of this account can often lead to overstating income which is not a good thing when you get round to tax time.
To learn about the Undeposited Funds Account read my article here……
SIMPLE PAYROLL APP LAUNCHED BY INTUIT
Doing your payroll manually can be a hassle and prone to mistakes. Intuit has recently launched a free simple payroll app for the iPhone and iPad that might be useful if you only have a small number of employees.
Read more about the app here…..
CHECK YOUR WITHHOLDING
Now that we are over half way through the tax year it is a good time to review your withholding if you are an employee.
Many changes to your life can have a big impact on your tax position and your withholding. Get your withholding wrong and you may owe tax at the end of the year and be charged penalties or you may get a big refund. Whilst a big refund sounds good, if the main reason for getting the refund is due to your withholding then you have made an interest free loan to the Government. I’m sure you have better things to do with your money than loan it to the Government.
So if you have had any of the following changes in your life in 2012 consider if they may affect your withholding.
- Got married or divorced
- Had a child
- Started receiving Social Security or a pension
- Received a one off source of income such as compensation, capital gain or gambling winnings
- Started self-employment or property rental
- Bought a house with a mortgage
Call me on (480) 363-4808 if you need any help with your withholding.
Networking is a key part of growing your business. Unless you are very lucky, customers and clients will not come flocking to your door. Building a solid network of referral partners who you trust will help your business no end. One networking group that I belong to is called Network Together. It has chapters throughout the East Valley with my home chapter being the Chandler one. Network Together is built on the premise that where relationships create community, commerce will follow.
All the chapters have a great bunch of people from a diverse range of businesses. Two big advantages of this group is that there is no restriction on the number of businesses from each industry and membership gives you access to all the chapters.
If you would like to be my guest at one of the chapter meetings call me on (480) 363-4808.
Read more at the Networking Together web site. networktogether.net/
In each newsletter I will be featuring an advisor who you may find helpful for your business or personal needs. If any of my clients would like to be featured send me an email with your up to date details and suggested wording to describe your services.
For this issue I am featuring a financial advisor.
Name – Eric Elam
Firm – Sterling Investment
Tel – 480-729-8000 Ext 7133
Email – EElam@SterlingInvest.org
Web – www.SterlingInvest.org
Eric is an investment advisor representative for Sterling Investment. They are a full service financial planning company who bring tools made for the wealthy to every day families. They offer a wide range of financial products that are tailored to your own personal circumstances.
Eric brings with him a wealth of life experiences and will take the time to sit down and fully understand your financial needs. He will also explain clearly how his recommended products will help you achieve your financial aims.
Disclaimer – This newsletter does not constitute personal accounting or tax advice to the reader and is only offering general information. You should seek professional advice for your own situation as the most appropriate accounting or tax planning depends on your personal and unique circumstances.