 With the rising cost of tax prep, many business owners are asking their bookkeepers to prepare their taxes and then the business owner signs them. this is not taken lightly by the IRS. As a business owner, be sure you are working with a qualified tax preparer this tax season. Your bookkeeper may NOT be qualified to prepare, sign, and file your taxes, let alone represent you to the IRS. So help protect your business and your bookkeeper by partnering your business and bookkeeper with a qualified tax preparer.
 While the experience may not be bill pay checks, there are those organizations that knowingly chose to or unknowingly have opened themselves up to fraud by having group logins to their accounting system and financial institutions. And it is often at the worst time that organizations come to realize that unique logins for each user is a must!
A username is a form of identification, used to build a unique digital profile about a specific user. This digital profile protects both the organization and the user. While a specific user’s password is their authentication. A password protects the user’s identity because it verifies that they are who they say they are. Who of the current employees using a group login initiated those unauthorized bill pay checks that totaled over $20K? For that matter, which of the past employees that had access to that group login when they worked for the organization may have initiated them? There is no way to tell, so what do you do, fire everyone, switch banks, and do it all yourself? Not a chance! You need your sanity and your good employees! So what can you do today that aids in security, accountability, and efficiency? Candance Weaver Bookkeeping absolutely recommends that you create a unique login for each user accessing your organization’s computers, accounting software, online banking, online credit cards, etc. Using the same credentials for multiple users is a really bad idea. Don’t do it!
A helpful video from Michelle Edwards, CPA of Trailhead Accounting for all those nonprofits and business owners doing their own books! KISS your PPP bookkeeping. Use the simplest path to successful bookkeeping of your PPP :loan!.
BUT.... REMEMBER... as of the date of this blog post, the expenses paid by your PPP loan are not tax deductible expenses. The powers that be are still debating if that will hold true come tax time. But if you set up a separate bank account for these funds, like most lenders are requiring, you won't have any trouble pulling that account's reports out of QuickBooks® for your tax professional at the end of the year. |
AuthorHi, I'm Candance Weaver. Married 29 years with a passion for nonprofit and small business success. My bookkeeping service helps liberate time and efforts, so you can focus on your mission, vision and strategic goals. 
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March 2021
CategoriesMember of the American Institute of Professional Bookkeepers
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