Berg Faircloth & Company

01/26/2023

A good process tells you precisely what you need to accomplish at every step along the way, and we're here to help make it smoother!

01/25/2023

The Earned Income Tax Credit has helped workers with low and moderate incomes get a tax break for decades, but it may be brand new to someone you know. Help spread the word about : http://irs.gov/eitc

01/24/2023

4 Questions to Ask Before You Buy a Home or Invest in 2023 - NerdWallet

If 2023 is the year in which you'd like to become a home owner or make a larger investment, this article is for you! Read below to find out more about affordability, risks, and how the market may impact your decision.

It's the end of the year, which means people are setting new financial goals. Before setting yours, here are a few questions you should ask.

01/23/2023

If I use a payment card or pay through a third party settlement organization for a purchase, will I receive a Form 1099-K? No! Find more Form 1099-K Frequently Asked Questions here: http://ow.ly/Lsrv50Mj8cI

01/21/2023

If you're just starting a new business, or have had one for a while, then you should know the importance of keeping your business and personal expenses seperate. Having separate bank accounts for both business and personal transactions can make filing taxes much easier!

01/20/2023

Keeping thorough and accurate records throughout the year will ensure your tax return is correct. If said records are done incorrectly, you may be at risk for an audit. We're always happy to help with any tax related questions or concerns you may have. Contact us today!

01/18/2023

How to Use a Credit Card Responsibly | www.financialhotspot.com

The key to getting the most out of your credit card is to manage it with care. To avoid disrupting your financial stability, it’s important to use your credit card responsibly. Here are a few tips to help you out.
https://financialhotspot.com/2022/04/20/how-to-use-a-credit-card-responsibly/

A credit card can be a valuable financial tool that increases your purchasing power while giving you an opportunity to build your credit score. However, if not used carefully, credit cards can become a huge financial burden and cause lasting damage to your financial well-being. The key to getting th...

01/17/2023

The IRS gets a copy of the 1099-MISC forms you receive so they can match the income you’ve reported against what they know you’ve received. It's highly important that your report to the IRS matches the amount of income reported in the 1099s you received.

01/16/2023

Manufacturers and Models for New Qualified Clean Vehicles Purchased in 2023 or After | Internal Revenue Service

If you’re interested in claiming a tax credit for purchasing a new electric vehicle, take a look at the updated guidelines. https://bit.ly/3vM2TKh

List of vehicles that are eligible for a 30D clean vehicle tax credit and the amount of the qualifying credit, if purchased between 2023 and 2032.

01/13/2023

announces that beginning on Jan. 1, 2023, the standard mileage rate for business travel will be 65.5 cents per mile, up 3 cents from the midyear increase setting the rate for the second half of 2022. See: http://ow.ly/Am5450MeW5R

01/12/2023

Crucial Questions to Ask During Business Tax Planning | www.financialhotspot.com

Business leaders and their accountants can support effective tax planning and minimize the company’s tax burden by asking the right questions. Some of the most important questions to answer during tax planning include:
https://bit.ly/3Gnxjr0

Business tax planning is essential for all companies, regardless of their size or industry. When done right, it can offer several benefits, including a clearer understanding of your firm's tax liabilities, the opportunity to take advantage of deductions and credits, and a reduced risk of errors and....

01/11/2023

Tax Evasion and Tax Avoidance: Definitions & Differences - NerdWallet

The difference between tax evasion and tax avoidance largely boils down to two elements: , view them below:
https://bit.ly/3Zqzq6f

Here's what usually constitutes tax evasion and tax avoidance, plus what the penalties are and what might warrant jail time.

01/10/2023

Certified Public Accountant: What the CPA Credential Means

Do you know what a CPA does?
https://bit.ly/2Xhxthe

A certified public accountant (CPA) is a designation given to those who meet education and experience requirements and pass an exam.

01/09/2023

Tips to Stop Overspending | www.financialhotspot.com

If you recognize your own negative patterns and are ready to stop, there are solutions. We’ve put together a few tips to help you stop overspending and save instead.
https://financialhotspot.com/2022/07/13/tips-to-stop-overspending/

Overspending can hinder you from achieving the life of your dreams. Mindless purchases likely leave you with severe buyer's remorse and an empty bank account by the end of the month. Then you're left scrambling for money or using a credit card to cover your bad moves. If you recognize your own negat...

01/06/2023

How Financial Accounting Differs From Managerial Accounting

Financial accounting and managerial accounting are two of the four largest branches of the accounting discipline (e.g. tax accounting and auditing are others). Despite many similarities in approach and usage, there are significant differences between the financial and managerial accounting. These differences primarily center around compliance, accounting standards, and target audiences.
https://www.investopedia.com/ask/answers/041015/how-does-financial-accounting-differ-managerial-accounting.asp

There are a few big differences between financial accounting and managerial accounting, including why one is highly uniform and the other unique.

01/05/2023

The tax year is the actual year where you earn income, pay income taxes, make charitable contributions, work side gigs, etc. The tax season is when you file, report and pay any taxes owed from the last year.
So, during the 2023 tax season, you file taxes for the 2022 tax year. Got it? Keep that in mind whenever we’re talking about the tax season or tax year. It’s important!

01/04/2023

Itemized vs. Standard Tax Deductions: Pros and Cons

Below we’ll take a look at the basics of standard and itemized deductions and some pros and cons of each.
https://bit.ly/3WKNiGx

The standard deduction and itemized deductions both lower your taxes, but the key is finding which one lowers your bill the most.

01/03/2023

What Is Bookkeeping? Everything You Need To Know

What is the difference between Bookkeeping and Accounting?
https://www.forbes.com/advisor/business/what-is-bookkeeping/

Bookkeeping is the practice of organizing, classifying and maintaining a business's financial records. It involves recording transactions and storing financial documentation to manage the overall financial health of an organization. Most businesses use an electronic method for their bookkeeping, whe

01/02/2023

Retirement Savings Contributions Savers Credit | Internal Revenue Service

Are you eligible for the Retirement Savings Contributions Credit ?
https://www.irs.gov/retirement-plans/plan-participant-employee/retirement-savings-contributions-savers-credit

The Saver's Credit is a tax credit for eligible contributions to your IRA, employer-sponsored retirement plan or Achieving a Better Life Experience (ABLE) account.

12/30/2022

Standard Deduction 2022-2023: How Much It Is - NerdWallet

Did you know that even if you have no other qualifying deductions or tax credits, the IRS lets you take the standard deduction on a no-questions-asked basis. The standard deduction reduces the amount of income you have to pay taxes on.
https://bit.ly/3W2TY2D

In 2022 the standard deduction is $12,950 for singles, $25,900 for joint filers, and $19,400 for heads of household. Here's how it works and when to take it.

12/29/2022

Is a Hybrid Workplace the Right Move for Your Small Business? - NerdWallet

Why you may want to consider a hybrid workplace:
https://bit.ly/3FBmYqV

A hybrid workplace may give small businesses an advantage when it comes to recruiting new talent and retaining employees.

12/28/2022

The Difference Between Bookkeepers and Accountants - NerdWallet

Do you know what the differences are between a bookkeeper and accountant?
https://bit.ly/3PyobE8

Bookkeepers are often involved in a business's day-to-day operations, while accountants take a higher-level view.

12/27/2022

7 Reasons the IRS Will Audit You - NerdWallet

What are your chances of an audit?
https://bit.ly/3PxWY4m

What makes your return a target for an IRS audit? Math mistakes, missing income and questionable deductions are some big ones. See the rest here.

12/26/2022

How to Choose the Right Business Consulting Team | www.financialhotspot.com

When searching for a business consulting firm to help you achieve your goals, there are multiple factors to consider. Read more below:
https://bit.ly/3jc9quJ

Many businesses seek out professional consulting firms for their specialized knowledge and access to digital solutions. While some entrepreneurs are independent risk-takers, it's impossible to know everything there is to know about growing a business. Sometimes, it's wise to seek help from people wi...

12/23/2022

Why Would I Need a Trust? | www.financialhotspot.com

The key benefits of considering a trust are included in this article, read more below:
https://financialhotspot.com/2022/06/29/why-would-i-need-a-trust/

Basic estate planning typically begins with a will, which outlines important decisions like who will inherit your property and care for minor dependents after you pass away. However, wills are not always the most efficient option to organize your estate, considering the legal proceedings that must h...

12/22/2022

Top Business Tax Deductions You Should Be Aware Of | www.financialhotspot.com

Below, we have rounded up the top business tax deductions that business owners should be aware of. But first, let’s understand what business tax deductions are.
https://bit.ly/3SyojE2

Running a business is a lot of work. From overseeing day-to-day business operations to hiring employees, attracting new customers, and directing long-term strategy, business owners have a lot on their plates. Accounting and taxes are among the most demanding functions that business leaders must mana...

12/20/2022

Treasury, IRS provide guidance on tax relief for deductions for food or beverages from restaurants | Internal Revenue Service

Your business may enjoy a 100 % deduction for expenses paid for food or beverages provided by a restaurant. See the guidance at: http://go.usa.gov/xHgy8

IR-2021-79, April 8, 2021 — The Treasury Department and the Internal Revenue Service today issued Notice 2021-25 providing guidance under the Taxpayer Certainty and Disaster Relief Act of 2020.

12/19/2022

An important step in getting ready for tax filing season is taking a look at your recordkeeping. For tips on how to organize your records, see these tips from the : http://ow.ly/uFCr50LQhxk

12/16/2022

Who Can File for a Tax Extension? | www.financialhotspot.com

If you owe any taxes, you’ll need to make the payment by the April filing deadline to avoid penalties and interests. If you cannot pay the full balance due, you should still file your tax return to avoid a failure-to-file penalty. Find out more here:
https://bit.ly/3hem4J2

Federal tax returns are usually due on April 15 each year. If the 15th falls on a weekend or holiday, they're due on the first business day after that. However, the IRS grants you an automatic extension to file your taxes each year as long as you complete Form 4868. Some common reasons for requestin...

12/14/2022

If you are presenting a business plan or business loan request to a lender, they will most likely ask for a personal financial statement. You may be required to provide a personal guarantee for part of the loan, or you may need to pledge some of your personal assets to guarantee the loan. If you need to pledge your assets, the personal financial statement will be required so the lender can assess if you have enough assets to cover the loan. It is important to be entirely honest on personal financial statements as lying can result in hefty criminal penalties.

12/13/2022

A sole proprietorship is one of the most common small business structures. Under this structure, a sole proprietor runs the business as an individual and reports profits or losses on their individual tax return.

12/12/2022

Business Debit vs. Business Credit Card | Kabbage Resource Center

For many small business owners, business debit cards and business credit cards can be go-to options. However, there are important differences to consider and circumstances when one type of card could be a better choice than the other.

https://www.americanexpress.com/en-us/business/blueprint/resource-center/manage/business-debit-vs-business-credit-card/

For many business owners, business debit cards and business credit cards can be go-to options. However, there are important differences to consider.

12/09/2022

What Is Continuous Accounting? | www.financialhotspot.com

The concept of continuous accounting is grounded on the following fundamental principles:
https://bit.ly/3uysaaf

Continuous accounting is an approach to accounting cycle management that embraces advancements in information technology and streamlines financial processes within the broader corporate structure. It's a new alternative to traditional accounting methods, in which the largest amount of work is done a...

12/08/2022

The benefits of hiring a bookkeeper extend to almost every aspect of your business! As bookkeepers, we are bringing you expertise with efficiencies and systems that will save you time and allot for you to place your focus on growing your business! Gain confidence in your numbers by reducing errors and keeping your stress levels down. Not only will it save you money, but it can also help build your profit so you can continue doing what you do best: running your business and enjoying your life!

12/07/2022

A financial plan is the most important plan to create when starting a business. Without the funds to launch and maintain your business, it is likely that your business will sputter and die when it runs out of financial fuel. Keep in mind that it takes most new businesses months or even years to begin to make a profit. Therefore, it is essential to have your financial bases covered until you’re able to create a healthy cash flow.

12/06/2022

A marketing plan helps you to attract customers to your business and begin to create a revenue stream. You can have multiple marketing plans: one to promote business, one to introduce new products, and one to develop new customer outreach. The initial start-up marketing plan is what you will use to promote your new business. Take time to think through the details of how you’ll track the successes and failures of various marketing tactics to make wiser decisions in future marketing campaigns.

12/05/2022

Your business plan doesn’t need to be a massively long document that you never look at again. A functional business plan is a working document that can take many forms and acts more as a flexible action-planning tool than a structured concrete document. At minimum, you’ll need a streamlined plan that focuses on vision, mission statement, objectives, strategies, startup capital, expenses, and projected income. By focusing only on the essential items, you can get down to figuring out your business more productively and determine how to get from Point A to Point B.

12/02/2022

Tips for Choosing a Credit Card | www.financialhotspot.com

Researching the different types of credit cards and their benefits can help you make an informed and confident decision. Credit card comparison websites are an excellent resource for this. You can also read reviews of different credit cards to see what other consumers have to say.

Here are a few tips to make it a little easier to choose a credit card:

https://bit.ly/3OjjUnq

Credit cards are a popular way to build your credit score and gain increased financial flexibility. However, it can be hard to decide which card is best for you. You have many choices when it comes to choosing the right credit card, with each option offering a different set of benefits. From rewards...

12/01/2022

Challenge yourself to 7 days of saving money! Here are a few tips you can follow to save money on a daily basis.

11/30/2022

EAs and CPAs can both be tax experts, and the work they do is often similar, but there are some differences between an EA vs CPA. Here are some basic differences between the two!