| Subject | Date Asked |
|
| Changed jobs | 11/28/2007 |
Q: I recently changed jobs. I was employed by the State of Wy and participated in their retirement ...
A: Last one first, yes a rollover from a qualified plan to an IRA still protects the tax defferal. If ...
|
| What do I do with this money | 11/19/2007 |
Q: I am 65, still working part time for a man who has passed on, and has left me with money. It has ...
A: I'm assuming that this is a distribution from the estate. Given that you are still working, the ...
|
| Payroll | 11/15/2007 |
Q: How much notice must an employer give when changing pay periods from weekly to bi-weekly?
A: The basic rule of thumb is that it should be enough notice not cause hardship for employees. Many ...
|
| accounting software for small not-for-profit | 11/11/2007 |
Q: I am planning to do accounting work for small not-for-profit as contractor. Could you recommend ...
A: Start with Excel until you know what you are dealing with. For most small organizations Quickbooks ...
|
| Gross up check | 11/7/2007 |
Q: We have an employee who is supposed to have his car allowance grossed up. The net amount per semi ...
A: If you are doing it from total gross pay, it should be right. If you are only considering the ...
|
| Payroll Account | 11/6/2007 |
Q: What is the advantage of having "Payroll Account" printed on the face of the Paycheck? I work for a ...
A: Once upon a time, when everybody got a check and they were written out, it helped sort out things. ...
|
| contract vs. permanent employee question | 11/2/2007 |
Q: My company is a 10 year old company of a couple hundred employees. They have grown quickly without ...
A: It's a short term fix to respond to the pressure of being public. A contract or 1099 employee has ...
|
| payroll | 11/2/2007 |
Q: I work for a small company. Just my boss and myself. This company is a C-Corp. I handle payroll. ...
A: Sure he can be paid and should be. Many small business people confuse profits with their paycheck. ...
|
| LLC | 4/28/2007 |
Q: My fiance just started a single member LLC as a side job only. Is he allowed to "pay" himself once a ...
A: Sure he can pay himself. To keep life simple, upgrade from Quicken to Quickbooks, the small ...
|
| Stop pay on chks or ACH payments | 4/26/2007 |
Q: I am hoping you can give me a little feedback....I work in billing and when customers want refunds ...
A: In this day and age, the money moves too fast for that to work anymore. Once you have it, they can't ...
|
| Different pensions-different payrolls | 4/23/2007 |
Q: To avoid discrimination is it necessary to set up separate payrolls for similarly situated employees ...
A: Not necessarily, realize that the point of the testing is to insure equitability for all employees. ...
|
| Lucent Savings Plan and Retirement Income Plan difference | 4/22/2007 |
Q: I worked at Lucent until 1999. I have a 401K with Lucent managed by Fidelity that is called the ...
A: Probably not, the 401k plan is a defined contribution plan. The other one is for a defined benefit ...
|
| capital account adjustments | 3/24/2007 |
Q: My question is about capital accounts... in our llc business 1 of 3 partners wants to retire.. he ...
A: If I understand the situation, the capital account is the equal to shareholder equity. There is some ...
|
| capital account adjustments | 3/24/2007 |
Q: My question is about capital accounts... in our llc business 1 of 3 partners wants to retire.. he ...
A: Let me see if I got this, a partner wants out, you have a buy/sell agreement in place and execute it ...
|
| LLC Draw | 3/21/2007 |
Q: My son has started a single entity LLC doing some architectural drawings. I am helping him set up ...
A: The LLC will issue him a 1099 to account for the income. If the LLC uses his social security ...
|
| LLC Draw | 3/21/2007 |
Q: My son has started a single entity LLC doing some architectural drawings. I am helping him set up ...
A: The question that needs to be answered, is this to his job and career or is this a side line. If ...
|
| 'C' Corp profit distribution | 3/19/2007 |
Q: I am 25% shareholder in a California C-Corp and I was wondering by law how much the corporation can ...
A: There no law, that I'm aware of, that requires a company to distribute a dividend. The profits, ...
|
| pension salary cap | 3/15/2007 |
Q: What is the salary cap for pension contributions for 2006?
A: Here are the limits for 2006 for Qualified Plans: 401k: $15,000, deferred SIMPLE plans: 10,000, ...
|
| credit cards | 3/13/2007 |
Q: Is it possible for someone to use a credit card to make a direct deposit payment into a bank ...
A: Not that I'm aware of. Go down to the bank and ask about merchant services and get set up for ...
|
| early pension withdrawl for business purchase | 3/10/2007 |
Q: A friend of mine recently told me that he plans on quitting his job, tapping into his pension and ...
A: If he isn't 59 1/2, there will be a 10% penalty and the proceeds will be taxed as ordinary income. ...
|
| LLC | 3/8/2007 |
Q: We're thinking of starting an LLC. My concern is the business flopping & not earning a dime so.... ...
A: You only owe taxes on money you get, income. What might get is a tax loss from your efforts. While ...
|
| Pay Checks | 2/17/2007 |
Q: I work in Texas for a company that caters to the Petrochemical plants. We are currently in Beaumont ...
A: None that I'm aware of. Now custom maybe another thing, the supervisor may be alluding to the fact ...
|
| Sub-contractor Question | 2/7/2007 |
Q: I have a personal training business in New Jersey. I am at a point now where I need to hire a few ...
A: Its possible to treat them as sub contractors and pay them on a 1099 basis. There are rules that you ...
|
| Payrool | 2/4/2007 |
Q: I quit my job in October, but was still paid through direct deposit until the end of January. Do I ...
A: You could be liable to pay back any unearned income. You don't have a legal obligation to tell them, ...
|
| CIMA | 1/30/2007 |
Q: I have just received my results for the managerial level, and I passed them all. I am now a ...
A: I'm not familiar with many of the UK firms, outside the global ones. But I would look at the web ...
|
| loss on my Lucent Savings Plan | 1/24/2007 |
Q: I was employed by Lucent for approximately 10 years. My savings plan is currently worth $10K, with a ...
A: You can use capital losses to offset a like amount of capital gains. You can only use the stock ...
|
| Recording a 401k profit sharing plan | 1/22/2007 |
Q: I work for a contractor and this past December he started a profit sharing plan. I wanted to know ...
A: A 401k plan is not a company asset, that is why creditors can't touch it. It belongs to the ...
|
| S Corporate or LLC | 1/11/2007 |
Q: I am starting up a virtual assistant business with some office tasks for a couple of local churches. ...
A: The reality that for start up businesses, it is tax question as to which structure you use. A bank ...
|
| When is it Sale - Special Order Sales Contracts | 1/8/2007 |
Q: I would like to verify your answer provided to the AllExperts 6/21/2004 question regarding Accounts ...
A: Follow the entries in the second line: The original entry would have created the sale and a ...
|
| When is it Sale - Special Order Sales Contracts | 1/8/2007 |
Q: I would like to verify your answer provided to the AllExperts 6/21/2004 question regarding Accounts ...
A: You would recognize the revenue when it was received. The original entry would have created the ...
|
| 401K Profit Sharing | 11/17/2006 |
Q: I own a company where myself and my spouse are the 2 employees. For Tax year 2005, the company made ...
A: If the plan is over 100k in assets, then it may get noticed from the form 5500. Otherwise, barring ...
|
| bank statements/ checks | 11/17/2006 |
Q: I would like to know if the time period for holding on to bank statments and cancel checks/duplicate ...
A: Depends, general rule is the IRS audits can go back 6 years, So anything related to taxes you should ...
|
| Excessive Salary/Bonuses | 11/16/2006 |
Q: I have a client who - just before year end - pays excessive bonuses to their employees (mostly ...
A: Advise him about what? If it is about unfairness, I don't think you have much to go on. Now one way ...
|
| 401K distribution/rollover | 11/14/2006 |
Q: I left my last employer May of 2005. I have a 401K plan with them, with about 13,000.00 in it. I ...
A: Instead of trying to get the paperwork from your former employer, go to the plan custodian instead. ...
|
| Are forgone deposits tax deductible? | 11/14/2006 |
Q: We put down a deposit on two condos(pre-construction) two years ago and the condos are about to be ...
A: You need to check with your tax man, but I would say that your intention was for investment this ...
|
| Deferred payroll | 11/8/2006 |
Q: I am an officer (COO) in our C Corp. We ran short and reduced our payroll beginning in June from ...
A: Yes the deferred payroll is a liability. Now is the company going into reorganization or ...
|
| Was cheated on payroll | 11/4/2006 |
Q: My friend quit her job at Amazon.com and she they are refusing to pay her for the last week claiming ...
A: Contact the local office of the US Department of labor and the state's wage protection office. ...
|
| I am leaving my company and have 401k | 11/3/2006 |
Q: I have a 401k value 41,273.78 as of 12/31/05. I resigned as of November 1,2006. I am 100% vested, ...
A: First realize that unless you are 55 or older you will give away over $12,000 in taxes and ...
|
| Salary/ Hourly Wages | 10/26/2006 |
Q: I was wondering if you could give me the difination between salary wages and Hourly wages. For ...
A: This is what is called exempt and non-exempt employees. Non-exempt are paid a hourly wage with ...
|
| SIMPLE IRA CONTRIBUTIONS | 10/25/2006 |
Q: When they use the term, "tax-free" employee contribution, does that mean no deduction of taxes for ...
A: The IRA contribution is federal income tax free, maybe state tax free and the rest get their share. ...
|
| 401K Journal Entry | 10/16/2006 |
Q: Ed, My company has a 401K plan in place that only allows for employee 401K contributions. We are ...
A: I would be treating it the same way you treat the employee's contribution to something like FICA or ...
|
| pension plan accounting | 10/15/2006 |
Q: I am in Intermediate Accounting 2 and learning about Pension Plan accounting. I have reread the ...
A: Check out a site like www.plansponsor.com and look for links, google defined benefit plans (pension ...
|
| Equity in a company | 10/5/2006 |
Q: I started a new job as Media Director of a company in April. Recently the CEo told me that they ...
A: You are being offered ownership in the company. What you want to find out what the vesting ...
|
| Early Withdrawl | 9/17/2006 |
Q: If I want to take the money out of my pension plan now in order to do construction on my home or ...
A: If take money out it is immediately taxed as ordinary income plus a 10% penalty on the entire ...
|
| cashing out pension plan | 9/15/2006 |
Q: I worked for UPS full time for 16 years, and am vested to receive retirement benefits through the ...
A: You should be able to contact the local office and get the contact for the plan administrator. You ...
|
| pension plan cash out | 9/8/2006 |
Q: I have a pension plan with a previous employer, a physician in private practice in California. I ...
A: If it is a profit sharing plan, he doesn't have to make the 2005 contribution until he pays his 2005 ...
|
| partnership/disbursment of monies | 8/31/2006 |
Q: and thank you for your help. I am a commercial advertising photographer, and I have been in ...
A: First, determine why this is a good idea in the first place. You are not merging your businesses, ...
|
| SEP IRA employee particiaption | 8/28/2006 |
Q: "Hello. I work for a company that has a SEP-IRA plan. Each employee must set up their SEP account ...
A: Yes you will open an account on there behalf, given what you have set for requirments for the plan. ...
|
| Profit Sharing Plan & Trust (Defined Contribution Plan) | 8/10/2006 |
Q: I'm a Professional Bookkeeper helping small businesses. One of my clients rolled over IRA's into a ...
A: Your problem now, based on the details you gave me, is that the plan is out of compliance with the ...
|
| 401k 10% penalty | 8/10/2006 |
Q: I know that we don't have to pay the 10% penalty if we take the 401K money to pay for the medical ...
A: The most common is a 72t distribution. It allows a participant to get distributions before 59 1/2. ...
|
| Budget for sales | 7/25/2006 |
Q: This is my first time in the compilation and preparation of annual budget, and I have difficulty of ...
A: Revenue is the hardest number to get. Since one of the key elements is the forecast for the year ...
|
| Due to individual shareholder(s) (GIFI 3261) | 7/24/2006 |
Q: I just started an incorporation here in Quebec. I'm using Simply Accounting for the first time and ...
A: The specifics of Canadian accounting rules are not my long suit. However, what you are doing is ...
|
| Changes to pay date | 7/24/2006 |
Q: My company wants to change the day we receive our pay (from the 20th of the month to the 26th). Can ...
A: I can't think of any reasons they should change and problems that you end up facing. I'd ask why ...
|
| bonus or profit sharing | 7/21/2006 |
Q: What about tax consequences? Bonuses are considered supplemental wages taxable @ 25%. Profit ...
A: You are right about the taxes. The issue is whether for moral and incentive purposes, which one ...
|
| 401K | 7/14/2006 |
Q: I have a client, 72 years old, that wants to use his 401k to participate in horse partnerships but ...
A: This isn't ringing a bell. If this is his 401k and is no longer working, there is no real ...
|
| Overhead Variance | 7/11/2006 |
Q: What is overhead Variance?
A: Any variance is the difference between the budgeted aand actual amounts. Given the way you are ...
|
| c or s corporation payroll tax | 7/7/2006 |
Q: I was wondering if I need to have a payroll account if I form a corporation when I am the only ...
A: You don't need a payroll account for a single person operation. Good record keeping is critical. In ...
|
| 401k | 7/7/2006 |
Q: My husband will like to transfert all his former 401k accountsinto an IRA but does not know how to ...
A: It isn't a big problem. If you have the statements, there should be the name of the plan provider, ...
|
| regular payroll & bonus taxes | 6/15/2006 |
Q: is it at the employers descretion to tax bonus pay at a higher tax rate than normal? if an ...
A: Not the employer, but the tax charts. Taxes are graduated and paid on the last dollar earned. Your ...
|
| Empoyees that are in between addresses | 6/5/2006 |
Q: How do you start an employee on payroll that is relocating from another state and has no address in ...
A: You can use their old address while they are establishing themselves. Another choice is to use their ...
|
| End of year JE question | 5/30/2006 |
Q: I have a complex error in 2005 that I am hoping you can help me with. In December 2005, there were ...
A: First off I wouldn't treat this as a prepayment, rather it has more in common with a receivable. I'd ...
|
| tax | 5/12/2006 |
Q: I use a subcontractor for some work that is out of my skill set. He does great work. Last year I ...
A: Penalties for not reporting W9 information can be tremendous. By law, you have the right to garnish ...
|
| s corp online personal banking question | 5/11/2006 |
Q: I have a small photography business which is an s-corp (4 people including myself) in California. We ...
A: There's nothing illegal, unless they ask you if this for business and you lie about it. Then it is ...
|
| job cost overtime & taxes on bonuses | 4/26/2006 |
Q: I have two questions, if that's OK. First, what is the GAAP for overtime when allocating labor ...
A: 1. This is a question about actual versus budget expenses. My question is which job created the ...
|
| Cash from insurance company | 4/23/2006 |
Q: I have rental property. Recently, I received cash from insurance company for fire damage of ...
A: Realize that this is a special one time event, at least you hope so. You'll set up an insurance ...
|
| 401k rollover to IRA at 55 | 3/16/2006 |
Q: I have 2 401k plans with previous employers, and a nominal IRA account at my credit union, but no ...
A: Look into a 72a or a 72t distribution. They are a away to get the money out penalty free before you ...
|
| 401 k | 3/12/2006 |
Q: I have three 401k accounts, one from a former employer approx $55,000, one from my current employer ...
A: It is easy, if the 2 old 401ks are yours you can roll them into your current employer's 401k. Ask ...
|
| accounting question | 3/8/2006 |
Q: The rights for each book are listed on our balance sheet at the estimated market value. I'm trying ...
A: The asset is the book's value and over time it depreciates. I'm assuming that the book's value is ...
|
| accounting for mechanic's lien | 2/27/2006 |
Q: Yes, I searched FASB too. My controller wanted something in writing that referenced items on A/R ...
A: OK, I looked in a couple of other places as well. I can't figure what the problem would be if you ...
|
| accounting for mechanic's lien | 2/27/2006 |
Q: ------------------------- Could you point me in the direction of a site or FASB pronouncement? ...
A: It would be done through an adjustment of a/r reserves. The only thing special about this is the ...
|
| small business accounting | 2/25/2006 |
Q: My small landscape business is taking off. We increased our gross from 200k to 375k in one year. ...
A: I would be curious by what you mean. If the accountant is experienced working with small businesses, ...
|
| small business accounting | 2/24/2006 |
Q: My small landscape business is taking off. We increased our gross from 200k to 375k in one year. ...
A: A bookkeeper would probably do you fine. The next question is what else would that person do? There ...
|
| FOLLOW UP | 2/24/2006 |
Q: Ed McFarland Hello Ed, Follow up question, and hopefully last. Thanks for the immediate ...
A: That probably rules out my first guess. Then follow on with my suggestion and get the basic ...
|
| Cash basis and Checking | 2/23/2006 |
Q: Ed McFarland Hello Ed, My brother and I have a small business. Our accounting method is cash ...
A: You are confusing cash in the bank with profit. With the tax forms there should be 3 basic ...
|
| accounting for mechanic's lien | 2/23/2006 |
Q: Can a customer accounts receivable that is past due and has a mechanics lien, be written off? I ...
A: I take it that this has been on the books for a long time. You can write it off and if ever comes in ...
|
| Preparing a T-account for retained earnings | 2/18/2006 |
Q: I have a homework problem which I am having troubling working out. Prepare the closing entries from ...
A: Since you didn't tell me what you got for an answer or what the prior year numbers are, it is hard ...
|
| Accounting for IRA | 2/9/2006 |
Q: I have an employee that has elected to contribute to an IRA rather than participate in the company ...
A: Yes, check with your payrol provider and do the wage reduction and your contribution. Your payroll ...
|
| acccounting | 2/9/2006 |
Q: Here's the brief story: After receiving an estimate on damage to my car, my $500 deductible was ...
A: no, that's why they are called estimates. Happens all the time, usually it is that the way around, ...
|
| "T" accounts, debits and credits. | 1/24/2006 |
Q: Am retired, not working, but may get into business a little. Have no business experience, so I'm ...
A: Charles, Take it out of the abstract and apply to your daily living. You go to work and get paid ...
|
| PAYROLL | 1/19/2006 |
Q: SIR I NEED TO KNOW HOW I CAN OBTAIN A W-2 FROM GOODWILL INDUSTRIES AS SOON AS POSIBLE. ...
A: By law they have to give it to you by January 31. If you need it sooner, you have to ask the payroll ...
|
| Accounting Dept - Do they have access to everybody's salary | 1/9/2006 |
Q: I am aware that HR and my boss knows how much I make. Do the people in accounting have access to ...
A: Somebody does there. However, it is very sensitive and if somebody from accounting or HR were ...
|
| Accounting basics as they relate to layoffs | 1/8/2006 |
Q: Help! I think that I'm going through some weird irrational guilty phase here. I make about $45,000 ...
A: No, labor doesn't work that way. Other factors such as education and experience and productivity ...
|
| payroll | 12/30/2005 |
Q: How can I determine what my gross weekly, monthly or yearly salary should be in order to net $1,100 ...
A: Without knowing some your unique deductions, the rule of thumb for figuring out what your gross ...
|
| 401k | 12/24/2005 |
Q: I am trying to figure out how much money I should have in my personal 401k. I have had commission ...
A: Here's an easier way, figure out what you need in retirement, when you plan to retire and how much ...
|
| How to Classify Corporate Unearned Income | 12/19/2005 |
Q: I know that when a customer pre-pays for services, a corporation books it as unearned income, and if ...
A: Prepaid items that a company owes is kept on the balance sheet as a liability. It should be its own ...
|
| Owners equity | 12/18/2005 |
Q: I know my question is going to seem very trivial, but I am really looking for some guidance here. ...
A: The owners and investors are synonyms. They receive their return only after all other stakeholders ...
|
| accounting | 12/8/2005 |
Q: I'm taking a class right now and I have a question about where to journalize a transaction. It says: ...
A: If you bought the parts then you do as you have. If there is an inventory of spare parts, which ...
|
| hsa | 11/25/2005 |
Q: I was shopping for insurance and a health savings accounnt (hsa) was brought up. I was told that the ...
A: The HSA lets you set aside pretax dollars to pay for medical expenses. The deduction for bills you ...
|
| 401k | 11/24/2005 |
Q: I am currently living in Australia with my new husband and have done for the last 5 years. I intend ...
A: Amy, Contact the companies that you worked for. They probably have an old address for your 401k ...
|
| Profit | 11/14/2005 |
Q: Is It wise for a decision maker to take into account more than profit when making decisions that ...
A: A company needs to consider all stakeholders when making a decision. Profit is first and foremost. ...
|
| 401K | 11/7/2005 |
Q: Recently my company offered me the opportunity to participate in their 401K. My question is ...
A: To answer your questions, 1. you can contribute 18,000 for 2005 at age 53. 2. Probably not, check ...
|
| small business expenses | 11/4/2005 |
Q: You may not be able to help as I assume you are U.S based. I run a small gardening business, a sole ...
A: Being US based, I'm not exactly sure how Revenue Canada would look at it, but the return of capital ...
|
| transfer funds to next year | 11/3/2005 |
Q: Sub S company. Next fiscal year will be very low on income. In fact, may not be any after 15 ...
A: I don't understand your problem. The company is failing to show a profit due to low sales, ...
|
| Accounting / Advice | 10/16/2005 |
Q: I work for a corporation and my boss told me to do the following in order to bring the profit ...
A: This is the type of thing that sent the guys from Worldcom to jail. If you have a plan for ...
|
| Fiscal Years | 10/14/2005 |
Q: Why does a Fiscal Year exist? (ie, how does a company benefit from not operating on a calendar ...
A: A fiscal year exists for the convience of recordkeeping. Often it matches when the company started. ...
|
| accounting | 10/9/2005 |
Q: i need you opinion regarding the following If some one has the access to the company's income ...
A: If somebody is being very clever, then finding fraud through the basic financial statements would be ...
|
| Payroll for deceased employee | 10/6/2005 |
Q: Do the payroll checks following the death of an employee (vacation, sick, last hours worked) need to ...
A: This comes under the heading of Income in Respect of the Decedent. (IRD) The payroll should be made ...
|
| Payroll Record Keeping | 10/4/2005 |
Q: I am currently in a legal battle with a former employer over wages. I have supeoned the payroll ...
A: For all mattters regarding taxes, the records should be kept for 5 years. Personnel records are ...
|
| Independent contractors | 9/23/2005 |
Q: I have 2 salespeople working for me (they are not employees of my company). To ensure the IRS knows ...
A: If they are contractors then at the end of the year you'll provide them with a 1099 form. If you use ...
|
| Arthur Anderson | 9/9/2005 |
Q: I'm doing research on Arthur Anderson, and i need your opinion in regards to what do you think were ...
A: They were greedy. They allowed the auditing business to be corrupted by the highly profitable ...
|
| Can do some accounting job by telecommuting | 9/4/2005 |
Q: I would like to know whether it is impossible to outsouring some kind of accounting job by ...
A: It is possible, but you need to tighten up your English so that it feels like you are local. The ...
|
| Taxability of Income | 8/12/2005 |
Q: We are setting up an LLC. The primary financier will be the largest percentage owner of the co. If ...
A: There is nothing wrong for him to get a salary, just that being a salaried employee is one thing and ...
|
| Taxability of Income | 8/11/2005 |
Q: We are setting up an LLC. The primary financier will be the largest percentage owner of the co. If ...
A: A salary is for an employee and money invested comes from an investor and he gets paid back with a ...
|
| Balance Sheet entry | 8/4/2005 |
Q: What balance sheet account is used for both credit card accounts and a bank line of credit? Also, ...
A: Both are current liablities, if the credit line is significant it should have its own line on the ...
|
| Specialized accounting needs | 8/3/2005 |
Q: -For years we have struggled with an inappropriate accounting package for our business, so we are ...
A: If you have a trade association, ask them. If you attend a meeting ask your peers. I am assuming ...
|
| New Personal Business | 7/19/2005 |
Q: My husband and I will be registering our cabinet making business shortly. He is currently the bread ...
A: Their maybe an advantage to having it in your name for being classified as a women owned business. ...
|
| 401K | 7/14/2005 |
Q: I have a 401K plan at work for the last 4 years. I am putting 325 per week as my contribution. The ...
A: Ask from your benefit people for a participant summary. If they have changed from a defined ...
|
| Accounting | 7/13/2005 |
Q: Why would a company want a separate bank account for payroll?
A: It is a good idea to separate your payroll liabilites from the rest of the company business. For ...
|
| Payroll accounts | 7/13/2005 |
Q: Why do some companies have a sperate bank account for payroll checks ? What are the pros and cons of ...
A: It is a good idea to separate your payroll liabilites from the rest of the company business. For ...
|
| finance | 7/6/2005 |
Q: are my other answers correct? the third rate in part b is an average? so i should have taken ...
A: I usually don't do homework problems, but I'll try and help you see the light here. The third part ...
|
| finance | 7/6/2005 |
Q: I have a question to ask you and I want to show you what i have done so I am on the right track. Can ...
A: Here are the clues to finishing the work: the third rate in part b is an average. Part c: She can ...
|
| Accounts Receivable analysis | 6/15/2005 |
Q: My boss says I am wrong to use 360 days when calculating the Accounts Receivable TurnDays. He ...
A: Look in text book and you'll see 360 being used. It's easier to compute. The difference is about ...
|
| severence pay and 401k | 6/8/2005 |
Q: my employer is laying off many of our employees and is giving a lump severence payout. we are being ...
A: David, Severance is different. For one thing in most states it is not a right unless you have union ...
|
| charges | 6/1/2005 |
Q: I am doing payroll for a contractor and hope to soon get more clients out of my home. Currently the ...
A: What type of time is involved? Most payroll services charge a set up fee, then it is a function of ...
|
| Accounting Basics | 5/26/2005 |
Q: This may seem like a stupid question - but I can't figure out where my money is! I own a small ...
A: I doubt it. It is more likely the way you are accounting for things and putting them into your ...
|
| Accounting Basics | 5/26/2005 |
Q: This may seem like a stupid question - but I can't figure out where my money is! I own a small ...
A: You are confusing profit for money in the bank. They are not the same thing. Keeping it simple,you ...
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| Single-member LLC - GAAP accounting for salary | 5/9/2005 |
Q: I am trying to create financial statements for a single-member LLC. The LLC still exists. I need ...
A: The llc is the same as the corporation as far as reporting. I have a hard time justifying the ...
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| Single-member LLC - GAAP accounting for salary | 5/9/2005 |
Q: How do I appropriately account for the salary and/or draws of the only member of a single-member LLC ...
A: What are you trying to do? Does the LLC still exist or not? You do the income statement and ...
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| Dental Plan | 3/28/2005 |
Q: If a company offers medical plan which does not include dental and offers an internal dental plan, ...
A: The key test for an employee benefit is if it is offered to all employees. The standard ...
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| Payroll Deductions | 3/15/2005 |
Q: I am an owner of a small business in New Jersey. I am at the point of hiring my first employee. I ...
A: You may have to get Workers comp insurance. Contact the tax department for the state of New ...
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| taxes / record keeping | 3/9/2005 |
Q: Good day! I have a short question on taxes. Recently started a small business a few months ago. ...
A: Use either an excel spreadsheet or paper and create the accounts. If you have the receipts for the ...
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| Equity line used to pay salary | 3/6/2005 |
Q: -Ed - Based on your response, if he gives me a 1099 as a contract employee or we treat it as a loan ...
A: By the way you explain things, it should work out that way. As a future reminder, you should put ...
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| Equity line used to pay salary | 3/5/2005 |
Q: Ed - I have an unsual situation as follows. I am semi-retired and about a year ago a friend was ...
A: David, Have him pay you with a 1099 (contract employee), not as a W-2 employee. That way he reports ...
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| 401K | 3/1/2005 |
Q: Our company changed ownership. We were told we cant touch the money in the old companies 401K even ...
A: First call the human resources department and get in writing why. They should provide you with the ...
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| payroll for sole proprietorship | 2/21/2005 |
Q: my husband has a sole proprietory business he is the only person & i do the office work. we do not ...
A: Call the insurance carrier and tell them same thing. Ask what will pass as a substitute for a W2. ...
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| being a salary employee | 2/16/2005 |
Q: i was a salary employee before the new law went into affect in 2004, then they wanted me to go back ...
A: You are either non-exempt or salaried (exempt) there is no such thing as non-exempt salaried ...
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| fixed assets | 2/8/2005 |
Q: i bought a business and entered the assets at the purcahse price (I got a very good deal). Now I am ...
A: The technical accounting answer is that fixed assets, except for land, depreciate and ending being ...
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| Inventory | 2/1/2005 |
Q: We are a very small company (6) in truck controls. My question is how do we substitute parts? We use ...
A: I'm not familar with that software. Is there a space in the BOM that allows to identify for ...
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| Record Keeping | 1/30/2005 |
Q: I am a licensed acupuncturist and plan on giving the "paid online surveys" thing a whirl. If the ...
A: I have never know those things to be that busy or pay that much to merit a lot of tracking. But ...
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| Setting up IP asset on the books of early stage company | 1/28/2005 |
Q: I am working with an entrepreneur who has developed a software program over several years within a ...
A: The real value of the software will be in the revenue that it will generate. You can value it at ...
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| Setting up IP asset on the books of early stage company | 1/28/2005 |
Q: I am working with an entrepreneur who has developed a software program over several years within a ...
A: First off, how did you get 600k? Are there other potential shareholders today? As you incorporate ...
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| Deferred payroll and Subchapter S. accounting | 1/22/2005 |
Q: Can you please brief me on the details of accounting for deferred wage/pension payments. If too ...
A: You can get detailed instructions if you go to http://www.irs.gov/instructions/i1120s/index.html ...
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| Moving and compensation | 1/20/2005 |
Q: When moving a company and all employees, about 20 people, what expenses typically should a company ...
A: That is the very tip of the iceberg. Get a relocation expert, usually within real estate companies. ...
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| payout | 1/4/2005 |
Q: I will be 70 1/2 shortly & need to know how much must I take out a yr so I do not get any penalty. I ...
A: IF you are retired, I would suggest rolling the 401k into an IRA. There are estate and other ...
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| Payroll Deduction | 12/20/2004 |
Q: I need to become informed on what payroll deductions should be taken from employees wages. Do you ...
A: To find what to has to be taken out, go to www.irs.gov and your local tax department for city and ...
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| Treatment of estimated income tax in books of acount | 12/16/2004 |
Q: Is the final tax payment an expense item in P&L or do I show it in the balance sheet? I guess I am ...
A: The tax comes off as an expense, through the Income Statement after gross margin it is in the next ...
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| Treatment of estimated income tax in books of acount | 12/16/2004 |
Q: I am employed but also have some additional income from some consultancy work I do in private. I do ...
A: I would expect you are taking the tax expense and showing pre paid taxes as an asset. At the year ...
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| career planning | 12/14/2004 |
Q: WHAT SCOPE IS THERE FOR A STUDENT WHO IS DOING ALEVEL IN ALL BUSINESS SUBJECTS THE SUBJECTS ARE ...
A: First, don't use all capital letters, it implies you are yelling. What do you like best? Where is ...
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| How to calculate recoup of investment | 11/17/2004 |
Q: -Thanks for your answer. I understand your inability to address regional issues with vending ...
A: Okay, with recovering the sunk cost of the 17k, treat it as overhead, 36 month depreciation schedule ...
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| self employment taxes | 11/5/2004 |
Q: We have a S-coorporation..Three partners.We pay 1/2dividends and he other half officers salary(our ...
A: No, the IRS will expect a reasonable salary number. Auditors tell me it is the one of the surest ...
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| Depreciation Expense vs Accumulated Depreciation | 10/30/2004 |
Q: I am taking accounting 1 on line. I need some help understanding depreciation expense vs. ...
A: I usually don't do homework questions, because somebody is trying to get me to do their homework for ...
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| 2nd Mortgage for Business Purchase | 10/7/2004 |
Q: The purchase was of a sole proprietership and my client is a sole proprieter. I showed the money in ...
A: To separate the business from the personal, I would say the loan belongs to the owner and money is ...
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| Cash-out Option | 10/7/2004 |
Q: I am a former employee of a company which I was fully vested within the time frame I was there. once ...
A: Go and read the plan document. The information is there and what the rep told you accurate. This is ...
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| 2nd Mortgage for Business Purchase | 10/6/2004 |
Q: I have a client who took a 2nd in order to buy a chiropractic practice form someone with whom he had ...
A: I'm assuming that this isn't a C or S Corp. The loan is an obligation of the business. Is the 100k ...
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| Accounting | 9/21/2004 |
Q: I'm trying to get accounting info from kraft foods inc. I went to there web page and found the ...
A: I usually don't do homework questions, but this is straight forward. Call Kraft Foods, the investor ...
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| General Journal Question | 9/15/2004 |
Q: The amount of expenses is material therefore the A/R is set up. What should be the offset be to the ...
A: If your clients are picking up all the consultants travel, lodging, per diem, et al, and for the ...
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| General Journal Question | 9/14/2004 |
Q: This question pertains the general journal accounting practice associated with an corporate employee ...
A: How material is the amount? If it is relevant, I would create the a/r account for the expenses due. ...
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| accounting for deferred comp plans | 9/9/2004 |
Q: Let's say you have a deferred comp plan that has $100,000 in it invested in a mutual fund. At the ...
A: Brad, When you asked the CPA what the other side of the entry was, what did he say? He's got to ...
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| accounting for deferred comp plans | 9/9/2004 |
Q: Let's say you have a deferred comp plan that has $100,000 in it invested in a mutual fund. At the ...
A: Brad, Why the need for comp expense entry? I see the balance sheet entry because as of the end of ...
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| Foreign Exchange Accounts | 9/8/2004 |
Q: I've searched the net but can't find what I need. :-( I'm trying to find a simple guide to how to ...
A: Try this link: http://www.financialmanagementdevelopment.com/slides/DAP142.htm Its been a while ...
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| Extra income on payroll | 9/4/2004 |
Q: The taxes aren't really the problem, but how do we document it, ex. mileage, daycare ...
A: glenda, How are you doing your benefits now? Think of it as self-insured, they are their own ...
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| Extra income on payroll | 9/3/2004 |
Q: If an employee doesn't want our insurance, how can we pay them for not taking it? How can we put ...
A: I assume the issue is you don't want to have it go through regular payroll for the taxes? Go to ...
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| 401K to a pension fund | 9/1/2004 |
Q: I have what is most likely a simple question. My husbands company was bought out last year and they ...
A: You should get a package from the benefits area of the human resources department explaining ho the ...
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| Internships | 8/26/2004 |
Q: I realize that this question may not be totally relevant to your area of expertise but any other ...
A: Now is the time to start looking for next summer. Go to the firms you are interested in and look at ...
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| Small bisiness | 8/21/2004 |
Q: We have a small s-corporation, Three partners, and contractors(self employees working for us).We ...
A: If the subcontractors are self employed , you shuld be paying them as 1099 employees. Which would ...
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| Monthly Car Allowance | 8/16/2004 |
Q: I want to add a vehicle allowance benefit for my traveling employees. I know that ....The 2004 ...
A: You have a choice, the standard mileage or actual expenses but not both. Most people opt for the ...
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| Starting an internet business | 8/13/2004 |
Q: I have an idea for an Internet business, and was wondering when I should begin seeking the advice of ...
A: First get as much free advice as you can. Check out the resources from the SBA, SCORE, your chamber ...
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| Payroll question | 8/8/2004 |
Q: I have got an opportunity where I can bill a company $72 per hour and then pay the contractor ...
A: The rule of thumb is to add about a third of the hourly rate to get the employer's share of FICA and ...
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| contractors vs employees | 8/7/2004 |
Q: I'm starting a small business in NJ. Can you tell me what federal and state obligations I will have ...
A: If you hire an employee, that would be a W-2 employee, you would have to pay the employer's share of ...
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| Finance Charges for late payments | 7/31/2004 |
Q: Believe it or not, the person who sent this note is the same person I've been dealing with for 1-1/2 ...
A: It sounds like the boss doesn't want to deal with the problem. The money just doesn't add up for the ...
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| Finance Charges for late payments | 7/30/2004 |
Q: I'm hoping maybe you can answer and or clarify something for me. I've been working in a small ...
A: My bet there is somebody new in charge and they want to change the rules. They are wrong, but have ...
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| Accounting - refunded deposit and shipping | 7/28/2004 |
Q: First of all, I'd like to ask if you have any recommendations of a good accounting/bookkeeping book ...
A: For a book, The Dummies series are usually helpful. Also check local groups such as SCORE, the Small ...
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| Pension Distribution | 7/22/2004 |
Q: I have received an estimate of $3,080.80 per month in a straight life annuity, payments for my ...
A: When you received your estimate of pension benefits, you should have gotten a couple of choices for ...
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| Proper Accountants Procedure | 7/12/2004 |
Q: Our arrangment was that he would take over for our former accountant on a monthly basis to do the ...
A: If this created a big problem, then you may be well advised to seek another accountant. If ...
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| Certifications | 7/1/2004 |
Q: I wont take a lot of your valuable time. I graduated with degree in accounting and finance in May ...
A: The hard question, what do you want to be? Both lead to fine careers, you need to focus on the ...
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| Is it Accounts Receivables?? | 6/21/2004 |
Q: it is very much appreciated! My family owns a bridal boutique in the San Francisco Bay Area and I ...
A: First the order for a dress comes in, $1,000. The customer has signed a sales contract for the ...
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| Closing Stock | 6/8/2004 |
Q: Followup To Question - Hi, 1. Actually Im working in production department,and I do not understand ...
A: This is a classic problem of inventory control and the reason for regular inventories and random ...
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| Closing Stock | 6/7/2004 |
Q: 1. Actually Im working in production department,and I do not understand why in every year, the ...
A: Given what you told me, the accountants are using the more conservative number. They are acting ...
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| tax exemption for certain business purchases | 6/1/2004 |
Q: I am starting a beverage manufacturing business, and I wanted to know if the raw materials that I ...
A: Check with your tax juristriction about exemptions for resale. You may need to get a registration ...
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| payroll advise | 5/25/2004 |
Q: The state of Fla. requires contractors to either obtain workmans comp or become a corp to be ...
A: If the reason you changed is to avoid the cost of worker's comp, I would go to either a CPA or ...
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| Starting an investment company... | 4/22/2004 |
Q: I have had great success with stocks for the past ten years almost regardless of whether the market ...
A: For the basic rules go to: www.nasd.com National Association of Securities Dealers, www.sec.gov The ...
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