Financial Audit

Are You Saving Enough Money?

Incomes are rising, unemployment is going down, new businesses are popping up and things in general are looking quite a bit more hopeful than they did just a few years ago? For some of you, that means you had a great year, and perhaps you used some of that new found money to purchase things you have been putting off for several years. It also means that you were able to pay off some debt, and even save a little money.

This year it might be a good idea to save a little more of that money. Look at your budget, see where you got a little careless with your spending in 2016, and perhaps you can cut out some of those expenses, are at least bring them down, and start saving a little more.

CNN had a great post this week about how much we our saving these days, and how much more we should be:

“Roughly half of Americans are saving 5% or less of their incomes, including 18% that are not saving anything, according to a survey from Bankrate. Only about a quarter of people are saving more than 10% of their earnings.  So how much should you be saving? Bankrate recommends 15%.

“Between emergency savings and the ever-increasing burden of retirement savings that is on the individual, the goal should be 15% of your income,” said Greg McBride, the personal finance website’s chief financial analyst.

Currently, one in seven people are saving more than 15%, the report showed.

“For a lot of people, it won’t happen overnight. It’s going to take some time, but it’s doable, as the middle class is showing.”

Those in the middle class are proving to be the super savers with 35% of people with an annual income of $50,000-$74,999 saving more than 10% of their earnings.

Of those taking home more than $75,000 a year, 32% were saving more than 10% of their income, according to McBride.

Saving more is easier said than done, which is why McBride suggests making it automatic by having a portion of each paycheck be directly deposited into a savings account and a retirement plan. “Saving needs to happen before you pick up your paycheck.”

Bankrate’s Financial Security Index, which surveyed 1,000 adults in the U.S., also showed consumers are feeling better about their debt and financial situation compared to a year ago, which could actually be bad news for savings accounts.”

If you are a member of a Credit Union, it’s easy to sign up for automatic deductions from your Payroll Checks. Or, if you use online banking, just have an automatic transfer set up to take a small amount our of your regular checking account each month. You can always add more to that on months when your income is a little higher, or expenses are lower, but at least you will have something in savings. We can help you go through your statements and even give you some advice on the best type of investments.

Pete DiSalvo, CPA

Vero Beach Certified Public Accountant

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Have You Run Your Credit Report Lately?

Forensic accounting, bokkeeping, CPA, tax preparation, business planning

With all of the  computer hacking and other  scams  are around these days, it’s more important than ever to run a credit report at least once a year.  The major credit reporting agencies are required to allow you to run a free credit report which also does NOT impact your FICO  score. Before the end of the year, please, go and take a moment to run this free report. It’s also a good idea to check and see if your credit card company has provisions for checking your credit score. I know that Citibank has that feature on it’s website.

Why do you care about your credit and your credit score? You may not know this, but all manner of companies check your FICO Score.

  1. Utility Companies
  2. Insurance Companies  both Home and Auto
  3. Potential Employers
  4. Credit Card Companies
  5. Investment Companies
  6. Mortgage Lenders
  7. Landlords

As you begin your Investment planing for 2017, or if you may be thinking about purchasing a home, or a new automobile, it’s always best to know where you stand BEFORE you begin the search. That way you can clean up any errors should you find some. Also, be very careful about checking your credit card statements each month. Some of my clients have found small, regular charges on their statements which were NOT initiated by them. The sooner you catch this type of thing, the easier time you have getting those charges removed and preventing further charges on your card.

DiSalvo CPA

Vero Beach Certified Public Accountant

CPA – DiSalvo Logo

 

 

 

 

What Do We Do When Tax Season Has Passed?

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I think that some people are under the misconception that when their tax returns have been completed and filed that everyone in the DiSalvo and Company CPA Offices just goes on vacation. While that might be a nice idea, other than perhaps taking a day or two off after tax season, we are here, ready to work with you during the remainder of the year. Continue reading

Re-Hiring Former Employees

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During the economic downtime of the mid 2000’s there were plenty of employers who were forced to lay off good employees. Now that work has picked up for many of those companies, is it a good idea for them to hire back some of their old workforce? Continue reading

Divorces

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You’ve heard that song, it’s the most wonderful time of the year. They use it for Back to School time, it’s used for Christmas. In our case, this time of the year is often the most awful time of the year.

Couples who have been struggling for sometime in their marriage often stay together through the holidays, and then file for divorce at the beginning of the new year. On top of Tax Preparation time, it’s Forensic Accounting time!

Not everyone who needs forensic accounting needs it because one partner or the other has been dishonest. But that is the case more often than not. It is our job to pour through financial records and certify that both parties understand the financial standing of the other.

Sometimes the forensic accounting work is because another type of entity is breaking up. Partnerships, started with the best of intentions, may unravel and need to be dissolved. In that case, it is our job to move away from the emotions, and to turn a sharp eye on the books. To try to make a fair and equitable agreement for people who were once friends and partners.

All of this can be stressful, I admit. But feeling forever a victim of a partner who may have either been inept, or dishonest, that is worse.

Before you make any moves in the direction of divorce or dissolving a partnership. please consult with an attorney, and call an accountant. Sometimes things are not as bad as they seem, and if we are called in early, we can help keep things going. And sometimes, we can’t. At least once we are done, everyone will know where the money went.

Pete DiSalvo

CPA

Melbourne - Titusville - VeroBeach - Certified Public Accountant

Book Keeping

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It’s here again. Tax time. At DiSalvo and Company, PA, we are always grateful to our clients who take bookkeeping seriously. Those are the clients who’s tax returns are much easier to prepare. Everything is in the books. Expenses, properly categorized, income, also properly categorized. All in one place.

Not all of our clients take the time to do their own bookkeeping,or spend the money for a bookkeeping service, and that is a shame. Because in the long run, if you take the time to properly do the books, when you want to see what your financial picture is, it can be done with a keystroke. When its tax time, you won’t need to spend a whole week preparing for your appointment with us.

Managing cash flow is difficult when your invoices are not promptly sent out each month . So rather than doing them by hand, you might want to set up a bookkeeping software program. That way you only have to enter the specific charges for a regular client. If you have a new client, you enter their information one time, and then next time you need to invoice them, you just type in their name and the invoice will populate for you.

If you need a loan for your business, all the data is there, just print out a profit and loss and you could be ready to go. When you are trying to build a new business plan for the year, you can see where your money went over the past year. Advertising? Promotions? Website? All of those expenses are there.

At DiSalvo and Company, we use Quickbooks. Our staff can train you or your staff on how to use Quickbooks, and make your business life less stressful.

Happy Thanksgiving!

From all of us here at DiSalvo And Company, PA

We extend Good Wishes!! DiSalvo And Company, PA  

Happy July 4th!!

From all of us here at DiSalvo & Company CPA, we wish you a

Happy Fourth of July!!

United States Declaration of Independence on flag background

 

Pete DiSalvo

 

 

Best Cities for Jobs

Vero Beach is a great town, but it is not necessarily the best place for a young college grad looking for job opportunities. So where are the jobs for a young college grad and what do they pay?

“BY ,

The Fiscal Times

April 29, 2014

Attention, Class of 2014: It’s  almost time to start ditching dorm life for the real world.

Though some soon-to-be degree holders may already have good jobs lined up, many more will be searching for some time to come. The unemployment rate for the class of 2013, after all, is at 10.9 percent – far above the national average. Still, that’s the lowest unemployment rate for new college graduates since 2007, when the rate was at 7.7 percent.

Related:  Millennials’ Joblessness Costs Government $8.9B a Year

With the job market improving for this group of Americans, especially in certain parts of the country, where should these new grads go?

A new study by NerdWallet examined criteria in each major U.S. city – such as the job market, average income, affordability and percentage of young people – all crucial to this cohort, and came up with the 10 places most appealing to new college graduates.

Of course, it’s important for students to note that the job markets in these cities are extremely competitive. And since they’re so popular for young people, even scoring an interview for an entry level job will be fierce.  So, if you preferred beer pong over books, these might not be the cities for you.​

The best cities for the class of 2014:

1.     Washington, D.C.; Median Income for College Grads: $60,104

Though the nation’s capital is one of the more expensive places to live, it also has some of the highest wages. Recent college grads in D.C. earn, on average, $60,104, the second highest annual salary in the country. Washington also has a strong job market, with many opportunities in government as well as in business, science and the arts.

2.     Seattle, WA; Median Income for College Grads: $50,578

Seattle is the most educated city in the U.S.: More than 34 percent of its population holds a bachelor’s degree or higher. The top industries include aerospace, information technology, clean technology and health care. It also has one of the highest average incomes for recent college grads.

3.     Minneapolis, MN; Median Income for College Grads: $46,525

Minneapolis is home to the most Fortune 500 companies per capita in all of the metro areas in the country, so there are plenty of job opportunities for recent college grads. The Twin Cities of Minneapolis and St. Paul also have one of the highest populations of young people between the ages of 20 and 29, making this area an even more appealing place for recent grads.

4.     San Francisco, CA; Median Income for College Grads: $61,426:

Though San Francisco is one of the most expensive places to live, high wages and a strong job market make it incredibly attractive to new graduates.  The median income for those with bachelor’s degrees is $61,426, the highest in the country. Major industries include technology, science, media and financial services. The area is home to the country’s biggest tech giants, including Google and Twitter.

5.     Austin, TX; Median Income for College Grads: $45,023

Austin is hopping with young professionals – those ages 20 to 29 make up more than 21 percent of the population. It also has the lowest unemployment rate out of all major U.S. cities, with plenty of opportunities for young workers.  Major tech corporations like Dell and IBM are in Austin, and it’s one of the most affordable places to live out of all other major cities. It ranked the second lowest on NerdWallet’s Cost of Living Index, just behind Columbus, OH.

6.     Atlanta, GA; Median Income for College Grads: $50,862

Atlanta has a range of opportunity for new graduates. The city is driven by trade and transportation, business services, government, education and health services; Atlanta is home to Coca-Cola, Delta Air Lines and The Home Depot.

7.     Raleigh, NC; Median Income for College Grads: $45,495

This city has the third most educated population on the list, with 31.9 percent of residents 25 and older holding a bachelor’s degree or higher. Major industries include manufacturing, aerospace, biotechnology and green energy.

8.     Boston, MA; Median Income for College Grads: $52,119

Young people apparently love Boston: It has the greatest proportion of young professionals of all large cities. Though the Massachusetts capital is an expensive place to live, young people tend to earn higher wages and the unemployment rate is relatively low. The largest industries are health care, finance and insurance and education.

9.     Denver, CO; Median Income for College Grads: $48,133

Denver has one of the most educated populations, with a large percentage of people holding a bachelor’s degree. The Mile-High City has a moderate cost of living, though degree holders tend to earn higher than average wages. The top industries are aerospace and aviation, broadcasting and telecommunications, energy and health care.

10. Columbus, OH; Median Income for College Grads: $44,392

Columbus is the most affordable city in the top 10, according NerdWallet’s Cost of Living Index. It also has one of the lowest unemployment rates.  Major industries include manufacturing, logistics, science and technology, and business and financial services. The largest employers include JPMorgan Chase & Co, and The Ohio State University.

– See more at: http://www.thefiscaltimes.com/Articles/2014/04/29/10-Best-Cities-Today-s-College-Graduates#sthash.86KzbTrW.dpuf”

DiSalvo & Company CPA

Melbourne - Titusville - VeroBeach - Certified Public Accountant

Dr. Google and Medicine

Medicine, and the practice of, has not been keeping up with the rest of the evolution in internet applications and technology that we hear so much about each week. Take a look and see what you think of this article from Forbes Magazine:

” How Mayo’s “Dr. Google” Deal Disrupts Medicine

Dr. Google GOOGL +1.27%” has joined the Mayo Clinic, quietly signaling a powerful disruption for all of medicine.0413_companies-google_650x455

Back in 1997 I wrote: “The information age is to medicine as the Protestant Reformation was to the Catholic Church.” The Church didn’t disappear when information once held tightly by the priesthood became widely available, but religion changed forever. Continue reading