to do your bookkeeping
In order to properly
keep track of your accounting records, you will certainly want some
type of method of doing your bookkeeping. Whether it is through
keeping a notebook full of expenses and revenues by hand, or purchasing
a program like Quickbooks to assist you, it doesn't matter, just
as long as you have some type of accounting procedure.
As part of the ebusinessplansoftware.com
software from this website, you get extensive financial statements
to do your projected financials as well as for your bookkeeping.
One software program
that we highly recommend in doing your book keeping comes from www.myfinancialsoftware.com.
They have a Microsoft Excel spreadsheet that they offer that is
completely customized to Traditional or Internet businesses. It
sells for just $9.95 and can be purchases online with any major
This software package
is an easy to use Excel spreadsheet that allows you to input your
number of visitors to your site, sales revenue, number of purchases,
and expenses. Then it automatically calculates your net income,
purchase percentages, income per unique visitor, and much more.
These are figures and calculations that are essential for you to
know about, and the software calculates all of them for you automatically,
and it's only $9.95.
to know about doing taxes
One day that you
are familiar with is April 15--tax day. By that date, you will need
to file taxes for your business. In order to get all the tax write-offs
that you are entitled to, you must have a legally set up business
and tax ID number (see Business Name article).
In filing taxes,
you must also have the proper tax forms that are available at www.irs.gov.
The tax forms that you will need are different for each type of
business entity, whether it is a sole proprietor, partnership, LLC,
corporation, or non-profit business. You will want to consult with
a tax accountant to assist you in filing taxes for your business.
You're local county clerk's office will also be able to assist you
in knowing which forms you will need to fill out.
In filing taxes,
you will need to record how much money you made in the year, as
well as where you spent your money. This is why we are going over
this now, because you will need to start keeping track of your business
expenses, including keeping track of all your receipts for your
financial statements have taken all the categories of expenses that
the tax forms asks for and broken those up on the spreadsheet. This
allows you to easily record your expenses and adds them automatically,
so when tax time rolls around, all you have to do is input the number
given for the total expenses in each category for the year on your
tax forms. This software makes doing your taxes very easy. It would
be a major pain to go back through your receipts at the end of the
year to see where you've spent your money.
breaks to know about
The first step in
saving money with a home business is to learn what tax deductions
are available to you. You can learn about these by contacting the
IRS by calling 1-800-tax-form or online at www.irs.gov.
There are two tax guides that can assist you: #334 and #530, these
are the home/small business tax guides that you'll want to look
There are many different
tax breaks that you, as a business owner, can take advantage of.
Some of those tax breaks are the following:
- Home business
write-offs - If you run your business out of your home, you can
write-off a percentage of your mortgage, phone bills, and utilities.
- Any computer equipment
or software that you've purchased for your business use is also