Most people probably imagine bookkeeping and accounting as a similar thing, but bookkeeping is really one function of sales, while accounting encompasses many functions involved in managing the financial affairs of an business. Accountants prepare reports centered, in part, on the work involving bookkeepers.
Bookkeepers perform all method of record-keeping tasks. Some of them add the following:
They prepare what are called source documents for all of the operations of a enterprise – the buying, selling, transferring, paying and collecting. The documents include papers for example purchase orders, invoices, credit card slips, time cards, time sheets and purchase reports. Bookkeepers also determine and key in the source documents exactly what are called the financial effects of the transactions and other organization events. Those include paying your employees, making sales, borrowing money or buying products or raw materials for production.
Bookkeepers also make entries of the financial effects into periodicals and accounts. These are two various things. A journal is the actual record of transactions inside chronological order. An accounts is another record, or page for every single asset and each liability. One transaction can affect several accounts.
Bookkeepers prepare reports towards the end of a specific period of time, such as daily, weekly, monthly, quarterly or annually. To do this, all the accounts must be up to date. Inventory records must be updated along with the reports checked and double-checked in order that they’re as error-free as you can.
The bookkeepers furthermore compile complete listings coming from all accounts. This is called this adjusted trial balance. While a small business may have a hundred or thus accounts, very large businesses can have more than 10, 000 accounts. Whether the bookkeepers will work for a small as well as large company, these are all accounts that require absolute attention to detail which attention to detail issues on any scale whether the company does, indeed, have only a few accounts or thousands of accounts.
The final step is designed for the bookkeeper to near the books, which means bringing every one of the bookkeeping for a fiscal year into a close and summarized. This information is then fond of the accounts department whom, particularly in a huge business, are the intermediaries : the layer, if you will, between the bookkeeping department and also the management of the corporation. The accountants or accounts department might prepare the reports presenting to the management department that will use the information to steer this company through the short time period, mid term and long term.
As an example, a company who handle bookkeeping Kent , UK also take the data they collate and carry out the role of accountants along with create the reports to give to their clients.
So the work of bookkeeping is a vital part in the running of any business and especially contained in the accounts department.
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Filed under Accounting, Bookkeeping by on Nov 1st, 2011. Comment. 
When a debtor stops paying on a debt, a creditor will attempt to contact the debtor on the telephone and via the mail. When the number of days since the most recent payment reaches 120-180 days, the account is no longer considered current and the creditor is required by generally accepted accounting principles to “write-off” the debt. Writing-off a debt does not mean the debtor is no longer responsible for the debt, or that collection efforts cease.
The write-off date has almost nothing to do with the statute of limitations for debts. To learn more about the distinction between the two issues, read the article Charge-Off & Credit Report.
At the write-off point, the creditor will transfer the debt to a late-accounts department, or has the option to sell the debt to a collection agent. The collection agent will buy the debt at a discount. However, the collection agent has the right to collect the entire balance due plus interest.
If a collection agent a debt it states you owe, you have the right to do what is called debt validation. If the debt is many years old or you do not recall the debt, validate it.
A collection agent may use aggressive tactics to when contacting the debtor. The collection agent may threaten to call the debtor’s employer, file charges with the local sheriff, or say they will park a truck in front of the debtor’s house with a sign that reads “Bad Debt” on it. All of these tactics and many others are illegal under the Fair Debt Collection Practices Act (FDCPA). Start here to learn the rights consumers have in collections under the FDCPA.
A creditor — a debt collector that owns a debt account is a creditor — has several legal means of collecting a debt. But before the creditor can start, the creditor must go to court to receive a judgment. A court (or in some states, a law firm for the plaintiff) is required to notify the debtor of the time and place of the hearing. This notice is called a “summons to appear” or a “summons and complaint.” In some jurisdictions, a process server will present the summons personally. In others the sheriff’s deputy will pay a visit with the summons, and in others the notice will appear in the mail. Each jurisdiction has different civil procedure rules regarding proper service of notice.
If you ever receive a summons you should do as it instructs! This is not just a social invitation that you can ignore. In the hearing, the judge will decide if the creditor should be allowed to collect the debt. If the debtor fails to appear, the judge has no choice but to decide on behalf of the creditor.
Therefore, if you receive a summons, the first thing you should do is contact the law firm representing the creditor. Open a negotiation to see if they are willing to settle the debt. If not, it would be wise to respond as indicated in the summons. If there is a hearing, attend it and present your side of the story to the judge. Use facts, tell the truth, dress appropriately, and show the court respect. The court may or may not decide in your favor, but at least you exercised your right to be heard.
The court may decide to grant a judgment to the creditor. A judgment is a declaration by a court that the creditor has the legal right to demand a wage garnishment, a levy on the debtor’s bank accounts, and a lien on the debtor’s property. The tools a creditor will use, depends on the circumstances. We discuss each of these remedies below.
Wage garnishment
The most common method used by judgment creditors to enforce judgments is wage garnishment, in which a judgment creditor would contact the debtor’s employer and require the employer to deduct a certain portion of the debtor’s wages each pay period and send the money to the creditor. However, several states, including Texas, Pennsylvania, North Carolina, and South Carolina, do not allow wage garnishment for the enforcement of most judgments. In several other states, such as New Hampshire, wage garnishment is not the “preferred” method of judgment enforcement because, while possible, it is a tedious and time consuming process for creditors. In most states, creditors are allowed to garnish between 10% and 25% of your wages, with the percentage allowed being determined by each state. See Advice on Judgment Garnishment to learn more about wage garnishment.
Levy bank accounts
A levy means that the creditor has the right to take whatever money in a debtor’s account and apply the funds to the balance of the judgment. Again, the procedure for levying bank accounts, as well as what amount, if any, a debtor can claim as exempt from the levy, is governed by state law. Many states exempt certain amounts and certain types of funds from bank levies, so a debtor should review his or her state’s laws to find if a bank account can be levied.
Lien
A lien is an encumbrance — a claim — on a property. For example, if the debtor owns a home, a creditor with a judgment has the right to place a lien on the home, meaning that if the debtor sells or refinance the home, the debtor will be required to pay the judgment out of the proceeds of the sale or refinance. If the amount of the judgment is more than the amount of equity in your home, then the lien may prevent the debtor from selling or refinancing until the debtor can pay off the judgment. Again, every state has its own rules about property liens, so debtors with a judgment against them who own property should review their state’s laws to learn creditor can and cannot do to enforce its judgment.
Debt resolution
If you have a judgment against you, consult with an attorney licensed in your jurisdiction to learn how the judgment will affect you, based on your individual financial circumstances and your local rules.
It is not too late to contact the creditor or the law firm that either represented the creditor or bought the debt, and present them a settlement offer. Even with a judgment in place, the law firm must spend money to try to collect the debt. Getting a wage garnishment, levy, or lien takes time, and time to a law firm is money. The law firm may settle for a lump-sum payment. See the “Debt Negotiation and Settlement Advice” before opening negotiations with a creditor. See “What Are My Debt Consolidation Options?” to learn more about your rights and options for resolving the debt.
Get all settlement offers in writing before sending a check to the law firm or collection agent.
Brad Stroh is currently co-CEO of Bills.com. He is an advisor and board member to many companies. If you would like more of Brad
Filed under Finances by on Nov 1st, 2011. Comment.
During this historic recession, Wachovia Bank has been willing to help struggling American homeowners from losing their homes to foreclosure. Those seeking assistance with their current mortgages find their applications get turned down by Wachovia, not because the bank does not want to help them but because they do not understand the loan modification process. You can learn about the process by doing a little research about the process before you apply for the program. The following advice can help you qualify for a loan modification from Wachovia or any number of financial institutions.
Research before Applying
Before applying for any loan, always research the prospective lender and the products they offer. Having as much knowledge and information prior to visiting a lender can get you a lot further and your application processed as smoothly as possible. A little bit of preparation can go a long way during the loan modification application process.
Write a Hardship Letter
Start your application by drafting a hardship letter. The letter should explain several things, such as why you would need a loan modification for the mortgage you have, what steps you have taken to try to resolve your issue, and how much it means to you to remain in your home. A hardship letter is essentially the backbone of your application and can give the lender a more concrete picture of the person before them. This is an opportunity to personalize what your situation is and why it is so important for you to get approved for the loan modification for your mortgage.
Filling Out the Application
You have two options for completing an application for a loan modification with Wachovia. You can visit any branch and speak to a financial products advisor who is more than willing to help you with any portion you might have questions about. You can also fill out the application online, which can save you time because of the convenience of doing it from home. You also have several alternatives for submitting supporting documentation as well.
You can submit items such as pay stubs and statements from your current mortgage lender electronically, or by fax or by mail along with your printed application. Most lenders nowadays allow you to either mail in your signed application or use a legal electronic signature. Please be sure to read the fine print thoroughly when submitting your application electronically as there might be legal disclaimers regarding using this particular method.
Make a Budget
Create a budget detailing your monthly income as well as all of your monthly expenses. This can be difficult for some people to do because they have not distinguished which expenses are essential and which are discretionary or optional. For example, paying your car insurance is an essential monthly expense; purchasing tickets to a sporting event is a discretionary expense.
By creating a budget, you will see where your money is going every month and you can make crucial decisions that can save you a lot of money in the long run. This will also allow you to see what you can afford every month under a loan restructuring plan so be sure to present your budget to your lender so they help make that determination. Once you have created your new budget, be sure to stick to it! Not doing so can lead you right back to where you started despite qualifying for the program.
Jessica Peterson is an Bad Credit Unsecured Loan Consultant with more than twenty years of experience. For more information about Personal Loans, no credit check loans, guaranteed loans, personal loans, car loans, guaranteed student loans and other financial products please visit http://www.yourloanservices.com
Filed under Finances by on Nov 1st, 2011. Comment.
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