Accounting tax and financial services provide business owners with the information they need to make smart decisions for their businesses. They also help companies adhere to federal and local laws that regulate the industry.
Accountants use a set of accounting principles and standards, commonly known as GAAP, to compile financial statements. These statements are then used to calculate and prepare taxes.
Bookkeeping
Bookkeeping is the process of ensuring that all financial transactions within a business are recorded correctly. This includes the recording of cash receipts, sales, invoices and payroll.
In addition to ensuring the accuracy of your company’s financial transactions, bookkeeping also helps you generate accurate reports that can help you make decisions about your business. These reports are essential for interpreting and analyzing your business’s finances, as well as communicating them to others, including investors, accountants and lenders.
The objective of bookkeeping is to accurately record the financial transactions that result from a business’s activities in accordance with best practices. It is also important to communicate these results so that everyone can understand them, which can be accomplished by creating reports that are easy to read and follow.
Typically, bookkeeping uses double-entry bookkeeping, which means that each transaction is recorded twice. One side is a credit to assets and expenses, while the other is a debit to income, liabilities or equity.
Tax Preparation
Tax preparation is a process of filing a tax return to determine whether the IRS will owe money or refund you. It can be done with the help of a computer program or a tax professional.
These professionals use their critical thinking skills to identify deductions and credits on a client’s tax return and make sure that the reporting complies with federal and state laws. They also assist clients with planning for future tax seasons.
Tax preparers are typically certified public accountants (CPAs), a designation that requires extensive training and licensing. Others are enrolled agents, which are authorized by the IRS to represent clients in tax audits and collections. They must pass an exam and complete a certain number of continuing education courses to be an enrolled agent.
Fahim Ekbal Moledina Accounting Tax and Financial Services offers a variety of consulting services to help businesses get more out of their financial systems. This could include a comprehensive financial health evaluation, which takes a close look at a company’s assets and liabilities, profitability analysis, and financial forecasting.
Payroll
Running payroll is a complex task that involves accurately tracking hours worked, calculating gross pay and distributing paychecks. Employers also make deductions for taxes, Social Security and unemployment insurance.
A payroll system allows businesses to view and control instantly all payroll expenses and transactions. This makes it easier to monitor costs and forecast financial performance.
Having a payroll system that is integrated with your accounting software will allow you to track and match employee records and totals of wages paid and taxes taken out. Having this information automatically updated will ensure that you don’t have any gaps on your financial statements or tax returns.
In many cases, payroll is outsourced to specialized firms that handle paycheck processing and accounting tasks, including tax withholdings. These firms can do the job for a fraction of what it would cost to run payroll in-house.
Accounting Software
Accounting software is a solution that helps you record financial transactions, manage your accounts, and analyze your business’s financial condition. Depending on the program, it can also help you create invoices, send reminders for payments, and streamline tax management.
A good accounting system is easy to use and offers a variety of support options, including email or phone support. Getting help in the middle of a problem can be frustrating and time-consuming, so you want a product that makes it easy to get the support you need when you need it.
Most accounting software also has a dashboard that gives you a real-time look at your most important metrics. This helps you stay on top of your finances and make better decisions for your business.
