Two Important Rules To Managing Small Business Finances

It's a new year and that means startup businesses and small businesses should carefully consider some important questions -- questions like, is my business fiscally sound? If the answer is no or even a slightly hesitant maybe, business owners need to carefully reevaluate their expenses and profits, and do something about it. Here are some of the best small business accounting tips to help you get back on track.




Consider Every Single Detail 

What are the best small business accounting tips? Small businesses, entrepreneurs, and startup businesses need to carefully comb through all of the details. An accountant for small businesses, for example, can help with company tax preparation, financial risk management, record keeping, credit reporting, and keeping close tabs on cash and revenue inflow and outflow. An accountant or tax services professional can also help when things have gone awry. It is a wise decision, for example, to hire an accountant to keep accurate records in the event of an audit, for example. An accountant can also help rearrange and consolidate debts if necessary.

Ask For Help 

Nearly all people associate some of the world's richest entrepreneurs and business owners with independence. While that more or less holds true, there is one very important trait that is infinitely more helpful than being independent, and that trait is the drive to succeed. If you are having financial troubles or even contending with so-so profits only, drive can help get you to the next level. The best business owners seize any and all opportunities for funding, for example. One of the best small business accounting tips is to ask for help when you need it. Don't let your company go under without putting up a fight. Angel investors, small business loans, and organizations for various aspiring entrepreneurs and small businesses can help you get on your feet again.

It is time to take a good look at your business or startup, and make sure you are on track. The best things to do if your business -- and especially its financials -- need a little work is to consider every angle, and seize all opportunities to get back in the green, even if that means asking for help.

Three Ways To Avoid Critical Business Risks

It is critical for all small businesses to carefully weigh monetary concerns and assess financial risks. Financial risk management can help prevent financial disasters before they happen. What do financial risk management professionals and certified financial accountants recommend to help businesses stay on track? 

Carefully File Business Taxes 

Small business taxes should be as accurate as possible. Small businesses are much more likely to get audited than individuals, or even large corporations. There are several reasons. One of the main reasons is that small businesses generally receive capital from a variety of different resources. Make sure to carefully account for all of them on your tax return. Remember, if you have any cash reserves or cash profits -- even if they are relatively small -- you need to account for them. 

Don't Put All Of Your Eggs In One Basket 

An accountant for small businesses can help you with taxes and even help you prepare for audits, if necessary. They can also help you effectively and efficiently diversify funds. Capital and investments should come from different areas. Relying on a single investor or savings account can easily put the future of your company in jeopardy. 

Consider The Stability (Or Lack Thereof) Of Company Resources 

"The bad news is that companies that are natural resource dependent have to be extra cautious in a volatile commodities market to make sure they hedge their price risks," Forbes writes. While internet-based companies and office-based practices generally don't have to worry, companies who rely on natural resources, like foods or fuel, can have financial ups and downs that are completely independent of their specific business decisions. Finances may also depend on changing industries, shifting stocks, and fluctuating politics. If this applies to your company, set aside extra money and plan for the unexpected. 

Don't take unnecessary financial risks -- especially when it comes to new and/or small businesses. Diverse new business capital, file taxes very carefully, and consider all reasons why profits may fluctuate, even if it's not directly related to your company.

Three Reasons Americans Struggle When Filing Their Taxes

There is a good reason Americans hire more than 1 million tax accountants or small business tax preparation professionals per year. Unfortunately, filing taxes -- on an individual and/or on a company level -- is not necessarily straightforward. In fact, it can be far from it. Why are taxes so complicated? What do individual tax payers and businesses need to know before filing taxes?



There's Nothing Wrong With Asking For Help 

According to Business Insider, the pages of the U.S. tax code has increased by 16,775% over the last 100 years. With all of these tax codes, laws, and nuances, it is no wonder that U.S. tax payers will spend an average of eight hours preparing a single tax form. Moreover, "guess-timating" and writing off tax deductions that you are not entirely sure about can result in an audit. If you don't know what you are doing, hiring a professional can spare you audits, fines, and even potential legal troubles.

Company Taxes Should Not Be Up For Discussion 

One of the best accounting tips and tricks (and particularly for small businesses taxes) is to share financial information and tax information only when it's absolutely necessary. Your employees are not Skylar from Breaking Bad, and they are not likely to cover-up shady practices and tax write-offs for you. In fact, employees can earn up to 30% of business taxes collected when they tip-off the IRS. Pay all taxes on-time, and keep financial matters and financial risk management relatively confidential.

In Nearly All Cases, You Need To Pay Taxes 

Some studies show that as many as 47% of U.S. men and women do not pay taxes. Of course, there are reasonable explanations; some Americans do not meet the minimum income requirements, and therefore they are exempt from paying. However, there are a large portion of Americans who do not pay because they disagree with some -- or all -- federal taxes. This is a grave error. Write to your local politician. Vote. Do not risk legal troubles for tax evasion.

What are the best accounting tips and tricks? Hire tax services and professionals as necessary, always pay your taxes, and keep business taxes as private as possible.

How To Pick Up The Pieces After The Recession

Even though the economy is supposedly on the mend, many Americans are not exactly reaping the benefits. In fact, too many Americans are still pinching pennies, living paycheck to paycheck, and accruing even more debt -- instead of getting out of it. These things are not necessarily the direct results of the Recession, however. Ill-advised spending, saving, and financing definitely have something to do with it, too. If you are currently struggling to make ends meet, here are some things you need to consider while managing your money.


Take Some Accountability

Only 25% of Americans ages 30 to 69 use a financial planner to track their spending and savings -- and that number has actually increased by 21% since 1990! One of the simplest accounting tips and tricks -- and yet one of the most important -- is to be conscious of your spending. Keep track of money in a planner or online. Know how much you are bringing in from work (and any other sources of income), and know roughly how much you'll have left after paying monthly bills and going grocery shopping.

Treat Your Savings Account Like Any Other Bill

Whether you are perusing individual or small business accounting tips, there is always a consensus about at least one thing: some savings are absolutely necessary to have. Living from paycheck to paycheck with absolutely zero leniency can easily pose problems, and a savings account (and one that you keep up!) is your defense against that. Treat it like any other bill. Pick an amount -- $30, $50, $100 or more -- and deposit that amount into your savings account every week or every other week, and don't make any exceptions.

Live A Little

Spending money responsibly is like eating healthy. If you always deprive yourself, you're vastly more likely to mess it up. Just like it's perfectly okay to go out to a restaurant, attend a holiday dinner, or eat a cookie from time to time -- these measures can actually help people stick to a healthy diet the other 90% of the time -- the same is true of spending. If you really want a new book, DVD, a new outfit, whatever, treat yourself once every two weeks or once every month. When you know that you can buy a little something extra sometimes, it helps put an end to impulsive shopping and irresponsible spending.

What is financial accounting? How much does it cost to hire an accountant? When managing your money, you don't necessarily need to know the answers to these questions. A professional can help you when managing your money and when consolidating debt. However, as long as you spend wisely, keep track of spending, and treat your savings account like a bill, you should be okay.

You'd Be Surprised What You Can Write Off As A Tax Deduction

Do you have a deadbeat boyfriend or girlfriend? That's great! At least for tax deduction purposes. "Couples who can claim their significant other as a dependent can also use them as a tax break," ABC News reports. The claimant must also pay half, or more, of their partner's expenses.

When it comes down to it, filing your taxes may seem like a stressful and less than pleasant time. With some creativity and luck, you can successfully (and entirely legally!) write off some pretty surprising things. The best tax preparation services share some of the strangest tax deductions.

It's All About That Work-Life Balance 

Want the federal government to pay you to get a babysitter? It is possible, with some caveats. If you take up volunteer work, for example, you may be able to write off the expenses of a babysitter. Any work must be for a non-profit charity, so keep that in mind.

Do You Feed Feral Cats? Apparently, That's Fair Game For a Tax Deduction 

"A couple who owned a junkyard were allowed to write off the cost of cat food they set out to attract wild cats," MSN writes. There is some bad news, though. This particular couple may have gotten pretty lucky, according to top tax services. Apparently, these particular feral cats also hunted the rats and snakes in the junkyard, doing something of a public service for the owners and patrons.

That's One Way To Win Over Customers

One generous businessman attracted new customers to his gas station with a one-of-a-kind promotion. The promotion involved some sales, but mostly just giving away free beer -- and he was able to write it off on his taxes. A small business tax accountant can work wonders. He or she will be able to help you file small business taxes, write off as many expenses as possible, and receive a higher return. The best tax preparation services will also save you considerable time. It takes eight hours for an individual to file their taxes -- imagine how long it might take a business or organization! With an accountant, you don't have to worry about it.

The IRS received 144,103,375 tax returns in 2012 -- and with some surprising deductions. Talk to a small business tax accountant about getting the most out of your business and your quarterly or yearly tax return.

It's Official; People Make Ill-Advised Money Decisions During The Holidays

It's Christmas in July! Retailer and small business celebrations range from simply having sales to decorating storefronts with Christmas trees and reindeer -- and sometimes even snorkeling Santas. Financial risk management firms and certified financial accountants, on the other hand, celebrate Christmas in July by sharing the bizarre, and sometimes even downright twisted, money decisions people all over the world make on Christmas.



'Tis The Season... To File Your Tax Return?



Apparently, some people suck all of the joy out of the season by taking the opportunity and the paid time off of work to file their tax returns, according to The Guardian. "On Christmas Day last year 1,548 people filed their tax return online -– a 40% increase from 2011," The Guardian continues. (Thankfully, these people only make up a small portion of the population. By comparison, there were 144,103,375 returns filed in the U.S. alone in 2012.)



Are Booby Traps A Sound Investment? These Vacationers Think So!



Sometimes even adults aren't very good at separating fact from fiction. Tax accountants reveal that some vacationers spend shocking amounts of money to literally booby trap their home while they are away for Christmas. "Typical precautions include positioning cardboard cut-outs or dummies behind netted curtains, icing steps and greasing doorknobs," The Guardian writes.



Christmas Spending Makes People Desperate



Only a quarter of American households use a financial planner, according to tax services companies. Another one million Americans will hire an accountant for help with taxes as well as some know-how about other top accounting tips and tricks. They may desperately need it, too. According to The Guardian, taking out loans shortly before Christmas is incredibly common. Moreover, people are most likely to take out loans that are immediate and have high interest rates, such as payday loans.



Should you booby trap your home while your away on Christmas vacation? Certified financial accountants can help you answer some of the toughest money questions, and before the true Christmas and holiday season rolls around.

Do You Qualify For These Weird Tax Exemptions?

There are approximately $5 million dollars worth of tax exemptions ready and waiting for Americans who are lucky enough to qualify for them. (That figure is up from $1 million just a few years ago.) Taxpayers have plenty of time to prepare for next season, and -- with that in mind -- the best tax preparation services know that it can be helpful to be familiar with all legitimate tax deductions, even the weird ones. Starving Artists Are In Luck! According to tax accountants, you can get a sizable tax deduction simply by being an artist who is a little hard up for cash. Be warned, though, that the qualifications for this particular deduction get very specific. "Performing artists get a deduction for expenses they incur while employed under certain circumstances, which seem almost ridiculous in their specificity: They have to have at least two employers and receive at least $200 in income from each; job-related expenses are more than 10 percent of income from performing artist jobs; and their adjusted gross income cannot exceed $16,000," The Fiscal Times explains. Can You Write Off Body Oils? A quarter of American households use a financial planner to map out their budget. If you are a professional body builder, tax services recommend keeping track of every expense -- large and small. Why? Professional body builders can actually write off any body oils they use prior to competitions, The Fiscal Times continues. Let The Government Help Pay For You To Quit Smoking Quitting smoking may seem like a smart move for managing your money -- and now you can get the government to help you pay for it, too! If you can get your doctor to officially state that smoking is not good for your health (hint: that shouldn't be difficult), the IRS will reimburse you for any cessation aides, patches, products, or programs. What are the top accounting tips and tricks? Americans hire one million accountants, including some best tax preparation services, with good reason. These tax preparers recommend getting any legitimate deductions that you can -- whether that means quitting smoking or cashing in on being a starving artist.