Spreadsheets are another tool that businesses use to manage their financial records. This means that businesses must ensure that their accounting data is up-to-date and accurate. Control accounts are used to ensure that the information in the subsidiary ledger is accurate and complete. Income and ex...

This is especially true for organizations with hundreds, or even thousands, of employees on the payroll. Regardless bookkeeping of the specific need, the best automated payroll systems will make it easier than ever for an employee to manage their data. An automated payroll system is a software platf...

Some people use the term gross margin to mean the gross profit percentage, which is the amount of gross profit divided by net sales. Expressing the gross profit as a percentage of net sales allows the company’s executives and financial analysts to see if the company was able to maintain its sellin...

The sections of your nonprofit’s statement of financial position correspond to three of the five divisions of your chart of accounts (COA), which is essentially a directory of your organization’s financial records. This makes it easier for your accountant to pull the data and for your team to re...

Accurate payroll records are essential to avoid discrepancies that could lead to audits. In New York, employers and employees both contribute to the State Disability Insurance (SDI) program. Employers, under New York Workers’ Compensation Law, must provide disability benefits coverage for their em...

Think of it as “cost of goods sold” for service providers. If you have W-2 employees that you provide retirement plan options to, this is where you record those costs, including your employer contributions. Do you have a mortgage for an office building or warehouse? The IRS can use this document...

Bookkeepers keep track of both liabilities and expenses, and more. We use the long term debt ratio to figure out how much of your business is financed by long-term liabilities. If it goes up, that might mean your business is relying more and more on debts to grow. A liability is anything that’...

The IRS also asks for some of the information in this statement when you file your Form 990. In contrast to the balance sheet, which is a picture at a single point in time, nonprofit income statements show financial activity over a period of time (usually a quarter or year). For nonprofits, income s...

Near the top left hand side of the bill, you should see ‘1 linked Purchase Order’.3. Make sure you enter the Bill number and correct Bill date along with the terms.4. When learning how to use QuickBooks Online, take the time to learn how navigate the software. You won’t have t...

It can lead to better pricing, improved customer service, and reduced risk of errors. Moreover, better financial management leads to informed financial decisions, contributing to overall business growth. Accounts payable (AP) are the amounts that a business owes to its suppliers or vendors for goods...