How To Manage Business Costs Effectively
Admit it; Coronavirus did a number on us all. While governments the world over imposed stringent control measures in place to curb the spread of the pandemic, businesses (SMEs, startups, and even major heavyweights) took a hit.
Businesses, before the pandemic, operated smoothly and freely with resources (both capital and human) at their disposal. Virtually everything from board meetings, marketing strategies, customer service, to payroll and even onboarding was heavily dependent on the corporate office setup where things were done manually.
But with everything 2020 has thrown on us all, brands have begun to see the need to take advantage of impressive digital tools to run business costs, increase productivity, boost brand presence, and improve the experience of employees working remotely.
Ways you can manage business costs efficiently
If you’re a business executive, how do you manage and run your businesses effectively? How do you ensure your tax-deductible business expenses are inputted accurately? We’ll be looking at the following areas:
Time and Attendance Tracking
Attendance of workers and comprehensive tracking of their work schedules have contributed to the overall success of businesses and improving their bottom-line savings. However, due to the global pandemic, a lot of companies and businesses has resorted to having a higher percentage of their workforce working from their homes.
Your business should take advantage of time and attendance tracking software to garner the working hours of your employees, whether they are making use of their mobile phones or PCs.
This software creates the avenue for your employees to tender the daily hours worked remotely to foster accuracy. Another advantage to this is that as their working hours are being tracked, you will be able to know which particular employee is working overtime and make arrangements for their overtime pay.
Also, these digital tools allow workers to see their time and work schedules for the week in advance, so they can prep themselves for their various tasks.
Payroll
Every employee deserves to be paid handsomely for their service to your business. It is a crucial aspect to boost business productivity and growth. The amount of time spent manually compiling each worker’s tax information, overtime, basic salary, and other allowances may affect other crucial aspects of your business.
Taking advantage of an online payroll service will save you from the long process of computing fees and making costly financial mistakes.
Employee onboarding
For an employee to be quite successful in their job responsibilities, their background and relevant experience has a major role to play. This, you can find out during the onboarding process, as you’d collect vital information from them and inform them about the vision of your business.
Taking advantage of onboarding software, you’d be able to verify that they’ve submitted their ID documentation, state withholding forms, deposit information, I-9 and W-4 forms, and other vital information.
Benefits administration
With the aid of human capital management, managing benefits has become easier. However, more time is spent procuring benefits manually.
With an online human capital management software available, you will be able to securely gain access to forms, make changes and update them in real-time.
Case management
For a business to thrive, it is crucial for it to have a platform that tends to the concerns of workers. With most of your workforce now working remotely, it is important to have a digital case management platform that will accommodate their various concerns.
This online platform also presents the opportunity for your employees to field their progress reports and allow management to review and track the efficacy of business decisions and compliance.
Consultants-In-A-Box is an all-inclusive software that provides impressive solutions to your brand’s concerns. Take advantage of our unique platform by contacting us today. You’d be glad you did.
Money-Saving Accounting Tasks That You Don’t Need to Outsource
Most small business owners fear the term ‘accounting’ and run from anything considered ‘bookkeeping.’ While outsourcing your accounting needs is beneficial to your company, it also costs money. The key here is limiting the amount of work you need to outsource with the right accounting tips.
How do you do that, exactly?
You take some of the easier responsibilities for yourself and leave the more difficult accounting tasks for the professionals. Don’t worry, the accounting tasks you take on won’t take any special skills and won’t be time-consuming.
They will, however, be money-saving and that’s what’s most important.
Today, we’re going to discuss five of the simplest and easiest-to-manage accounting tasks small business owners should learn to take care of themselves. With the right software and accounting tips, these tasks will be as easy as checking your social media.
1. Invoicing
Microsoft Excel is an amazing tool that can provide a wide range of benefits to any business -- including managing and recording invoices. Unfortunately, using Excel puts you at risk of constant data entry errors, wrong dates, incorrect amounts, and more.
Of course, this all leads to a delay in receiving payment from the client or customer, which is what no small business owner wants.
Avoiding this requires the right accounting software and accounting tips to help you not only automate your invoicing, but allow you to easily and quickly preview an invoice before being sent. This makes it much for manageable for any busy small business owner.
In addition to that, accounting software can help you change currency for each client, accept deposits up-front for work you just signed a contract for, receive notifications about overdue invoices, allowing the ability to duplicate past invoices for easy editing, and much more.
2. Accepting & Recording Payments
Getting the invoice to the client is essential, but making sure they have the resources to quickly and easily pay that invoice is just as important. It’ll put a smile on your face when you see clients and customers paying you in a timely manner.
The right accounting software helps you not only keep track of who paid you, but also how they paid, whether the payment was cleared, when it was sent, when it was paid, and just about anything else you’ll need to track when it comes to accepting and recording payments.
The right software also saves you time by giving you an all-in-one solution when depositing checks, handling payments that bounce, and even helping you with foreign currency exchange when dealing with customers overseas.
In terms of accepting payments, you can integrate an easy option built into the invoice. That way the client can pay that invoice the moment they receive it with little work on their end. You can set it up so the money is deposited directly into your business bank account.
In terms of recording everything, a majority of data is recorded automatically to make it easier on the business owner. It’ll keep everything under the same roof so you can easily manage future, current, past, and overdue invoices.
3. Expenses
When it comes to accounting tasks, managing income isn’t so bad when watching your business grow and receive payments. Unfortunately, things aren’t as fun when managing the money your business is losing -- but they’re just as crucial to the process.
When using a spreadsheet, tracking expenses is difficult and leaves your business prone to mistakes. With the right software and small business accounting tips, you can connect your business bank account directly to the software. That way all your expenses are automatically uploaded to the software every single day.
It’ll make keeping track of expenses a lot easier because you’ll only have to add in the cash expenses, which don’t happen as often in business. Simply snap a picture of the receipt, add in what it was for and how much, and save the entry. You can always label them to further organize, as well.
Accounting software can also help you manage tax deductibles, including meals, business travel, vehicle-related costs, home office expenses, and technology costs.
4. Sales Tax
Collecting sales tax helps cover tax costs for any small business owner, but most neglect the process of recording and keeping track of the sales tax collected over the past year. This leads to the sales tax being added into your income and used with your spending money.
Of course, a nightmare is bound to happen when you don’t have the funds to cover tax payments. To avoid this from happening, it’s important to manage sales tax collections and keep them separate from everything else you’re receiving.
You’ll always have access to your data and can easily manage how much you’ll owe in sales tax whenever you need to.
5. Financial Knowledge
When running a business, it’s essential you understand where your business stands financially at all times. You need to know how much cash flow you have, how much money is coming in, how much is leaving, and knowing what the future has in store for you.
Most business owners wait to take care of all these things at month’s end, but that leaves you prone to rushing and making mistakes. Having a software that keeps everything right in front of you throughout the month allows you to stay on top of where your business stands whenever and wherever.
Financial reports should be easy to run and easy to read, they shouldn’t add more frustration to your situation. When choosing a software that’s right for your company, take this into consideration to avoid making the wrong investment.
Once you start to turn these small business accounting tips into habits, you put your business in a much better position moving forward. You’ll have the confidence you need to grow your company and inspire your employees to do better every day.
