In accrual-basis accounting, timing is everything. One core principle of U.S. Generally Accepted Accounting Principles (GAAP) is the matching concept, which requires organizations to recognize expenses in the same period as the revenue they help generate. Prepaid expenses — payments made for goods or services before they’re used — must be handled carefully to conform to this principle. Here’s an overview of the accounting rules for reporting prepaid items and guidance to help you manage them effectively.
How to Prepay Expenses Strategically and Report Them Accurately

Posted by Murry Guy, CPA on Jul 14, 2025
Posted in Accounting & Outsourcing
The president signed into law a sweeping reconciliation tax bill in a July 4 signing ceremony, capping a furious sprint to finish the legislation before the self-imposed holiday deadline. The Senate approved the bill in a 51-50 vote on July 1 after making a number of last-minute changes following intense bicameral negotiations. The House voted 218- 214 on July 3 to send the bill to the president’s desk.
With the legislation now final, taxpayers should focus on assessing its impact and identifying planning opportunities and challenges. The bill offers both tax cuts and increases that would affect nearly all businesses and investors.
Posted in Business Advisory
Understanding E-Verify and New Hire State Reporting: A Guide for Employers

Posted by Katelyn Parks on Jul 03, 2025
Hiring a new employee involves more than just onboarding and orientation. Two critical compliance requirements, E-Verify and state new hire reporting, must be addressed early in the employment process. These systems are essential for verifying work eligibility and meeting government mandates, and at FocusPay Solutions, we provide the tools and support to help you manage them effectively.
Posted in Payroll, HR & Benefits
Dos and Don'ts to Help Protect Your Business Expense Deductions

Posted by Murry Guy, CPA on Jun 24, 2025
If you’re claiming deductions for business meals or vehicle expenses, expect the IRS to closely review them. In some cases, taxpayers have incomplete documentation or try to create records months (or years) later. In doing so, they fail to meet the strict substantiation requirements set forth under tax law. Tax auditors are adept at rooting out inconsistencies, omissions, and errors in taxpayers’ records, as illustrated by one recent U.S. Tax Court case. (T.C. Memo. 2024-82)
Posted in Business Tax
Performing a mid-year QuickBooks® cleanup is a smart habit that small business owners and bookkeepers can adopt to stay ahead of their financial responsibilities. Waiting until year end to review your accounting records can lead to unnecessary stress, missed deductions and preventable errors.
Posted in Accounting & Outsourcing
Confirm This: Why Your Auditors Contact Third Parties

Posted by Aaron K. Waller, CPA on Jun 20, 2025
If your company’s financial statements are audited, chances are your auditor will send out external confirmations.These information requests may be sent directly to your customers, vendors, banks, attorneys, and benefit plan administrators.
Posted in Accounting & Outsourcing
Planning a Summer Business Trip? Turn Travel into Tax Deductions

Posted by Nick Wheeler, CPA on Jun 19, 2025
If you or your employees are heading out of town for business this summer, it’s important to understand what travel expenses can be deducted under current tax law. To qualify, the travel must be necessary for your business and require an overnight stay within the United States.
Posted in Business Tax
5 Tax Breaks on the Table: What Business Owners Should Know About the Latest Proposals

Posted by Lesley L. Price, CPA on Jun 18, 2025
A bill in Congress — dubbed The One, Big, Beautiful Bill — could significantly reshape several federal business tax breaks. While the proposed legislation is still under debate, it’s already sparking attention across business communities.
Posted in Business Advisory
The One, Big, Beautiful Bill Could Change the Deductibility of R&E Expenses

Posted by Jessica L. Pagan, CPA on Jun 17, 2025
The treatment of research and experimental (R&E) expenses is a high-stakes topic for U.S. businesses, especially small to midsize companies focused on innovation. As the tax code currently stands, the deductibility of these expenses is limited, leading to financial strain for companies that used to be able to expense them immediately. However, proposed legislation dubbed The One, Big, Beautiful Bill could drastically change that. Here’s what you need to know.
Posted in Business Advisory
Risky Business: How Auditors Help Combat Corporate Fraud

Posted by Melissa Motley, CPA on Jun 16, 2025
In today’s volatile economic climate, organizations face mounting pressures that can increase the risk of fraudulent activities. Auditors play a pivotal role in identifying and mitigating these risks through comprehensive fraud risk assessments and tailored audit procedures.
Posted in Audit & Assurance