Categorizing expenses in your business

Properly categorizing expenses in your business is essential to producing meaningful financial records. Your expenses is part of the chart of account. The chart of account is the way your financial statements are organized and should capture relevant events for your business. Your expenses should be divided into accounts that can help you make quick…

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Accountable reimbursement plan

Previously I talked about the accountable reimbursement plan as a way to reimburse yourself for business expenses bought with personal funds. In this article, I delve more into the accountable reimbursement plan. What is an accountable reimbursement plan? An accountable reimbursement plan is a method of reimbursing employees for business expenses paid with personal funds.…

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Business expenses paid with personal funds

As a business owner you sometimes run into situations where you have to use personal funds to pay for business expenses. For example you are at the store shopping for personal needs and then you see an equipment you need for your business on sale. You do not have your business credit or debit card…

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Avoid Personal Liability for your Corporations Action

If you own a small business, your personal assets can be seized to meet your business obligations. One way to avoid being personally liable is to form a legal entity. A corporation or a limited liability company (LLC) can meet this need. However, forming a legal entity is not the end of the story. You…

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Desktop Accounting Software

I have spent time talking about the advantages of cloud software and comparing cloud solutions. In this article I discuss the following desktop accounting software: Excel Quicken QuickBooks/ Sage Peach tree I then add with a summary chart you can use to make your decision. Excel When starting out, most self-employed individuals don’t want to…