Good things to know.

  • Ideally, I’ll have accountant read-only access to your bank accounts so I can pull statements on your behalf.

    I’ll send a list of questions and clarifications to you during the first week of each month. Please do your best to answer promptly so I can provide timely reports and you can make better business decisions.

    If you prefer one form of communication over another, just let me know.

    DELAYS

    If reports are delayed beyond the 15th, I’ll send a status update. If the reason is due to incomplete information, I’ll let you know what’s missing. Once this status email is sent, I’ll wait for the information necessary to complete your books.

    I focus on my clients and getting their reports turned around during the first half of each month. The last half of each month is when I focus on the aspects of the business outside of existing client work.

    Because of this, if information is received in the last half of the month, it may take some extra time for me to complete and deliver your updated reports.

  • Please notify me if you:

    • Open a new credit card or bank account

    • Change banks

    • Begin selling physical products

    • Hire any new staff

    • Apply for or receive new loans

    • Accidentally pay a personal expense from the business

    • Accidentally pay a business expense personally

  • My rates are based on the time it takes to complete your books, not your income. If a change is needed, I’ll share the new rate, the effective date, and get your consent before moving forward.

    A few things that could lead to a rate change include:

    • manual processes (like keying individual transactions instead of a bank feed)

    • increases in volume of transactions that adds time

    • more detailed reporting needs

    • an increase in how many accounts you have

    • invoicing, payroll, or office organization

COMMUNICATION

  • You should pay personal expenses from your personal accounts and business expenses from your business account. It will mean fewer questions, faster reports, and often a lower fee. Plus, it would really help you in the event of an audit.

    If cash is low on either your business or personal side, it’s best to transfer between accounts.

    If you accidentally pay a personal expense from a business account, I’ll code it as owner's draw (not a deductible business expense).

    If a business expense is paid from your personal account, I won’t know unless you tell me. Just send me the date, amount, and vendor, and I’ll add it to your books. You can also reimburse yourself by transferring from your business account with a memo and telling me it’s a reimbursement.

    I kindly request you keep this to a minimum as it creates extra work and more room for error.

  • Keeping track of receipts is up to you, and it’s mainly for your own protection in case of an audit. I won’t be managing your receipts or asking for them, but it’s a good idea to keep them organized just in case you ever need them.

GOOD HABITS

  • If you hire an employee, you’ll need to set up payroll for them. If you’re not already running payroll, you’ll need to register with your state and get started. We can chat to figure out the best option for you.

    If you hire a contractor, it’s a good idea to collect a W9 upfront. You can simply send them this form and keep it for your records.

  • In general, you can deduct business expenses that are ordinary and necessary for your line of work. Where it gets tricky is with expenses that could also be considered personal.

    If you have a question about deductions, let me know. I’m happy to talk it through but will likely defer to your tax preparer for the final decision.

    Anything paid from your business accounts will be treated as a business expense unless you let me know otherwise. My role is to record the information you provide, not audit your books.

    If an expense isn’t truly for business and you get audited, it’s your responsibility to have receipts or documentation to back up your deductions.

  • Estimated tax payments help you to avoid paying taxes full at the end of the year (plus penalties) when the money may have been spent already.

    You should save 15-25% of your profit for taxes. I recommend keeping this in a high yield savings account so the money is set aside and also earning interest. You can then use this account to make your estimated tax payments and cover any taxes due.

    You should work with your CPA to determine what your estimated taxes should be and when you should file.

HIRING, DEDUCTIONS & TAXES

  • In addition to regular bookkeeping, I offer a few extra services on a limited basis including:

    • a monthly 30-minute call

    • invoicing setup and training

    • payroll setup

    • office organization

    If you’re interested in any of these, just send me a text or email.

  • The best way to say thank you is by sending friends my way!

    If you know someone who might be a good fit, please send them to my quote form at www.dearwizard.com/form. Ask them to put your name in the field for "how did you hear about working with me?"

    If they sign on for monthly bookkeeping, I'll send you a $100 referral bonus when their first payment is made.

EXTRA SERVICES & REFERRALS