Accounting

Do not include the modified AGI of dependents who are filing a tax return only to claim a refund of tax withheld or estimated tax. Taxable and non-taxable Social Security incomeis counted toward MAGI for ObamaCare and affects tax credits and Medicaid eligibility, but only if a person has to file taxes. Because of the progressivity of income tax rates, higher-income families owe higher percentages of their Social Security benefits as income tax than do lower-income families. For example, a benef […]

It’s important to note that the cost of accounting software can vary greatly, so it’s important to compare different systems and plans to find the best fit for your business. You can choose a basic system and add à la carte options such as project management or CRM, or you can choose an all-in-one system […]

He educates business students on topics in accounting and corporate finance. Outside of academia, Julius is a CFO consultant and financial business partner for companies that need strategic and senior-level advisory services that help grow their companies and become more profitable. Bench gives you a dedicated bookkeeper supported by a team of knowledgeable small business experts. We’re here to take the guesswork out of running your own business—for good. Your bookkeeping team imports ban […]

That way, you know how much money you’re spending in selling expenses and how much in general and administrative expenses. To simplify things, you can also just add together all of your expenses to find your total SG&A expense for the period. Selling, general & administrative costs (SG&A)—also sometimes referred to as operating expenses—are any costs your business pays that aren’t directly tied to making or delivering your product or service. Direct expenses are those […]

A shortage in available indirect materials caused costs to increase unexpectedly. The difference between the actual activity level in the allocation base and the budgeted activity level in the allocation base according to the standards. If the outcome is favorable , this means the company was more efficient than what it had anticipated for variable overhead. If the outcome is unfavorable , this means the company was less efficient than what it had anticipated for variable overhead. Sometimes th […]

Deferred revenue can be spread over time, but an entry for accrued income occurs once for the whole amount. Milestones – With large orders, you may have to complete bit by bit and book revenue based on the milestones you reach. Long-term projects –This applies to the long-term projects where you’ll book revenue in relation to the percentage of completion. For instance, as a SaaS company, you may acquire a customer who needs your service for the next six months. Under the contract terms, y […]