FAQs
One Place For All Your Accounting Inquiries
What are the differences between an accountant, a CPA and a bookkeeper?
Bookkeeping is simply the act of categorizing and entering all ingoing and outgoing funds. Having a bookkeeper to handle this for your business can be time saving and ensure that your expenses and income are correctly identified for financial statements and taxes.
Recording of purchases and sales
Reconcile financial documents, such as bank statements
Track accounts payable and accounts receivable, so the business knows exactly how much it owes and how much customers owe the company
Bill Payment
Accountants can perform all of the tasks a bookkeeper accomplishes but, can have additional advantages such as:
Tax advice and planning
Financial projections for the business's future
Oversight and Recommendations regarding the company spending
CPAs (Certified Public Accountant) are the same as an accountant, however, they are licensed to write an audited financial statement which is required for companies that sell shares on the stock market. Smaller companies that don't sell shares generally do not need the higher cost of hiring a CPA
How do I know if Parker Business Solutions is right for my needs?
The answer to question largely depends on your needs.
If you are a small business owner or entrepreneur, a business advisor can help you focus on the core of your company without worrying about everyday financial details. Unless you have a business manager on board, you will likely save time and money by working with an advisor instead of wading through complex financial regulations and tax codes on your own.
If you’re an individual who needs help with your financials, you should ask your self a couple of questions to help you decide whether or not to use a business advisor/accountant.
Am I confident enough in my own ability to maintain my books and complete required financial statement without making potentially costly errors?
Do I have adequate knowledge about financial management and adhering to federal and state requirements?
Do I want to spend valuable time dealing with financial details?
If you answered “no,” you may consider using a business advisor to help you manage your financials and payroll in a stress free and timely fashion
How long should I keep my tax records?
The IRS gives a number of different guidelines for keeping financial information, and this information varies depending on whether you are an individual or a businesses
General rules for individuals
Keep bank statements for 1 year
Keep loan documents, credit card statements, and other contacts until fulfilled
Keep annual investment statements until sold
Keep tax records for 7 years from filing date
Keep receipts for large purchases, real estate deeds, vehicle titles for as long as you own the property
You can general discard expired warranties, pay stubs, and cancelled checks
General rules for small businesses and entrepreneurs
The rule of thumb is to keep all items for at least 3 years
If you have not yet paid taxes on income that you should report, keep documents for 6 years
If you claim a credit or refund after you file a return, keep records for 3 years from the date you filed the return
If you file a claim for securities or bad debt deduction, keep records for 7 years
Keep all employment records for 4 years from the date that the tax is paid
What are the benefits or working with Parker Business Solutions
1. Increase Profitability: I have helped businesses grow their profit margin by at least 10%.
2. Maximize Cash Flow: My goal is to help your business maximize your cash flow. On average, clients free up thousands of dollars a year in expenses. I also can provide daily, weekly or monthly reports to help owners make better financial decisions.
3. Save Time: Clients save countless hours a year on bookkeeping, paperwork tasks, payroll and more. Most business owners spend more than 80 hours a year on these tasks and I can take much of that off your plate.