FAQ
Taxes
How can I reduce my tax bill?
You can reduce your tax bill by taking advantage of tax credits, saving for retirement, contributing to your HSA, setting up college savings for your children, making charitable contributions, harvesting investment losses and maximizing your business expenses.
What kind of deductions do I qualify for?
What is the difference between marginal and effective tax rates?
What is better: a tax credit or tax deduction?
Tax credits are generally considered to be better than tax deductions because they directly reduce the amount of tax you owe.
Can I deduct medical expenses?
Yes, you can claim medical expenses on taxes.
Should I itemize or claim the standard deduction?
Claiming the standard deduction is easier because you don’t have to keep track of expenses.
Accounting
What is the difference between an accountant and a bookkeeper?
Bookkeeping is responsible for the recording of transactions whereas accounting is responsible for interpreting, classifying, analyzing, reporting and summarizing financial data.
When should I hire a bookkeeper?
The decision to hire a bookkeeper is usually triggered when a business owner is becoming overwhelmed keeping up with the books.
Will I still be able to keep control of my business if I outsource my bookkeeping to a 3rd party?
A bookkeeper is there to provide assistance and maintain the financial details of the business leaving the owners more time to grow the business.
How does the cost of hiring my own in-house bookkeeper compare to outsourcing bookkeeping duties?
Outsourcing bookkeeping saves money in payroll taxes, insurance and other benefits along with overhead for office space and equipment.
Why is bookkeeping important for businesses?
First and foremost, keeping your books up to date is essential in the event that your business gets audited.
How does accounting help in decision making?
Accounting helps managers make data-driven decisions in areas such as analysis, targeting, budgeting, planning and market analysis.