SAFE Notes and Warrants Explained: How Founders Account for Caps, Discounts, and Dilution
Post-money SAFEs lock each investor's percentage at signing, so stacked SAFEs dilute founders. Model caps, discounts, and warrants before you sign.
#bookkeeping
Bookkeeping
Modern bookkeeping techniques using plain-text and automated workflows
Use Tax Explained: Why US Buyers Still Owe Tax When the Online Seller Charges Nothing
When an online seller charges no sales tax, you owe use tax to your state at your local rate. Here is how to self-accrue it each month.
What Is a Trial Balance? How It Prepares Your Balance Sheet and Catches Bookkeeping Errors Before Month-End Close
Total debits must equal total credits before you close — the trial balance proves it, then feeds your balance sheet.
Year-End Closing Checklist for Small Businesses: What to Reconcile Before December 31
Reconcile bank accounts, receivables, payables, payroll, and inventory before December 31 — plus the W-9s, 1099s, and IRS deadlines that close with the year.
Active Trader or Long-Term Investor? How the IRS Taxes Each (and Why It Matters Before Your Next Trade)
Investors face the wash sale rule and a $3,000 loss cap; qualifying traders who elect Section 475(f) get ordinary treatment with neither.
How to Handle Bad Debt Loops in QuickBooks: Write-Off, Recovery, and the Allowance That Never Clears
Book allowance estimates monthly, write off dead invoices with a Bad Debt credit memo, and reinstate before logging recoveries, or the allowance never clears.
How to Reconcile Afterpay and Klarna BNPL Under ASC 606: Variable Consideration and the Financing Component Most Sellers Miss
BNPL fees netted at the source understate revenue and break the IRS Form 1099-K tie-out — book gross sales with a refund liability instead.
Cost-Plus vs. Fixed-Price Contracts: Who Eats the Overrun, and How to Price Either One
Fixed-price puts overrun risk on you; cost-plus puts it on the client. Price either from burdened labor, add overhead recovery, and track each job weekly.
How to Track COGS for an Etsy Shop: Materials, Labor, Fees, and Shipping
Etsy fees are not COGS — they are Schedule C selling expenses. Track materials, labor, fees, and shipping per listing to price for real profit.
Marketplace Seller Accounting and 1099-K Reconciliation: Why Gross Payments, Platform Fees, and Processor Discrepancies Break Most Resellers' Books
A 1099-K reports gross payments, not profit. Book gross sales, deduct every fee, and reconcile payouts monthly to match IRS records.
The Payout Reconciliation Gap: Why Amazon, Shopify, and TikTok Shop Deposits Never Match Your Sales Records
Marketplace payouts are net settlements, not revenue — book gross sales, split every fee into its own account, and tie each deposit to its settlement report.
QuickBooks Books Close Pricing: Is It Worth It for a Small Bookkeeping Practice?
Books Close costs $8 per client per month after its free beta — worth it when it saves your practice more than a few minutes per close.