Under federal law, to calculate a nonexempt employee’s regular rate of pay, divide the weekly salary by the total number of hours worked. Multiply all overtime hours worked by the overtime pay rate. Under federal law, the total pay would be (regular pay rate x 40) + (extra hours x regular pay rate x 1.5). What is a payroll register and how to use one? Other exemptions exist, such as those for farmworkers and certain seasonal or recreational businesses. The FLSA narrowly defines exemptions, so employers should refer to the DOL for more specific guidelines. Our state payroll guides break down all laws and regulations that you’ll need to consider on a state-by-state basis, from minimum wage and overtime regulations to vacation accrual payouts. Check out our state payroll directory and click on your state for more information. Some employees may have different pay scales for different duties, such as sales vs back room. Are part-time employees entitled to overtime pay? The Department of Labor(DOL) requires most private employers to pay overtime instead of giving compensatory time. Even if your boss doesn’t approve the extra hours, they still must pay you for overtime. While it’s common in government jobs and […]

Once you have a handle on the day-to-day use of QuickBooks Online, try adding a few more tips and tricks to help you get the most out of the experience. For these tasks, you can download the “QuickBooks Accounting” app from the what is a special journal definition meaning example App Store, or the “QuickBooks Online Accounting” app from the Google Play store. Once you’ve logged in, you just need to hit the “+” symbol at the bottom center of the homepage, and you’ll pull up the main menu, which you can scroll through until you find the task you need. As you accept payment for any item in the inventory, the right expense account is updated and reflected automatically in taxable income. Tracking inventory as you sell them, entering the details in the right expense account and calculating taxable income at the end of the financial year can be very cumbersome manually. You can then share the invoice with clients through the mail or take a printout and send a hard copy. It allows you to run and view reports easily like the number of outstanding invoices, total amount due from clients and details of each invoice (paid or […]

Payment processing tools, payroll service, and other accounting software add-ons can simplify the process of accepting invoice payments online and paying your employees. Some accounting software like Freshbooks will save you time on invoicing and accounts receivable tasks by equipping you with automatic recurring invoices and late payment reminders. One of the easier cloud accounting interfaces to navigate, ZipBooks allows you to create records for contacts and items, send invoices, track time, projects, and tasks. FreshBooks is an affordable accounting solution that will help you wow your clients with stunning invoices, and the mobile app allows you to stay connected with your team and regulate the cash balance sheet quiz and test flow from anywhere. With cloud accounting and the QuickBooks mobile app, you can snap and save photos of your receipts wherever you are. Then you realize that this report is outdated and missing several important pieces of data, meaning it isn’t at all accurate. Cassie is a former deputy editor who collaborated with teams around the world while living in the beautiful hills of Kentucky. Focusing on bringing growth to small businesses, she is passionate about economic development and has held positions on the boards of directors of […]

Some assets are truly worthless when they’re no longer of use to your business. If there’s no resale market for your asset, it likely has a zero salvage value. The Financial Accounting Standards Board (FASB) recommends using “level one” inputs to find the fair value of an asset. In other words, the best place to find an asset’s market value is where similar goods are sold, or where you can get the best price for it. When you’re using straight-line depreciation, you can set up a recurring journal entry in your accounting software so you don’t have to go in and manually prepare one every time. You know you’ve correctly calculated annual straight-line depreciation when the asset’s ending value is the salvage value. It spreads the decrease evenly over the asset’s useful life until it reaches its salvage value. Sometimes, salvage value is just what the company believes it can get by selling broken or old parts of something that’s not working anymore. Salvage value is the monetary value obtained for a fixed or long-term asset at the end of its useful life, minus depreciation. If you choose, however, amounts spent for the use of listed property during a tax […]