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About Danica Jovic

Danica’s greatest passion is writing. From small businesses, tech, and digital marketing, to academic folklore analysis, movie reviews, and anthropology — she’s done it all. A literature major with a passion for business, software, and fun new gadgets, she has turned her writing craft into a profitable blogging business. When she’s not writing for SmallBizGenius, Danica enjoys hiking, trying to perfect her burger-making skills, and dreaming about vacations in Greece.

Blog posts

If you’re a business owner, you already know how important bookkeeping is. A bookkeeper helps you stay organized with your finances, keeps records on any sale or purchase you make, and works closely with a CPA on your tax returns. Those are the main duties of any run-of-the-mill bookkeeper. But as your business starts growing, that person’s tasks will become much more complicated and important. At that point, you’ll need to hire a different type of bookkeeping professional. So, have you been asking yourself: What is full charge bookkeeping? Read our article to find out. What Is a Full Charge Bookkeeper?A full charge bookkeeper is a person responsible for all of a small business’s accounting tasks: recording transactions, managing the general ledger, and preparing financial statements. Full charge bookkeepers are considered crucial for some small businesses, since they can handle accounting tasks like producing balance sheets, doing payroll, and handling taxes. Generally, full charge bookkeepers play a vital role in small or medium-sized businesses with less complex books and documents than large companies, acting as a substitute for a controller or even an accountant. A full charge bookkeeper works directly with CEOs and managers, providing them with all sorts of financial statements.If your company already has a bookkeeper, the logical question is: What does a full charge bookkeeper do that other bookkeepers don’t? Well, a full charge bookkeeper’s role is similar to that of a regular bookkeeper, but it includes more than handling day-to-day transactions and categorizing monthly sales and expenses.Unlike a regular bookkeeper, a full charge bookkeeper is also responsible for accounting tasks. In some organizations, a full charge bookkeeper supervises other bookkeepers and accounting assistants. Based on their financial reports, a full charge bookkeeper creates balance sheets and income statements for the company’s managers and directors. Taking care of the entire accounting cycle is a full charge bookkeeper’s main duty. It includes recording all sales and purchases, organizing the payroll, preparing tax returns, and producing financial statements. The full cycle of bookkeeping has some things in common with accounting, although bookkeeping vs accounting responsibilities are quite different, especially in large organizations. When it comes to small businesses and medium-sized companies, a full charge bookkeeper partners with a CPA (certified public accountant). CPAs are professional accountants who are more knowledgeable and skillful than most when it comes to preparing taxes. They collaborate with full charge bookkeepers usually on a quarterly basis and give them advice on how to file taxes correctly, calculate deductions, and use the correct forms. CPAs also stay up to date with updates to tax law, which is why their support is crucial for full charge bookkeepers. Depending on the company’s needs, full charge bookkeeper duties include organizing and managing the entire accounting team. Generally, a controller performs these types of accounting-related duties, but with additional educational courses and training, a full charge bookkeeper can also perform those tasks. In this case, a full charge bookkeeper will also work on operating budgets and payroll tasks.Educational Background for Full Charge BookkeepingBookkeeping doesn’t require formal tertiary education, although people who take on this position need to have a high school diploma and some basic bookkeeping knowledge. Unlike accountants, bookkeepers don’t need to go to college and get a degree, especially if they manage the books of less complex businesses. However, when asking how to become a full charge bookkeeper, things are a bit different. Most full charge bookkeeper jobs require a bachelor’s degree in accounting or business. Moreover, to perform complex accounting-related tasks and manage a company’s payroll, bookkeepers should get a license from either the American Institute of Professional Bookkeepers (AIPB) or the National Association of Certified Public Bookkeepers (NACPB). Both licenses prove that a full charge bookkeeper is qualified and has the requisite hours of experience to properly perform the job. Full charge bookkeepers are responsible for managing the general ledger, the most important business document for recording all the company’s sales and expenses. Any transaction your business makes must be documented in a general ledger. At the end of the month, the entries must be reviewed and adjusted. The full charge bookkeeping process includes analyzing and adjusting general ledger entries if needed. For this, a full charge bookkeeper should be able to work with accounting software. When Should You Hire a Full Charge Bookkeeper?The main duties of a full charge bookkeeper are to handle accounting-related tasks in your company and provide financial reports to managers and business owners. Considering its role, the first thing you should do before hiring a full charge bookkeeper is to see whether or not your business needs it. The company's size, organizational structure, and the level of expertise required can help you make the right decision regarding a full charge bookkeeper. You also need to understand the roles of a full charge bookkeeper vs controller vs accountant and their inherent differences. Depending on your business’s needs, you can choose the right person for the job.  For example, some business owners are completely capable of managing advanced bookkeeping tasks without paying for someone else’s bookkeeping services. Thanks to a range of software products, you can quickly learn how to record transactions, manage your payroll, and keep the general ledger updated. With the assistance of an outsourced accountant, you probably won’t need to hire a full charge bookkeeper immediately. But as soon as the business starts growing, you won’t have time to manage your books while running day-to-day operations. Depending on the tasks that need to be done, you should decide whether you’ll hire a full-time or a part-time full charge bookkeeper.A full charge bookkeeper in a small company will work on regular bookkeeping tasks like recording and paying accounts receivable, managing payroll, and doing taxes. Small businesses benefit from full charge bookkeepers since they don’t need to pay for an accountant. Instead, the company hires a CPA when needed, mostly to help a full charge bookkeeper on tax returns, deductions, and payroll. A full charge bookkeeper will perform tax-related and payroll tasks for a fraction of what you’d need to pay for a full-time accountant. Medium-size businesses also benefit from full-charge bookkeepers. That’s because full charge bookkeeping includes high-level accounting tasks and managing the accounting department. If you have an experienced and educated full charge bookkeeper, you don’t need to hire a controller for this position.

By Danica Jovic April 15,2021

Payroll is one of the most important components of running a business. It can also be one of the biggest expenses. So what is payroll exactly? In a nutshell, the term refers to the total amount of wages that a company pays its employees. But running payroll involves complex calculations of the employees’ earnings and tax deductions. If this sounds complicated, that’s because it is. Luckily, we’re here to help you make sense of it all so that you can decide whether you want to take on these tasks yourself or leave them to the professionals.Payroll ExplainedUnderstanding payroll is essential to understanding the financial details of your business and remaining compliant with state and federal laws. In addition to calculating how much your employees need to be paid, payroll also refers to:    Calculating tax deductions Annual records of employee wages or the total payroll that includes the overall workforce costsHow does payroll work?Small business payroll processing starts the moment a company hires a new employee and ends with the conclusion of the employment period. During that time, the US payroll law obliges employers to ensure that employee payrolls don’t have any errors and are completed on time. For many business owners, doing payroll on their own is stressful and time-consuming, especially because they need to focus on other tasks. Using free payroll software products can simplify a company's payroll processing. However, these provide businesses with only the basic payroll features. Companies that have their own payroll sector sometimes use a combination of payroll and accounting software products to ensure accuracy when calculating tax deductions and conducting payroll preparation.What is the payroll process?Regardless of whether you’re planning to do your own payroll processing or hire someone else to do it for you, there are a few basics that you need to be familiar with. Collect information from your employeesBefore initiating payroll procedures, you need to decide how to pay employees for their work. There are two options. You can either pay annual salaries or hourly wages. Regardless of which option you choose, the total amount is referred to as gross pay, which is what an employee makes pre-tax and before subtracting deductions. Each employee needs to complete Form W-4, which includes their personal details and information about their federal income tax withholding. If employees change their marital status or have kids, the appropriate changes need to be made to the payroll, meaning that you should review the withholdings of each employee every year. Establish payment method and paydaysAnother important thing to decide is how you make payments. You may use paper checks or direct deposits, but it’s crucial to establish a regular schedule. It can be weekly or monthly, depending on each employee’s payroll status. Calculate employee time and overtimeIf you have per hour workers, you need to calculate the number of hours they worked. Most businesses use time tracking software for measuring working hours and employee productivity.When it comes to salary workers, you can ask them to use time tracking tools to calculate overtime and track their productivity. Calculate payroll deductionsThe next part in our payroll description relates to various deductions you need to make from your employees’ paychecks. Deductions are made in order to cover Social Security and Medicare taxes, which are also referred to as FICA taxes. FICA is short for the Federal Insurance Contributions Act, a payroll contribution for both employers and employees. These are the most common taxes deducted from the gross salary, but employees can ask for reimbursement of these deductions. FICA taxes and federal, state, and local taxes are also called payroll taxes. Additional deductions are made for income and unemployment taxes. Finally, there are the less common wage garnishment deductions that can cover anything from credit to bankruptcy payments.Calculate payrollWhen you are familiar with the payroll basics, you’re equipped to calculate your employees’ net salary. This is probably the most complicated part of the business because you need to know how to use the payroll formula and organize deductions. The first thing you need to do is to calculate gross salary and then start with the deductions. It’s easier to do payroll with software, but some business owners do it manually. Since you need to submit reports to the IRS, you need basic knowledge about tax laws. This is why many business owners leave payroll to professional accountants and managers. In order to define payroll, we also need to mention net pay. This is the employee’s gross pay after deductions. It shows on the employee’s pay stub, which can also include their gross pay, benefits, overtime, and reimbursements.Bottom line

By Danica Jovic April 18,2021

According to a statement published on April 26, Equiem has acquired the property management software of British Land. Equiem is a Melbourne-based company whose tenant-experience platform for commercial real estate is the most used in Australia. The terms of the contract were not disclosed in the statement. British Land is the biggest UK real estate investment trust, and it now has less than a 10% equity stake in Equiem. As for Equiem, the Australian company has acquired Vicinitee, British Land’s digital property management platform, a source familiar with the deal said. Gabrielle McMillan, Equiem's chief executive in New York, said that Vicinitee is a great addition to the company, as it can provide property owners with better real estate operations and improve tenants’ experience. "It's a digital interface for your building that becomes a remote control for all the things you need in a post-COVID world," said McMillan. With this contract, Equiem has increased its global reach to 500 real estate markets in Europe, Australia, and America and strengthened its partnership with British Land, the owner and property manager of the main office assets in London. The deal between Equiem and British Land is the result of the latest news and trends in property tech. In the first quarter of 2021 alone, this industry “had about 100 US equity financings totaling some $4.5 billion of investment and more than 40 M&A transactions,” the latest statistics show. Before the acquisition, HqO, another tenant experience platform, raised $60 million to expand its business. Similarly, View the Space (VTS), a real estate software provider, acquired Rise Buildings for $100 million. From the outset, tenant experience apps are used to provide tenants with information about important services, like the closest healthcare services, fitness centers, and restaurants to their property. Due to the COVID-19 pandemic, landlords and real estate professionals have started using these apps to simplify communication with their residents on managerial questions, like buildings maintenance and safety issues. With property management platforms, property owners can manage their rentals easier and faster. They can create leases, save the information of prospective tenants, and collect rental payments.

By Danica Jovic May 06,2021

Full-Time Employment Traditionally, full-time employment consists of 40 working hours per week. However, companies have some wiggle room to organize things differently and change the distinction between full- and part-time employees. According to the Bureau of Labor Statistics, a full-time job is any position with 35 or more working hours per week. However, this is not a law and serves solely for statistical purposes. Most companies require full-time employees to work from 32 to 40 hours a week. The Fair Labor Standards Act (FLSA) - the primary US employment law - does not specify full-time employment requirements, either, and leaves the exact parameters to employer discretion. Still, there is a statutory difference between a full-time and a part-time employee. First, we’ll look into what a part-time job is and what its benefits are. What Is a Part-Time Job? A part-time job is one with fewer working hours than a full-time position. It typically takes below 35 hours a week, sometimes taking just five or 10 hours. Part-timers usually need to keep a record of their working hours using time tracking software. The best thing about this type of job is its flexibility and the fact that the part-time workers do not necessarily have the same number of shifts or hours each week. Having a flexible schedule is probably the most advantageous difference between a part-time employee and a full-time employee for the former. Exempt and Nonexempt Employees If you were going through the ads on some job posting sites or filling out a job application recently, you probably came across these two terms. All employers are obliged to classify the positions they offer as exempt or nonexempt by the FLSA. Nonexempt employees are covered by FLSA rules, but those exempt aren't. Exempt Employees Employees working in positions excluded from minimum wage or overtime regulations are exempt. They must be given a salary, not an hourly wage. These positions are usually reserved for supervisory and executive staff, so if you’re asking, “What is the difference between a part-time employee and a full-time employee?” maybe ask if the job you’re applying for makes you exempt, too. Nonexempt Employees Nonexempt workers must be paid at least the minimum wage for each hour worked and at least 150% of their hourly rate for overtime hours. Thankfully, the right pay can easily be calculated with the help of the various payroll software. Both categories are taxed the same way, however. Why Is the Full-Time Employee Status Preferred? As we have previously mentioned, there is a legal difference between a full- and a part-time employee, and there are some benefits to the full-time status. Unlike the part-time employees, full-time workers have: Paid time off, including holidays and sick days An employer retirement plan Health insurance (life insurance, dental, vision) In terms of income, full-time workers are often paid better than part-time ones, especially if they have advanced skills. Full-time roles often come with more responsibility, but they also offer the employee lots of new opportunities and a chance to get an upgraded role or a promotion. Some full-time employees also have more access to further training or educational stipends, as well as employee discounts. Generally speaking, working conditions are more favorable for a full-time vs. a part-time employee. Job Security Job security is not the biggest distinction between a part-time and a full-time role. Some people might think of part-time employees as more expendable since they’re often earning less money and don’t have the same benefits as full-time employees. Also, full-time workers are more experienced and harder to replace, but job security is much more dependent on your company’s policies, as well as your personal efforts. Final Words We hope that we were able to untangle the classification of full-time and part-time workers and all of their divergences. It’s up to you to see which option suits you better. If you are still in school and need to attend classes, part-time hours are probably a better choice. If, on the other hand, you want a higher salary, advanced benefits, and a long-term career, you should apply for a full-time job for the opportunities it presents.  

By Danica Jovic May 07,2021