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Whether you are storing your money in a bank account or a safe deposit box, both are under the security of a bank. This is where the similarities between the two end.

 

Bank accounts are the preferable means of storing money for both customers and the bank. The customers can withdraw the funds in bank accounts at any time. And the banks are at an advantage here as they can use the money in their own activities and investments and give it back when the customer withdraws it. Check out America's Best Bookkeepers

Safe deposit boxes, also known as lockers, are used by people who want to store valuables such as paintings, jewelry, other valued items, and sometimes cash.

 

Here is a comparison of safe deposit boxes (lockers) and bank accounts:

Safe Deposit Box (Locker)

Advantages

  • It can be used to store gold bars, jewelry, collectibles, and any other valuables; unlike bank accounts, you can’t just withdraw or deposit cash.
  • Harder to break into and are kept under maximum security in the bank behind numerous locks, an automated door, CCTV, and of course, the bank guards. Furthermore, no one is allowed to access these lockers without keys that are only in possession of the locker’s owner and bank manager.
  • It can be emptied of their contents and valuables, all in one go.
  • Much safer than other options and are only at risk at the time of a robbery. Check out America's Best Bookkeepers

 

Disadvantages

  • No one, not even the owner, can access the locker without owner and manager’s keys.
  • If you rent a safe deposit box at a bank, you will be charged a fee for the security and maintenance of your locker and everything in it.
  • Unless you have cash in your locker (which can only be accessed during the banks operating hours), this asset is considered to have low liquidity.
  • Record of the money in bank accounts can be tracked and valued in bookkeeping, but there is no record of the items that are kept in the locker, to maintain the owner’s

 

Bank accounts

Advantages

  • Bank accounts have high liquidity, and the money in it can easily be withdrawn, or you can easily make payments through pay orders, checks, and
  • Money can be withdrawn from the bank through checks during working hours, or through ATMs at any time.
  • Bank pays interest (higher interest rates on savings accounts in comparison to current accounts) on the money in your account as they invest it or loans it, other No matter what, you can withdraw your money at any time. Check out America's Best Bookkeepers

 

Disadvantages

  • There is a specific cycle limit or per day for withdrawal, which cannot be exceeded through ATM. The cycle limit depends on the type of account you have and the bank you have your account in.
  • Transactions can be made by anyone using your debit and credit cards, which makes this unsafe. If your credit card (linked to the bank account) is stolen, they can easily make transactions through it, and you would still be liable for them. If your debit card is stolen, then it is harder because they will have to know your pin to make withdrawals from ATMs, unless it is a VISA or MasterCard that can be swiped like a credit card.
  • Online scammers can easily target bank account and credit card information.

 

 

Now that you know all the possible pros and cons of both lockers and bank accounts, which do you think is preferable for you?

 

In our opinion, if you want to save cash or mostly do money transactions, then opt for a bank account; but if you’re going to safeguard something else like gold bars or some important documents, then go for lockers. On a side note, if you are storing important documents in the locker, then keep a copy of them with you just in case.

Check out America's Best Bookkeepers About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity. Check out America's Best Bookkeepers

Debt is a common word in the lives of individuals and corporations. Debt is defined as the exchange of money between the borrower and the lender, with an interest rate charged on the borrowed amount. Individuals and organizations take debt for several reasons. For example, if a student wants to pursue an education in another country but is unable to pay for the expenses, then he may take a loan from the bank or any other lender. Similarly, organizations take out loans to expand their businesses. The debt must be returned on a later date, as decided at the time of the borrowing. The amount borrowed minus the payments is called the principal.

Along with the principal, the borrower has to pay interest monthly or annually. Debt may be good or bad. This article discusses the types of good and bad debt and helps readers in making smart debt choices. Check out America's Best Bookkeepers

Good Debt:

Good debt is a debt that helps increase the net worth of the borrower and generates income and helps achieve a sustainable future. One of the most common good debts is an education loan. Getting a good education from a reputable institute means that one has learned from a seasoned faculty and studied in a competitive environment. Quality education is also associated with well-payed jobs and more employment opportunities. A college degree will soon pay for itself, so the loan is worthy. Such debt is good debt. A mortgage is another good debt used to finance a house. The value of real estate grows exponentially, and having a shelter is one of the basic needs of life. A mortgage is good debt because of its increase in value in the future. One must look for investment opportunities such as buying shares or property that will increase the net worth of an individual and finance them through debt if required. Check out America's Best Bookkeepers

Bad Debt:

Debts that are used to buy depreciating assets are bad debts. The value of such assets does not grow in the future. Instead, it depreciates. These assets do not contribute towards earning income for the borrower. One of the common bad debts is an auto loan. Buying a vehicle is expensive and costs a lot of money. Although people have become accustomed to traveling in their cars and consider it a necessity in today’s world, paying interest on a vehicle does not add to the value of the borrower does not help generate income. Also, the car depreciates over time, and it’s valued for less when resold. Auto loans fall under the category of bad debt. Another common bad debt is credit cards. The interest rate charged on credit cards is high and higher than that of consumer loans. The customers have to pay a lot of extra money along with the borrowed amount. The balance on a card is bad debt. Check out America's Best Bookkeepers

Differentiating Good Debt and Bad Debt:

Borrowing money is a difficult decision to make because the borrower is always worried about the ways of paying back the loan as soon as possible. A loan is not always a good or a bad idea. If an individual or a company is taking out a loan for investing in an asset that will earn profits, then borrowing is a good choice. Such loans, called good debt, add to the assets of the borrower. But some loans are used when buying luxuries that may add to the comfort but do not add to the assets of the borrower. Such loans, called bad debt, become a liability for the borrower. One must avoid taking bad debt as it adds to the financial burden and does not contribute towards the net worth and income of the borrower. The interest paid on bad debt is not worth spending because it gets no returns to the investment.

Check out America's Best Bookkeepers About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity. Check out America's Best Bookkeepers

Along with developments in technology in recent years, identity theft has been on the rise. Fraud statistics have significantly changed in different areas. Examples of identity theft occurring can be data breaching, stolen bank account information, and stolen credit card information.

Data breaches and undermined credit card cases appear in the news more often. With all the instances of data breaches, fraud is the first thing on everyone’s mind! Using Europay, MasterCard, and Visa (EMV) chip cards offer considerable options for making online payments secure and safe. But, EMV chip cards are not reliable when it comes to specialists predicting fraud. These cards are not able to offer security in non-card-present transactions. With the lack of security, these data breaches are sure to continue in the future. Check out America's Best Bookkeepers

Fraud statistics: Data Breaches

The first significant business data breaches started to appear in 2014 and continued into 2015. This threat to data safety and security is still lurking. The majority of the Americans anticipated it to be a short-lived trend.  This belief disappeared as large-scale businesses became the bull’s eye of cybercriminals. In September 2017, a massive data breach occurred at Equifax, the renowned credit bureau. The data breaches have continued to rise, but the advancements in cyber-security have advanced as well.

Fraud Statistics: Identity Theft and Card Fraud

Check out America's Best Bookkeepers During the years of 2012 to 2016 onwards, the FTC’s (Federal Trade Commission) online databank of customer complaints has amassed 13 million grievances in the year 2016 alone; it came up to 3 million. Of those, approximately 13% were linked to identity theft complaints, and about 42% to fraud.

Fraud-related grievances calculated up to be about 1.3 million. Customers stated that they had paid more than $744 million towards those fraud complaints. An average amount of $450 was paid to these companies. 51% of the customers who conveyed a grievance related to fraud also stated the quantity paid.

Around 55% of the grievances related to fraud listed a process of the first contact with the companies. Of those, about 77% were communicated by phone, whereas just 8% were initially communicated by email, and only 3% were reached by mail. Check out America's Best Bookkeepers

How are fraud victims affected

As per the report “Identity Theft: The Aftermath 2016” by The Identity Theft Resource Center, about 20% of the American citizens surveyed were victims of some sort of illegal ID theft in the year 2015. From those, about 9.2% stated that their ID was utilized to perform a financial crime, which ended in a custody permit.

The aftermaths of this illegal ID are astounding. About 55% of victims failed to fulfill their hours from work. Around 44% stated that they lost an employment prospect. Also, roughly 60.7% needed to borrow cash, and 29.5% were obliged to appeal for government aid, such as food stamps or welfare.

Check out America's Best Bookkeepers About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity. Check out America's Best Bookkeepers

Ask any farmer, the biggest hurdle is not growing the produce but earning a living from it. Growers have to focus on operations and other factors to make a living income. One way for farmers to evaluate their processes to meet their monetary goals better is to share knowledge through farmer groups, meetings, and shop talk. But farmers may feel hesitant to share their financial information.

Between 2002 and 2004, a grower-led plan was introduced that used ratios that focused on net income for each acre of growth. The findings of the plan were summarized in a report called ‘Grower to Grower: Creating a Livelihood on a Fresh Market Farm’. This was a case study for farmers creating a fresh market farm. The focus of the study was on the financial aspects of this type of farming. These are the areas of focus for this study. Check out America's Best Bookkeepers

Farm Finances

The farmers and growers who were a part of this case study analyzed their sales, labor hours, and expenses over three years. This meant they had to have a sound financial plan and use accurate bookkeeping to gather the data for the study. These growers chose to associate the yearly net cash revenue they produced from their farms. They did not include factors, for instance, land costs, prescribed machinery usage, opportunity, and depreciation costs.

Marketing

Check out America's Best Bookkeepers For a farmer, selling produce directly to the customers is the center of their marketing plan. This is accomplished through retail outlets, farmers’ markets, restaurants, etc. On-farm sales, while less common, are another way this is accomplished.

Farming Equipment

Farming equipment is essential and has to be the best quality. This is so that the equipment lasts for a long time to come. Those farmers who have vast acres of land need to put a lot of investment into their equipment to make sure they can have high production.

Crops:

In the study, the organic farms had different crops, some more unique than others. Variation and diversification help prevent pest buildups. It also provides some protection against crop failures, if any. The challenge that the farmers faced was learning how to grow these different kinds of crops. To be successful, they had to adjust and learn everything they could about growing these lucrative crops. Check out America's Best Bookkeepers

The data contained in the study has helped growers as they set fiscal and life goals for their farms and shape their strategies to realize those goals. There is no ideal size for a fresh market vegetable farm; growers have to use their managing skills and financial assessment tools to figure out the scale and level of streamlining that makes the most sense for them. This study also worked to compile data regarding financial issues while understanding the farmer’s reluctance to share financial information.

 

Check out America's Best Bookkeepers About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity. Check out America's Best Bookkeepers

Business growth is an organic process that is a response to the effort of the business owner. An excellent promotional strategy is based on limiting the ideas that may devalue the restaurant. Do not create an unsustainable customer expectation like getting 50% off. This article will give guidelines to promote the restaurant and will help in building a customer base.

  1. Sign-up for Success

Signs and logos help in generating a lot of business. The placement of in-house signs and menu boards is important. The restaurant can also advertise through their ad printed on receipts and printed versions of the menu that the customer can take home. These techniques will help in building a customer recall about the brand, so in-house signage, ads on receipts, and menu distribution can produce repeat business. Check out America's Best Bookkeepers

  1. Get the Website Ready

A responsive website is essential to get the greatest reach. It should be a priority because all marketing will be based on an effective, functional website. The site is as important as the physical location of the restaurant.

  1. Define Goals

Create a business map that lays out the plans to reach customers. Knowing the demands of customers can help the restaurant to build customer loyalty. Once the owner identifies his target customer, it will become easy to plan an effective marketing strategy. Check out America's Best Bookkeepers

  1. Optimizing Online Presence

Optimizing online presence is essential to target the restaurant’s market. For effective marketing and customer retention, get the menu online. Nowadays, customers often make online reservations or orders via a computer or smartphone, so it needs to be easy for them to access the menu.

  1. Use Multiple Promotional Channels

Assessment of effective marketing channels helps the restaurateur to achieve short-term as well as long-term goals. It requires a proper action plan to market the business successfully. The restaurant owner should break down his marketing budget. The suggestion is that 80% of the budget should be for digital marketing and 20% for traditional marketing such as TV commercials, newspaper ads, and hoardings. Always refer to the website to get the greatest promotional advantages. Check out America's Best Bookkeepers

  1. Use of Social Media Platforms

Social media is one of the most effective and efficient promotional tools to get maximum reach. If a restaurant is lacking in social media presence, it can lose touch with the essential market. To find out what is best for the customers and cuisine, restaurateurs must get involved with all the social media platforms. The owner must post related content and keywords to get the most customer engagement. 

  1. Cinema-graphs

Everyone spends a lot of time looking through social media feeds. We all are looking for the next big and exciting thing to catch our eye. This is where cinema-graphs shine. Cinema-graphs are creative yet sophisticated gifs that look like an HD image. By looking closely, a person can see that the photo is continuously moving. Creative cinema-graphs are a great way to grab potential customer’s attention.

  1. Communicate, Interact and Engage

Digital tools such as smartphones, along with other social media related platforms, can help a person directly get in touch with potential targeted customers. Use these platforms to solve queries, concerns, and answer relevant questions to show devotion and commitment towards your product and clients.

Check out America's Best Bookkeepers About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity. Check out America's Best Bookkeepers

Managing money is challenging but doable. A lot of people spend money without thinking twice. They end up regretting it later. It’s because they don’t know how to manage money and where to spend it. The best advice is first to spend money on necessities. Make sure to write down all your needs and essential things such as bills, rent, etc. Focus on needs. Then, if you have some left, you can spend it on entertainment, and then save the rest. Make sure not to spend all your money on entertainment, as this will have a negative impact. Entertaining yourself is fine to an extent, but a lot of entertainment can make you unproductive. Check out America's Best Bookkeepers

Managing money is a process. It might be difficult in the beginning, but soon it will become a habit. This process should be applied persistently and measured. Managing money is a bit different from saving money. Some people know how to do both, and some don’t know anything about either. Saving money is a process where you make sure to save a fixed amount on a daily or monthly basis, no matter what. Managing money means knowing where you have to spend your money, where you have to stop spending and how much you have to save according to your financial situation. Here are a few tips that will surely be helpful for you:

  1. Start budgeting and making lists. Write how much money you get every month. Write down the amount spent on groceries, bills, and rent. Calculate the rest. Divide how much you will be spending on snacks or entertainment. Save the rest for rainy days.
  2. Managing money for the long-term means saving it today. Stop eating unhealthy snacks and cut all forms of improper entertainment from your life.
  3. Know that things take time, and it’s a slow and moderate way to change your life and live differently but greatly. It’s also a very significant way to live healthily as eliminating and excluding snacks and entertainment is a good start to change habits.
  4. Managing and saving money is not something that will happen in a few days. It’s a process, and it needs proper implementation with consistency. Check out America's Best Bookkeepers
  5. Before managing the money, you need to manage your routine and lifestyle and focus on your goals. In other words, managing and saving money is a new lifestyle.
  6. Know that only thinking about managing money will never help. Write it all down. Set reminders. Stick to it. Focus and be patient. Again, it should become a habit to save money and spend less because it’s a lifestyle.
  7. Commit entirely and have an optimistic approach. It’s not difficult to manage and save if you have committed. But what’s difficult is to convince yourself to do it.
  8. As mentioned above, write things down and follow the process. Set a proper and measured goal. Ask a friend or family member to join you so that you will be motivated. Together both of you will change lifestyles and will move towards a healthy one where there will be a secure and strong future.
  9. At the end of each month, calculate how much you are spending and saving. It will help if you have already written everything down so you will not have to think a lot. It’s almost impossible to remember where you spent an extra $20 last week. So write it. And if you are buying something out of a budget, write it as well so it’ll be helpful for you to calculate all the expenses at the end.
  10. A lot of people go beyond these easy ways. They open up a savings account to save and manage money as they keep a record of their expenses through the receipts and checkbooks. This is a highly recommended and motivating way to manage and save money for rainy days in the long run.
Check out America's Best Bookkeepers About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity. Check out America's Best Bookkeepers

Times have changed. Life as our parents knew it has become a memory, theirs! With the dawn of the modern era, the past has become a foundation the future is building on. In the last fifteen years, research and development have restructured the way markets, corporations, consumers, and businesses think and behave. The mindset of the average person in society has been enhanced due to technological advancements. The computer was the first to make a life change for millions. Still, businesses have integrated it so well into companies that you can’t fathom a business with paperless filing that doesn’t use a computer system.

Most still have to realize the true understanding of how a computing system can help a business, but everyone agrees that it’s practically a business machine with superpowers. Cloud computing and IT systems help businesses cover the globe if needed. These technologies help with managing a business so that its operations are smooth, and the best level of activity is exercised to make sure a steady and satisfying movement towards growth and development. A business and its employees benefit from cloud computing or IT systems solutions. A paperless filing system, for example, will not merely save trees but also enable employees to learn and improve their skills, which ultimately contribute to the success of a business. Check out America's Best Bookkeepers

Small law firms and accountants can benefit significantly from going paperless, but that’s not all. Clouds and IT systems can be programmed to enable anyone to get the most out of their operational capacities. For example, if a payment of a vendor or an accountant’s sheet is placed on a cloud for field personnel or logistics support to validate material. Users are trained to reach the file with tools and software that are interconnected and supportive in a paperless filing environment that doesn’t require digging up files from the archives nor expedite a run to the storeroom for further information regarding the case. Record keeping is an art, and such a system will do wonders for time management and efficiency that are vital for industry-related professionals.

The impact on the performance and steady growth of a business creates an environment of prosperity provided it can sustain it by imparting training to all newcomers. It also needs to maintain and improve the system. Keeping the system up means keeping it relevant, up-to-date, and above all, effective with paperless filing. Any errors or mistakes in the system are eradicated the first time you set it up and run it. The commissioning of the whole system takes a couple of days to ensure smooth operations and policy is in place to prioritize system updates or any upgrades it may require, such as more storage capacity or computing power. Check out America's Best Bookkeepers

With the whole system absorbing data, information is at the tip of the fingers, and ready reference is one habit that will never grow old. Having all the information with a click of a mouse can promote effective, paperless filing without needing to ever procure or spend lavishly on stationary like cabinets, files, and folders. The amount that can be saved can help with other expenditures and also contribute to the well-being of the business. The scope of application of IT systems and cloud computing is limitless, with everything being automated or centralized. But some aspects are being de-centralized so that they can be better used for other purposes like geographical traveling representatives, for instance, on the field.

Using new resources for business exemplification and development is easy. The modern internet has evolved the thinking of the average person, and businesses are smart to understand its significance in the coming years.

Check out America's Best Bookkeepers About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity. Check out America's Best Bookkeepers

The market is flooded with information and methodologies about leadership, such as the texts of Stephen Covey, John Maxwell, and Cyril Levicki. Three authors who have been good references to improve team management. Some lessons that obtained from them are:

1. Confidence: The first step to go from boss to leader is to have confidence in your work team. When forming a successful team, you must remember to be a friend without falling into excesses of camaraderie. Going out to eat to celebrate occasions, playing a sport together, or cordially coexisting does not diminish your authority or respect. But remember to put limits on these interactions. Check out America's Best Bookkeepers

2. Respect: Treat your people how you want to be treated, never use profanity when addressing your team members. Call them by name and avoid using nicknames or making fun of your team members or collaborators within the company. Be careful not to make groups isolating individual members of your team. A group is an entity with a life of its own, and each employee is an integral part of it. Develop a psychological contract that includes rules of participation.

3. Communication: Do not forget that this is one of the main competences of leadership. Avoid talking behind the back of your collaborators, do not triangle the information, and do not give orders through third parties as this is not healthy for the good development of the team. Make sure your communication is always clear, precise, and fluid. Check to make sure that what you are communicating is transmitted as you want and that your collaborators to receive it. Keep your communication goal clear and oriented towards immediate action.

4. Definition of goals: Be clear on your individual goals, avoid repeating what your superiors say, make yours the general goals, and indicate in writing what you expect from your department. Define the difference between a strategy and an action plan, and state start and end dates to your team members and collaborators. Above all, communicate the progress that measures and informs results regularly. Check out America's Best Bookkeepers

5. Delegate: Do not try to do everything yourself, remember that the sum of the talents of each team member will give you a better result in the collective. Learn to appoint a group leader. This will help you to let go and have defined roles. In this way, you will teach self-management and leadership to your team members and collaborators.

6. Training: Leaders who do not train their staff because they worry, they will use the training to go to another company, do a disservice to their team members. You must have a strong training plan, clear job expectations, and make your processes well-defined. A successful training program will make sure each individual is productive and will identify where they can be best utilized in the company.

7. Initiative and creativity: Be original and have the ability to change 180 degrees when problems arise. Take the initiative and the first steps towards change as needed and never limit your team. Encourage them to be creative, take initiative, and be proactive in promoting solutions and productivity. Check out America's Best Bookkeepers

8. Commitment: You should help your team align with your values as a leader as well as the values of the company. Commitment should be born from example and expected from each of your team members. Strong commitment will lead to successful team results and encourage productivity.

9. Not only manage: Leave behind your role as administrator and become a leader, stop managing, and start creating; do not keep processes, develop them. Do not control, inspire, and give confidence. Do not go with the status quo; challenge it.

True leadership is more than being a boss. These tips will help you to be a strong and successful leader that is respected and encourages growth and production.

Check out America's Best Bookkeepers About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity. Check out America's Best Bookkeepers

A person should be willing to do everything it takes to get out of debt. Whether it be spending less money, having less entertainment, or cutting out entertainment altogether, a person should have an optimistic approach. The most important thing for someone to get out of debt is to think about their expenses differently and to change their outlook about spending money. A changing mindset means spending money on needs instead of wants.  Mentality plays a significant role when it comes to spending less and saving more.

 

Along with the mindset, a person needs a proper plan and full motivation. A proper plan means to have a reasonable and necessary schedule where every time an individual spends his or her money, they keep track of it. A lot of people decide to get out of debt but fail to achieve it as they don’t change their habits or mindset. Debt is a stressful thing that needs to be changed or recovered. Why not do something before it hurts to be in debt anymore? Check out America's Best Bookkeepers

 

If a person doesn’t have a strong mindset that they need to get out of debt, they will keep failing as they will not make plans and strategies and will not get serious about it. The worries and stress of debt will keep hurting them. A lot of times, people say words that are so demotivating for themselves that they don’t even realize.

 

We came up with some phrases that people in debt say that will keep them in debt. If you find yourself saying any of it, then you need to stop to change your mindset:

 

  1. Those Who Live for Luck:

People who say that they will pay their debt when they get a promotion are probably unaware of the fact that life is unpredictable. A lot of people live their lives, hoping someday, luck will be in their favor. Using this mindset to get out of debt will lead to failure and continued debt. Check out America's Best Bookkeepers

 

  1. Those Who Think Paying Interest Will Help:

People who say that paying interest means paying the debt are incorrect. Paying interest only increases debt. If an individual is not paying the whole amount on time, then it only means that the amount of interest is being compounded along with the debt.

 

  1. Those Who Think They Are Not Making Enough Money:

People who say that their salary is the problem need to change this mindset. It’s not the salary that’s the problem but their behavior. They are the ones that are spending outside their means. Setting up a budget is the way to change this way of thinking and get out of debt. Check out America's Best Bookkeepers

 

  1. Those Who Are Not Willing to Sacrifice:

Individuals who are not willing to sacrifice will stay in debt. A lot of people who have a habit of eating out or going to the movies every week are the ones that are not motivated enough to start saving. They are not willing to sacrifice their fun and entertainment. They need to reset their mentality and set goals and make proper plans.

 

  1. They Don’t Make It A Priority:

People who say that there are more important things than paying debt do not understand the impact and longevity of debt. Making debt a priority takes a change of habits. Individuals that keep saying that they will start budgeting next month need to make it a top priority. This will be the path to get out of debt and become stress-free.

 

Those in debt often don’t realize that debt is as mental as financial. If the mindset about debt is changed, battling debt will be easier and become a feasible goal.

Check out America's Best Bookkeepers About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity. Check out America's Best Bookkeepers

Accessible and sustainable systems are vital if you want your business to be systematic. As an investor, an accounting system is essential for business. A sound accounting system that keeps track of all the expenses is not as difficult to make as it seems.

Before you start building an accounting system, you need first to figure out how you would want to record and book profits and expenses. To keep up with them, you need to create a simple method to document invoices and receipts. The best way to record them is to use expense tracking applications and software programs. They allow more streamlined bookkeeping by letting you scan receipts, put in the amount, catalog, and store the information in the cloud. You can also use mileage apps to calculate travel expenses while performing job-related tasks. Accounting software like Quickbooks can also prove to be of immense help. Irrespective of the software you decide to use, the categories of your transactions should include:  

  1. Acquisition costs
  2. Rehabilitation costs
  3. Repair costs
  4. Holding costs
  5. Selling price
  6. Selling costs Check out America's Best Bookkeepers

Separating rehabilitation and repair costs may help you later on if you decide to rent the house instead of selling it.

Kinds of supporting documents you should keep

You are not required to keep any specific records according to the law, with the exception of a few cases. Keep any receipts related to the purchase and sale of the property and all related HUD-1 statements. Also, keep the tax assessment card of the property and, if applicable, the insurance and appraisal documents. You should also have supporting documents for expenses related to the rehab costs. They should state the total amount of payments made and that they were related to the business. These include:

  • Canceled checks
  • Cash register tapes
  • Account statements
  • Credit card sales slips
  • Invoices
  • Trivial cash slips for minor cash payments Check out America's Best Bookkeepers

Informational Returns

You may be required to inform the IRS about any payments related to your business on informational returns. The payments on the information returns will then be compared with the reported value on the individual’s revenues by the IRS to make sure the income they reported is correct.  You are required to fill out the Form 1099-MISC (Miscellaneous Income) to report selected payments. According to Publication 583, the payments include:

  • Payments of $600 or more for services performed for your business by people not treated as your employees, such as subcontractors, attorneys, accountants or directors
  • Rent payments of $600 or more, other than rents paid to real estate agents
  • Prizes and awards of $600 or more that are not for services, such as winnings on TV or radio shows
  • Royalty payments of $10 or more
  • Payments to certain crew members by operators of fishing boats

Form W-2, Wage, and Tax Statement is supposed to be filed to report expenses related to your employees, such as wages, Medicare taxes, tips, compensation, social security, and withheld income. Using a software program that has a payroll system integrated can make your bookkeeping much easier if you have W-2 employees. Check out America's Best Bookkeepers

Accrual vs. Cash Method

You need to decide between the cash and accrual method of bookkeeping for your business.

The cash method is used when you acknowledge the income after the check is collected, and expenses are acknowledged after making the payment. Whereas the accrual method recognizes expenses and income after they are incurred or earned, not after the payment of the expenses and receiving the check.

If you are wondering how this applies to investors in a fix and flip business, here’s the answer:

When you plan to, or already flip numerous properties, you will most likely be classified as someone who deals, by the IRS. This means that the properties you own will be categorized as inventory, which will require you to utilize the accrual method of bookkeeping by the IRS. That is why it is recommended for investors to start with the accrual method of accounting from the beginning. This means you do not have to go through the hassle of transitioning your system to the accrual method at a later time.

Check out America's Best Bookkeepers About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity. Check out America's Best Bookkeepers