When it comes to running a business, there are many facets you have to take care of. That being said, it’s hard to run the accounting side of things when you aren’t an expert in these categories. Here are four common services accountants offer to small businesses that you should consider taking advantage of.
Accounts receivable is the balance of money your customers owe you for providing goods or services that were used but not yet paid for. Accounts receivable refers to outstanding invoices a company has, or money clients owe to your company. The phrase refers to your business’s right to receive the funds because you delivered a product or service.
Accounts payable is almost the opposite of accounts receivable. When a company buys goods on credit, it needs to pay it back in a short period of time. It’s treated as a liability, and it comes under the head “current liabilities.” Accounts payable is a short-term debt payment that has to be paid in order to avoid default. For example, the market value of property in NYC for 2017 grew for the sixth straight fiscal year. Your business will most likely owe property taxes, and you can default if you don’t pay them.
Payroll is defined as the total amount of wages paid by an organization to its employees and workers. It basically refers to the act of paying them for their work. Your company’s payroll can be complicated. You have to collect insurance premiums, retirement plan contributions, social security, Medicare, and tax withholdings from your employees’ paychecks.
Business Bank Reconciliations
Finally, back reconciliations are the comparison of your monthly bank statement to your internal accounting records. You have to make sure that the closing amount on the statement from the bank matches the closing balance on your own accounting records. Don’t be alarmed if they balances don’t immediately match up; adjustments often have to be made to your internal accounting records. You may have left off a credit or debit that will change the balance.
Small Business Accounting Services NYC
If you’re looking for professional help with these processes, then you need the small business accounting services NYC relies on. We can help you with these areas of your business so you can go back to concentrating on running your business.