Tag Archives: finance

Cash Flow Problems? It Could Be Your Employees

Cash FlowCash flow – it is always a business’s sticky situation. Many things can cause it to disappear very quickly. One of these is your employees.

How can employees drain your business financially? Here are two ways.

Employee Theft

Many employees steal. In fact, more than 70 percent of them do it. They are also doing it habitually. In a 2017 survey by the National Retail Federation, the inventory shrink rate went up. About 36 percent of it was due to shoplifting while 30 percent was because of employee theft.

The average cost per employee theft was almost $2,000.

Solution: Implement penalties or punishments against those who steal. Since employees are more likely to steal a lot of money through manipulating the accounting books, businesses should invest in online bookkeeping app or software to establish control, accountability, and automation.

Employee Turnover

Businesses lose employees for a wide variety of reasons. Some of them leave due to better work opportunities. Others you have to terminate because of poor conduct or work ethics. Either way, you are bound to lose money.

In 2012, the Center for American Progress published a paper concerning the high cost of employee turnover, especially for high-skilled work. It can be as much as 213 percent the annual salary for the position. Overall, it can be between 10 and 30 percent.

Meanwhile, a bad hire could cost the business around 30 percent of the employee’s earnings for the first year. The spending usually goes two things: the re-hiring process and retraining. However, a high employee turnover rate can also affect productivity, which also translates to more losses.

Solution: Set up an employee retention program. Constantly measure the turnover rate and, most of all, know the reasons. This way, you have better knowledge on how to manage the problem.

There is no foolproof plan to avoid these two employee-related issues, but you can minimize them from happening. Most of all, you can learn some ways to protect your cash flow as much as possible.

Mortgage Loans Dos and Don’ts: The Home Buyer’s Guide to Getting Approval

man wearing a suit sitting in a table showing a mortgage loan contract and where the signer must signBuying your first home can be horrifying. With all the paperwork, the potential rejections that you will encounter, and the fact that this will probably be the biggest purchase of your life, you would quickly assume that this process isn’t for the faint-hearted.

Suppose you have great credit and no history of bankruptcy on your record, there are a few tricks you can use to boost your odds of getting approval. Here are some dos and don’ts to secure a loan as recommended by American Loans, a top mortgage company in Salt Lake City:

DO save for a down payment early.

Usually, lenders would ask a down payment of 20 percent, but there are also lenders with programs that would go for as low as three percent. However, these programs would equate to higher costs and insurance. Saving up early would help you get the approval and save on extra fees.

DON’T forget to check your credit score.

Your credit will determine the interest rate and your loan terms. Before you begin this process, don’t forget to check your credit. If there are errors that you need to discuss, do it early. In addition, look for opportunities to improve your credit.

DO compare mortgage options.

You will find yourself bombarded with a lot of loan programs, that’s why it is good to do research which ones will be perfect for you. Check if you can afford large monthly payments right now, or if you can afford to do so in the future, this information would determine which program you should be going for.

DO get a preapproval letter.

Getting prequalified would just mean knowing the amount the lender can give you based on the information that you have. It’s smart to get preapproved. It can help you look more credible to sellers and even give you an advantage.

If anything goes downhill, let it be the push for you to work on your credit and finances the next time. Look for the things that you didn’t see the last time. You can find other people you have been rejected multiple times but got a house in the end. All you have to do is to start a plan and work hard for it.

The Cash Loan Practices Smart and Savvy Borrowers Have

Approved LoanThe remaining controversial and stereotypical attitude towards personal loans, such as cash loans and payday loans, doesn’t eliminate the fact that the demand for these financial services continues to grow. With the ease of application and speed of approval, it should no longer come as a surprise that many consumers still opt for this type of quick cash assistance.

The key to being a successful borrower in Sandy, Utah is having a better understanding of cash loans. Note that many borrowers found and continue to find these financial products a big help in times of need. That's because they implement the following smart and savvy borrowing tactics, which you should use as well:

Exploring all options first

The first thing you should do is know your financial situation and find out what viable options are available. Base this on the amount of money you need and how soon you need it. In case you need it as soon as possible and you don’t need something as big as the minimum loan amount most traditional lenders offer, then a cash loan may be the right solution.

For instance, you can’t afford to wait for weeks because you have to pay for something the next day and the guaranteed income you have won’t come in until after several days. In this case, a quick cash loan can save you from bigger financial troubles.

Understanding that lenders vary

Like with any other lending institution, lenders that offer cash loans charge varying rates for their services. As such, you should treat it the same way you do banks and credit unions. Perhaps you need the money as soon as possible, but you should still take some time to find a lender who offers the best rates. Even a tiny difference matters.

It’s easy to remain a responsible borrower and pay off your cash loan, as long as you maintain the proper borrowing attitude. Use this guide to achieve your financial goals.

Dealing with Your Insurance Company After a Disaster

Man suffering whiplash after a car accidentIf your property gets damaged or destroyed by fire, you will be looking into filing for an insurance claim. Sadly, not everyone is successful in their fire damage insurance claim. As fire becomes more rampant in certain locations, many insurance companies may find a way to grant you as little as possible in an attempt to cut back on expenses.

United States Adjusters suggests that you keep these things in mind when dealing with your insurance company:

List Everything Lost and File Your Claim Immediately

List everything you lost in the fire while you are still able to remember them. It will also be easier to prove that you’ve lost the items listed if the insurance adjuster can see it for himself, so don’t throw anything until your insurance claim is approved.

Furthermore, be sure to inform your insurance company of the type of loss you have suffered right away. In fact, there is a required allowable time to report the incident after it has happened. You will need to prepare your proof of loss claim, which should include everything you have lost with their corresponding value.

You will also need to include the following information in your claim:

  • The date the incident happened
  • Type of loss or damage
  • Location of damage
  • Injuries incurred from the incident
  • The current condition of your property
  • Detailed description of the damaged items
  • Indicate if temporary repairs are needed or not
  • A police or fire report

Request For an Advance

After filing for a fire insurance claim, you must request for an advance against your eventual claim. As you most likely didn’t have time to grab anything from your home, especially the basic necessities, you need money to buy important items, such as toiletries and clothes. But be reasonable when buying stuff because if you try to overspend, you will be paying the difference.

Keep an Eye on Your Living Expenses

You are entitled to living expenses reimbursement because of the “loss of use” clause in your policy. This, however, will only cover the difference between your daily living costs at home and your costs while displaced.

Be as thorough and organized when claiming insurance for fire damage. Keep track of all correspondence with the insurance company, including emails, calls, and letters, as you may need these to show who said what to whom and when it was said. This will save you from a lot of hardship in the long run.

4 Signs that Say You Need Help With Your Taxes

Income Tax Consultants Taxation law is a hard topic to wrap your head around.  There are so many regulations that can be hard for the layperson to understand. While some people can handle the process of filing their taxes, individuals in more complex financial situations might just need to outsource the task.

There are many income tax consultants in New York. If your finances are just too complicated, it could be time to get help from one of them. In this article, you will find four telltale signs that indicate that you need professional advice to file your returns.

  1. You Don’t Have the Time

If you just can’t find the hours in your schedule to do your taxes, ask for help. According to the Internal Revenue Service survey, it takes an average of 16 hours to prepare your accounts to file a return. If your schedule is too tight to fit in the hours required, it could be time to hire the professionals.

  1. You’re Not Computer Savvy

The IRS created E-filing to make life a bit easier. The key phrase is “a bit”. A filer must be able to understand how the system works and how they should go about submitting their filing online. For someone who has no interest in learning how to do it, they should consider outsourcing the task.

  1. You Have Multiple Income Sources

Freelancers, consultants, and individuals with multiple income streams might do well with an audit from a tax consultant. Tax returns for individuals with multiple-income streams are much more complex than those for individuals with only one income stream. A tax consultant can be a big help for individuals who manage multiple responsibilities.

  1. You Must be Accurate

You should always take care to represent yourself accurately to the IRS and ensure that you pay the right taxes. By filing through tax professionals, you are spared the worry of erroneously filing your taxes.

Filing for tax in the US is a national event, in large part because it can be complex and daunting. However, as a responsible citizen, it is crucial to follow all regulations and to file correctly. When you hire a tax consultant, you can eliminate hours of agonizing over regulations and enjoy the satisfaction of knowing that your taxes have been filed perfectly.

Top 4 Advantages of Getting a Financial Adviser

financial adviser in Ogden
Financial advisers do more than just give you expert advice based on their years of experience. They also conduct a ‘fact find’ service for you. This is where they ask you questions about your financial situation as well as short-term and long-term financial goals. They also gauge how you feel about taking financial risks before offering their financial recommendations. Here are four great advantages you can enjoy if you hire a financial adviser.

More choices and access to financial products

A financial adviser can offer you more than just tailor-fit choices for your financial goals, but also more choices than you can ever find if you venture on your own. The great thing about these tailor-fit financial products is that they suit your needs and goals based on your financial advisor’s assessment of your situation and risk behavior.

More protection

If you buy products or go on deals based on the recommendations of your financial adviser, you’re also better protected if things go wrong. For instance, you can file for a case of “mis-selling” if you end up buying a product that is unsuitable for your needs. However, this doesn’t mean you can recover losses based on market performance. Comparing it to a scenario wherein you have no financial advisor to turn to, you end up with fewer rights that you can use to file a compensation claim when things go wrong.

More knowledge and skills

It is always advisable for first-time investors to hire a financial adviser to lessen the risk of losing money they can’t really afford to lose. Hiring a financial adviser helps you gain more knowledge and skills that can help you understand the difficulties of not just investments, but also insurances and mortgages that you cannot gain if you go DIY.

More convenience. If you have a tight schedule, but still want to invest, having a financial adviser can do the research and legwork for you. Having a financial adviser on board can help you determine if you are on track when it comes to retirement plans and other investments that you wish to make. While you can always go through your entire portfolio and plot your next financial move, many people don’t have the time that they let the experts do the job.

Hiring a financial adviser like Wasatch Peaks Credit Union can help you better understand and work around mortgage rates in Ogden without fear of bankruptcy. A financial adviser can also give you peace of mind so you can enter into a deal with more confidence.

Which Type of Construction Loan is Perfect for You?

Construction LoansUnless you are going to pay off your construction project with cash, a construction loan is a prerequisite to pay for the labor and materials. American Loans notes that a construction loan in Utah is somewhat more challenging compared to the traditional mortgage loan because you are borrowing cash for a building that isn’t built yet. Essentially, they work like credit cards, but the bank will control when you can borrow the money and when they can release it to the contractor.

Choose from the following kinds for your project:

One Time Close Construction Loans

One time close construction loan is the most preferred loan of the consumers, but it is now difficult to find a lender that offers still offers this. Lenders mostly call them construction to permanent loans or all in one loan for these combine both the mortgage and construction loan in just a single loan. This kind of loan is ideal for those who already have finalized the schedule, costs and design because the terms are not easily changeable.

Two Time Close Construction Loans

Meanwhile, two-time close construction loans are two separate loans. They consist of a permanent mortgage loan for the completed building and a short-term loan for the construction part of the project. The project owners have to refinance as soon as the building is done and would need to get approval, as well as, pay for the closing costs again.

During the construction part of the project, the owners only have to settle the interest of the money paid out. Their payments will be small, but it will grow as the lenders disburse more money. The loan will have a certain duration before the penalties begin.

Both types of construction loans have its own advantages and disadvantages. Figure out what’s best for you and your completed project in the long run.

Loan Application 101: Choosing Between Mortgage Broker or Bank

BankYou likely have to consider applying for a loan if you are planning to purchase a house. However, before you do that, you must evaluate the market condition and choose a loan that offers the lowest interest rates and meets your requirements.

In Salt Lake City, notable mortgage brokers explain that many first-time home owners find it difficult to understand the complex process of applying for a home loan. Additionally, getting a loan involves a number of steps and if you do not understand the nuances, chances are there you will be paying a higher rate of interest.

Here are some of the benefits of hiring a mortgage broker when applying for a home loan.

Thorough knowledge of the market: As a first-time home owner, you may not be well aware of the real estate market. A mortgage broker will be able to guide you from selecting a house to applying for a loan.

Familiarity with the market rates: Interest rates vary based on location, loan amount, and whether you are applying for a loan with fixed or floating rate of interest. A mortgage broker will help you choose a loan based on your financial condition and prevailing market rates.

So if you are considering purchasing a home for the first time it is good idea to consult a mortgage broker.

Advantages of Taking a Loan from a Bank

When you apply for a loan from a bank, you’re rest assured about the credentials of it as a financial institute. The only disadvantage of taking a loan from a bank is that the application process and the release of funds will be much more conservative. However, if you are not in a hurry you can always make this a viable option.

Whether a mortgage broker or a bank, the point is to decide on getting a loan from a financial institution that meets your requirements.

Accountants Saving the World from the Effects of Capitalism

AccountantIn the big screen, the heroes you see have super strength, speed and agility. They are equipped with lethal weapons to stop villains in their tight colorful spandex pants and have masks to keep their real identity.

Here on the other side of the silver screen, the heroes are on a 9 to 5 work schedule, with coffee in one hand and a calculator in the other. Wearing their suit and tie, you won’t mistake them for a bird or even a plane. They are accountants.

The growth of the global economy is attributed to the wealth and progress of nations and corporations. This endless growth made the world realize that the natural resources are thinning and societal crisis is spreading. The latter is a huge price for comfort and it cannot be risked.

The Income Tax Professionals Ltd agrees that accountants provide practical and helpful advice to manage the world’s resources in an affordable and professional way. They are in a perfect position to help clients identify problems, recommend opportunities and decrease costs. But now, the accountant’s role is moving beyond traditional areas of accounting and finance.

Saving the Planet

With the market contributing to the environmental problems of the planet, companies are adjusting accounting standards and reporting to address companyies’ performance in environmental matters and social issues that affect them. The number-crunching heroes can do more than reduce costs, file tax returns, and manage payrolls.

The accounting profession plays an important role in bringing energy efficiency issues to people’s attention. Accountants are in a prime position to help companies pursue “greener” processes to deliver long-term value and manage risks for customers and shareholders.

Accountants use their analytic and risk management skills to help organizations focus on better strategies for operation. With the management not so keen on environmental factors, accountants can assist them to move past organizational barriers and recognize the need to focus on environmental and societal benefits while getting return on investment.

New accounting standards are taking into account the issues of capitalism to the environment. Integrating the non-financial factors in reports, statements and GDP figures will address the crisis the world is facing.