What to Look for When Hiring a Consultant for Your Company

Posted by Andreas Christodoulou

Description :

There are plenty of reasons why your company you should consider bringing on a consultant. A consultant plays a vital role for a business, particularly a small one, by bringing an experienced and fresh set of eyes to a problem. As a small business owner, you may be experiencing a point in the business cycle where growth is not occurring as projected or some problems in your business process are preventing you from taking the next step forward. By bringing on a consultant with real-world experience, you may be able to see your way through the rut that your business is in and move forward. 

When looking to bring on a business consultant on either a short or long term basis, there are some things that you should look for in that person. Below, are a few things to look for.

1. Experience Specific to the Problem

When solving a specific business problem you should look to hire a consultant who has both experience and expertise in that problem area. For example, if you are looking for a marketing expert to assist you in developing a strategic marketing plan or to expand market opportunities for your products, you should look for someone who has an extensive background in marketing and strategic planning. Hiring someone who has experience as a cost accountant is unlikely to benefit your business as much.

As a small business concern, you want the training and experience of the person that you are looking to hire to closely match the type of project that you need them to work on or the duties that he or she will be performing. Check resumes and references carefully to make sure that you are getting the right match for the job.

2. Portfolio of Success and Record of Performance

Alongside looking for a person who has the right experience and expertise for your consulting task, you should look to hire a person who has an extensive work history. Recently the governor of the State of Michigan declared that an emergency manager was needed to help the City of Detroit with its rising debt and declining revenues. The governor, when looking at the type of consultant who would be best for the job, turned to an individual with experience and success working with Chrysler Corp. in its successful 2009 restructuring after the auto industry bailout as well as a noted expert in bankruptcy law and restructuring. 

The governor of Michigan chose an individual whose experience and expertise was matched by success in the type of consulting that they do. You would be well advised to follow this type of process for hiring your small business consultant.

3. Find Out How Many Clients They Are Serving

It should be understood that consultants work as individual contractors and not employees of the businesses they perform consulting work for. When hiring a consultant for your business needs, take a look at their active portfolio. If they have taken on more clients than they can reasonably service, one of two things will happen: either your account will not receive the attention of the person you want, or you will receive subpar work. Find out how many clients the consultant has, to help you decide if you want to work with them.

READ ALSO: All Systems Go: Launching a Small Business (and the Tools You'll Need)

We, here at THE OFFICIAL ANDREASCY, enjoy writing articles that provide helpful information to people seeking solutions and strategies for their businesses. We suggest doing more research on consultants, in case you are in such a need.

Contact us if you need some help! 😉

*by andreascy*

The Top 5 Payroll Tax Problems to Avoid

Posted by Andreas Christodoulou

Description :

Paying the payroll tax can be daunting for most small businesses. In most cases, small business owners don't know the rules involved and end up making mistakes. 

The IRS further complicates matters with their (not infrequent) blunders. To help you avoid a major headache in the future, here is a brief description of five of the most common payroll tax problems to avoid.

Missed Tax Deadlines and Incorrect Depository Policies

You should be aware of the way the payroll tax is deposited, once it has been recovered from the employees. You should also be aware of the deadlines for depositing the payroll tax. Several businesses miss deadlines and end up saddled with significant penalties for a missed payment or reporting late.

To help you or any other company payroll professional remember deadlines, it's recommended that you mark out all the important country, state, federal, and local deadlines on a calendar.

In some cases, businesses miss deposits because they assume all banks have the same rules regarding the date of deposit. It's best to deposit taxes on the same day as the company collects the payroll funds. 

Missing Data or Mismatched Data

Several businesses mix up the social security number and names of their employees, resulting in penalties later. This is actually such a common mistake that the Social Security Administration operates a special verification hotline. Make sure the data on your payroll records is listed out in a chronological order to avoid penalties.

Missing data may include missing records, like time sheets, W-4 forms, cancelled checks and similar documents that have to be preserved by law for up to 6 years. Other mismatched data may include classifying a temporary employee as a permanent employee. 

The Right Personnel for the Job

In several cases, if you look at small businesses especially, there are no trained personnel for completing the payroll tax procedure. It's highly recommended that you hire a competent accountant for this task, to decrease the chances of problems cropping up later.

In some cases, there is just a single employee who is responsible for payroll, which puts an unnecessary burden on the employee. It's recommended that you train at least a couple of employees, so they can cross-check each other's work. This will also come in handy should your payroll manager come down with the flu at the worst possible time. 

Garnishments

Garnishment is the payment made by the company on behalf of the employee to a third party. During payroll taxes, a company has to fill out a garnishment form, or several such forms. Because most companies don't understand garnishment, they often ignore the document or fill incorrect or incomplete information, which results in large fines later. 

If you are unclear how you are supposed to pay garnishment and fill the form, we recommend you consult a professional.

Form Errors

Errors in filling out forms, especially W-2 forms, are very common. Several deductions have to be listed on the form, in the appropriate boxes. Sometimes companies forget the deductions, don't include the correct deductions or include them in the wrong places. 

Also, it's common to see companies forgetting to send out a 1099-MISC form to any contractors or consultants associated with them before January of that year. A missed deadline results in penalties and corrective paperwork later for the company. 

*by andreascy*

7 Useful Pieces of Advice for Accounting Students

Posted by Andreas Christodoulou

Description :

For students who are good with numbers or have a penchant for math, accounting is a wonderful career possibility. 

However, being an accountant is more than just audits and taxes--it takes a great deal of people skills as well.

Network, Network, Network

According to the Harvard Business School, between 65 and 85 percent of jobs are found through networking; the same could be said to hold true about gaining clients. There may be no more important skill for advancing professionally than networking: everyone you meet is a potential client, as well as a gateway to other clients. Thus, never miss out on a chance to work on your networking skills. Keep a business card on you at all times and offer it to anyone looking for accounting help. Remember, often it's not what you know, but who you know that counts most. 

Join a Club

Many colleges have clubs related to financial matters, such as an accounting club. If your school offers one, join it. This club will give you the chance to interact with professional accountants and your future colleagues, hone your accounting skills, and learn about the industry. It will also allow you to make contacts, which may come in handy down the line. 

Meet and Greet

In addition to clubs, many colleges also offer days dedicated to bringing together students with industry professionals. These days may be called something like Meet the Firms or Meet the Professionals, but regardless of their titles, they are a wonderful way to set yourself up for possible future job offers or, at the very least, the right contacts.

Hone Your Resume Skills

The importance of a resume cannot be understated when looking for a job: a resume is often your only chance at making a first impression. Not only should resumes be polished, concise, and honest, but they should also be error-free and void of any extraneous information (such as hobbies enjoyed or awards won decades ago). In addition to a resume, a cover letter is also a nice touch. This helps the employer see that you have truly taken interest in their job, rather than simply sending out your resume to every employer in a fifty mile radius. 

Find Your Specialty

Just as business and medicine often have a more specified focus, like communications or neurology, so too does accounting. There is public accounting, private accounting, and governmental accounting. While all areas will share some similarities, there are also important differences. Governmental accounting (such as working for the IRS) offers stability and benefits, but may not be best for those who are people pleasers and enjoy helping individuals. 

Maintain a Good GPA

The grade point average (GPA) you earn in college isn't usually as important as the one that gets you into college (i.e., your high school GPA), but that doesn't mean it's irrelevant. Some industries care very much about the grades you've earned and will only solicit people with a GPA above a certain number. A solid GPA also offers you the chance to go to graduate school, if you so desire, or may land you on prospectors' lists. 

Dress the Part

Accountants are professional and, as such must dress the part. This is particularly important when you are meeting people in the industry, visiting firms, and going in for an interview. While you don't need to dress as you would for a black tie gala, you should dress to impress. In other words, ditch the jeans, and bring out the ties or panty hose. 

We like to help our readers with their important life decisions including finances, education, and careers. If you need our help then do not hesitate to contact us.

*by andreascy*

Top Tech Money Savers for Your Business

Posted by Andreas Christodoulou

Description :

Running a business is expensive. That’s just the name of the game. Them's the breaks, as they say. You need to pay your employees. You need to pay your taxes. You need supplies and for your utilities to stay on. All of those things cost money. 

There is no rule, however, that says you have to pay full price for everything all the time. Here are some of the best ways you can save money on technology for your business and use technology to save your business money:

1. Print Smart

If you’re paying full price for your toner and ordering it directly from the printer manufacturer, stop it! That’s like taking your car to the dealership for an inspection. There are much better ways to get your toner needs taken care of, and this includes your toner cartridge, premium LaserJet options or repairs for your copy machine. Why pay full price and then some if you don’t have to?

2. Go Solar

Solar chargers are going to be the best thing that happened to your office and your business utility bill. Solar chargers (especially if you get the “expanded editions” AKA, bigger cells that can store more power) make it possible to charge everything from cell phones and PDAs to laptop computers without ever having to plug those things in to an A/C outlet. This cuts down on the amount of energy your company uses (which reduces your electric bill). 

They’re also portable so they can help your employees keep their devices charged no matter where they are. Plus, going green is good karma, and what business couldn't use good karma!

3. Tablets Rule, Desktops Drool

Switch to tablet computers instead of forcing your employees to use desktops. Microsoft has great deals for small business owners who want to furnish their employees with tablets (Apple has similar deals if the iPad is more your company’s style). A few years ago switching to tablets was a pipe dream. Now, though, thanks to accessories like keyboards, styluses, etc you can get your tablet to function just like your desktop (sometimes even better).

This also helps make your workplace more portable. Your employees won’t require as much space to do their jobs. You can donate the desktop computers to charity for an additional business write off. Everybody wins!

4. Independent Contractors

Independent contractors and freelancers offer you the ability to get top notch work done for a fraction of what you’d pay for a full time employee. Plus, thanks to web based tools for teleconferencing, desktop sharing, etc—people can work together no matter where they are physically located. The primary benefit of working with an independent contractor or freelancer is that you only have to pay for the number of hours spent actually working or the work that actually gets completed. You don’t have to pay for time spent sitting in the office surfing Google News or playing Candy Crush on Facebook.

Even better, independent contractors and freelancers manage their own taxes and finances so you’ll save time and effort on your payroll duties.

Conclusion

These are just some of the things you can do to save money for your business (while also embracing the latest technologies). What are some of the things you’ve done to help save money and keep your business up to “techno-date”?

READ ALSO: Tech for the Sales Team

You are free to leave your questions below. Thank you for your time!

*by andreascy*