Report of Foreign Bank and Financial Accounts (FBAR) Questions Answered

Financial Accounting
Financial Accounting

The Bank Secrecy Act demands that anyone with a financial interest in or signature authority over a foreign financial account, including a bank account, brokerage account, mutual fund, trust, or other type of foreign financial account, reports to the IRS by filling Form TD F 90-22.1, Report of Foreign Bank and Financial Accounts (FBAR).

Why File FBAR?

Some people use foreign financial accounts to get around United States law, and the FBARs areused to identify such persons for the reason that foreign financial institutions may not be subject to the same reporting requirements as domestic financial institutions. FBARs are used by investigators to help discover any income maintained or generated abroad that isn’t reported. Continue reading Report of Foreign Bank and Financial Accounts (FBAR) Questions Answered

Management and Financial Accounting

Financial Accounting
Financial Accounting

Accounting is usually seen as having two distinct strands, Management and Financial accounting. Management accounting, which seeks to meet the needs of managers and Financial accounting, which seeks to meet the accounting needs of all of the other users. The differences between the two types of accounting reflect the different user groups that they address. Briefly, the major differences are as follows:

Nature of the reports produced. Financial accounting reports tend to be general purpose. That is, they contain financial information that will be useful for a broad range of users and decisions rather than being specifically designed for the needs of a particular group or set of decisions. Management accounting reports, on the other hand, are often for a specific purpose. They are designed either with a particular decision in mind or for a particular manager. Continue reading Management and Financial Accounting

Moneydance – A Cross-Platform Personal Finance Manager

I have to admit, I am a software junkie. I like good software that works as it should and does it’s job with a minimum of effort on my part. When I first started using a computer at home, one of the first things I started looking for was a software program that would manage my finances and allow me to keep up with what I spend. It is essential for me because although I do not have a lot of different finances to keep up with, I need all the help I can get. I began using Microsoft Money and while I actually like the way it operated, it did have it’s drawbacks. Chief among them is the very obtrusive advertisements and the fact that Microsoft Money (you pick the year) would not open a perfectly good money file that had been opened even once in the next year’s version of Money. I can see that being the case every once in a while, when the file format has to change for whatever reason, but to do it every year is a bit over the top. The next program I used was AceMoney and I used it until I converted from Windows XP to Linux almost two years ago. Continue reading Moneydance – A Cross-Platform Personal Finance Manager

3 Tips to Formulate Best Financial Accounting Services Provider Team For Excellent Services

\”A business is known by its employees\”, a very well known proverb, which in real life is hardly considered. Everyone look for a good business without considering the inner capabilities. It is a real careless attitude among people. During a financial crisis or so the business gets affected because of its fellow workers who run the business, but instead of understanding the real cause we unnecessarily blame the business. Team spirit is something which should be nourished well so that it can ultimately benefit the organization.

Business accounting services is something which should be taken care especially. Business finance that supports any big or small organization has to be managed well. That means, the group of people who are planning to manage the finance must be knowledgeable enough and should be able to meet the financial need of the organization. If the financial management services provider is stronger enough then it will make the financial standard of the business stronger. A business with a strong financial support always reaches high. Continue reading 3 Tips to Formulate Best Financial Accounting Services Provider Team For Excellent Services

Financial Accounting Versus Cost Accounting

Financial Accounting
Financial Accounting

Before we go to differentiate Financial & Cost Accounting we must have knowledge what these both terms really are. As we define both terms these would automatically be differentiated.

Financial Accounting:

Financial Accounting is a systematical way to prepare the financial statements of an organization is order to get the true and fair view profit or loss. These financial statements are organized for decision making, stockholders, Banker, Supplier, Shareholders, Government Agencies, and other stakeholders. The basic requirement to prepare financial statement is to examine and reduce the dead expenses by measuring the expenses and income status and to reporting the result to interested users. These statements are organized for outsiders who do not take part in day to day organizational activities.

Simply we can say, “Financial accounting is the process which includes recording, interpreting & summarizing date taken from financial records of an organization and bring it out in an annual report for the benefit of people outside the organization”. Continue reading Financial Accounting Versus Cost Accounting