Tax Accounting Vs. Management Accounting
Tax Accounting - Is external; its purpose is reporting income, preparing tax forms and making certain you pay your fair share of taxes and perhaps a little extra. For example Quarterly Tax Reporting, annual tax returns, state, county, city and local business and occupation taxes and sales tax reporting.
Tax Accountants - Are good people and they have their place in the accounting world. Regular accounting, bookkeeping and contractors bookkeeping and accounting is not something they should be doing. No different than Professional Bookkepers and construction accountants should not be preparing annual tax returns.
QuickBooks File And The IRS - Is something you should be aware of and how important it is more than ever to have everything in your QuickBooks clean and up to date. Read More..
Tax Accounting - Is important and so is the tail on a dog! Just understand the tail does not wag the dog! It is important that you understand tax accounting has very little to do with helping you run your business and everything to with paying taxes and keeping the tax preparer's boss, the government happy!
Management Accounting - Is internal; its purpose is to help you operate and grow your construction business profitably. For example The Five Key Performance Indicators, Cash Reports, Receivables, Payables, Profit and Loss, Balance Sheet, Job Costing, Job Profitability Analysis, Business Process Management, The 80/20 Rule, M.A.P, Marketing, Accounting, Production, Sales, Invoicing, Payroll, when to grow the business, what markets to serve, when to hire more people, loans, lines of credit, bonds, performance bonds, insurance cost savings, business planning and your overall construction company business strategy.
Contractors Bookkeeping And Accounting - Is completely different from standard accounting systems primarily because contractors take their entire business inside trucks and vans to people's homes and businesses to perform services, deliver and install products. Standard accounting when people go to the businesses to shop and buy products and services.
Construction Accounting - Is a specialty similar to the difference between a family doctor and a brain surgeon Read More. Construction accounting cannot be learned, it has to be understood. In order to become a construction accountant you must spend years working on construction sites to understand the industry and then with a foundation in standard accounting you can understand it.
If You Allow Your Accounting System - To be dictated by the whims and wishes of the tax accountant you could be losing a lot of money! Because the entire Chart of Accounts will be structured in a way that makes it easier and quicker for them to prepare the tax report one day a year. Because saving you money on your tax bill is not what they are paid to do; they are paid to fill out tax returns.
We Have Fixed - A lot of QuickBooks files that were "setup" and "maintained" by tax accountants See what our clients say and when are finished they are amazed and very happy because they can get the reports they need to operate and grow their construction businesses and we make it easy for the tax accountant to fill out the annual tax return and get more deductions so you pay fewer taxes. Weh can help you now; simply fill out the form on the right or call us 206-361-3950 or email sharie@fasteasyaccounting.com to get started!
We Do Not Prepare Annual Tax Returns - For two reasons. Number one, we are focused on maintaining our status as the premier contractors bookkeeping and accounting specialists in the world. Number two we firmly believe in "Trust But Verify" by having a Board of Advisors watching over each other and your business. Read More..
Just So You - Don't think we are being too hard on tax accountants please understand that we have great relationships with a lot of tax accountants. In fact we have tax accountants review our QuickBooks and prepare our business and personal returns for over thirty years and we refer a lot of business to a variety of tax accountants.
There A Better Way To Run Your Construction Business And You Found It!
Fill Out The Form And Get The Help You Need!
