Tag: payroll tax return

Filing returns deadline 17th April 2018

Posted on 22/03/2018

Why file your tax returns ASAP?

The tax filing season has opened up to individuals. The Internal Revenue Services has shifted the deadline for tax filing to April 17, 2018. The filing deadline was extended by two days (usually, it is April 15 every year) because 15 April 2018 falls on a Sunday. The 16th is observed as Emancipation Day, a holiday in Washington D.C. Just like any other Federal holidays, Washington holidays have an impact on the deadline for filing of tax returns. Tax filers must regularly check with the IRS website for latest updates.

tax returns 2018

The IRS had announced Jan 29th as the official day of the start of tax season 2018. A projection indicates that 155 million tax returns will be filed for the financial 2017. 70% are expected to receive a refund. Though the IRS hasn’t promised a refund date, it is anticipated that more than 90% of the tax submitted will receive the refunds within 21 days. It is apparent that the sooner you file your tax returns, the sooner you are going to be refunded.

Why do we keep saying, earlier the better? Tax filing can be very time consuming if you don’t have the right documents and details for filing. Getting ready for filing is a tedious process. Gather all information on income statements and receipts for filing Form W-2 and Forms 1099. Itemized record of health insurance, job expenses records, charitable donation record and details on personal information.

  1. Support appropriate documents for every expense and income must be  by .
  2. Make certain that you procure the W-2 from your employer well in advance.

Let’s discuss the reasons why we need to get our act together to file early returns.

Larger refunds for early filers

Data provided by the IRS reveals that early bird taxpayers enjoy a larger refund amount when compared to the others who file in later. The other reason is to ensure you are eligible for the claims on all deductions.  It goes without saying that itemizing your deductions can get you larger refunds, though the documentation for the same is time-consuming.

You don’t need to cut back on your resources to rush into an early filing, rather find an expert tax returns Preparer to make the filing right on time.

Hassle-free filing of returns

Whether you file your tax returns on your own or engage a pro, fix your own deadline well ahead of the April deadline. Feel relaxed and satisfied with the thought that your taxes for the year is taken care of while everyone you know is rushing to get it done.

Refunds protected from identity thefts

The early tax filing may not ensure identity theft using your Social Security Number, but it makes certain you get refunds on time.

Early filing allows time to make payment plans

Once the tax returns for 2017 is completed, the estimated tax to be paid will be determined by the filer or his tax expert. Now, you have more time on hand to get the money ready instead of breaking into some emergency fund. So, to buy time and get it paid, you have to assess your taxes, prepare all the relevant forms and documents well before the deadline – 17 April 2018.

Easy accessibility to tax professionals

Closer to the deadline, tax filers who are procrastinators would find it difficult to get a good tax professional as they will be busy doing crunch time this season. As a matter of fact, the tax deadline is getting closer, it’s high time you fix an appointment with your  tax expert.

Added to all the issues mentioned, tax professionals may tend to charge more when there is less time for assessment. Start today! Call our tax advisor to whom you can entrust your filing for maximum tax deductions.

Topics: Taxation


Simple Techniques To Enhance Your Order-To-Cash Process Efficiency

Posted on 13/04/2017

The order-to-cash/Accounts Receivables cycle in businesses is full of complexities. There are too many interactions that take place in the OTC/Accounts Rceeivables cycle and there is always room for Cash Process Efficiency enhancements in the process. True setback comes from the reliance on the hackneyed manual processes and the absence of a smooth transactional information flow. These are the major impediments that contribute to the inefficiencies and the increased operational costs.

Accounts Receivables

It is established that there are quite a lot of interactions involved in the OTC/Accounts Receivables cycle. It is significant to note that papers are an inevitable part of the information flow between the company and the third party vendors, thus being responsible for the inefficiencies and challenges in the performance. Computerized receivables have been in use for over 5 decades now yet there is an incorrigible reliance on the paper and manual based processes. This is due to the fact that there is no connectivity between the internal functionalities besides the flow of accounting information and sales, inventory, shipping, and receivables. Things get exacerbated when there is an input is required from the customers or other third party vendors during the intermediate processes.

Manual tasks are still being used in bridging the gap between the Receivables processes and the external parties and this imposes the biggest challenge. Though there are software like ERP (enterprise resource planning) are widely used now to provide the integration that is lacking in the manual processes, manual processes are still being used. So, what is the result? A lot of time and labor are being invested in the OTC process, increasing the costs and operational inefficiencies.

How do we go about increasing the Order to cash/ Accounts Receivables efficiency?

You need to build strong connections between all the internal processes and wire them in an automatic process. The only hitch you might be facing is the expenses. Plus, it would also require some rewriting of the interfaces when you upgrade the systems. Luckily, cloud-based solutions increasingly seem to address the issue at hand. Cloud-based solutions also provide much stronger connectivity links between all the participants, be it internal or external. Now, this is more affordable than any other hosted or licensed solutions out there.

Advantages of Automated processing:

  • Customer payments can be accelerated due to instant accessibility of bills and other data
  • Invoice chasing can be streamlined
  • Customer disputes can be prevented
  • The need to re-key order information can be removed
  • Scanning and filing of invoices can be eradicated
  • Storage costs can be reduced
  • Office space will be freed

Should you require help with enhancing your OTC efficiency, do contact at +1-860-215-4997.

Topics: Accounts Receivables , Outsourcing Accounting


Why Should Businesses Outsource Real-Time Financial Reporting And Accounting?

Posted on 04/04/2017

Real-time Financial reporting basically means that an event must be reported as and when it occurs rather than in the later stage. In this same context, real-time accounting means retrieval of information that is stored in the accounting system by reducing the lag between the recording time of accounting and the time of availability. Real-time accounting is used to make accurate information available as soon as possible.

cashflow

Some benefits of Real-time accounting and financial reporting:

  1. Removing batch processes: Real-time accounting often ensures that information is updated at one point in time. For example, when an approved invoice gets posted, the vendor accounts must be posted, and the same should be updated on the expense account and in the general ledger. Simultaneously, inventory and other activity costing should be kept updated. This will ensure that errors are minimized and all updated information will be made available to all the stakeholders.
  2. Syncing different books: Most businesses today distribute some part or all parts of their accounting operations. This means data redundancy is high. Now, applying real-time accounting can eliminate the need to replicate the data and it also helps the postage of data in more than one database simultaneously.
  3. Informed decisions can be made: Real-time accounting ensures that information is being updated on a regular basis, which is best for the needs of the organization. This availability of the financial information in a timely fashion will facilitate the management to be highly agile in their dynamic business environment.
  4. Information centre: Real-time accounting makes the creation of information hubs possible, thereby allowing access to many users at a given point in time. It also provides the facility for the information to be presented in any format desired.
  5. Enhancing productivity: Visibility to financial information is more with real-time accounting. This helps the organization in being dynamic and re-prioritizing the tasks based on need. This had been found to enhance the compliance, productivity, and accuracy.

So, why should you outsource real-time accounting?

The one challenge that organizations face in implementing real-time accounting is the burden it would place on the existing resources. Outsourcing real-time accounting provides access to a whole new level of the trained and expert team in all aspects of finance and accounting. You can also get access to the latest technology available. All these not only ensure accuracy of data, but also cost efficiency. You will not have to invest on infrastructure or the resources. Plus, when you outsource real-time accounting, paper based reports would become obsolete, which means data can be made available anywhere at any time. By and large this will help the company to stay proactive.

To enjoy all the above mentioned benefits of outsourcing your real-time accounting, do contact at +1-860-215-4997. We can help you figure out the ways to improve your productivity and profitability.

Topics: Accounting , Cash Flow Management , Financial Reporting


What Happens When You Track Cash Flow From Business Operations

Posted on 23/03/2017

Adequate cash-flow is significant to running a healthy business and anybody running their own business will know it. It is a taboo that healthy cash flows in any business come from equity funding or income from other investment and not their original business operations. The OCF or Operating Cash Flow unfolds what revenue is generated by ongoing business operations like sale of goods or services.

cash-flow-Managing-your-small-business

Importance Of Tracking Cash Flow

There are quite a lot of advantages tracking your cash flow. Tracking cash flow helps in:

  • Improving your current performance
  • Enabling your investors to know of your status and in positive case bring in more investment
  • Foreseeing your long-term business value based on the current cash flow metrics
  • Enabling potential buyers to judge your business, if you are looking to sell your business
  • Enabling you to know the cash at hand to make any short-term finances, if need be
  • Enabling you to manage your cash flow better

How Can You Track The Cash Flow Metrics

Tracking your cash flow metrics is fairly simple. There are two ways to do it:

1. Direct method

Direct method to finding OCF basically involves finding the Earnings Before Interest and Taxes or EBIT. Next, you need to find the depreciation or the declining value of the company’s assets due to wear and tear.

Now, OCF= EBIT + Depreciation – Taxes.

2. Indirect method

If you use the indirect method to calculate your cash flow, you must ensure that you abide by the GAAP or Generally Accepted Accounting Principles, established US Accounting standards. That said indirect method is the most preferred method by most business men. This is because of the fact that it provides reconciliations from net income to the cash rendered by operations.

Steps to finding OCF:

  1. Find your net income
  2. Add the non-cash expenses back in – like amortization & depreciation
  3. Adjust the profits and losses on the sales of assets
    • Subtract the profits
    • Add the losses back in
  4. Account the variations in current assets and liabilities
  5. Account the variations in non-cash current assets

Generally, business with positive OCF means that the business has net incomes that are reliable and can stand the test of time like any economic downturns or undesired situations. Negative OCF means the business has to work strategically to cover the shortfalls and get back on track to withstand any seasonal business shortages and also thrive in the long run.

Call at +1-860-215-4997 for outsourcing or any queries on cash flow management.

Topics: Bookkeeping Services , Cash Flow Management , Financial Reporting , Outsourcing Accounting


In-house Payroll Processing or Outsourced?

Posted on 14/03/2017

Is outsourcing the right solution to get your payroll sorted?

Payroll is one of the major costs for most of the businesses plus there is no assurance of ROI. Outsourcing is increasingly available for all parts of the business.

There are umpteen off-the-shelf payroll software packages available. Many businesses take the bait and often find that one-size-doesn’t-fit all.  Therefore, it is imperative to look at what values do the outsourcing company deliver.

Capture

Typically, all in-house software is written and maintained by the in-house IT team.  Statutory calls for annual updates and this can be expensive for the company. This is because the systems employed would be often older ones and upgrading they cannot stay within the budget.

Outsourcing is the best choice for a business, if the business has to propel towards achieving the vision and mission rather fritter away time with payroll activities.

Some other reasons why outsourcing has become the go-to place for many businesses are:

  • Increased complexity
  • Ever-changing compliance requirements
  • Accuracy in payroll
  • Reduced risks
  • Latest technology employment

Nowadays, payroll providers also streamline a business’ processes and constantly deliver industry best practices.

As tempting as outsourcing may sound, there are due pros and cons associated with it. Taking this into consideration, we bring to you some important points to ponder on to conclude what’s the best fit for your business

  1. Flexibility- Change is a constant in payroll processing. Do you have enough resources available in your organization to make the eleventh hour amendments?
  1. Confidentiality– payroll is one of the most sensitive areas of the business. So discretion at all times is advised. Indiscretion can cost a fortune for the company.
  1. Time- does your business possess the time and knowledge to shift their focus anything but away from the business? Payroll requires constant updates. Do you have the time and resources to handle payroll in-house?
  1. Cost- cost is one of the major considerations any business may have when they consider payroll outsourcing. On one hand it is thoroughly beneficial to have staff in-house to handle your payroll. On the other hand, the cost involved in employing staff may not be as great. Besides costs will also include the cost of the software, maintenance, and the yearly mandatory updates.
  1. Reliability- needless to say, your employees would like to get paid on time every time. Your payroll has to be accurate and processed on the due date irrespective of the holiday or any other contingent situation.

What now?

If you have seen anything that might be advantageous for your business, contact at +1-860-215-4997 for more details. We’ll be glad to help you out.

Topics: Bookkeeping Services , Outsourcing Accounting