Monday, December 13, 2010

How Do You Budget?

I talk to people all the time about How To Manage Their Money? It's really hard for people to get Real with themselves about their Managing Money. Here is my Ideal Suggestion.
 This plan is based on your Gross Wages, Not Net Wages!
The 10-10-10-70 Plan.
Tithes(Charitable Donations/Contributions) - 10%,
Savings - 10%,
Investments - 10%,
 Operating Monies - 70%
Having a Budget is a Sacrifice, but it is necessary in these economic times more than ever. What about an Emergency Fund? Here is where an Automatic Deduction of $25 a month into your Savings account is very helpful. You should have an Emergency fund of $1000 Cash Readily Available to you at all times. However, if this isn't a reality for you start small, $25 per month, $25 every 2 weeks, $25 weekly, but put something away and see how fast your emergency fund will grow. Make your Lunch, Stop buying lunch everyday, you will find that you have saved about $100 per month maybe more just by cooking your meals. Reduce your Cable Bill to Basic, Reduce your Cell Phone Plan, and Fill your Gas Tank up Once a Week. If Credit Cards are an issue for you, pay your smaller Credit Card Balances off First and then Attack the larger Balances.

Hope this Helps!

Monday, December 6, 2010

What I learned about Audits...

Good Morning!

This year several of my clients had Audits. One thing that I learned was that every Auditor was different and their thought processes on how they approached an audit was different, but what kept impressing upon me was the importance of keeping good records. Now, I know that this seems simple enough in theory, but in application its another story. I don't know how many conversations I have had with my clients to keep all of their receipts for 7 years. Keep Your Documentation! It will Save You Money in the long run! Store your Receipts a safe place! Organize them by Year, Type of Expense, Vendor and Type of Payment. Tax Payers, please put on your analytical thinking caps and say to yourself: If I was an Auditor would this fly with IRS? And if you can't say Yes! It's probably not deductible.

Friday, December 3, 2010

Closing Out The Year

It's Amazing! Our 41st year is coming to a close and we have had quite an interesting year.
We have learned to not let others dictate our value, while being committed to making our days count!
As the accounting/tax preparation industry continues to grow, Wyatt & Associates is committed to growing with it. This is particularly why we have decided to increase our exposure through this Blog. Taxpayers do not wait till the last minute, get your documents in order for tax season now. Items for Individuals to keep in mind: W-2s, 1099s, Mortgage Interest Statements, Property Tax Statements, Childcare Documentation, College/University Receipts(Tuition, Books, Room & Board). Items for Small Businesses to keep in mind: Receipts, Receipts, Receipts, Bank Statements, List of your Depreciable Fixed Assets, Proof of Rental Income...This is a starting point...Hope this helps....