How many times do you wish you could do something faster in QuickBooks? For most of us it’s usually every time we use QuickBooks software! Having personal accounting or business accounting software is supposed to make life ‘easier’, not more complex, but this is exactly the case in many circumstances. This is why most businesses hire a QuickBooks Pro Advisor or accounting professional in the first place.

What’s great about QuickBooks?

QuickBooks makes accounting super organized. Each section – Customers, Vendors, Employees, Etc. – has it’s own ‘Center’, making life a little easier for categorizing. The toolbar at top provides related links to items such as Microsoft Excel and Word program integration, new transactions and new clients/customers and new jobs.

Some useful keyboard shortcuts for QuickBooks

Similar to many other programs for accounting, word processing or graphic design, there are many useful shortcuts to save time and effort. In business accounting this is highly useful for workflow. Here are some of my personal favorites I use on a daily basis:

Ctrl-I     Create invoice
Ctrl-E    Edit transaction selected in register
Ctrl-F    Find transaction
Ctrl-J    Open Customer Center
Ctrl-M    Memorize transaction or report
Ctrl-N    New invoice, bill, check, or list item in context
Ctrl-Q    QuickReport on transaction or list item
Ctrl-T    Open memorized transaction list
Ctrl-W   Write new check
Ctrl (while opening) Start QuickBooks without a company file

Another highly useful QuickBooks tool is the ‘Company Snapshot’ feature that arms you with great information. This feature can produce a variety of visual styles such as graphs, tables, alerts, etc, all easy for viewing and comparing your accounting. This is useful because you can see which of your clients/customers owe you money, which vendors need to be paid, etc. I highly recommend starting your business day with this feature.

About QuickBooks

QuickBooks is product that meets the strategic, functional and operational needs of small business while at the same time allowing people to carry out their job responsibilities efficiently and effectively in the hopes of increasing productivity and profitability.  Can you claim this about the way you use QuickBooks?  When your problem or question is unique to your business, ask for our help. As accountants and Certified QuickBooks Pro Advisors we can find a solution and improve your understanding of how best to use the software to take advantage of the power QuickBooks has to offer. (text in this paragraph from the official QuickBooks website)

Our QuickBooks Service Areas

Serving Seattle | Bellevue | Redmond | Woodinville | Kirkland | Renton | Issaquah | Everett | West Seattle | Kent | Lynnwood

Increase the methods of payment you’ll accept

Accepting credit and debit cards gets your invoices paid instantly. If a customer orders from you regularly, get permission to automatically charge their credit card or withdraw the payment from their bank account. Offer a small discount as an incentive.

Complete the assignment or delivery on time
When you accept an order, send an acknowledgement stating the expected completion or delivery date before you begin the assignment or order processing. If there are delays in completing an order or assignment, that could impact your customer’s business and increase the likelihood of charge-backs, returns or non-payment.

Send out invoices in a timely manner
Stay current with your billing. Set aside one morning or afternoon each week to keep a steady flow of invoices going out the door, whether

1. If you get a big refund each year, you’re having too much withheld from your paycheck.

In effect, you’re giving the government an interest-free loan.

2. If you have too little withheld, you may be charged an underpayment penalty.

You must pay 90% of what you owe for the tax year by the end of that year or an amount equal to 100% of your tax liability for the previous tax year, whichever is smaller.

3. Not every dollar of your taxable income is taxed at the same rate.

That’s because portions of your earned income fall into different brackets, which are assigned different tax rates. Generally speaking, the first dollar you make will be taxed at a lower rate than your last dollar. Your marginal tax rate is the tax bracket at which the highest (or last) portion of your income is taxed.

4. Your combined tax bracket determines how much tax you’ll owe on income from investments such as CDs and money market funds.

Your combined bracket is the sum of your top (or marginal) federal tax rate and your top state income tax rate. It may be less if you itemize deductions since you will be able to deduct your state income tax on your federal return.

5. If you file your return by April 15, but don’t pay the tax you owe, you may receive a late payment penalty.

The same goes if you file for an extension. An extension only allows you to file your return after the due date. But full payment is still required by April 15. If you make a partial payment by then, you may be charged interest on the amount outstanding.

6. You can reduce your chances of being audited.

One of the best ways is to fill out your return completely, correctly, and on time every year.

7. You should pay estimated taxes if you’re self-employed; expect hefty investment income or profits from a property sale; or if you don’t have enough taxes withheld to cover the taxes you’ll owe on non-wage-related income.

Retirees should also consider paying them if they haven’t opted for voluntary withholding on their pension or IRA payments. Estimated taxes are due four times a year (April 15, June 15, Sept. 15, and Jan. 15).

8. Your adjusted gross income (AGI) is your total income minus certain “above the line” deductions such as deductible IRA contributions, alimony payments, or health savings account contributions.

Your AGI primarily determines whether or not you’re eligible for tax breaks. Almost every break, be it a deduction, exemption, or a credit, has its own AGI limit.

9. Your taxable income is your AGI minus exemptions and deductions.

The less your taxable income, the less in taxes you’ll owe. That’s why it’s in your best interest to take advantage of tax breaks where you can.

10. A credit is better than a deduction.

A credit is a dollar-for-dollar reduction of the taxes you owe. A $100 credit means you pay $100 less in taxes. A deduction reduces the taxes you owe by a percent of every dollar you’re allowed to deduct.

You calculate the worth of your deduction by multiplying your marginal (or top) tax rate by the amount of the deduction. If you’re in the 25% tax bracket, a $100 deduction means you’ll pay $25 less in taxes (0.25 times $100).

Reach Dan Cote today to talk about your company’s accounting and tax strategy

Since the average American has about $10,000 or more in credit cards debt in their portfolio, it doesn’t necessarily mean that that’s a bad thing. Work on keeping current, maintaining a lower interest card, and paying off more than the minimum payment on a regular basis.

Some debt is good and some debt is bad.

Borrowing for some of life’s major purchases such as a car, home or wedding perhaps, isn’t necessarily a bad thing. Just make sure you shop around for a better deal always and don’t borrow more than you can afford to pay back.

Pay off your highest interest rate debts first, always.

Some people are so attached to paying off their largest bills first, when many times this is at a much lower rate than their smaller bills. Make payments smartly and really look at where you can save money overall by paying off the higher interest rate cards and balances first and in larger portions.

Get a grip on your daily, weekly, monthly spending.

Simply that. Watch your extra spending, look for a deal when you can get one. Stay in and watch a movie instead of going out to the movies, or order pizza instead of doing a sit down dinner. For the household, watch your usage of hot water and keep the thermostat down during extended periods of absence or if you’re gone all day. You’ll find yourself having that extra $100-1000 you were wondering disappeared every month.

Don’t just do ‘the minimum’.

This goes across the board. Instead of just getting a receipt, make sure to record the receipts in your folio or ledger, or Quickbooks on a weekly basis or bi-weekly if you have less. Instead of just paying the minumum card payment, pay more if you can. Doing a little extra will go a long way to your debt to income ratio.

Learn to be ready for anything by building and maintaining an emergency fund.

Have some extra cash saved. What if you’re hurt or there is an earthquake, or suddenly you lose your job. What if one of your family members were hurt and you needed to take an extended leave from work. Secure yourself by keeping an emergency fund to keep yourself afloat for 3 to 6-months of bills.

Be careful what and where you borrow.

Don’t always look at your 401k as the place to go for money, or a refinancing of your home loan. You could wind up losing your home and fall short of your long-term investment goals. Give it some thought first!

Handling and Avoiding Crises

How Do You Define Cash Flow?

If your definition of cash flow is flawed, and you’re not tracking the right numbers, you may grow your company right into a cash crisis.

The 10 Absolutely Must Follow Cash Flow Rules

Everyone wants cash on hand at all times. Here are 10 rules to help you get there.

The Magic Number

Every business has a magic number. By employing his, our columnist didn’t overstaff this year.

Riding the Economic Roller Coaster

Tighten your seatbelt. Surviving the ups and downs of the world economy means keeping an eye on business finances.

When a Cash Crisis Strikes

Credibility with vendors, bankers, and other creditors is built slowly, but can be destroyed quickly if your company falls behind on payments. Know how to break the bad news to preserve your business’s relationships.

Hot Tip: Prepare for a Cash Crisis

How do you prep for a cash crisis? Wayne Karpoff, president of Myrias Software Corp., knew cash would be a problem late last year. His 15-employee, $1.5-million company dropped selling its products and became a full-time service business. So he built a contingency fund into his annual budget — an amount equal to three months’ worth of payroll. He got the idea when his bank suggested he set up a contingency fund to safeguard his mortgage payments in the event he found himself out of work. He dipped into the fund three times last year to float the company during project and payment delays.