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  • 11 Business Facts You Won't Believe

    September 30, 2016

    11 Business Facts

    You Won't Believe these 11 Business Facts!

    1. Wal-Mart averages a profit of $1.8 million every hour
    2. Apple’s iPad retina display is actually manufactured by Samsung
    3. U.S. corporations are reportedly hiding $1.6 trillion in profits offshore
    4. Candy Crush brings in a reported $633,000 a day in revenue
    5. The most productive day of the workweek is Tuesday
    6. If Bill Gates were a country, he’d be the 37th richest on earth
    7. If you have $10 in your pocket and no debts, you are wealthier than 25% of Americans
    8. Seventy percent of small businesses are owned and operated by a single person
    9. The Rubik’s cube is the best-selling product of all time (The iPhone is second)
    10. The world’s 100 richest people earned enough money in 2012 to end global poverty four times over
    11. More than 80 million “mouse ears” have been sold at Walt Disney World to date

    Contact Us About Your Business, Finance, Accounting or Tax Needs

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  • Tax Preparation in 2016

    September 16, 2016

    Tax Preparation Services in North Royalton

    We are at the end of Q3 for 2016 and you need to be thinking about taxes for your business.
    We have put together 3 critical tax tips for Freelancers.

    3 Tax Tips for Freelancers

    Be accurate about your earnings

    Freelancers are susceptible to audits, so don't want make any big errors when it comes to reporting your earnings. Of course, you'll be getting 1099 forms from your clients, but only if you did enough work with them.

    If you've done a bunch of tiny jobs this year, the government wants to know about that income. Go back through your invoices and make sure you know what you actually earned.

    Know your deductions

    Deductions are business expenses you can deduct from your taxable income. For example, if you made $60,000 last year but spent $10,000 on business expenses, you only have to pay taxes on $50,000.

    Below are the most common deductions for a freelancer:

    • Office supplies
    • Books, magazines, reference materials
    • Telephone/Internet service
    • Promotion/advertising
    • Office rent
    • Gas and electric
    • Memberships
    • Messengers, private mail carriers, postage
    • Business insurance
    • Tax preparation
    • Travel
    • Business meals and entertainment
    • Equipment
    • Software
    • Business loan interest
    • Legal and professional fees
    • Taxes and permits
    • Home office space



    Be sure to talk to your tax professional before claiming major deductions, as there are often specific stipulations for each write-off. For example, if you're primarily working from home, you can only write off the amount of square footage that's used as a dedicated workspace.

    But claiming a crazy amount for certain deductions can trigger audits. If a deduction you're making seems unreasonable to you, chances are the government will think so too.

    Know your forms

    The government likes to make their forms extremely confusing & extremely similar. Here are the ones you should probably be familiar with:

    W-9: You should have already filled out this form for the companies who hired you. Just basic info here: social security number, name, address. Not a form you're going to have to worry about now.

    1099: This is the form your clients will send to you by late January or early February, assuming you did more than $600 worth of work for them. Again, this is a fairly simple form listing the amount of money the client paid you — also known as the amount of money you now owe taxes on.

    1040: You'll use this form to file your income taxes. There are three different types of 1040 forms: 1040, 1040A, and 1040EZ. They are basically the same thing. The only difference is the amount of information required to fill them out. For example, the 1040EZ form doesn't allow you to claim dependents. To keep things simple, just fill out the 1040 form. It has everything you need.

    Contact Us About Your Business, Finance, Accounting or Tax Needs

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  • Strategic Business Planning in Cleveland

    August 29, 2016

    strategic business planning

    Encouraging Effective Management Accounting


    Most discussions about managerial costing turn into comparisons of different costing methods & approaches. Previous costing solutions historically skipped the fundamental work for assessing their effectiveness against a set of concepts. Actually, it isn’t uncommon for the results from competing methods to point to contradictory decision alternatives. In the past experts have gone back and forth trying to push their preferred method without a principled basis to ground their approaches. This can be dangerous for achieving accuracy to support decision making.

    A good example is the use of simple activity-based costing. This method fails to consider the nature of costs. ABC lacks capacity information as well. The confusion is based on whether capacity resides in resources, activities, or both. Activities don’t have capacity of their own, activities merely consume resources.

    The profession must embrace a managerial costing principles based approach to cost modeling. This, of course, doesn’t mean that we are promoting a one size fits all approach to cost modeling or that every organization should perform cost modeling in the same manner. What it does mean is that managerial costing professionals can now assess how closely aligned their cost models are to the principles outlined in the Framework. If we collectively embrace these principles of managerial costing, then ultimately we must believe that principles are good for the profession and should be integrated into our practices.

    If we agree that establishing principles will encourage the revitalization of our industry, then we must dive deeper into understanding the principles themselves.

    Causality is the basis for all inferences in the scientific method. It is appropriate and essential, to apply causality to managerial costing, and as a principle it is the basis for discerning truth in cost modeling and its decision support information.

    This isn’t to say that management accounting is a science, but decision science, which managers apply in their optimization efforts, is dependent on cause-and-effect insights. The Framework defines the principle of analogy as “the use of causal insights to infer past or future causes or effects.” Thus analogy “applies when insights are used and inferences are made about known cause and effect relationships.”

    Given that these principles are self-evident, cost models that are consistent with causality and analogy would naturally provide information that aids managers’ decision making needs. Most current methods don’t consistently follow causality. As a result, they don’t produce efficient & reliable cost modeling solutions nor the clear, causal insights that decision makers need to perform their most important work.

    As an example, the CPA exam still teaches students to allocate all overhead costs from manufacturing support into one main manufacturing cost pool. This means that fixed overhead can no longer be analyzed in a meaningful way. Fixed and variable costs aren’t separated. These issues plague management accounting. These problems are even worse when we consider that textbooks defer to GAAP principles rather than principles needed for internal decision support when teaching traditional standard costing. They teach some adjustments from GAAP for management analysis but don’t teach any principles for internal decision support.

    The 2012 survey indicated that the availability of investment funding in relevant cost modeling technology wasn’t a significant financial constraint for most companies, but companies were reluctant to invest in new cost modeling methods. We believe these survey results may reflect increasing levels of regulation that have created commensurate amounts of uncertainty, effectively stalling investment.

    This may indicate a lack of proposals to justify improving cost information or the possibility that accounting and finance professionals lack the knowledge to provide an effective cost information solution. One approach already exists: resource consumption accounting, that has the ability to encourage the healthy promotion of management accounting’s role. This principles-based managerial costing approach completely conforms to the Framework but is now sparsely employed in practice. The 2012 survey reveals the gap between managerial costing’s problems and the practices needed to effectively achieve improved results.

    For more information on Strategic Planning Click Here.

    Contact Us About Your Business, Finance, Accounting or Tax Needs

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  • 3 Tips for Financial Planning in Your 40's

    August 15, 2016

    Finacial Planning in Your 40s

    If you're in your 40s, you are at a time in your life when you should be doing financial planning for your future and your family's future. Many people in their 40s say they need to be saving for college tuition for their kids, putting money into a retirement account and at the same time buying a house or saving for a down payment. Financial planning experts can help you see where your savings should be going. Not having a financial plan is worse than having a bad plan! These financial planning tips are meant to help people in their 40's find balance in their lives with spending and debt.

    The Tips

    Establish an Emergency Fun

    You should have three to six months of income in an account that's safe and liquid. You should also have in that account savings for planned expenses. For instance, if you know you will go on vacation next year, you should be setting aside money for that in your savings account. There's no right or wrong answer about how much cash to have on hand, but you need to be prepared in case your engine goes out or you lose your job.

    Eliminate Credit Card Debt, Student Loans and Medical Bills

    If you have credit card debt, you need to pay that down as quickly as you can. If you have student loan debt, then you should first look to see if it's tax-deductible based on your tax bracket. If not, then you should pay that off as soon as possible. In addition to financial planning, you should check the interest rates on your credit cards & student loans to see if you can get lower rates. If you have a lot of debt, you should be using all available funds to pay it off. If you have a little bit of debt you should use one-third to pay down that debt, and then use the rest for retirement savings.

    Max Your Employers 401K Match

    In your 40s, you should at least be saving as much in your 401(k) as your employer matches. Even if you weren't making any profit on that investment, your money doubles just because of the employer match. Every employer has a different retirement plan, you should find out how much you can contribute, and maximize your contributions up to that limit. People in their 40s can contribute up to $18,000 in a tax-deferred 401(k) in 2015.

    For more information on Financial Planning Click Here.

    Contact Us About Your Business, Finance, Accounting or Tax Needs

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  • Financial Planning: Helping You See the Big Picture

    July 29, 2016

    Financial Planning

    Do you picture yourself owning a new home, starting a business, or retiring comfortably? These are a few of the financial goals that may be important to you, and each comes with a price tag attached.

    That's where financial planning comes in. Financial planning is a process that can help you target your goals by evaluating your whole financial picture, then outlining strategies that are tailored to your individual needs and available resources.

    Why is financial planning important?

    A comprehensive financial plan serves as a framework for organizing the pieces of your financial picture. With a financial plan in place, you'll be better able to focus on your goals and understand what it will take to reach them.
    *There is no assurance that working with a financial professional will improve investment results.

    Common financial goals

    • Saving and investing for retirement
    • Saving and investing for college
    • Establishing an emergency fund
    • Providing for your family in the event of your death
    • Minimizing income or estate taxes


    One of the main benefits of having a financial plan is that it can help you balance competing financial priorities. A financial plan will clearly show you how your financial goals are related--for example, how saving for your children's college education might impact your ability to save for retirement. Then you can use the information you've gleaned to decide how to prioritize your goals, implement specific strategies, and choose suitable products or services. Best of all, you'll know that your financial life is headed in the right direction.

    The financial planning process

    Creating and implementing a comprehensive financial plan generally involves working with financial professionals to:

    • Develop a clear picture of your current financial situation by reviewing your income, assets, and liabilities, and evaluating your insurance coverage, your investment portfolio, your tax exposure, and your estate plan
    • Establish and prioritize financial goals and time frames for achieving these goals
    • Implement strategies that address your current financial weaknesses and build on your financial strengths
    • Choose specific products and services that are tailored to help meet your financial objectives*
    • Monitor your plan, making adjustments as your goals, time frames, or circumstances change

    Some members of the team

    The financial planning process can involve a number of professionals.
    Financial planners typically play a central role in the process, focusing on your overall financial plan, and often coordinating the activities of other professionals who have expertise in specific areas.
    Accountants or tax attorneys provide advice on federal and state tax issues.
    Estate planning attorneys help you plan your estate and give advice on transferring and managing your assets before and after your death.
    Insurance professionals evaluate insurance needs and recommend appropriate products and strategies. Investment advisors provide advice about investment
    June 27, 2016 Page 1 of 2, see disclaimer on final page
    options and asset allocation, and can help you plan a strategy to manage your investment portfolio.
    The most important member of the team, however, is you. Your needs and objectives drive the team, and once you've carefully considered any recommendations, all decisions lie in your hands.

    Why can't I do it myself?

    You can, if you have enough time and knowledge, but developing a comprehensive financial plan may require expertise in several areas. A financial professional can give you objective information and help you weigh your alternatives, saving you time and ensuring that all angles of your financial picture are covered.

    Staying on track

    The financial planning process doesn't end once your initial plan has been created. Your plan should generally be reviewed at least once a year to make sure that it's up-to-date. It's also possible that you'll need to modify your plan due to changes in your personal circumstances or the economy. Here are some of the events that might trigger a review of your financial plan:

    • Your goals or time horizons change
    • You experience a life-changing event such as marriage, the birth of a child, health problems, or a job loss
    • You have a specific or immediate financial planning need (e.g., drafting a will, managing a distribution from a retirement account, paying long-term care expenses)
    • Your income or expenses substantially increase or decrease
    • Your portfolio hasn't performed as expected
    • You're affected by changes to the economy or tax laws

    Common questions about financial planning

    What if I'm too busy?

    Don't wait until you're in the midst of a financial crisis before beginning the planning process. The sooner you start, the more options you may have.

    Is the financial planning process complicated?

    Each financial plan is tailored to the needs of the individual, so how complicated the process will be depends on your individual circumstances. But no matter what type of help you need, a financial professional will work hard to make the process as easy as possible, and will gladly answer all of your questions.

    What if my spouse and I disagree?

    A financial professional is trained to listen to your concerns, identify any underlying issues, and help you find common ground.

    Can I still control my own finances?

    Financial planning professionals make recommendations, not decisions. You retain control over your finances. Recommendations will be based on your needs, values, goals, and time frames. You decide which recommendations to follow, then work with a financial professional to implement them.

    Contact Us About Your Business, Finance, Accounting or Tax Needs

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  • What You Should Do About Student Loan Debt

    July 14, 2016

     Student Loan Debt: We Can Provide the Decision-Making Details You Need

    Did you know that the average student loan balance is $24,803? Student debt is taking a heavy toll on borrowers, according to an American Institute of CPAs survey, which found that 75% of respondents or their children had made personal or financial sacrifices because of monthly student loan payments. Sacrifices included putting off saving for retirement (41%); delaying car purchases (40%); postponing a home purchase (29%); and even waiting on marriage (15%).

    Among the most troubling findings were that only 39% fully understood the burden that student loan debt would place on their future and 60% had at least some regrets about their decisions on financing their education. That’s why it’s always critical to understand the full potential impact of all your financial choices. The good news is that your CPA can help. Contact us with all your financial questions and we’ll provide the knowledge and insights you need to make the best decisions for you.


    Learn more about Student Loan Debt Here.

    Contact Us About Your Business, Finance, Accounting or Tax Needs

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  • How To Build a Financial Safety Net

    July 12, 2016

    Financial Safety Net - Financial Planning

    When an emergency happens, you don't want to scrape money from your piggy bank. If you already have a financial safety plan in place, then your protected from your next financial emergency. Setting up a cash reserve of readily available money will help you get through the toughest emergency.

    How Much Money Should I Save For Emergencies?

    Most financial planners recommend saving three to six months of living expenses set aside for an emergency cash reserve. The amount of money you save is different for every household and it should be based on your living circumstances. A few questions you should ask yourself are: Do you have a mortgage on your home or do you owe money on other loans? Do you have any long-term or short-term disability insurance? Are you making any payments to your child's orthodontics? Are you making monthly car payments? Some other factors you should consider include your job security, health issues, and your current income. If you don’t have an emergency fund for disasters, then it will be financially devastating.

    How To Start A Cash Reserve For Emergencies?

    If you don't have a cash reserve or if your cash reserve is insufficient, then you should follow these simple steps to get started:

    • Aggressively save your money, by using payroll deductions at work or add a savings plan to your household budget.
    • Cut back on eating out, going to the movies, buying lottery tickets and other splurges that you don’t really need.
    • Use existing assets or liquid assets (e.g., cash on hand or assets that convert to cash within a year, such as a short-term bank certificate)
    • Utilize earnings from other investments (e.g., mutual funds, stocks or bonds)
    • Check into other resources you might already have. (e.g., Do you have an insurance policy with a cash value that you can borrow money from?)


    A reminder: You could use your credit line as another source of funds for an emergency. However, when you borrow money it must be paid back. Usually, high interest rates are added to the borrowed money. Financial planners do not recommend using lenders as your primary resource for cash reserve.

    Where Do I Keep My Cash Reserve?

    Make sure your cash reserve is readily obtainable for emergencies or disasters. Most people think an FDIC-insured savings account that doesn’t accumulate much interest is their only option. However, there are several outstanding options and they all have different advantages. If you look into money markets and short-term bank CD’s it typically offers higher interest rates with little risk compared to low interest savings accounts.

    A word of caution: Do not get money market mutual funds confused with money market deposit accounts. Money market mutual funds are not insured by the FDIC. Although the mutual fund seeks to preserve the value of your investment you could still lose the money, when you invest in a mutual fund.

    If you’re considering a money market mutual fund, then don’t forget to read the small print from the fund’s pamphlet or brochure. Ask your financial advisor for the brochure that outlines the fund’s investment objectives such as the risks, fees and expenses. Read all the objectives, before you invest you money into these funds.

    CD’s will return your principal plus interest by a certain date, but they will also impose a large penalty if you withdraw it before maturity. If you plan on using a fixed-term investment for a cash reserve, then it is wise to stagger the maturity dates in a short period of time. The recommend time period to stagger maturity dates is between two to five months. Staggering maturity dates will ensure the availability of funds so you won’t receive a penalty for early withdrawal.

    Evaluate Your Cash Reserve Often

    We all know that our personal and financial situations change year to year. A new baby or a new home will increase your expenses. Most financial consultants advise their clients to review their finances annually. Your cash reserve should be your protection against financial devastation.

    Financial Planning Services are best done by someone who knows what they are doing and has done it for years!

    Contact Us About Your Business, Finance, Accounting or Tax Needs

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  • Looking for Financial Help? Call Big

    March 5, 2016

    Looking for Financial Help? Call BIG

    Have you thought about opening your own business or buying an existing company?
    While the idea may have crossed your mind, you may be a bit hesitant for any number of reasons. Among those reasons may be worries over finances, taxes and cash flow.
    If you’re contemplating a trip on that bumpy road, you’ll need someone who you trust that has a road map. That’s where BIG Financial and Advisory Services can help you. They’re located at 8043 Corporate Circle, Suite 2 in North Royalton.

    BIG can help you get your business off the ground.
    Or if your small or medium sized business is drowning in a sea of red ink, they can help you to right the ship.

    Co-founders Jim Bonvissuto and Patti Sours, both CPAs, had a vision when they started the company in 2002. “We wanted to bring our executive level of expertise in working for Fortune 500 companies, large firms and private concerns, to small and medium-sized businesses at a reasonable price. But it wasn’t easy in the beginning. We started off marketing traditional CPA and tax services to individuals and businesses.
    We found a niche in turn-arounds and courtappointed receiverships for businesses in financial trouble. That led to a client base.
    Working with the owners of these businesses also led us to a service offering of tax and financial planning to individuals and businesses” said Jim.

    BIG helps long-standing businesses with finances and taxes, but Jim and Patti can help the entrepreneur get started. They utilize their experience from starting their own business 14 years ago, as well as the knowledge they gained working with many startup businesses, to help the new entrepreneur avoid some common start up problems.
    “While the entrepreneur is developing a market, selling his or her services, we can handle the financial side of things,” said Jim.
    “We’ve been where the business owner has been, as an employee, as a manager, as an owner and as a consultant. We’re able to pair that with both operational and technical knowledge. We can put systems in place to help companies in trouble or to those just getting started,” Bonvissuto said.

    Jim has been in this part of Cuyahoga County for many years. He graduated from Parma High School. He did his undergraduate work at Cleveland State and got his MBA from Baldwin-Wallace.

    He was involved in building homes in this part of the County and liked this area so much he decided to open his business in North Royalton.

    Another important part of Jim and Patti’s business is helping businesses and individuals with financial and estate planning plus income tax preparation and planning services. Patti is also a Personal Financial Specialist (CPA/PFS) “Depending upon your age, there are different financial goals to consider. For example, in your 30s you may consider saving for a home, or getting your kids set up for school. If you are in your 50s, you may look at preparing for your retirement. It seems that every 10 years or so, our financial goals seem to change. We can help you with all of those choices,” said Jim. For Jim Bonvissuto, terms like honesty and trust are not just words, but are at the core of his business. “Those words are important in every client relationship that we have,” said Jim. “Our steadiness and voice of reason is of utmost important to all of our clients.”

    BIG Founders, Jim Bonvissuto and Patti Sours, bring executive level of expertise in working for Fortune 500 companies, large firms and private concerns, to small and medium-sized businesses at a reasonable price.

    To get a hold of Jim Bonvissuto or Patti Sours, you can e-mail them at jbonvissuto@bizimprove.com or psours@bizimprove.com. Their phone number is 440-884-1400.
    You can also fill out the “Contact” page on their website www.bizimprove.com.

    Originally Published in the Royalton Recorder of North Royalton, Ohio.

  • Pay Less Tax and Save For Retirement

    March 4, 2016

    PAY LESS TAXES TODAY WHILE SAVING FOR RETIREMENT

    “The more money I make, the more taxes I have to pay, so how can I save for retirement?!”

    YES you can pay lower taxes and save for retirement at the same time for example through income deferral and tax-free income generating “vehicles”.

    Sheltering your earned income involves employing one or more tools to minimize your current federal tax burden. There are different types of income, but earned income may be defined as wages, salaries, tips, and other employee compensation, plus net earnings from self-employment. Although numerous opportunities exist to shelter earned income from taxes, the more widely used methods include making contributions to traditional deductible IRAs and participating in employer-sponsored retirement plans. By contributing to retirement “vehicles”,
    you lower your current taxable income.

    Although income is usually taxable, there are a number of vehicles that can produce taxfree or nontaxable income. You may be able to enjoy some portion of your income, tax free, by switching some of your investment money to these vehicles. Vehicles to consider include Roth IRAs and tax-exempt bonds.

    How much income do I need for retirement?
    It’s common to discuss desired annual retirement income as a percentage of your current income. Depending on who you’re talking to, that percentage could be anywhere from 60 to 90 percent, or even more.

    Calculate the gap.
    Once you have estimated your retirement income needs, take stock of your estimated fu- ture assets and income. These may come from Social Security, a retirement plan at work, a part-time job, and other sources. If estimates show that your future assets and income will fall short of what you need, the rest will have to come from additional personal retirement savings. 

    What works for one person isn’t always the best for another.
    Every individual and family has different goals and circumstances to be considered. The cliché of “one size fits all” isn’t the right solu- tion when you’re talking about your financial future. With all the options out there: Traditional IRA; Roth IRA; Employer plans such as 401(k), 403(b), 457(b); Annuities, Life Insur- ance, Mutual Funds, etc., how do you know what is right for you?

    We are happy to help determine the best way for you to meet your goals for retirement planning, tax planning, and small business ac- counting. We are currently offering a 20% discount for tax preparation services to new clients, both individual and business. Call 440-884-1400 today for more information.

    Originally Published by the Gazette Newspaper in Brecksville, Ohio.

  • 2015 Tax Brackets. What Are they?

    February 23, 2016

    What are the tax brackets from 2015?

    Wondering what you are expected to pay based on the Tax Bracket you were in for 2015? Check it out here.

    Filing Individually
    Individual Tax Filing Brackets

    Married Filing Jointly
    Married Jointly Tax Filing Brackets

    Married Filing Sepearately
    Married Filing Separately Tax Filing Brackets

    Head of Household
    Head of Household Tax Filing Brackets

    Trusts and Estates
    Trusts and Estates Tax Filing Brackets

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