Happy family father of mother and child daughter launch a kite on nature at sunset
As a parent, it’s important to cater to the needs and necessities of your family. In a household, everything needs attention. From groceries to mortgages, everything is planned through budgeting and small financial practices. Unlike monthly budgets, there are many considerations to undertake when planning yearly expenses. Annual expenses can be difficult but, if effectively planned, can be managed with ease. Here are some anticipated expenses that you could incur in the upcoming year as a parent.

Education

As a parent, the future is represented by your children. Their education is priority number one. If you have kids going to college next year and you haven’t already planned, better to start right now! Education can be expensive and obtaining a higher education is certainly costly. The best way to confront heavy expenses is by foreseeing them and preparing well before the day arrives. It is absolutely imperative to keep in mind the annual expenses of the future and education of your kids.

Health

Your family’s health is of utmost importance, even coming before their education. If you have someone who needs regular and uninterrupted sequential medical treatment, it gets pricey quickly. Health insurance plays a significant role in relieving some of the financial pressures but, even then, it is getting more and more costly. You must always plan for the medical needs of family members and calculate the costs per those needs. Health and medical bills go hand in hand so prepare for any expenditures borne for such a necessity.

Vacations

Of course, vacations are a luxury.  However, if you plan for them well beforehand, you can make it happen.  This annual expense is something that everyone looks forward to. Vacations are a great way to go connect as a family again, especially when it seems that everyone is constantly on the go. Your kids are busy with school, you may have been absorbed in your job. Taking a vacation helps you all come together and enables you to function better as a family.  Plan ahead, set your goals, and allow your family this luxury.

Seasonal Expenses

Different seasons are greeted with joy, expectation, and, yes, a price! For instance, the winter season brings about severe cold and, thus, clothing and apparel precautions are undertaken. The cooling system shuts down and the heats turn on. If you happen to live in the south, the opposite could be true for you.  During the hot summer months, your electricity can cost an arm and a leg. Aside from that, there are birthday parties to plan, holidays to celebrate, and so on.  Budget beforehand and start saving money now so that you can enjoy these special times a bit more.

Preparedness for Unemployment

Under the circumstances of losing employment, costs and expenditures can create a lot of mental and psychological turmoil. Foreseeing this unfortunate predicament is a smart and intelligent choice because the modern corporate scene has already witnessed financial cut downs and layoffs. Being a realist and preparing for such harsh situations will be a blessing in the event of an actual job loss. Unemployment itself is a cause of mental anguish and can lead to severe health problems in the shape of anxiety and depression.  Better to plan for the worst and hope for the best so that your family is prepared for anything.

Important Events

Events such as weddings and celebrations are highly important as a family. Some weddings are planned well ahead of time so one has enough time to prepare accordingly. However, there are events like funerals that cannot be predicted. Always keep this in mind so that any sudden unpleasant news can be handled with poise and confidence. In addition, it is highly recommended to save some cash at the end of each month that will contribute to the annual expenses that are elemental to the welfare of the family, every year.

Conclusion

The purpose of planning your annual expenses is to align yourself to endure and to strive to make sure nothing goes wrong for the sake of your family. The best means to avoid any tough time is by preparing well for any such incidents ever before they occur. By keeping a track of your expenditures for the upcoming year, many plans and strategies can be implemented that will ensure and guarantee a pleasant and beneficial life. 

Check out America's Best Bookkeepers
About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual accounting, providing services to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks file and critical financial documents in an efficient and secure environment. Complete Controller’s team of  US based accounting professionals are certified QuickBooksTMProAdvisor’s providing bookkeeping and controller services including training, full or partial-service bookkeeping, cash-flow management, budgeting and forecasting, vendor and receivables management, process and controls advisement, and customized reporting. Offering flat rate pricing, Complete Controller is the most cost effective expert accounting solution for business, family office, trusts, and households of any size or complexity.

Warehouse managers and worker discussing with computer in warehouse office
Without a doubt, inventory control is one of the leading challenges faced by tradesmen and retailers across the globe. They have been inventing ways to manage their inventories, devising effective strategies and integrating useful stock inventory management options and innovative software to maximize their profitability with the least amount of inventory investment. As we know, maintaining tight control over supply, storage, and distribution channels as well as ensuring the availability of adequate quantities of stock and supplies without excessive delays is no easy accomplishment. If you expect to succeed in a retail-type business, you have to coordinate and supervise inventory with paramount importance.

What Is an Inventory Management System?

Stock inventory management is the management of stock and inventory. Sounds like a no-brainer, right?  Well….think again. The system through which you track and ensure availability of goods in a retail house by involving different distribution channels from the entire supply chain is called an inventory management system. From warehousing to shipping to movement of stock and the distribution channels between—it covers everything from production to retail. It gives a better command and control to tradesmen which helps to make healthy projections and investment in stock.

The inventory manager is responsible for coordinating and supervising everything related to inventory which means you need effective stock inventory management options and techniques in order to make an optimal use of investment resources at hand. Gone are the days when inventory was handled and managed manually using traditional ways and means of recording, tracking and managing things. Now, advanced inventory management software and solutions are largely being used and integrated by tradesmen to ensure smooth provision of goods and to keep the right balance in stock at the retail establishment.

Stock Inventory Management Options vs Inventory Management Methods

Stock Inventory Management Options

New and innovative ways of managing inventory are necessary for any business to succeed. The era of manual inventory management is history and now business owners are integrating technology into their stock management processes. They are building inventory management systems of their own or subscribing to unique software to track and control their inventory. Undoubtedly, cloud tracking has changed the dynamics of the entire industry—from manufacturing to retail.

This indicates that tradesmen are always looking for efficient and cost-effective ways and means to manage their supply chain and manufacturing processes. Now, you have the choice to choose from so many stock inventory management options for a well-known reason—to create the right balance between inventory gluts and shortages. For effective management of inventory, you have to reevaluate your management strategy and, if you find it lacking somewhere, you need to reconsider your options and choose wisely.

Inventory Management Methods

Companies often have complex manufacturing processes and supply chains which leads them to face shortages and inventory gluts. For optimal utilization of investment resources at hand and keeping the right balance between both, there are predominantly two methods through which tradesmen can control costs and manage their store inventory. These are just-in-time (JIT) and material requirement planning (MRP). With the JIT technique, manufacturers know the right quantity of the items required by the retail establishment. With MRP, stock inventory is usually scheduled based on sales forecasts or history.

Summing Up Both

However, the ultimate goal of stock inventory management options and inventory management methods/techniques is to maximize profitability with the least amount of investment resources. With effective management tools in hand, you can grow and expand your business in a very short span of time. To alleviate stress, you need to set your priorities, define your goals, and implement the right tools and software into your retail business. The smooth flow of activities can only be ensured if tradesmen devise a clear-cut execution plan and strategy for managing the affairs of the store establishment.

What Else Can You Do Besides Integrating Tech-Friendly Stock Inventory Management Options?

Inventory or stock management is a continuous, concentrated and complicated job which means it requires a brilliant amount of dedication, interest, and commitment at all levels of the supply chain. Besides integrating tech-friendly stock inventory management options, what you can do is establish annual stocking policies in order to decide the maximum and minimum level of stocks and supplies to maintain a healthy business life cycle.

Moreover, tradesmen can prepare annual inventory budgets to keep things moving ahead and make projections about costs which includes material costs, COGS, holding costs, logistics costs, and other miscellaneous costs. Looking at the individual perspective, you can check the influx of all stocks, store your stock wisely, create labels and bar codes for each item, keep a track on expiry dates, use multiple vendors for stocking, set threshold stock, manage returns effectively and keep a focused-eye on stocks and inventory. This is a perfect way keep track of items within the store establishment.

Conclusion

Tradesmen have to come up with a sound stock management game plan in order to manage their inventory effectively—without any disruptions.

Check out America's Best Bookkeepers

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual accounting, providing services to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks file and critical financial documents in an efficient and secure environment. Complete Controller’s team of  US based accounting professionals are certified QuickBooksTMProAdvisor’s providing bookkeeping and controller services including training, full or partial-service bookkeeping, cash-flow management, budgeting and forecasting, vendor and receivables management, process and controls advisement, and customized reporting. Offering flat rate pricing, Complete Controller is the most cost effective expert accounting solution for business, family office, trusts, and households of any size or complexity.

 

Asian business woman is writing entrepreneur idea concept. Elegant Design for smart business,business financial and business idea concept
Most motivated professionals and expert entrepreneurs know the importance and advantages of investing in themselves – developing and sharpening valuable skills that boost their strengths over time. While you certainly require guts and patience to initiate and run a new venture, you also must concentrate on nurturing these six essential business skills that are vital to succeed as an entrepreneur in very critical situations.

1. Communication

Your company can instantaneously turn from a good situation to a bad situation when your communication lacks clarity, purpose and impact. On the contrary, effective communication has enough potential to revolutionize an idea, thus, breathing a new life into your product or brand. Besides being a creative and design genius, Steve Jobs, the founder of Apple, was also an influential communicator. If you revisit his marketing taglines and keynote speeches, you will immediately realize how communication played a key role in building one of the most valuable companies in the world. In fact, many psychologists and business experts also believe that effective communication is one of the most important skills to become a successful entrepreneur.

2. Branding (Personal as well as Business)

In today’s digitally evolved corporate environment, knowing how to establish yourself as an expert professional in your industry is critical to your entrepreneurial success. In fact, branding now includes being active on social media platforms like Facebook, YouTube, Instagram, and SnapChat. It is shaped by content marketing both on and off your business website. However, poor content can result in negative branding. Consequently, it is necessary to determine how to share your content and marketing resources so that your target audience not only wants what you have to offer but also finds it valuable.

3. Critical Thinking

The objective analysis and assessment of a matter to form a logical judgment is collectively known as critical thinking. It typically begins with questing assumptions, hypothesis, opinions, and claims rather than simply accepting them as gospel. Just like bookkeeping is fundamental to creating business accounts, critical thinking is essential to smart entrepreneurial decisions, making that, in turn, a key to becoming a successful businessperson.

Today, we are continuously bombarded with tactful content and sound bites. That is why our ability to question in order to determine what is real and what is not, to understand casual relationships, and to reason logically instead of generalizing from a given data point, has become more critical than ever before.

Consequently, question each and everything, especially superstitions and common doctrines. Also, listen to people who challenge your popularly held beliefs. Here, you must resist habitual pressure to look at matters in “us vs. them” or black and white terms. In addition, you should learn to view the world from different viewpoints, perspectives, and angles.

4. Sales

Although you may not identify as a salesperson, you are involved in sales to a great extent when you are running a business. You might have a great sales team handling all of your corporate sales. However, whenever you give a presentation about your business products, negotiate with a vendor, or simply convince anyone of anything, you are typically tapping into your sales skills.

There are numerous strategies to sell even without selling. Take a moment to think about corporate conversations you have with your potential clients. Those that rendered a sale are probably not hard pitches to get your potential customers to purchase from you. In fact, they largely focus on helping them find a solution to their problem. Thus, you should also concentrate on helping them, instead of selling. This way you will have more confidence in terms of the sales process, making you bring in more sales, too.

5. Confidence and Assertiveness

While listening is necessary for effective business communication, you also have to determine when you should take control of a conversation and assert your viewpoints, opinions and beliefs. Although you need to have an attentive ear to other people’s requests and claims, you also must understand when to say no. You must learn to be consistent and open-minded in order to earn trust and respect from those around you.

6. Perseverance

Most successful entrepreneurs have faced devastating failures and defeats in their lives. Instead of looking at such situations as a demotivating factor, they view them as stepping stones towards their business success. Besides maintaining their perseverance and optimism, they also make smartly calculated changes to their future efforts. Always remember that you fail only when you do not try, as persistence is the key to success in just about any aspect of a business.

Check out America's Best Bookkeepers
About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual accounting, providing services to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks file and critical financial documents in an efficient and secure environment. Complete Controller’s team of  US based accounting professionals are certified QuickBooksTMProAdvisor’s providing bookkeeping and controller services including training, full or partial-service bookkeeping, cash-flow management, budgeting and forecasting, vendor and receivables management, process and controls advisement, and customized reporting. Offering flat rate pricing, Complete Controller is the most cost effective expert accounting solution for business, family office, trusts, and households of any size or complexity.

Business people using pen,tablet,notebook are planning a marketing plan to improve the quality of their sales in the future.
The management and recording of financial documents and records can prove to be a challenge, especially if it is not done in an organized and efficient manner. When they are in paper form, there is a risk of losing them. Although with some cloud storage services, major security issues are at stake as bookkeeping records can fall prey to malicious viruses and dangerous hackers.

For effective business bookkeeping and maximum security, make sure that you use the following 9 tips and tricks.

1. Use Accounting/Bookkeeping Software

Although you can handle all of your documents in paper form, going paperless through cloud-based accounting software will enable you to manage and record your bookkeeping documents more efficiently.

The use of accounting/bookkeeping software enables users to handle all of the basics of bookkeeping, providing easy-to-use management tools that help in effective organization and improved security. Vital templates for check printing, deposit slips, business records, and invoices are part of the package that come with the software.

Another benefit that accounting software provides is the ease of accessibility. Once you have all of your important data on the software, you can access it from anywhere. This is because cloud-based software has applications that can be used on a smartphone, providing easy access to the records. 

2. Maintain a Chart of Accounts

Small businesses have to maintain a ‘chart of accounts’ which is a list of accounts and bookkeeping records that help in categorizing all financial transactions that take place in your business. You may own a number of different titles, depending on the type of processes taking place in your business. There are 5 types of business accounts that are commonly found:

  1. Liabilities
  2. Assets
  3. Owners’ Equity
  4. Income
  5. Expenses

  3. Practice Diligence with Tax Forms

If your small business has paid contractors and employees, it is important to stay attentive towards the tax forms that your business is preparing.  An important factor that you have to consider for your small business is that you have to make sure that the employees working in your firm have the forms they need at the required time so that they do not have to face penalties or interest. Make sure that you set aside an ample amount of cash to cover all of the payroll taxes that will be applicable to the wages of your employees.

4. Do Not Combine Business and Personal Finances

One of the most important bookkeeping tips you must practice is ensuring that your personal and business transactions are not combined in any way. Your business is a viable entity and you have to treat it that way. Combining your personal finances with the expenditure of the business will make tracking in the organization much harder and it will be much more difficult to track records. Always ensure that you have a different checking account and separate credit cards for your small business and personal life to avoid confusion and ensure effective organization, saving you both time and money.

5. Outsource your Bookkeeping Needs

Business owners have an option of outsourcing their bookkeeping needs. This is especially helpful for small business owners who are running a business and playing the role of a bookkeeper themselves. This not only divides the tasks and responsibilities while lowering the burden, but also enables you to accommodate the time into something else that is beneficial to your business.

Outsourcing a bookkeeper is cost-effective and accurate. Secondly, instead of spending money on training a fresh bookkeeper, an experienced outsourced bookkeeper will provide you effective bookkeeping straight up.

6. Contact Professionals

When we consider bookkeeping for a small business, there is a big chance that things can go wrong. In certain situations, the smartest decision is to contact a professional. Bookkeeping and accounting experts will help you in setting up your bookkeeping system in a way that errors and mistakes will be minimized. At times, they might prove to be costly, but mistakes can be a major damage to the business so they are a wise investment.

6. Practice Daily and Weekly Reviews

For a small business, it is not sufficient to check your bookkeeping records on a monthly basis. In order to stay updated on any changes going on in your business, you have to keep a track of your records on a daily and weekly basis. Being updated on a regular basis will also enable you to keep track of any current invoices, see all expenses, and understand your cash flow.

8. Save as Much Paperwork as Possible

Paperwork has a higher chance of falling prey to disastrous events. This can affect a business very negatively because, in case you have to prove your tax filings, your business will not have any proof. Alongside, cloud-based software enables you to stay more organized and keep important bookkeeping documents safe.

9. Consider Profitable Deductions

Tax deductions can majorly benefit your small business. Effective business owners have a habit of maintaining proper bookkeeping records in order to ensure that you get the most out of all tax deductions, enabling you to invest that money somewhere else.


Check out America's Best Bookkeepers
About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual accounting, providing services to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks file and critical financial documents in an efficient and secure environment. Complete Controller’s team of  US based accounting professionals are certified QuickBooksTMProAdvisor’s providing bookkeeping and controller services including training, full or partial-service bookkeeping, cash-flow management, budgeting and forecasting, vendor and receivables management, process and controls advisement, and customized reporting. Offering flat rate pricing, Complete Controller is the most cost effective expert accounting solution for business, family office, trusts, and households of any size or complexity.

Cropped front view image of a young handsome businessman using laptop computer in cafe and doing payment with a creditcard

What are Payment Gateways?

As businesses are shifting towards electronic mediums for distributing their products worldwide, the need for payment gateways have grown further. The need for proper transportation/courier services and payment gateways have become essential tools for businesses all over the world. A payment gateway is a merchant who acts as a secure service provider that processes payments of clients/customers through their credit cards to the accounts of sellers. Today, these payment gateways have a vital role in the E-commerce industry. A few of the most popular payment gateways are PayPal, Square and Stripe.   

How Payment Gateways are Beneficial for E-commerce

People have already been using the services of payment processors, however, both are different in nature. Payments through gateways are much more secure because payment gateways have multiple benefits over other payment systems.

Encrypted:
  1. Being encrypted makes the data more secure.
  2. The browser of the customer sends the data of the card in an encrypted form to the vendor’s web server.
  3. Later, the gateway sends the transaction information back to the payment processor of the seller’s bank.
Authorized Request:
  1. The payment processor sends the data of the transaction to the credit card company and then the request is approved or declined by the bank’s authorities.
Filling the Order:
  1. The order is accepted or declined by bank authorities depending on the availability of the balance and bank’s facilities.
  2. As soon as the gateway gets the response from the bank and vendor, it is transmitted to the website’s payment process interface.
  3. After this process, the merchant fills the order and the order is confirmed.
  4. Although this process seems to be long, it takes fractions of a second.

Factors to Consider Before Deciding on your Payment Gateway

1. The Cost and your Business Budget

The most important step is looking into the payment gateway fees and comparing them with the features offered by using it. It is important that you adopt a bookkeeping method to record and compare the fees. The merchant needs to look into 3 important factors:
  1. One-time fee: the initial investment price of the services of the payment gateway providers
  2. Transaction fees rate calculated on per transaction basis: percentage of the total transaction
  3. Maintenance charged: the online operational cost charged by the payment gateway providers

2. Is the Payment Method Secure?

It is important to ensure that the payment method is secure and the data of customers is not misused by any means. This can be done by incorporating:
  1. 128-bit Encryption
  2. PCI DSS Compliance
  3. PCI DSS Certification
  4. SSL Certification
  5. Two-factor Authentication

3. Is it Enriching your Customer Service Experience?

The key to a successful and friendly payment method is ensuring that your customers are having a good service experience. This can be achieved by:
  1. Using logos for familiar services such as visa card, master card, etc
  2. API integration
  3. Minimum efforts required by the customers for processing payments

4. Modern vs Classic

Modern payment gateway systems are more user-friendly and enrich the experience of customers. These modern payment gateways do not require merchant accounts for clearing payments. However, they are much more expensive and the transaction cost is even higher. The classic payment gateway is much cheaper but it is more of a hassle. It takes longer to set up and it often performs slower.

5. Hosted vs Integrated Gateway

Payment methods can be hosted on your own servers as an integrated medium or it can be hosted off-site. If you have opted for off-site hosting, you are free from the hassle of data security and PCI compliance. Integrated gateways are connected to your e-commerce website through API and the customer doesn’t need to leave your main store for the payment process. This makes the process more smooth and easy.   

6. Planning Recurring Payments

If you are running a business that is offering recurring subscriptions, you should consider a gateway which is offering your customers the similar features of recurring payments. Manually paying every month will be a huge deal for your customers.

7. Start Small

If you are starting up a new venture, you should not hesitate in starting with a small package. A small package can offer you the best insight as you can learn what you prefer and later switch to a more modern or integrated payment gateway system. 

Check out America's Best Bookkeepers
About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual accounting, providing services to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks file and critical financial documents in an efficient and secure environment. Complete Controller’s team of  US based accounting professionals are certified QuickBooksTMProAdvisor’s providing bookkeeping and controller services including training, full or partial-service bookkeeping, cash-flow management, budgeting and forecasting, vendor and receivables management, process and controls advisement, and customized reporting. Offering flat rate pricing, Complete Controller is the most cost effective expert accounting solution for business, family office, trusts, and households of any size or complexity.

 

 

 

 

 

Person using a futuristic head up display (HUD) interface screen with data and key performance indicators (KPI) for business intelligence (BI) analytics, concept about financial dashboard, technology and virtual reality (VR)
Financial dashboards for businesses are essential for evaluating daily business operations on a regular basis. Financial dashboards guarantee to keep the business on the right track. It is one of the most vital elements of any business. Businesses may use various techniques to invest in a proficient financial management program to ensure that the best practices for proper inventory management are followed.

Financial management is a major part of any business’s supply chain management, manufacturing, customer relations and every business activity. The stock inventory management aims to have the correct products available for sale. Tracking inventory in real time is effective in streamlining the entire operations process.

The dashboards help the business to have the correct products available at the right time. It prevents out of stock products and funds from being tied up in surplus stock. Moreover, stock inventory management helps your business ensure that all products are sold in time to prevent spoilage. It also saves millions.

Benefits of a Financial Dashboard

Financial dashboards provide a complete and detailed overview of an income statement with net profit, revenue, and other relevant performance ratios. Each dashboard represents four crucial financial indicators such as the operating profit, net profit margin, OPEX ratio, and gross profit margin.

The revenue is found in determining the selling price by calculating the total cost of goods sold without including details considering any other taxes and expenditures. The dashboards allow businesses to consider certain costs associated with their operations on a daily basis for bookkeeping.

One of the main metrics for these dashboards is the inclusion of income before interest and taxes or EBIT. The dashboards consider calculating all expenses and costs before interests; then the applicable taxes are included in the overall cost to determine net profit.

Calculation of Gross Profit Margin by Dashboard

The Gross Profit Margin for any business is essential for determining the total sales percentage with the revenue that remains after the bookkeeping of all direct costs with goods and services. The gross profit margin is useful in estimating how much the company has to invest, determines spending on research and development, and how effectively they can contribute towards earning a profit.

Top 3 Financial Dashboards for Your Business

Entrepreneurs are preoccupied with daily business operations and, often, they do not have sufficient time left for handling their finances. Many financial dashboards are available to help business owners effectively handle their finances. Most dashboards offer easy to read charts with colorful graphics. The most effective step for start-ups is to use online dashboards that help them track their finances as they are unable to hire an expert bookkeeper to manage business finances.

Here are some affordable business dashboards that will determine how to handle the finances of any business.

inDinero

inDinero was launched in 2010. This financial dashboard is suitable for start-ups. inDinero gathers all business transactions from the bank history as well as credit cards details and other financial documents are efficiently organized. The business owner does not need to spend hours in data entry. Just save the account number and bank information and it automatically categorizes transactions. Some of the categories of transactions are:

  • Advertising
  • Payroll
  • Dining and refreshments
  • Another spending for every month
  • Accounting reports

BodeTree

BodeTree was introduced as a financial dashboard in 2011 in partnership with Intuit, the company that launched QuickBooks. BodeTree relies on QuickBooks to assess different financial information from those who rely on QuickBooks for bookkeeping. It needs to be connected to the QuickBooks account. Once the connection is complete, it categorizes and generates a breakdown of all activities and expenses associated with each operation.

The BodeTree dashboard is named after the legendary Bodhi Tree, where the Buddha reached nirvana. Similarly, the dashboard will be able to determine a benchmark for the business depending on their algorithm based on the transaction and expenses history.

Corelytics

The Corelytics financial dashboard was launched in 2005; this dashboard works by importing all of the financial information associated with the business. It gathers information from different accounting programs including Sage, PeachTree, MYOB, and QuickBooks, among others, for the financial dashboard. After all of the information from each accounting platform is collected, Corelytics will get to work by categorizing every metric. These metrics, once generated, can monitor every transaction. Some of the metrics are:

  • Expenses
  • Gross margin
  • Revenue
  • Receivables
  • Owner compensation
  • Profits

Financial dashboards allow setting goals and objectives for each of the metrics above. The Corelytics financial dashboard highlights every single metric with different colors. The colors determine when each metric is not performing according to the standards of the business. This financial dashboard is one of the most useful for every business. It comes with a mobile application, allowing the business owner to monitor the activities on the move for better bookkeeping. It also won the Showcase award for the best dashboard.

Check out America's Best Bookkeepers
About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual accounting, providing services to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks file and critical financial documents in an efficient and secure environment. Complete Controller’s team of  US based accounting professionals are certified QuickBooksTMProAdvisor’s providing bookkeeping and controller services including training, full or partial-service bookkeeping, cash-flow management, budgeting and forecasting, vendor and receivables management, process and controls advisement, and customized reporting. Offering flat rate pricing, Complete Controller is the most cost effective expert accounting solution for business, family office, trusts, and households of any size or complexity.

Portrait of middle aged tradesman standing by his van
You can schedule how your company’s resources are being utilized as well as track varied costs associated with resources’ usage for a particular project. It involves the expenditure of machine hours, employee hours, inventory goods, and other usages that are tracked for a job progress. If a job has been running for a long period of time, you may transform such costs on the balance sheet to a work in process account. By doing so, you can analyze the costs and include them in your income statements, whenever required.

Work in process is a prompt step that inputs labor and materials and converts them into consummate goods. The balance in the work in process account is the total value of semi-completed inventories at the end date of the period of reporting. Large companies are aware of the significance of calculating work in process to make their inventory perpetual. However, trade businesses, in which a tradesman employs transitory methods of inventory by taking physical resources of consummate goods into account, can use this formula for determining work in process.

Importance of Calculating Work in Process

The role of calculating work in process is important in these manners:

  • To make sure that the work is going to make maximum profit
  • Understanding of cost structure is enhanced
  • To effectively manage employees and projects in a profitable way
  • Enabling the company to make informed decisions which are relevant to the business

Rate to Cover your Emolument

You can calculate your rates to recover your emoluments. If you are making $10,000 net profit in your business in a single year and have not taken an emolument, you had better work at KFC, which comparatively has a better wage system and less worries.

The first step should be to determine how much wage you need because the wage is dependent on your circumstances. You need to take every need including mortgage payments, cost of living, etc. into consideration. Trade businesses are usually covered by doing paperwork such as generating invoices, bookkeeping entries, bills, etc.

The next step is finding out how many hours you can work. No tradesman can physically work for 24 hours, however needs to dedicate more working hours in order to make maximum profit. If you are working 40 hours a week and 2080 a year, you need to give some consideration to your holidays, sick, and official leaves. If the holidays account for four weeks and sick and other leaves account for three weeks, 52 weeks will now become 45. That means you are working 1800 hours in a single year. In this way, you can manage your costs and profits and calculate your work in process.

 Rate To Cover Your Running Costs

This is the rate you can calculate to recover your running costs for the trade business. If a tradesman does not charge for a single hour, you still have to pay for power, rent, and vehicle costs. You must begin by analyzing your previous costs because, if you do not, you will not be able to generate profits in your succeeding business.

 Profit Margin

You need to make this calculation in order to get the return you want from your business. For every hour of chargeable time, you should build a specific percentage of profit margin. This margin must go hand in hand with the reasonable time you allocate to this calculation. In addition, you should compare your charge out rate to the industry averages to know whether the total rate could be competitive. Do not forget to charge after an hour work to find appropriate rates. If the rate is lower than the average rate, it will give you opportunity to win in the business. Charging too little is the same as charging too much because it can undermine the confidence of consumers as well as the employees in your business.

 Material Costs

When calculating work for charge out rate, material costs are not included. These costs are separately added in the markup. It can be done in various ways. You can use the wholesale or retail price or the actual price to put the mark upon.

Conclusion

  • Be realistic in your business and meet the expectations of your employees
  • Understand the cost of the business to generate maximum profits
  • Find material and variable costs including cost of bills, vehicle, overtime, etc.
  • Review changes and revise the costs whenever required
  • Analyze the cost structure instantaneously and know what other competitive businesses are charging
  • Be aware of what the market is wanting to pay
  • Neither look for lower or higher rates than the average, but keep them in a sustained manner

Check out America's Best Bookkeepers

 About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual accounting, providing services to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks file and critical financial documents in an efficient and secure environment. Complete Controller’s team of  US based accounting professionals are certified QuickBooksTMProAdvisor’s providing bookkeeping and controller services including training, full or partial-service bookkeeping, cash-flow management, budgeting and forecasting, vendor and receivables management, process and controls advisement, and customized reporting. Offering flat rate pricing, Complete Controller is the most cost effective expert accounting solution for business, family office, trusts, and households of any size or complexity.

 

 

 

 

 

 

 

 

 

Hour glass and calendar concept for time slipping away for important appointment date, schedule and deadline
Time is limited—manage it well!

Time management plays a predominant role in one’s life. Those who learn this art early on, reach their destination and achieve their goals. Those who fail to understand its worth will find it hard to create, maintain, or find a perfect balance in their lives. Effective time management is likely the first step towards achieving your goals as it helps you accomplish more with better decision making in a relatively shorter period of time.

Moreover, it indicates that you will have more time for your family and friends, which is ideal for keeping the right pace for a healthy lifestyle. The core advantages of managing your time well are less stress, more work done, less rework, and more time for yourself.  However, most people fail to create a perfect balance in their lives that would allow them to enjoy more and worry less. Delegating and coordinating tasks and activities for maximizing the effectiveness of an individual’s efforts requires you to be on your toes–all the time. You can only reap intended outcomes if you are able to maintain a complete control over important business tasks and manage your time well.

Here are six time-management tips for achieving your goals.

Time Is Limited—Manage It Well

Time and resources are two things that are always limited. The one who is able to achieve the right strategic fit between these two things achieves success in a very short period of time. So, you need to know the worth of both of these to manage things well or else you could lose everything. Whether you are a billionaire or dirt poor, time stays the same for everyone. Those who realize its significance accumulate a successful life.

Plan and Prioritize Your Goals

To make the most of your precious time, you must plan, time, and schedule everything properly and prioritize things that matter the most towards achieving your goals. Once you know what you intend to achieve in the near future and set your goals the right way, the sky is the limit. It is better to give weight to your daily tasks and accomplish those that mean the most to you first.

Create a Good Management System

A proper time management system can serve you well and help you to time your daily tasks properly. Perhaps the most effective time system is the quadrant time-management system that splits your activities into four quadrants based on urgency and importance. Achieving your goals, short-term or long-term, becomes relatively easier with such an effective time-management system that allows you to focus on core things first and then proceed to the next-important task(s).

Eliminate Bad Habits

If something is to blame for ruining the future of youth, it would be the excessive use of social media. We all need to use our precious time wisely and eliminate bad habits that may prevent us from achieving our future goals. Playing video games, binging on Netflix, and excessive social media surfing ruins our future and makes us achieve nothing.

Make a To-Do-List

According to studies, making a to-do-list is the biggest motivation for completing daily tasks. It highlights important tasks for the day and gives you a consistent recall of the tasks that must be concluded for the day. Achieving your goals is not that hard if you make a proper plan to achieve them.

Have a Mentor Guide You

A mentor can be any person with good time management skills and knowledge within or outside your social circle. However, there are people who provide professional services or consultancy to guide you through difficult phases of life. For example, if you are running a business, you have to maintain a perfect balance in managing core areas of your business. To manage that time wisely, you could consider hiring a professional accountant for bookkeeping services in order to free your mind of financial concerns and use your time wisely for other areas of your business.

Check out America's Best Bookkeepers
About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual accounting, providing services to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks file and critical financial documents in an efficient and secure environment. Complete Controller’s team of  US based accounting professionals are certified QuickBooksTMProAdvisor’s providing bookkeeping and controller services including training, full or partial-service bookkeeping, cash-flow management, budgeting and forecasting, vendor and receivables management, process and controls advisement, and customized reporting. Offering flat rate pricing, Complete Controller is the most cost effective expert accounting solution for business, family office, trusts, and households of any size or complexity.

Stressed business woman running out of money - stock and market down
Accounting is the systemic and comprehensive recording of financial operations in a business. Business bookkeeping is the recording of financial transactions as a part of the accounting process.

The most common area where small business owners make mistakes is in accounting and bookkeeping. Small business accounting mistakes range from minor errors (e.g. to save a receipt of minimum amount) to big accounting and bookkeeping errors which cause serious threats to the business.

Entrepreneurs/owners often do not see the impact of the common small business accounting mistakes as a major threat to the growth of business in the long run.

8 Common Small Business Accounting Mistakes that Pose Risk to Business Stability

  1. Business owners mix personal finances with their business account

  • Business owners mix their personal finances with business expenses. Keeping these two finances separate is of utmost importance. If these two finances (personal and business) are not segregated then it cannot be known what was intended for business and what was used personally. The finances cannot be estimated correctly and the amount of profit generated out of invested capital cannot be calculated. 
  • A business credit card is utilized for personal expenses during a holiday trip or other excursions. Later on, this amount will be paid from the company’s income.
  • During purchase orders for inventory of the company, purchases are also made for personal or private use.

  1. Trying to manage all accounting and bookkeeping yourself

  • A small business owner is often an all-rounder. They constantly try to manage all business functions themselves. Accounting and bookkeeping are hectic and time-consuming jobs. If you spend all of your time in accounting and bookkeeping, you will miss doing other important business operations.
  • If you have an accountant to manage this, you will be able to keep a second eye on accounting and bookkeeping, but also free up time for other areas.

  1. Infrequent bookkeeping

Entries are not done in time. Running behind in bookkeeping and the submission of entries of the expenses or sales will not yield an up to date picture of the business and allow you to make timely decisions. It can lead to a negative balance if expenses are made but no income statement is updated. Invoices to be paid by the company may go unnoticed and it can give your company a bad name. It can end terms with the suppliers. Business growth is halted or significantly reduced.

  1. Covering small expenses out of pocket without recording

Sometimes, it’s easier to pay small expenses out with your own money in business. And, often, these payments are small and not entered into the bookkeeping record.

Paying out of your pocket falsely makes your company appear stronger in income than it actually is.

  1. Starting new projects and ideas without a clear budget

If you start a new project in your business without planning for it, then you can run short of your budget for other business operations. You may have to quit the project in the midst of doing it if you don’t get the loan or find other investors.  It’s always best to plan ahead before you make a big move.

  1. Not saving the original receipts after entering them register/books

Keeping all receipts until all taxes are paid and an audit is produced is a must. Even after that time period, receipts are very important for matching data entries in a register or in software.

  1. Not using accounting software or cloud technology

Failing to set up a correct software as needed by your company leads to poor decision making, because installing the improper (more complicated than required or lacking crucial functions) software can lead to more complexity in accounting. Accounting software prevents accounting and bookkeeping errors. Many software applications come with guided help boxes to make the accounting process easier to interpret. Inventory control tools are provided in the software. Tax matters are made easier using accounting software.  It’s best to make the jump for your company and purchase the best software for your company. 

  1. Wrong interpretation of accounting information

  • Accounting information software is just a tool to use. Decisions must be made after completely checking the financial reports and interpreting the data. Data interpretation is made by comparing financial statements with the cash flow statements and the balance sheets.
  • Entrepreneurs/business owners/directors must focus on long-term consequences of decisions they make after getting a full picture of the company’s accounting information. Short term decisions after interpretation of accounts data do not provide the company with long term benefits. 

Conclusion

Small business accounting mistakes are not small and can dissolve the business in the long run.  Accounting and bookkeeping tasks should be managed by a trained professional and you must closely monitor your accounting and bookkeeping data. Use accounting software for bookkeeping. Neither mix personal expenses with the business account, nor pay out of pocket for business expenses. These small mistakes lead to big problems in the long run for your business.

Check out America's Best Bookkeepers
About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual accounting, providing services to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks file and critical financial documents in an efficient and secure environment. Complete Controller’s team of  US based accounting professionals are certified QuickBooksTMProAdvisor’s providing bookkeeping and controller services including training, full or partial-service bookkeeping, cash-flow management, budgeting and forecasting, vendor and receivables management, process and controls advisement, and customized reporting. Offering flat rate pricing, Complete Controller is the most cost effective expert accounting solution for business, family office, trusts, and households of any size or complexity.

Notebook computer.
Protecting your business from cyber fraud requires you to be well prepared for tackling potential threats and dangers. Here’s what you need to know
.

Undeniably, the stories of cyber fraud that once seemed startling are now non-stop and have a knack for repetitiveness. They are no longer a surprise due to the frequency occurring vastly. Many think tanks have come together to combat this menace but it was concluded that solutions largely depend on the nature of a business. There is no denying the fact that cyber fraud has become a sophisticated profession that is posing threats to organizations on a global scale. You may be shocked to know that cyber fraud is expected to cross $3 trillion by 2019, a five-fold increase from the 2014 estimate. It is also important to note that a significant portion of cyber fraud goes undetected, causing US organizations to lose billions of dollars each year.

Shifting the Scope and Dynamics of the Industry

Before the advent of the internet, criminals had to dig through a company’s trash and intercept their mail to steal sensitive information. Although, stealing in the past and initiating fraud required extraordinary lengths and creativity which often restricted fraudsters to do their homework prior to committing a fraud. This indicates that stealing from a company was relatively more difficult and time consuming with a greater fear of getting caught.  Times have now changed.

Cyber Fraud in Today’s Era

In today’s fast paced internet era, companies are more vulnerable to cyber fraud as information is readily available online. Fraudsters, criminals, spies and hackers use the internet to hack into company accounts, steal people’s identities, infect devices with viruses and trick others into revealing sensitive information. These hackers have invented different ways to break into company accounts and their pattern of stealing is hard to guess. A most recent example is the “WannaCry Ransomware”, which actually caused people to lose billions of dollars worldwide. This cyber attack affected more than 250,000 users in more than 140 countries. Unfortunately, hacking has turned into a very lucrative business encouraging crooks of all types to enter the market with respective vested interests. From petty con artists to organized international syndicates, it is definitely a top concern.

How to Protect Your Company from Potential Threats

The good news is that companies don’t have to spend thousands of dollars to protect their invaluable information and data. We will briefly focus on low-cost, low-tech tips to protect your business from cyber fraud.

Establish a Clean Desk Policy

Prevention of cyber fraud starts with protecting and securing the most susceptible assets, your staff. You must motivate your employees to adopt a culture of a clean desk policy as it can be a starting point for most cyber frauds. Institutions like banks and other regulated bodies need to establish a code for a clean desk policy prior to leaving the office. This is a simple and effective way to secure your sensitive data and prevent it from going out of your company. This may include data about employees, vendors, clients, contractors, insurance agents, outsource agents and all internal and external stakeholders.

Reconcile Balances Everyday

We are living in an era where we witness cyber crimes every day. For preventing a cyber fraud, we have no other option than to reconcile our balances and accounts every day. It is important to have proper checks and balances in place for keeping your business on the right track. Maintain and regularly check your bookkeeping records so that you are aware if and when fraud is happening.

Establish Vendor Policies

To set an ideal platform for ensuring growth and success, you need to establish vendor policies. Protect your sensitive information and secure your identities, as cyber fraud can cost you a lot and may kick you out of the competitive race.

Verify All Requests Prior To Transferring Funds

This can be done through establishing contact by phone or scheduling a one-on-one meeting. Never transfer funds or make payments without confirming urgent requests made by your customers, vendors, or any other person involved in the process. This may lead to cyber fraud or banking repercussions such as discrepancies in transactions and loss of funds.

Check out America's Best Bookkeepers
About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual accounting, providing services to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks file and critical financial documents in an efficient and secure environment. Complete Controller’s team of  US based accounting professionals are certified QuickBooksTMProAdvisor’s providing bookkeeping and controller services including training, full or partial-service bookkeeping, cash-flow management, budgeting and forecasting, vendor and receivables management, process and controls advisement, and customized reporting. Offering flat rate pricing, Complete Controller is the most cost effective expert accounting solution for business, family office, trusts, and households of any size or complexity.