Top 5 Bookkeeping Mistakes in Real Estate Industry

 

If you are a real estate agent or investor, chances are high that you have already got your hands in innumerable operational issues. Decision making, cashing in on slim opportunities and sales and marketing are some of the core activities that you cannot afford to ignore.

Add to these the importance of keeping a finger on the pulse of rising and fall of real estate prices and tracking new statutory regulations governing the real estate scenario and you are hardly left with any breathing space.

With all these core issues to reckon with you do not have much elbow room to focus on non-core yet crucial activities such as bookkeeping. In any industry, this is always a repetitive, mundane and tedious task, one that mainly involves processing operational data and figures to generate reports based on which current state of affairs can be evaluated.

As such bookkeeping will definitely not be a priority item for maintaining it yourself at the cost of more important tasks. It is therefore always preferable to spin off this component of your business to professional real estate bookkeeping services and get on with the more central tasks at stake.

Bookkeeping Mistakes in Real Estate Business:

1. Poor maintenance of records

This is very common amongst real estate agents and investors not because you don’t know how to keep proper records but because you don’t have the time to be meticulous about it.

Back of the envelope, calculations can be quite uncomfortable for you at tax time when the smallest receipt has to be shown for verification, especially if there is an IRS audit. Producing accurate records maintained by real estate bookkeeping services will give you peace of mind.

2. Wrong employee classification

You will have a lot of people working for you when you are in the real estate industry. There will be employees working full time in administrative roles; there will be market analysts working part-time helping you make better investing decisions.

Each segment has its own specific tax structure and not adhering to it will lead to wrong calculations and paying excess taxes.

3. Not segregating bank accounts

Most real estate agents tend to have one bank account – personal and business clubbed together. So at the end of the year, during tax calculation when you have to account for your real estate activities there will be a problem of gigantic proportions untangling your business expenses from your personal expenses.

Have two separate accounts and entrust the responsibility of maintaining your trade account to real estate bookkeeping.

All these points in one direction – instead of making these mistakes as an investor and agent in the real estate industry, you’ll do well to entrust the responsibility to real estate accounting experts.

Do you wish to avoid any of these real estate bookkeeping mistakes from affecting your finances, reputation, or business growth? If yes, join hands with the accounting experts of MAC and free yourself against any bookkeeping headache. Contact us now!

Step by Step Guide of Payroll Process

Remember, this post is for Spcific purposes. For specific advice, make certain to consult knowledgeable or you can hire MyaccountsConsultant for your payroll processing.

You can find out how to try to to payroll yourself. There are several payroll options to settle on from. counting on which option you select , there are different tasks, time commitments, and costs involved.

Step by Step Process Payroll Yourself:

Step 1: Have all employees complete a W-4

Step 2: Find or sign up for Employer Identification Numbers

Step 3: Choose your payroll schedule

Step 4: Calculate and withhold income taxes

Step 5: Pay taxes

Step 6: File tax forms & employee W-2s

If you follow this step for your payroll processing, then its lots of help you with payroll processing, but these are the some main point, but if you want to do it yourself then you have to so some research by yourself about the financial and business rules.

Read More: https://www.myaccountsconsultant.com/how-to-process-payroll-yourself/

Payroll Process: The Complete Guide

 

Payroll for your company doesn’t to be an impossible task. If you’re looking to find out the way to do payroll yourself, you've got some options.Below, we walk you step by step through what each process entails, also as which option could be best for your business. Payroll Services for small business is crucial and needed to manage business run smoothly.

Remember, this post is for Spcific purposes. For specific advice, make certain to consult knowledgeable or you can hire MyaccountsConsultant for your payroll processing.

You can find out how to try to to payroll yourself. There are several payroll options to settle on from. counting on which option you select , there are different tasks, time commitments, and costs involved.

Step by Step Process Payroll Yourself:

Step 1: Have all employees complete a W-4

Step 2: Find or sign up for Employer Identification Numbers

Step 3: Choose your payroll schedule

Step 4: Calculate and withhold income taxes

Step 5: Pay taxes

Step 6: File tax forms & employee W-2s

If you follow this step for your payroll processing, then its lots of help you with payroll processing, but these are the some main point, but if you want to do it yourself then you have to so some research by yourself about the financial and business rules.

Contact us here for Payroll Processing help or payroll solution.

Tips to Convert MYOB to QuickBooks Online

It is possible to transfer from MYOB to Quickbooks, though not as straight forward as either company would have you believe.

The first point to consider is that the Australian versions of MYOB and Quickbooks are different from the USA versions. A basic difference is that our tax year runs 1 July – 30 June whereas the USA the fiscal year is from 1 October – 30 September apparently.

There is a software program that costs around US $400 – then the time taken to extract the data from MYOB into the software and extract out into Quickbooks – not worth the time/trouble based on the budget – for what result?

How often would your client need to refer back to their previous MYOB files? Do they own the MYOB software, in which case they could still have it if/when they needed to refer to them?

Why not just refer back to the hard copies as /when required?

Contact us for help with How to transfer data from MYOB to Quickbooks

Read More: https://www.myaccountsconsultant.com/bookkeeping-tips-transfer-myob-to-quickbooks/

Transfer MYOB to Quickbooks : The Step of Business Success

 

Kathy sent us an email: ” Hi. I’m located in the United States. I have a client who wants to transfer his books from MYOB to QuickBooks. I’ve had no luck finding a way to do it in the US. Can you do this? Would you take on a one-time job if I send you the backup file from MYOB, and finally, how much would you charge? His is a very tiny graphics design company; he can’t afford to pay too much, otherwise I would just re-enter everything for the last 15 months or so.”

It is possible to transfer from MYOB to Quickbooks, though not as straight forward as either company would have you believe.

The first point to consider is that the Australian versions of MYOB and Quickbooks are different from the USA versions. A basic difference is that our tax year runs 1 July – 30 June whereas the USA the fiscal year is from 1 October – 30 September apparently.

When transferring from MYOB to Quickbooks, you may consider the following:

1) You can transfer card files – suppliers customers etc very easily between MYOB and QuickBooks – ask us how if you don’t know

2) If you need detailed transactions recorded, i.e itemised invoices to be transferred, then that’s where the expense occurs

3) we suggest to clients that they start a new file on the new software at the beginning of the new financial year

4) If it’s only a small company with not much money then you could just do journal entries to get the balances up to date in the new file rather than re- enter all the previous data

We’ve not found a cheaper way to do it – we’ve looked at this problem many times before

There is a software program that costs around US $400 – then the time taken to extract the data from MYOB into the software and extract out into Quickbooks – not worth the time/trouble based on the budget – for what result?

How often would your client need to refer back to their previous MYOB files? Do they own the MYOB software, in which case they could still have it if/when they needed to refer to them?

Why not just refer back to the hard copies as /when required?

Contact us for help with How to transfer data from MYOB to Quickbooks

Why Everyone Should file a tax return this year regardless of income ?

Tax season is coming up, and this year, in particular, there’s a big reason for everyone to file a return, regardless of how much money they made last year.

That’s because the coronavirus pandemic has ushered in some key changes that make filing a return critical, even if you aren’t likely to get a large refund.

“This tax season is not going to look like any other,” said Tania Brown, a certified financial planner and coach at SaverLife, a nonprofit focused on helping low-income Americans save.

 
You may need to file to claim your stimulus checks

The most important reason that low-income Americans who previously didn’t need to file a tax return should do so this year is to claim the economic impact payments that they’re eligible for, according to Elaine Maag, a principal research associate at the Urban-Brookings Tax Policy Center.

Non-filers — generally single, low-income adults without children — likely didn’t receive any of the stimulus payments that have gone out so far, as the federal government used IRS data to send them to Americans. Those who didn’t receive payments can claim them as a recovery rebate credit by filing a 2020 tax return.

“This will be a significant payment for people,” said Maag, adding that individuals could get up to $1,800 —$1,200 from the first payment and $600 from the second.

Having a tax return on hand will also help if there is further stimulus, said Maag. Those who have filed will have provided the IRS with either their mailing address or direct deposit information, so the agency will know where to send any future payments.

It’s also important that people who didn’t get the full amount of stimulus payment that they were eligible for file a tax return to claim the recovery rebate credit, said Maag.

This includes people who had a significant drop in income in 2020 from 2019 that would have meant a larger payment, as well as those who have a dependent child in their household that they didn’t have last year or a new baby eligible for a check.

You may be eligible for more credits this year

In addition, Americans may be eligible for different credits this year due to the coronavirus pandemic.

Most important, low- to medium-income Americans are generally able to take advantage of the earned income tax credit, a tax break which can be used to lower the amount families owe and potentially lead to a bigger refund. In 2020, the maximum credit for someone with no qualifying children is $538, and the most a family with three or more children could receive is $6,660, according to the IRS.

Some Americans who didn’t previously claim the earned income tax credit may be able to this year, depending on how much money they made. And, non-filers who submit a return for the first time for 2020 can look back over the last three years to see if they were eligible and retroactively file to claim the credit, said Maag.

Other changes will also ensure that families get the maximum credit they need, even if they lost income because of Covid. If you claimed the earned income credit in 2019 but had lower income in 2020, you can use your 2019 income again to claim the credit.

There are other credits that families may be eligible for or can use their 2019 income to claim in 2020, such as the child tax credit.

Read more : https://www.myaccountsconsultant.com/why-everyone-should-file-a-tax-return-this-year-regardless-of-income/

Top 5 Accounting Firms in US For Small Businesses

Accounting is one of the essential services of any business, be it small or big.

Businesses are often forced to spend a lot on the accounting department. There are various approaches that a business can take when it comes to their accounting needs. It is a good idea to go through the different options and choose the one that will provide the most benefits without having to cost your business a lot of money.

One of the most common options people take is hiring an accounting firm.

The accounting firms take care of all the tax and accounting needs of the business and give you the chance to focus on important tasks that help increase sales and grow your company.

What Is An Accounting Firm? Why is it important for your business?

An accounting firm mainly offers services like accounting, bookkeeping, payroll, accounts payables & receivable and auditing for your business. It produces financial records, so that you can easily track your revenues and expenses. Providing consulting on your business’s overall financial health is yet another important service that an accounting firm offers.

It helps you with long-range planning, such as buying property or upgrading your infrastructure. You will be, hence, able to determine how to break even and what your cash-flow needs are.

Accounting firms conduct audits by examining not only financial records, but also the processes and controls in place to ensure records are being properly kept, policies are being adhered to, and your financial practices help support your business goals and are the most efficient way to do so.

Many accounting firms offer a range of Tax Preparation services. The firm’s accountants can help you figure out a new tax code to help ensure your financial reporting practices are in compliance with current IRS regulations, determine your company’s tax liability, and make sure you meet filing requirements and deadlines.

With these services, you can plan your next moves, figure out whether you are making a profit and make decisions about your company’s growth.

1. ORBA

Located in Chicago, Illinois, Ostrow Reisin Berk & Abrams (ORBA) is a full-service accounting, tax, and financial services consulting dedicated to helping clients achieve their goals and build success.

ORBA provides ongoing accounting services in the form of tax consultation and other advisory roles. They offer tax planners to make the filing process as simple as possible.

Ultimately, you need an accounting firm that listens and invests in the relationship. At ORBA, their clients turn to us as their number one advisor for almost every financial need. They help clients reach their financial objectives through experienced, resourceful and proactive relationships — Relationships built on their ability to be a comprehensive knowledge resource, provide industry-leading face time with clients and maintain a firm-wide culture of dedicated, creative and client-focused professionals.

2. MyaccountsConsultant

MyaccountsConsultant offers a range of accounting, bookkeeping, payroll, accounts payables & receivable, accounting software migration and tax services to private sector companies, not-for-profit organizations, individuals, and fiduciaries—provided by experienced CPAs and QuickBooks certified professionals.

Their underlying goals are to help clients comply with all relevant laws and regulations—and at the same time, maintain their focus on the ongoing strategic and operational issues that only they can address.

MAC – Online Accounting Firm’s services include:

• Accounting

• Bookkeeping

• Payroll Preparation

• Accounts Payables & Receivable services

• CashFlow Management

• Tax Planning

MAC’s mission is to provide financial personalized service and attention for their clients and to assist them in achieving their financial and business goals.

3. CapActix Business Solutions

Located in New York,  CapActix offers exclusive solutions for Accounting & Finance for small businesses. CapActix brings businesses to the next level by making its functioning smooth & efficient.

CapActix takes the utmost care of the confidentiality and security of their clients’ confidential data. They have taken appropriate measures for security related issues as they firmly believe in data security. Moreover, since exchanging information via emails or any public channel involves some inherent risk, they use a SSL encrypted document management portal which also has document processing module.

4. NCheng

Founded in 1989, NCheng provides a full range of services in audits, accounting, and financial management support to a diversified client base

Their experience and professional resources have been tailored through the years to assist their clients achieve their goals. Their mission is to help businesses achieve their goals and to help them grow and succeed in the long term through sound, strategic management decisions.

Their innovative use of technology, including cloud-based accounting, our understanding of the complexities of the business world, and their creative solutions have all helped to make them respected leader in the business community.

5. Westside Financials

Located in Los Angeles, Westside Financials specializes in helping clients manage their monthly close requirements and staying on top of their complete accounting cycle. Whether it be basic bookkeeping services like reconciling bank and credit card statements, managing payroll, or fractional CFO services like financial forecasts, planning and reporting, Westside Tax works to promote solutions that fit the specific needs of the business.

Final Words

An accounting firm is crucial aspect in your business. You need a firm that is experienced, reliable, and ready to be there for you whenever a need arises. They will not only manage the accounting tasks but also offer practical business advice to support your business planning and growth. Good accounting firms help companies grow, by managing complex financial work and offering advice on practical business issues. This will be guaranteed to save you money in the short and long term. If you choose an accounting firm based on these tips, you reduce your risk of making the wrong choice for your small business.