Bookkeeping

Moreover, for small businesses, the framework may make things unnecessarily complicated, as the business will have to comply with a whole new accounting framework. Examples of accrued expenses include salaries and bonuses that have already been granted and will be paid at a future date. The reason why they are considered a liability is that […]

While any competent employee can handle bookkeeping, accounting is typically handled by a licensed professional. It also includes more advanced tasks such as the preparation of yearly statements, required quarterly reporting and tax materials. By creating trial balances and financial statements, it’s easier to categorise them. Liabilities are obligations a company owes to others, such […]

It’s more accurate, and if you manage inventory, it’s the method the IRS requires you to use. With cash-basis accounting, you won’t record financial transactions until money leaves or enters your bank account. With use accrual-basis accounting, you’ll record transactions as soon as you send an invoice or receive a bill, not when the money […]

These days, you’ve got three options when it comes to bookkeeping tools. Every transaction you make needs to be categorized when it’s entered in your books. This helps your bookkeeper catch more deductions, and will make your life easier if you get audited. But for the sake of explaining the basics of bookkeeping, here are […]

Firstly, a construction company does double-entry bookkeeping, as it is the approved method of tracking finances in the industry. That’s why it is better to track projects undergoing construction separately on a different balance sheet until completion. However, it is easier said than done, as managing a single balance sheet is no child’s play, and […]