Category: Accounting
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CPAs have a public image problem
CPAs have a brand image problem. The three words that the public most often associates with “CPA” are “accounting”, “audit”, and “tax”. Yet those words do not match the self-identity of any of the CPA firms I’ve known. We know our role as the most trusted strategic adviser for our clients. But we do a…
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Reflecting on the 1099 filing season
IRS Form 1099 procedures are not overly complicated either in theory or in practice but are perhaps the most widely misunderstood topic in US taxation today. Reading online comments and suggestions and many stories of misapplication, it is clear that the government has much work ahead before it can effectively utilize business reporters’ information returns…
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Crisis measures in 2022 accounting practice
I was unprepared for the rapid changes in the private practice accounting field that quickly escalated to the largest backlog of work we’ve ever seen. A scan of peer feedback indicates that we are not alone; other private firms report the same current struggle. 2020 and 2021 were difficult but manageable for our practice. 2022…
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Simple overview of tax options for LLCs
If you operate a business as a Limited Liability Company (LLC), the. you have some choice in how to have your business earnings taxed. There are protocols and restrictions that are not covered here in this post. This short post overviews the most common options, advantages and limitations of tax options available to LLCs. Sole…
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Sample accounting services engagement agreement 2022
In our practice, each client service agreement is unique and customized to the specific situation. It helps, however, to have a listing of the best practices based on past experience as the basis for our work agreement. This is a sample only, dated 1/18/2022. Thank you for choosing me to help you with your accounting…
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Best Practices for Setting up an Accounting System for a Charity or Other Nonprofit Organization
There is no single right way or wrong way to set up an accounting system for a nonprofit organization. Every method has its pros and cons. Yet small new nonprofits may find a that simple clear list of best practice recommendations is useful to save time and money and to avoid learning ‘the hard way’.…
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Donation acknowledgment letters from charities
This is the time of year that many smaller charities send donation acknowledgement letters to contributors. IRS requires these letters as documentation of the contributions. It seems that larger charities send these at the time the donation is made while some smaller charities with fewer donor management capabilities wait until year end. This post is…