GAAP, or generally accepted accounting principles, is a set of rules and standards that accounting professionals follow when preparing financial statements and the related disclosures. In the United States, the Financial Accounting Standards Board (FASB) implements GAAP through its Accounting Standards Codification (ASC), a more detailed set of standards that lists down all the accounting…
What is
Certified Management Accountant Defined and What They Do
A Certified Management Accountant (CMA) is a professional certification awarded by the Institute of Management Accountants (IMA) to individuals who demonstrate expertise in financial planning, analysis, control, decision support, and professional ethics. A CMA can help your small or medium-sized business (SMB) by analyzing fixed vs. variable costs, setting a profitable sales price, determining optimal…
Bonus Tax Rate: What It Is, How To Calculate & Tips to Lower It
Similar to salaries, employee bonuses are subject to taxes—specifically, a bonus tax rate, which is typically a flat rate of 22%. This can change depending on the amount of the bonus and the method used to calculate the applicable bonus taxes. Generally, all types of bonuses need to be taxed, but reducing the tax income…
What Is Mobile Commerce? How It Can Help Your Business
Mobile commerce, also known as mcommerce, is simply anything involved in the buying and selling of goods using a mobile device—whether it’s paying your electric bill on an iPad or buying concert tickets on your smartphone. You can achieve this with a phone app or using a mobile-friendly website and a payment processor suited for…
What Is DaaS & How It Benefits Small Business
Device as a service (DaaS) is a subscription-based device management model that allows businesses to outsource the process of buying, deploying, and managing computing devices. These devices include business phones, smartphones, personal computers, laptops, and tablets. The information technology (IT) support providers offer services such as onboarding team members, monitoring registered devices, and ensuring the…
Can Your Customers ‘Click to Cancel?’ The FTC May Require It
The US Federal Trade Commission (FTC) recently proposed an update to the Negative Option Rule, mandating businesses to offer a straightforward cancellation process, potentially featuring a “Click to Cancel” button for customers with recurring billing or subscriptions. Upon implementation, businesses providing recurring products or services could incur penalties for non-compliance with the rule. The “Click…
Understanding Business Bank Account Fees
Banks charge business banking fees for business accounts as a source of revenue and payment for their costs of operation. Some fees are paid monthly, while others are paid on a one-time basis. If you are a small business owner seeking to trim down your expenses, learning about the different types of business bank account…
What Is the Opening Balance Equity Account in QuickBooks?
Opening Balance Equity is an account created by QuickBooks to offset any beginning balances entered in the chart of accounts. You can avoid an Open Balance Equity account by ensuring the equality of debits and credits of your beginning balances. If not, then QuickBooks will plug the difference to Opening Balance Equity. We’ll discuss how…