29 10, 2021

The Benefits of Using QuickBooks for Your Small Business

By |2021-10-29T16:04:02+00:00October 29, 2021|0 Comments

Opening your own business can be scary. But managing that business doesn’t have to be with the right tools. Luckily, we are here to share the benefits of using QuickBooks for your small business, one tool that we think is a must!

It saves time and money.

First of all, QuickBooks saves time and money. It offers a lot of flexibility when it comes to accounting tasks. It streamlines accounting; therefore, freeing up your time to focus on other things—like growing your business!

You will find software that is focused on small businesses.

QuickBooks is user-friendly. It is customer-oriented, and it helps you better serve your clients in the long run.

QuickBooks is efficient.

Again, there are a ton of options with this software. You can manage payroll, create invoices, time sheets, customized charts and much more.

Plus, there are a ton of helpful shortcuts within the platform.

It gives you access to money management tools.

One of the benefits of using QuickBooks for your small business is better money management. You can track tax due dates, keep up with recurring bill payments and enjoy automated records.

Additionally, you can choose to link your bank account and eliminate the need for statements.

QuickBooks works well with others.

Not only is this software user-friendly, but QuickBooks also integrates easily with other software services. For example, you can import or export data from QuickBooks to Excel (or vice versa) seamlessly.

The platform provides financial security.

For one thing, QuickBooks is constantly evolving and improving. Thus, they are one of the leading software programs in terms of new technology and safety.

Moreover, their data center is continuously monitoring the safety of your assets 24/7. They also use additional security features such as multi-factor authentication and password protected login.

QuickBooks has an automated backup service.

All transactions and financial data are automatically stored. This is another one of the benefits of using QuickBooks for your small business that saves time!

Summary

Finally, another benefit of using QuickBooks for your small business is peace of mind! When QuickBooks is set up correctly from the beginning, it is a tool that ensures efficient money management.

This is where we come in. As members of QuickBooks ProAdvisor® Program, we can help you get started. Step one, contact us to schedule your free consultation. Step two, figuring out which version of QuickBooks is right for you.

For more information about who we are, our services and general financial news, continue to read our blogs!

30 09, 2021

The Fundamentals of Business Audits (And How You Can Prepare)

By |2021-09-30T16:06:56+00:00September 30, 2021|0 Comments

The word “audit” alone can inspire a flurry of fears. But it shouldn’t! If you prepare correctly—and file your taxes accurately—then you have nothing to worry about. We’ll help you ease those financial fears by reviewing the fundamentals of business audits.

What are audits?

Here’s a little mnemonic device to help you remember what audits are. When you think “audit,” remember that it starts with the letter “A” like the word “accurate.” Audit = accurate.

Got it? Good! If not, though, we’ll happily explain a little further.

Why have audits?

When a business needs their financials explored, that process is known as auditing. This can be for a benign, routine reason! Your business may even hold regular audits, just to keep everything on track.

However, if someone internally—or even the IRS—flags certain occurrences as unusual or fraudulent, then they may order an audit. That way, they can determine the source of the discrepancies.

Let’s take a breather

Before we get any deeper into the fundamentals of business audits, we should take a breather.

Feeling a bit anxious? Think of audits like your yearly dentist appointment. You go to make sure your teeth—or, in this case, your business—are healthy. And, you want to have a trusted professional examine any potential problems. That way, you have peace of mind that your business is operating efficiently.

Types of audits

If your business undergoes an audit, it will come from one of two source types.

Internal audits

The first kind is internal, or from within your business. These aim to explore the financials, like spendings and earnings. Likely, they will also take a look at how your business runs at multiple levels. That way, they can assess the overall efficiency—which can be costly if not operating correctly.

External audits

The second kind is external, such as one from the IRS. They will mail you a letter to let you know about the situation or give an in-person interview to explain the situation.

Don’t start sweating just yet! You can have a top-of-the-line business with picture-perfect tax filing and still get an audit. The IRS actually will request random audits from time to time.

On the other hand, they may also notice tiny discrepancies in your filing. Or, in some rare cases, they have flagged outright fraud. However, if you’ve done nothing wrong, then you should be just fine. So relax, and trust the experts.

What happens after?

Phew, it’s over! So, what happens after your audit? Well, you’ll get a report. It will detail findings the auditors observed. It will also tell you whether or not your records are accurate—and if there’s anything missing.

How should I prepare?

They say that an ounce of prevention is worth a pound of cure. We agree! You should prepare for an audit by:

  • Keeping detailed records. Every receipt matters. You should file them away, along with all your financial documents. That way, you can hand them over without worry.
  • Reading up on best practices. You should take time every year to read up on best financial and tax practices. Don’t forget to brush up on tax laws too!
  • Not delaying your response. The IRS may contact you. If they do, respond ASAP!
  • Hiring us. We know how to organize your financials! We also know how to file taxes in every state. Let us lessen the burden and get the job done right.

Summary

Whether they come from within your business or from the IRS, audits are important. They can help you determine how well your business runs—and improve your efficiency. Instead of biting your nails at the thought of them, you can stop worrying entirely. All you have to do? Hire the Greene & Vaughan team! After all, one of the fundamentals of business audits is having knowledgeable professionals on your side.

Contact us here for your free consultation. Finally, learn more about what we do—and how to improve your financials—when you read our blog.

27 08, 2021

The Employee Retention Credit: How It Can Help Your Business

By |2021-08-25T17:04:11+00:00August 27, 2021|0 Comments

Well, 2020 sure was one for the books! And, it looks like 2021 will have a similar streak. However, you—and your employees—don’t have to go through it all alone. In fact, by using the Employee Retention Credit when doing your taxes, you can give your business some help. Wondering what it is or how it works? We’ll go into detail below.

About the Employee Retention Credit

The Employee Retention Credit works as a refundable tax credit. Essentially, the credit can be applied to specific employment taxes.

Still don’t get it? The quick and easy definition is that this refundable credit helps your business keep paying its staff.

The details

Here’s how the Employee Retention Credit works:

  • Businesses are eligible to receive the ERC and Payroll Protection Program (PPP), but wages eligible for the ERC cannot be paid with PPP funds.
  • For tax year 2021, the credit is 70% of qualified wages paid per employee, at up to $28,000 a year.
  • For tax year 2020, the credit is up to 50% of each employee’s qualified wages, at up to $5,000 for the year.
  • Employers with 500 or fewer full-time employees can apply the ERC towards all qualified wages paid to employees during those quarters.

How do I know if my business is eligible?

Two different factors will determine whether or not employers receive eligibility. As mentioned above, you must have one or both of these factors impacting your business during the quarter you want to apply the credit.

The first eligibility factor is marked by a significant decline in gross receipts. That exact percentage is a 50 percent drop or higher. You must compare a quarter in the current tax year to the same quarter in the previous year.

The second occurs when your business must deal with partial or full suspension of its operations, on account of a government order.

Summary

We have a couple questions for you now! Do you meet one or more of these qualifications? Or are you still unsure? Contact Greene & Vaughan, so we can help you determine if your business qualifies for the Employee Retention Credit. Not to mention, we can also help with your financial planning too! Learn all about our services here.

28 07, 2021

10 Things You May Not Know About Greene & Vaughan

By |2021-07-26T16:59:21+00:00July 28, 2021|0 Comments

It is time to shake the stuffy CPA suit stereotype and actually get to know each other! We pride ourselves on many things. So, we thought we would share these 10 things you may not know about Greene & Vaughan.

We do more than taxes.

To clarify, we do offer income tax preparation services. However, we do much more than taxes too (read on to learn more).

We work with small and large businesses.

It takes tons of time and effort to manage a business! We understand how hard it can be to keep up with all the details. One of the things you may not know about Greene & Vaughan is we can help lighten your workload while improving your business.

We help new businesses get started.

We can assist with the step-by-step process from business development and growth and management, to budgeting and tax planning—we are ready! Are you?

We are local QuickBooks professionals.

Greene & Vaughan is a proud member of QuickBooks ProAdvisor Program. We can ensure you quickly set up this useful tool correctly from the beginning. Plus, we can help manage and utilize it moving forward.

We offer assurance services.

What are assurance services? Basically, it covers a broad scope of tailor-made procedures, including audits, reviews, compilations, and other agreed-upon procedure services to assure all parties financial information is presented fairly.

We take a hands-on approach.

Whether you are a high net worth individual, small business owner, larger company or fall somewhere in between, Greene & Vaughan clients receive personal attention throughout the year. We channel our creativity and expertise and offer recommendations and solutions before items become issues.  We like to meet with our business owners face to face to discuss their current tax outcomes, and provide suggestions to improve those outcomes.

We are good listeners.

The first step in any good relationship is to listen to your partner. We pride ourselves in establishing long-standing professional relationships because we hear what our clients have to say.  We actually talk and listen to our clients!

We have been established in Charlotte for more than 12 years.

Charlotte is home. This is our town and community. Building and maintaining trust has been at the forefront of our business practices from the beginning.

We are social!

One of the fun things you may not know about Greene & Vaughan: we are social butterflies!

Find us on Facebook, Instagram and LinkedIn.

We offer free consultations.

We have a wealth of knowledge and expertise on-hand and on-staff. We love sharing information with others from cash flow to process improvements! Click here to schedule your free consultation.

Summary

To summarize, we have one main goal—our clients! We put people first. We care because your success is our success. Contact us to schedule an appointment or call us at 704-919-3220. Together we will take care of business!

To find out more about us and for additional financial news, keep reading!

28 06, 2021

9 Tips for Being Proactive About Your Business’ Tax Planning

By |2021-08-25T17:04:19+00:00June 28, 2021|0 Comments

Owning and operating a small business is exciting, but with so many moving parts, it’s good rule of thumb to plan ahead. This includes your business’ finances. These helpful tips for being proactive about your business’ tax planning will save you time and money in the long run.

The sooner you get organized, the better.

This entails understanding the basics of the federal and state tax laws applied to businesses. Be prepared for and aware of what and when specific taxes are due. Know what you can deduct and what you should track.

Create a calendar.

Use a calendar to highlight all those important tax dates and deadlines. For example, a tax calculator lets you input each date payroll deposits are due. You can include filing deadlines for W2s and 1099s as well.

Make a payment plan.

Consider making quarterly payments rather than a large yearly lump sum. However, you may need to pay estimated tax payments to avoid penalties at the end of the year.

Maintain good records!

This is a one of the best tips for being proactive about your business’ tax planning. Save all receipts that relate to business expenses throughout the year. Keep track of all income statements and balance sheets too.

Deduct your home office.

Now more than ever, we are working from home. Did you know you can calculate the square footage of your home-work space and deduct a portion of the expenses? This includes expenses like utilities, computer equipment and mortgage interest payments, for example.

Deduct car expenses.

Again, this circles back to keeping meticulous records. It also involves a little calculation like the home office. Figure out what percentage of car use is business and deduct it from your overall car expenses.

Start a retirement fund.

There are certain IRA accounts and retirement plan contributions that are tax deductible. Best way to know? Work with a tax expert.

Consider charitable contributions.

Being socially responsible pays off. Besides adding meaning to your company’s core values, getting employees involved in giving back is smart business. In the end, you will qualify for specific tax breaks.

Hire a professional!

We saved the best out of our tips for being proactive about your business’ tax planning for last! Business owners are responsible for filing and paying taxes properly. Rather than stress and possibly miss something, let the professionals (us) handle your tax planning all year long!

Summary

Greene & Vaughan are the professionals your small business needs. From knowing the current tax laws to creating a tailored tax plan for your business, we start by meeting with you. We continue to meet with you throughout the year and together manage your business’ financials.

For more helpful tax tips, advice and general information about our services, continue to read our blogs!

28 05, 2021

7 Accounting FAQs for Small Business Owners

By |2021-08-25T17:04:25+00:00May 28, 2021|0 Comments

To us, every small business is a big deal! That means we strive to give each business—and their owners—the best possible service. So, if you ever have any questions, we aim to provide all the answers. In fact, we’ve compiled another resource for you: this list of accounting FAQs for small business owners. Read on to learn more!

Q. Why choose a live accountant over filing software?

A. Tech can be smart—but it doesn’t have the same critical thinking skills or the nuance that we do. You want someone who can pore over your files in detail. Not to mention, if you have questions, an accountant can explain the answers—like we’re doing now. Plus, unlike software, we actively want to give you the best possible service—and we’ll go the extra mile to do so.

Q. What records should I be keeping?

A. One of the biggest accounting FAQs for small business owners involves records. As a small business owner, the standard records you keep should include:

  • Payroll statements;
  • Credit card statements;
  • Rent check records for your office or retail location, if applicable;
  • Inventory;
  • Accounts receivable;
  • Accounts payable;
  • Sales systems;
  • Software;
  • Receipts for purchases and expenses; and
  • Bank statements.

Remember: it’s better to store more records than you need, as opposed to fewer. Also, as a general rule of thumb, it is recommended to securely maintain all records for at least the last seven years that tax returns have been filed.

Additionally, you can also scan them to create digital copies just in case. If you require assistance, we can explain exactly what you’ll need to preserve for your tax planning services.

Q. How often will I be able to meet with my accountant?

A. Unfortunately, clients generally only meet with their accountant once a year. However, we like to meet with our business owners from one to three or more times a year after mid-year to ensure we can minimize taxes. After all, our main goal is ensuring that you have the tools to succeed.

Q. Can accounting services improve my earnings?

A. Yes! And we’ll tell you why. Some tax planning professionals—like us—will create year-end projections for their clients. Those projections will show you the profits you make and the losses you incur over time. They’ll also compare them with the money put toward the people you employ and the goods you buy. That way, you can learn what strategies work—and which ones need refining.

Q. Is my contract cost due all at once?

A. Paying bills in one go can cause unnecessary stress! Some CPA firms may expect the contract cost in a single payment—but not us. We will happily work with you to create a workable contract payment schedule—including an affordable monthly plan.

Q. Do I need to know what expenses apply for tax deductible status off the top of my head?

A. Nope! No need to worry—your accountant will have the information you need. Since this area changes frequently, we make it our business to stay current. Just remember to keep documentation of purchases and expenses at the ready.

Q. Can Greene & Vaughan work with my small business?

A. Absolutely! We work with small business owners throughout the year to provide tax planning services, year-end projection calculations, and custom-tailored advice.

Summary

Asking questions creates a strong foundation for future success. If you have queries beyond these accounting FAQs for small business owners, let us know! We’d love to fill in the blanks—and to assist you with your tax planning and preparing needs. For more on our services—and how they work—visit our blog. As for getting started on your services, call us at 704-919-3220 or contact us here for a free consultation.

30 04, 2021

Welcome to the Greene & Vaughan Blog

By |2021-04-29T14:34:26+00:00April 30, 2021|0 Comments

When it comes to selecting an accounting team, we know you’ve got plenty of options. Exceptional experience, extensive industry knowledge and a trust-based philosophy, however, may be harder to come by. As a full-service certified public accountant in Charlotte, North Carolina, we feel confident in our ability to not only meet your financial expectations for your business—but exceed them! As an extension of our service to our clients, we’d like to introduce you to the Greene & Vaughan blog. Welcome!

About Greene & Vaughan  

With a collective wealth of experience in the financial industry, the Greene & Vaughan team is committed to providing unmatched service when it comes to tax, accounting and consulting services for individuals and businesses throughout the United States. Representing clients across a variety of business verticals, we take pride in using our money-saving expertise to help them reduce their expenses and increase productivity.

At Greene & Vaughn, we’re in it with you for the long haul. Our MO involves developing longstanding relationships with our clients—one in which trust and mutual respect come standard. The end goals? To help your business operations run smoother, to organize your finances more efficiently and most importantly—to improve your overall quality of life.

The Greene & Vaughan blog 

We truly care about connecting with our clients, and the Greene & Vaughan blog is another way to do just that! The blog will serve to better acquaint customers with our brand and what we stand for. Through the blog, we will provide information that serves to both educate as well as entertain—in an effort to provide more value to our followers.

Follow the blog for industry insights and to learn about the culture of the Greene & Vaughan team. We encourage you to share the blog with others who may find it useful. We also ask that if there is ever a topic you’d like to see addressed on the blog, do not hesitate to reach out and let us know!

Summary

Once again, we’d like to say welcome to the Greene & Vaughan blog! Browse our services here on the website, and be sure to follow us on Facebook, Instagram, and LinkedIn to stay up-to-date with everything we have going on.

31 07, 2020

July Cares Act Update

By |2021-01-19T10:18:38+00:00July 31, 2020|0 Comments

As you may be aware, the Paycheck Protection Program that was passed into law earlier this year has seen some major changes since the law has passed. Remember, initially, you could borrow up to 2.5 times your average monthly payroll, and then utilize the proceeds for payroll for 8 weeks, rent, lease payments, and utilities. If you did utilize the proceeds for payroll over the next 8 weeks, and no more than 25% of the proceeds were used for rent, utilities, and lease payments, the loan would be considered forgivable, and therefore, you would not have to pay it back.

A couple of weeks ago, the SBA issued the Paycheck Protection Program Loan Forgiveness Application. It is highly convoluted, and we are looking into what it would cost for us to assist our clients with it. Please let us know if you have interest in us completing this application on your behalf. Click here for the application.

Regardless, below are some highlights of H.R. 7010 (THe Paycheck Protection Program Flexibility Act of 2020) that was passed into law this past Friday.

Since then, the IRS has issued guidance that although the loan forgiveness would not be considered taxable, any deductions paid from the proceeds would not be deductible. In effect, this would mean that the PPP loan would be taxable income. Our hope is that Congress was going to address this, but H.R. 7010 does not address this, and it doesn’t seem likely at this point that it will be addressed. A link to H.R. 7010 is below. https://www.congress.gov/bill/116th-congress/house-bill/7010/text

1. Unforgiven PPP loans maturity will now be over 5 years, instead of 2.
2. You can now apply for a PPP loan up until December 31, 2020. Previously June 30, 2020 was the deadline.
3. The 8 week period covered period has been extended to 24 weeks, but no later than December 31, 2020. 4. This changes the amounts that can be utilized for compensation from an 8 week period to a 24 week period, although you can elect to utilize the 8 week period if you received your loan proceeds before June 5, 2020. This also means that more compensation will be eligible to be used from PPP loan proceeds.
5. Non-payroll Costs may be up to 40% of the loan amount, up from 25%.

We understand that these are confusing times, so please contact us if you have any additional questions or concerns.

1 04, 2020

Coronavirus Relief

By |2021-01-19T12:12:22+00:00April 1, 2020|0 Comments

As things continue to change with the pandemic, many clients have called or emailed concerning the new deadline, potential relief package, and how tax returns and payments will be affected. Since the outbreak started, we have had many of our staff members working remotely, and continue to utilize that option. It is not as efficient, and due to that, many returns will be delayed. Be aware that we are working as diligently as possible, so please be patient. Also, please understand that all income tax returns and estimated tax payments that were due April 15th, are now not due until July 15th. No penalties or interest will be due on returns that were due on April 15th until July 15th.

The best summary of some of the individual provisions of the new CARES Act that affects most of our clients was posted in an article yesterday by the National Law Review. Please review, and understand that this is the federal piece, and that there are also state pieces that we disseminated earlier this week.

https://www.natlawreview.com/article/coronavirus-senate-passes-cares-act-summary-tax-provisions-bill

In addition to this relief, the IRS has unveiled a new “People First Initiative” thereby delaying the tax return deadline to July 15. A link to this initiative is below.

https://www.irs.gov/newsroom/irs-unveils-new-people-first-initiative-covid-19-effort-temporarily-adjusts-suspends-key-compliance-program

In the meantime, our recommendation is that all business owners run 13 weeks of cash flow analysis to determine when or if you are going to have an issue. We have a cash flow spreadsheet that we are glad to share with you, which may assist. Please let us know if you would like for us to send it to you, or want to discuss further.

We are here to help. Please let us know how we can assist you at this critical time in our history.

19 01, 2018

New Tax Changes Effect Charlotte Businesses and Individuals

By |2021-01-19T10:15:48+00:00January 19, 2018|0 Comments

There are significant changes to our current tax code effective January 1, 2018. I have outlined many of the major changes that may affect you as my client;

  1. Individual tax rates have changed to 10%, 12%, 22%, 24%, 32%, 35%, and 37% from the prior rates of 10%, 15%, 25%, 28%, 33%, 35%, and 39.6%.
  2. The Kiddie Tax has changed so that unearned (investment) income is to be taxed at trust rates instead of the parent’s rate. That would 10% on taxable income up to $2,550, and then 24% from $2,551 to $9,150, then going to 35% and 37%
  3. The new standard deductions are now $24,000 for joint filers, $12,000 for separate and single filers, and $18,000 for head of household filers.
  4. Personal exemptions have been repealed. For 2017, the personal exemption is $4,050 per person subject to phase out. $0 in 2018.
  5. The child tax credit is increased to $2,000 per child under the age of 17 subject to phase out at $400,000 for joint filers, and $200,000 for single filers. The old child tax credit was $1,000 per child phased out at $110,000 for joint filers, and $75,000 for single filers.
  6. They have repealed the AGI phase out for itemized deductions.
  7. They have repealed the miscellaneous itemized deductions subject to the 2% floor. These are things like accounting or investment fees, safety deposit boxes, unreimbursed employee expenses, union dues, job education expenses.
  8. Home mortgage interest acquisition indebtedness incurred after December 15, 2017 is limited to $750,000 of principal indebtedness, down from $1,000,000. Married filing separate filers would be limited to $375,000.
  9. Home equity indebtedness is no longer deductible mortgage interest.
  10. There is now a $10,000 ($5,000 for married filing separately) limit on the amount of state and local property and income taxes that you can claim as an itemized deduction.
  11. The deduction for personal casualty and theft losses has been repealed.
  12. Alimony payments for divorces executed after December 31, 2018 are no longer deductions or income.
  13. Moving expenses deduction and reimbursement has been eliminated.
  14. The unified exclusion for estate tax is now $11,200,000.
  15. Alternative minimum tax exemptions have been increased to the following; $109,400 for joint filers, $70,300 for single and head of household filers, $54,700 for married filing separate filers.
  16. AMT exemption phase-out beginning AMTI thresholds have been increased as follows; $1,000,000 for joint returns, $500,000 for single, separate or head of household.
  17. The shared responsibility payment for individuals has been repealed starting in 2019.
  18. C corporation income tax rates are a flat 21%.
  19. There is a new 20% deduction for Qualified Business Income if your joint taxable income is lower than $315,000 or $157,500 for anyone else. You may still be eligible to claim the deduction if your taxable income is over that amount with limitations.
  20. Businesses with average gross receipts of $25 million or less would be permitted to use the cash method of accounting regardless of industry or amount of inventory.
  21. Business interest is capped at interest income plus 30% of business adjusted taxable income plus floor plan financing interest.
  22. Net Operating Losses will generally not allowed to be carried back anymore, and will be limited to 80% of taxable income and then carried over.
  23. Like-kind exchanges are allowed for real property only.
  24. The domestic production activities deduction has been repealed.
  25. Deductions for entertainment, amusement, recreation, membership dues to any club organized for business, pleasure, recreation, or social purpose has been repealed.
  26. The 100% deduction for meals provided to employees on employer’s premises is now reduced to a 50% limitation.
  27. Partnership technical terminations have been repealed.
  28. There is a new general business credit for employers that allow at least 2 weeks and up to 12 weeks credit for 12.5% of wages paid at 50% normal pay, and 25% at 100% normal pay.
  29. The 10% rehabilitation credit for pre-1936 buildings has been repealed.

At Brader Greene, we want to educate all of our clients about the tax laws and how they affect you. Please let us know if you have any questions, or need clarification on any point. We look forward to working with you.

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