Self-employment wages are also subject to additional Medicare tax (0.9%). If the additional Medicare tax applies, the total tax rate is 3.8% (2.9% + 0.9%). There is no maximum amount…

A business avails a purchase discount if the supplier offers and the buyer avails it within the specific period the supplier has allowed. Gross purchase is the total amount of…

Your payment should theoretically remain the same each month, which means more of your monthly payment will apply to principal, thereby paying down over time the amount you borrowed. Negative…

These integrations make it easy to track your bookkeeping and accounting data in one place. It also offers full-service bookkeeping, meaning that its team will do the bookkeeping for you.…

By offshoring your accounting functions, you won’t have to spend any time on hiring or training since your offshoring team will handle that. Year-ending accounting involves gathering financial statements and…

The adoption of blockchain technology in accountancy is already in progress, led by the top players in the industry. Here, the accountants in the coming years will have much more…

By looking at the preset costs for operations, management can innovate new ways of producing products that don’t require the same procedures–thus, reducing cost. Often favorable variances are not noted…

The use of smart contracts may also improve processes in a range of industries. Smart contracts on the blockchain execute when certain conditions are met without the need for trusted…

Two depreciation schedules are created using the formula approach and function approach to compare the SYD formula and its corresponding Excel function. Ideally, both tables should be identified as the…

Under the cash method of accounting, a business records an expense when it pays a bill and revenue when it receives cash. The problem is, the inflow and outflow of…