3 Types of Accounting: A Guide to Financial, Managerial, and Cost Accounting
Accounting is divided into several sections, but for small business owners, there are three types that are necessary to generate financial i
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Hannah Nguyen
- Mar 28
- 5 min
Law Firm Billing: Ultimate Guide and Best Practice
Administrative tasks like billing and invoicing can be tedious and time-consuming and you may be stuck if you don’t implement the proper law firm billing process at the outset. That is why it’s crucial to have a streamlined process in place, ultimately saving lots of time and resulting in faster client payments. Reduce the repetitive and tedious tasks associated with tracking and entering billable time Simplify and standardize the invoice to create process Make it easier to s
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Hannah Nguyen
- Mar 23
- 4 min
8 Most Common Construction Accounting Mistakes That Cause Catastrophic
Incorrect overhead rates create problems because they do not accurately describe the current overhead of a business
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Hannah Nguyen
- Mar 22
- 2 min
Overhead Cost - How to Calculate
Along with direct materials and direct labor, overheads are also a very important cost element to determine directly to your business’s profitability. In this guide, we’ve covered: Overhead definition Examples of overhead Types of overhead Overhead calculation What is overhead? Overhead, also known as an overhead cost, refers to an ongoing expense of operating a business. Overhead costs are not directly attributed to creating a product or service to lead to the generation of
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Hannah Nguyen
- Mar 18
- 8 min
Construction Billing Methods: Never Waiting on Unpaid Billing
When a small construction company does not get its payables, it is more vulnerable to damage than a large company with large cash reserves.
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Hannah Nguyen
- Mar 8
- 3 min
Variable Cost - Definition, Example, and Guide to Reduce
Variable costs and fixed costs comprise the total cost of your business activity. While these costs seem complicated at the first plan, you’ll just make a little math to figure out how much they cost. In this part, we'll explain variable costs and guide you on how to calculate variable costs in a simple way, so you quickly understand the nature of variable costs and how they affect your profitability before making any business decision. What is a Variable Cost? A variable cos
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Hannah Nguyen
- Mar 2
- 3 min
Calculating Cost of Goods Sold for Contractors - Expert Guide
As a contractor, you are working on many projects, whether it is a small task or a big project, it requires months, years, or even decades to complete. Thus, meticulously tracking the cost of goods sold and keeping them separate from regular business expenses is key when it comes to measuring job profitability. What is the Cost of Goods Sold in Construction? Cost of Goods Sold (COGs) refers to the direct costs incurred in the production of any products and services by a compa
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Hannah Nguyen
- Feb 18
- 3 min
What Is a Purchase Order? Difference Purchase Order vs Invoice?
A purchase order is very crucial for a well-managed purchasing process that makes it easier to track your inventory and order supplies and sellable goods. However, many small business owners have not fully understood the importance and process which is certainly essential for the success of your company. In this guide, we’ll cover: Purchase Order Definition Purchase Order Process The Purpose of Purchase Order Key Differences Between Purchase order vs Invoice What is a Purchas
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Hannah Nguyen
- Jan 21
- 4 min
Outsourced Bookkeeping Services for Small Business
As a small business owner, you have everything on your plate, from taking care of customer relationships, marketing and sales, finance, and more. You are most likely overburdened with work. While you pile bookkeeping on top of it, two things can happen: your books and your financial aspects get ignored, which might hurt your bottom line. The best advice is to outsource bookkeeping solutions for small businesses with all support from bookkeeping specialists. An outsourced book
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Hannah Nguyen
- Jan 12
- 4 min
Bookkeeping Vs Accounting: 5 Key Differences
Under an untrained eye, bookkeeping and accounting may appear to be the same profession. It’s a common misconception regarding the two since both bookkeeping and accounting deal with financial data, and work with numbers. Though they seem similar, there is a distinction between each process and the roles of a bookkeeper and accountant. Simply put, bookkeeping focuses on recording transactions and organizing financial data while accounting gives you an insight into your busine
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Hannah Nguyen
- Jan 5
- 2 min
2022 Gift Tax Rate: What It Is, How It Works and Who Has to Pay It
During our lifetime, you always want to give the best things to your beloved ones. And while sending valuable gifts to your spouse, family, and friends, you may face some unexpected financial consequences in the process like taxes on gifts. The federal government imposes a gift tax of up to 40% on transfers of property from one person to another. And if your gift exceeds a certain value, you may have to file a gift tax return and pay the gift tax. What is the gift tax? Gift t
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Hannah Nguyen
- Jan 5
- 4 min
IRS Home Office Tax Deduction for Small Business Owners - Help you Reduce Tax Bill
Has the coronavirus led you to start a business or become your own boss this year? If you are a small-business owner and use part of your home for business, you could save big money on taxes by taking the home office tax deduction, as long as they meet the IRS’s requirements. Simply put, the home office deduction allows you to deduct a portion of the cost of running your home as a business expense, proportional to the amount of your home you use for business. You can also tak
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Hannah Nguyen
- Dec 19, 2021
- 5 min
What are Accounts Payable? How to Record Accounts Payable Properly
When your company purchases goods on credit that need to be paid back in a short time, it is known as accounts payable. As a business owner, you have to pay a handful of bills each month, and thus accounts payable become an evil. It’s a source of money going out - instead of coming in, so it’s unpleasant to think about it. In this article, we’ll take you through everything about accounts payable to provide better insight into what they are, how they affect your business, and
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Hannah Nguyen
- Dec 15, 2021
- 2 min
5 Successful Construction Bookkeeping Tips That Save You Countless Hours
Bookkeeping can be one of the most daunting processes when you’re running your own business. Maintaining accurate records of financial transactions ensures an overview picture of your company’s financial health. The process seems to be overwhelmed at the first glance. However, we’ve compiled 10 tips to make bookkeeping in construction as simple as possible, successful bookkeeping methods would ensure your business function effectively and transparently. Use different checking
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Hannah Nguyen
- Dec 13, 2021
- 3 min
Cash and Accrual Accounting: Which Is Best for Your Small Business?
As a small business owner, you may be passionate about all aspects of developing your business, but it may not include accounting. There are two primary methods to recognize expenses you need to know: cash and accrual accounting methods. Even if you don’t work as an accountant, it is essential to know how each one works so you can choose the best bookkeeping practice for your business. Let’s take a look at both methods in detail, and how each one would affect your business. W
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Hannah Nguyen
- Dec 2, 2021
- 6 min
Law Firm Bookkeeping and Accounting: A Completed Guide 2022
The Completed Guide To Better Law Firm Bookkeeping and Accounting Practices!
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Hannah Nguyen
- Nov 22, 2021
- 2 min
What is the difference between revenue and income?
Many people often consider ‘income’ as a synonym of ‘revenue’ since both terms refer to positive cash flow. Understanding the difference between revenue and income is extremely important for any business, particularly in terms of how total earnings are reported in accounting. Let’s quickly dive deeper into these two terms. Revenue Revenue is the total amount of income a company generates through selling its products or providing services that stem from its primary operation,
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Kieu Nga
- Nov 17, 2021
- 2 min
Accounting for Law Firm: 5 Common Legal Accounting and Bookkeeping Mistakes
Lawyers are not accountants and they often make the same common mistakes when it comes to accounting for law firms.
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Kieu Nga
- Nov 13, 2021
- 2 min
Difference Between Debtor And Creditor
Debtor and Creditor are common terms when it comes to bookkeeping. Although these two terms might seem straightforward, it's important to make clear the difference between the two and how both need to be accounted for in your financial records. Simply put, a debtor is a person or a legal body (such as a company, organization, or government) who owes money to another party. For a business, the amount to be provided is usually a result of a loan provided, goods sold on credit,
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Tammy Hoang
- Nov 11, 2021
- 1 min
What Is An Overbilling In Construction?
Overbilling in construction occurs when a contractor bills for contracted labor and materials before that work is actually completed
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