Clean and organized accounting records are crucial for the financial health of your business. Messy and inaccurate records can lead to costly errors, tax problems, and compliance issues. As a business owner, taking the time to clean up your accounting records can save you time and money in the long run. In this blog, we’ll […]
Cash Basis Accounting vs. Accrual Accounting: What’s The Difference Between Cash Basis Accounting & Accrual Basis Accounting:
In accounting, there are two primary methods—accrual and cash basis. The main difference between accrual vs. cash basis accounting is in how and when you record income and expenses in your books. Each accounting method has advantages and disadvantages, so it’s important to understand their differences before choosing which method you decide to use for […]
Cash Flow vs. Profit: What’s the difference between Profit & Cash Flow?
As a Small Business Owner, understanding the difference between cash flow and profit is crucial for making informed financial decisions. While both are essential metrics for assessing a company’s financial health, they serve distinct purposes and can impact business operations differently. Cash flow refers to the net flow of cash in and out of a […]
What Is Net Income and How is Net Income Calculated? Net Income Formula Explained
Net income is one key metric that you can use to assess your business’s financial health. It’s the bottom line on your income statement, also called a Profit & Loss Statement (P&L), and it tells you how much money you have remaining after deducting your costs and operating expenses from your total Revenue. What Is […]
1099 Form Deadlines & Important IRS Deadlines
What are 1099s? There are a variety of different 1099 forms each used for different reasons ranging from reporting non-employee compensation to reporting interest or earrings. Ex) 1099-MISC vs 1099-NEC. 1099-NEC forms for example, are tax documents that provide the IRS and the taxpayers with information used to keep track of and report compensation paid […]