Sirius Accounting

09/26/2023

One of the most important responsibilities of a business owner is understanding the taxes you should pay to stay in compliance.

Avoiding taxes isn’t worth the trouble it may cause down the road.

09/20/2023

Choosing how and when you invoice is as important as the product/service you provide. There are many forms of invoicing, each depending on the type of business you operate.

Too many times I've seen late invoicing, or better yet, no invoicing at all! This path leads to frustrated customers, aging A/R, and imbalanced cash flow.

Consider this tip as a reminder to check your current invoicing process and consider improving it!

09/19/2023

09/13/2023

Tracking expenses regularly provides more benefits than having your books ready for tax time. It provides opportunities to analyze an up-to-date Profit and Loss statement and avoid piling all of the work on top of an already busy year-end.

For my clients, I categorize expenses on a weekly basis so they have the information they need when they need it.

If you're struggling to keep up or have months worth of transactions that haven't been accounted for, contact me today!

502-338-6842
sirius-accounting.com
[email protected]

09/11/2023

Just a quick reminder of the importance of separating Business and Personal finances.

The simplest way to do this is opening a Business Checking account. This greatly reduces the accounting work required and the risk of categorizing a personal expense as a business expense.

09/08/2023

It is vital to understand how you, as a business owner, can leverage prior year losses in future year tax filings.

There are many requirements and limitations to what can and can't be included, so make sure you discuss this topic with your tax accountant.

09/07/2023

Before choosing which method you'd like to use please see additional notes below:

✔ If your vehicle is both personal and business and you choose the actual expense method, you can only claim a deduction on the percentage that is business use.

✔ If you use the actual expense method in your first year, you can't switch to the standard mileage rate in your second year.

✔If you only own one vehicle, you can't claim 100% business use unless you can legitimately prove that you use another mode of transportation for personal use.

✔ You can't claim a deduction for the commute from your home to your business, unless you have a home office.

Always consult with a tax professional prior to taking this deduction.

09/06/2023

To add to my post from yesterday, the De Minimis Safe Harbor deduction is more broad in its application than the Section 179 Deduction. This election can be especially useful for Real Estate Investors and those that are not able to take full advantage of Section 179.

Confer with your tax accountant about the use of the De Minimis Safe Harbor deduction.

09/05/2023

The Section 179 Deduction can greatly reduce your tax liability. Though it doesn't apply to all asset purchases, consider asking your tax accountant how you may be able to leverage this opportunity.

08/30/2023

This is an important one for all small businesses. Make sure you're tracking expenses paid to:

Individuals
Partnerships
LLC's
Limited Partnerships
Estates

I recommend my clients request a W9 from each and every vendor they do business with to ensure they have everything they need to issue the forms at the end of each year.