DEBIT CARD? CREDIT CARD? CASH?
“Some small business owners are intimidated by the thought of accepting credit and debit card payments. And that’s understandable- with the prospect of paying fees, plus the cost of acquiring new point of sale terminals, electronic payments can seem daunting.” (SCORE ). They made some really good points, such as:
- “Accepting cash payments means that you or your employees need to spend time processing the cash…,
- Transporting cash to and from your bank also takes time,
- Unlike electronic payments, cash can be lost, stolen or destroyed.
We have some additional thoughts. Anyone who has attended one of Pat Michael’s seminars on Tax & Recordkeeping for child care providers knows that you need receipts. You absolutely need receipts – and you want to make copies of receipts especially if they are printed on thermal paper that fades over time. If it is a cash transaction – you make sure to get or give a receipt.
Setting up your business files and recordkeeping is half the battle. Ask yourself, “How am I going to need this information?” You can make your life much easier if you set up your information in a way that makes it less painful when gathering your information for taxes.
Not sure how? Use our Tax Organizer. Go download Business-Tax-Organizer PDF
To read the article in its original format, click on Small Business Owners, Beware the “Cost of Cash”
For more than 30 years R. Patrick Michael has been preparing tax returns for individuals, small businesses, cottage industries and in-home child care providers. Pat is a recognized child care provider tax expert, and has been providing educational seminars for child care providers in San Diego County for the YMCA Child Resource Services for more than 18 years. Pat and his team have built a following that is comprised of long-term clients, new relationships and word-of-mouth referrals. Child Care Tax Specialists take care of their clients year-round with tax preparation, business entity creation and support, as well as tax planning for retirement, and estate planning.
NEED HELP? CALL (619) 589-8680 TODAY!
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