Blog | Practical Accounting Solutions

Activity-Based Costing: Is it right for me?

Oct 21, 2019
2 min

Emergency Funds - How to Prepare for the Unexpected

In the hit NBC show This is Us, a married couple plays a game called "What's the worst that can happen?" In this game, they share their deepest fears of the worst outcomes from their current situation. Afterwards, they feel better knowing the worst possible scenario is often also the least likely. It's hard to prepare for the unexpected. Cars break down, AC units break, and sometimes we just really turn our finances on their head. Enter the Emergency fund, or as BudgetsAreSex

8 views0 comments

Oct 14, 2019
4 min

Katie Harbison - The Entrepreneurial Lens

The Entrepreneurial Lens I always imagined I’d be a writer… but that was the problem. I was imagining it, dreaming it, alluding to it. I never actually got started. The very mentality that kept me from writing my first piece is the same mindset that keeps many smart and capable people from following their dreams, working for themselves, and ultimately gaining the tools to become successful entrepreneurs. Some people are just born with the Entrepreneurship Gene. In a society w

14 views0 comments

Oct 7, 2019
3 min

Are There Tax Benefits to Hiring your Minor Children to Work for Your Business?

As a small business owner, how would you like to save on your federal and state taxes as well as help teach your child(ren) about saving for the future (i.e. college, retirement, car, etc.)? In Virginia, and most other states, if you own your business you can hire your children to work for you regardless of their age (yes, even younger than the standard age requirements in child labor laws). This can help you reduce your business' tax liability while allowing your child to ea

25 views0 comments

Sep 30, 2019
2 min

Financial Ratios for Your Small Business Part II

Last week, we introduced a few financial ratios that you can use on your balance sheet and income statement. This week, we'll add to that list! Gross Margin Gross Margin = Gross Profit / Net Sales When You Use It: The Gross Margin Ratio gives you a percentage of sales dollars available after you've deducted the cost of merchandise. If yours looks particularly high or low, remember that this varies by industry and by company! Profit Margin (after Tax) Profit Margin = Net Incom

9 views0 comments

Sep 23, 2019
2 min

Financial Ratios You Need for Your Small Business Part I

Financial ratios are a powerful tool to help you assess your small business finances. They can measure your operational efficiency compared to competition, profitability, financial stability, and more. Today, we share this cheat sheet of must-have financial ratios to keep in your pocket! Financial Ratios on the Balance Sheet Working Capital Working Capital = Current Assets - Current Liabilities When You Use It: Use the Working Capital ratio when you want to find if the compan

15 views0 comments

Sep 16, 2019
4 min

You Need These Apps in Your Life!

Our smartphones have become an essential part of our everyday lives. From connecting with loved ones and friends on social media, getting the daily news, to calling a taxi after a fun evening out, our phones are personal assistants in our pockets. With this knowledge, it's no surprise there are a plethora of smart phone apps for financial management. There are millions of downloads each year for these money management apps, so today we are going to break down the best apps to

29 views0 comments

Sep 9, 2019
2 min

Your Profit and Loss Statement: What You Need to Know

As a small business owner, you wear a lot of hats. When you sit down to calculate your finances, a Profit and Loss Statement (or P&L statement) can help you get a snapshot of where you stand and where you can make changes in your company. The Basics of P&L Statements A profit and loss statement is just that! It shows how much profit you have left over after you have subtracted your profits from expenses. Remember: Profit = Revenue - Cost Every public company issues a P&L stat

12 views0 comments

Sep 2, 2019
2 min

Ignite Your Fire with the Girls on Fire Network

Let's Ignite your brand, your business and your network...all from your phone! About this Event Bring your phone fully charged and join Brandy & Vanessa for this special workshop to break down the new wave of social media criteria when building your brand and your business. There will be a strong focus on all the opportunities with LinkedIn. They will also discuss the need to produce video and utilize the story option on FB and Instagram. The best part...you can do everything

5 views0 comments

Aug 26, 2019
5 min

Why Follow up is Critical to Success

Why Follow up is Critical to Success We hear the phrase “follow-up” quite frequently in business, but what does that really mean? How is the best way to follow up? And why is following up with people such an important thing to do? Regardless of which profession you’re in, the fact of the matter is that business (and life) is about relationships! Building rapport with people and getting to know them on a deeper, more meaningful level is crucial to the longevity of a thriving a

15 views0 comments

Aug 19, 2019
1 min

Time's A-Ticking and You Don't Want to Miss This!

Retirement seems like a long way off, but it may be closer than you realize! Join us at Park Lane Tavern in Fredericksburg on August 27th from 6-8 for a Retirement seminar presented by Practical Accounting Solutions and Primerica. Learn the steps you can take today to build a retirement plan that fits your lifestyle! Your $10 tickets includes the invaluable interactive presentation and a delicious Park Lane Tavern dinner. Limited seating available, so get your tickets today!

2 views0 comments

Aug 12, 2019
2 min

Types of Liabilities You Don't Want to Forget on Your Balance Sheet

Two Categories of Liabilities: Current and Long-Term To get a better view of your current and long-term liabilities, you can always create a classified balance sheet that breaks down your different liabilities. Current Liabilities Liabilities due within an operating cycle of the company. For most, one operating cycle is one year. Long-Term Liabilities Liabilities due more than one operating cycle of the company. These are items like mortgages on buildings, vehicle or equipm

12 views0 comments

Aug 5, 2019
3 min

Where Do Your Tax Dollars Go?

We pay taxes every year, but do we really know where our hard-earned income goes? Today, we take a deep dive into the top three areas your tax dollars benefit every year! 1. Social Security In 2017, $945 billion tax dollars paid for Social Security. Social Security, also known as Old-Age, Survivors, and Disability Insurance (OASDI) is more than for the retired! Social Security benefits help the disabled, spouses or children of those who have died, dependents of workers who ha

11 views0 comments

Jul 29, 2019
3 min

How Do I Choose between the Cash or Accrual Methods?

Like many things in life, timing is everything when it comes to choosing the best accounting method for your small business. Read on to learn about the differences between cash and accrual accounting methods and decide which is best for your small business! Choosing Your Method You'll choose your accounting method the first time you file a tax return, and then you'll continue using this method for your future returns, too. If you would like help with this big decision, we are

13 views0 comments

Jul 22, 2019
2 min

Are You Ready for Retirement?

Although tax season is over, Practical Accounting Solutions is still keeping busy! We wanted to give you an exclusive first look at our upcoming event: Get Ready to Retire! Here are the details: Get Ready to Retire: a Retirement Seminar presented by Practical Accounting Solutions and Primerica Tuesday, August 27th from 6-8PM Park Lane Tavern 1 Towne Centre Blvd, Fredericksburg, VA 22407 What You'll Learn: ►How to Find the Best Retirement Saving Plan for You Your finances are

6 views0 comments

Jul 15, 2019
4 min

Paying for College? Here are a few extra ways to save!

We are proud of our children and we want the very best for them! We support their choices as they grow up and face the world. However, if your child is going to college, you may have sticker shock when you receive your first bill! College prices have TRIPLED since 1980 with very few improvements to help families pay for it. However, there are still many resources to help students pay for their education and save them thousands in the long run. Read on to discover more ways to

25 views0 comments

Jul 1, 2019
4 min

What You Need to Know About Small Business Loans

As a business owner, you may find yourself seeking a business loan in order to take the next step in your company! Whether you're looking to buy new equipment or invest in a new avenue for your business, finding the right loan for you may prove more challenging than you'd originally anticipated. Like with personal loans, there are many different types of small business loans and you'll need to make sure you have the right documentation when you apply. Read on to learn more ab

14 views0 comments

Jun 24, 2019
3 min

Know these 4 Things Before Taking Out a Personal Loan

There are plenty of reasons why taking out a personal loan might be a great financial move for you or your family. Read on to learn more about when you may want to take out a personal loan and how to use it to your best advantage! Photo by Melissa Walker Horn on Unsplash 1. Why You Need a Personal Loan There are plenty of reasons why you may need a personal loan. You could be trying to consolidate debt, plan a big event, finance your home remodeling, or making a large purchas

9 views0 comments

Jun 18, 2019
2 min

Bookmark these Resources for Your Small Business

In the past, if you wanted information, you got in your car and visited your local library. Once there, you had the choice of either browsing the shelves or asking a librarian to help you find what you're looking for. While libraries are still great sources of information, the explosion of the Internet allows you to research from your kitchen table! But, what resources do you truly need? Read on for some resources that can help your business! Photo by Jaredd Craig on Unsplash

2 views0 comments

Jun 11, 2019
2 min

5 Books on Personal Finance Everyone Should Read

Queue the ABBA song and have a jam session while you take note of these 5 books on personal finance everyone should read! Looking for a summer read? Put down the novels and pick up a finance book like these below: Photo by Ben White on Unsplash 1. Broke Millennial: Stop Scraping By and Get Your Financial Life Together, by Erin Lowry Many financial books are aimed toward middle-aged folks, but this one is for the millennial who is just getting their financial life started. Low

10 views0 comments