Categoria: Bookkeeping

Any Medicare Income-Related Monthly Adjustment Amount (IRMAA) if your income is above certain thresholdsYour benefits may be subject to federal income tax depending on your combined income, but that’s handled through your annual tax return, not as FICA taxes. These reduce your federal taxable income but are still subject to Social Security and Medicare taxes.One… Continua a leggere Social Security Tax and Medicare Tax in 2025 & 2026

Arrears refer to a situation where a payment is overdue after the due date has passed. Yes, being in arrears can lead to financial risks such as accruing additional fees, interest, or penalties. These terms frequently appear in discussions about finance, loans, and legal agreements, each offering specificity regarding the statusof financial obligations. Examples in… Continua a leggere Open Source ERP and CRM

It also fits well if your business does not rely on seasonal activity or large end-of-year spikes. This setup works best if your revenue and expenses stay fairly consistent throughout the accounting year. If you’re a sole proprietor or partnership, the IRS typically requires you to use the calendar year unless you meet specific conditions.… Continua a leggere Difference Between Fiscal Year And Calendar Year Printable Calendars AT A GLANCE

Conducting monthly expense reviews helps identify patterns, eliminate wasteful spending, and keep financial records accurate. Tracking such expenses properly (as shown in the image above) ensures accurate financial reporting, better budgeting, and maximized tax benefits. Yes, many miscellaneous expenses can be tax deductible if they are considered necessary and ordinary. If a business purchases a… Continua a leggere Miscellaneous Expenses: Definition, Examples, and 2026 CFO Checklist for Smart Financial Management

Before their availability on the secondary market, shares are authorized, issued, and, finally, purchased by investors who became equity owners or shareholders of the issuing company. Shareholders of common stock typically possess the right to participate in annual shareholders meetings and contribute toward the election of the company’s board of directors. Outstanding shares impact a… Continua a leggere How to Calculate Average Common Shares Outstanding

One major downside is the cost – factoring fees can be higher than the interest rates on most loans, typically ranging from a few percentage points of the invoice value. Factoring helps to deliver predictable working capital for businesses, creating a more resilient business function in times of disruption, and often results in early payment… Continua a leggere Pledging Receivables: A Quick Guide to Financing

An expense is a cost that is “paid” or “remitted”, usually in exchange for something of value. The former is directly related to operating the company, while the latter is indirectly related. (Examples include rent or a mortgage.) Another type is a variable expense, which changes with the level of production. What Is Cash Inflow?… Continua a leggere What Are Operating Expenses? A Complete Guide with Examples

In this article, we’ll explore some of the top online accounting and bookkeeping services for startups, focusing on features, pricing, and what makes each service unique. The best time to bring in an accountant is much earlier than most founders think. Ideally, you should partner with one as soon as you form your business or… Continua a leggere Startup Accounting Services, CFO & Tax