Category: Business Principles
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Bookkeeping – Employer Provided Vehicle (Lesson 94)
With small business it is very common to provide a vehicle to the owner and key employees. It is often done in the construction industry and transportation sector. The idea is to provide transportation for not only the convenience of the employer but as retention tool for employees.
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Bookkeeping – Other Employer Provided Benefits (Lesson 93)
Other employer provided benefits are composed of three groupings of benefits: welfare, other (Life Insurance, Auto & Education) and fringe.
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Bookkeeping – Cafeteria Plans (Lesson 92)
Cafeteria plans, a.k.a. Section 125 plans, are employer sponsored benefit packages that allow employees to choose from a menu of options and allocate their allotted share to the items they pick. With this type of plan the employer agrees to an allowance per employee to contribute to the package. The employee may either take the allowance as…
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Bookkeeping – Health Savings, Reimbursement and Flexible Spending Accounts (Lesson 91)
One of the drawbacks to the health insurance mandate for small business employers is the cost of the premium for the plan. To alleviate and reduce the cost of these premiums, employers provide alternatives in the form of health savings, reimbursement and flexible spending accounts.
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Bookkeeping – Employer Provided Retirement Plans (Lesson 90)
For the longest time a retirement plan was the most important employee benefit to offer. Today it is number two behind health insurance which is mandated by law. Still, it is a sought after benefit by employees and an excellent recruitment and retention tool for employers. There are two broad groups of retirement plans.
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Bookkeeping – Employee Health Insurance Mandate (Lesson 89)
After three decades of discussion, in-fighting and wrangling, Congress passed a health insurance mandate along party lines of vote. This health insurance mandate changed the rules for employers and affects the accounting department and in particular, the proper bookkeeping for the respective amounts paid by both the employer and employee.
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Bookkeeping – Employee Benefits (Lesson 88)
There are a multitude of employee benefits employers provide to their employees. This series covers several groups of benefits and explains the legal and accounting issues related to them. This particular lesson introduces the concepts behind employee benefits and the basic accounting process.
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Bookkeeping – Estimating Extraordinary Items (Lesson 87)
The final type of estimating relates to unusual and infrequent items; these are commonly referred to as extraordinary items. Basically, they rarely occur but do happen once or twice over an economic cycle.
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Bookkeeping – Estimating Warranties (Lesson 86)
Warranties are assurances to customers that the product sold or service rendered will perform as stated or contracted. Often products or services are defective and therefore require replacement or repair. To properly match the cost of warranty work against the revenue generated an estimate of costs is made and recorded to cost of sales.
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Bookkeeping – Estimating Bad Debts (Lesson 85)
Tolerating non-payment is simply a part of doing business. To assist in measuring this dollar value, the accountant must estimate bad debts. This is the fifth part in the series of bookkeeping estimates within the advanced skills section of bookkeeping.