Category: Business Finances

6 Tips to Streamline Your Business Expense Management

Tracking business expenses is time-consuming and sometimes downright painful. But it doesn’t have to be. You can fold expense tracking into your daily business processes by implementing the right tools and systems. Use our tips to streamline your expense tracking and effortlessly stay on top of your finances.

Establish a clear expense policy

The first step in managing expenses is to have a clear understanding of what your business will pay for and what it will not. Make a list of approved expenses. Then clearly and consistently communicate that information to your team.

Cultivate company-wide transparency

The best way to make sure your team is on the same page is to communicate about your expense policies often and with transparency. You’ll create an open environment that’s conducive to sharing ideas and providing constructive feedback.

Simplify expense tracking

Invest in a software program that allows employees to take pictures of their receipts, propose requests, and submit reports online. Digitizing your expense tracking makes sharing and storing information simple and stress-free.

Audit your processes consistently

Set aside time each month to audit your expenses so you’ll always have a good idea of your finances. It’s a reliable way to prevent small problems from becoming big complications. Consider using a quality accounting software to make the process even simpler and less time-consuming.

Use company credit cards

Company credit cards are a great way to track of spending, maximize cash flow, and simplify record keeping and reporting. There are many options to choose from including permanent, single-use or set dollar amount cards.

Train Best Practices

Part of clear communication is adequate training. Invest the time to properly train your employees on best accounting practices so you stay up to date on your liquidity.

Need Professional Support?

Neely’s Accounting Services is your dependable, local resource for bookkeeping. Our team of Roanoke CPAs are available in convenient locations around the Roanoke Valley and are ready to provide a full menu of services. Contact or visit us today to learn more about how you can gain time, money and peace of mind with our expert local bookkeeping services.

Posted in Bookkeeping, Business Finances
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Avoid these 5 business tax mistakes

If you’ve made the leap and started your own business, you deserve a pat on the back! Starting your own business is an exciting adventure—you’re free follow your creative vision and figure out how to overcome obstacles along the way. Business taxes can be an area where new business owners stumble. We want to make sure you’re set up for success, so we’ve outlined some common pitfalls to avoid when it comes to business taxes.

Selecting the wrong entity

When starting your business, you can choose to designate yourself as a C-corp or an LLC. The decision can seem easy enough but there are tax implications to each one. Choosing the wrong designation for your business can impact your tax responsibilities and personal liability so it’s essential to get it right.

Overestimating startup cost deductions

You probably know the saying, “you have to spend money to make money.” It takes funding to start a business, but luckily, business owners can defray some of the cost through tax deductions. However, many new business owners make the mistake of overestimating their deductions. The IRS only allows $10,000 in deductions for total costs $50,000 or lower.

Missing tax payment deadlines

Running business is a complex undertaking and keeping track of your tasks and finances is no small feat. It’s understandable that you might miss tax filing deadlines because you’re busy keeping all the plates spinning, but the IRS is strict. If you miss a deadline, you could incur fines and fees that you didn’t budget for.

Mistaking contractors for employees

Many small businesses hire contractors, especially when they’re first starting out. They can be a great choice for your business. Contractors tend to be less expensive and are professional and efficient. However, be careful that you’re not asking contractors to fulfill employee-like expectations otherwise you could be responsible to payroll taxes. Failure to do so could result in crippling fines.

Disorganized record keeping

Its critical to keep sterling tax and financial records. You don’t want to be caught unawares by an IRS tax audit and not have access to invoices, receipts, and other financial information. If record keeping isn’t your strong suit, then consider outsourcing the job to a dedicated professional.

Hire a Trusted Professional

Avoid these mistakes by working with an expert. Neely’s Accounting Service has been guiding Roanoke business owners through startups and tax season for over a decade. We’re your local advocate in dealing with the IRS. Feel confident about your business tax process. Contact or visit us in Roanoke.

Posted in Business Finances, Taxes
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