Plain-text accounting insights, tutorials, and updates from the Beancount.io team.
Many states bar licensed professionals from forming a plain LLC — you need a PLLC or professional corporation, and neither shields your own malpractice.
A $1M–$5M business pays $300–$1,500 a month for outsourced bookkeeping, ~$6,000 fully loaded in-house, or $3,000–$8,000 for a fractional CFO.
Negative retained earnings — an accumulated deficit — means lifetime losses and payouts exceed profits; only future earnings reverse it.
Gifts within 60 months of applying delay Medicaid: transfers divided by your state divisor equal penalty months. Spouses and disabled children are exempt.
Filing separately beats jointly when one spouse's medical bills clear the IRS 7.5% AGI floor or IDR loan payments drop — run both returns and compare.
ISOs skip regular tax at exercise but trigger AMT; NQSO spreads land on your W-2 as IRS wages. Plus the $100k rule that converts ISOs to NQSOs.
Since Visa's Level 2 sunset, only verified Level 3 line-item data earns preferred B2B rates — everything else clears at higher standard commercial interchange.
The IRS home office safe harbor pays $5 per square foot, max $1,500 — take it when your housing costs run under $5 per foot; otherwise run actual expenses.
Held for sale freezes depreciation once all six criteria are met; discontinued operations further requires a disposed component that is a strategic shift.
If your agency controls client media before it reaches the client, ASC 606 says you are a principal — the full billing is your revenue.
Gross margin tests your pricing, operating margin tests your overhead, net margin tests the bottom line — track all three monthly to find the leak.
Garage liability pays for harm your work causes others; garagekeepers pays for customers' cars in your care; cargo covers freight you haul.
