Understanding the Difference between Gross Margin and Markup
The main difference between profit margin and markup is that margin is equal to sales minus the cost of goods sold (COGS), while markup is a product’s selling price minus its cost price. The difference between gross margin and markup is small but important. The former is the ratio of profit to the sale price, […]
Cash and Cash Equivalents CCE Definition: Types and Examples
Commercial paper is typically purchased by other corporations, financial institutions, wealthy individuals, and money market funds. When the Fed purchases US government bonds, bond prices rise while the money supply expands throughout the economy as sellers receive funds to spend or invest. Deposited funds are used by financial institutions to lend to businesses and individuals, […]
Stock Vs Share: Understanding the Key Differences
A stock certificate is a legal document that specifies the number of shares owned by the shareholder, and other specifics of the shares, such as the par value, if any, or the class of the shares. Whenever a public company fails, its stock investors are likely to suffer as well. But the more stocks you […]
Best Accounting Software For Large Businesses
It needs to be planned and researched to make sure that your company is getting the most out of its money and resources. Large businesses require more advanced accounting software to handle everything they need to accomplish. It covers virtually every accounting process your business has to stay on top of — including productivity, advanced […]
A Guide to Closing Entries: How to Prepare Them
The income statement summarizes your income, as does income summary. If both summarize your income in the same period, then they must be equal. However, if the company also wanted to keep year-to-date information from month to month, a separate set of records could be kept as the company progresses through the remaining months in […]
Solved: How do you match imported shopify sales to payouts received into the bank? I am trying to reconcile the bank account
The overview features the calendar year, divided into months. I want to ensure I am handling these payments/invoices correctly. If anyone has other suggestions I’d be interested in hearing them. You can also connect your bank account and credit cards to Shopify. If you don’t have bookkeeping experience, Shopify accounting will take a lot of […]
Best Accounting Software For eBay Sellers 2023 Review
Be sure to include all relevant documentation, such as receipts and invoices, to support your deductions in case of an audit. The standard deduction is a fixed amount that the IRS allows you to deduct from your taxable income without needing specific details of your expenses. If your total expenses exceed the standard deduction amount, […]
Topic No 751, Social Security and Medicare Withholding Rates Internal Revenue Service
If you work for an employer, you pay half of it and your employer pays the other half — 1.45% of your wages each. For example, if a person is a single tax filer who earns $300,000 through their job, they would pay the standard 1.45% on $200,000 of their income, and then 2.35% on […]
Additional Medicare Tax on Wages and Self-Employment Income
Additional Medicare tax doesn’t apply to everyone, only those whose income surpasses a specific threshold. In 2022, employees can contribute up to $280 per month for qualified commuter benefits (e.g., mass transit and parking), up from $270 per month in 2021. When it comes to retirement income planning, Social Security is an important stream of income for […]
Accounting Automation
Many businesses prefer to outsource their back office services such as payroll, CFO functions, and accounting. This is true because back office operations entail a lot of activities that must be done correctly. Another major reason why people tend to outsource is because they think it takes time to generate financial statements, manage payroll, and […]