Frequently Asked Questions

Can I Use Online Payroll Services If I Have Remote Employees In Multiple States?

Yes, most modern online payroll platforms are designed to support multi-state payroll processing, making it easy to pay remote employees while staying compliant with state-specific laws. These services handle state tax withholding, unemployment insurance registration, and required filings for each location where your employees live or work. Managing remote teams comes with complex tax obligations,... [Read More]

How Often Should I Run Payroll For My Employees?

Taking into account your business structure, cash flow, and state laws The frequency of your payroll runs—whether weekly, biweekly, semi-monthly, or monthly—can depend on your business structure, cash flow, and state laws. Some states have minimum payday frequency requirements, so it’s essential to check local labor regulations. Biweekly payroll is one of the most common... [Read More]

What Are The Tax Benefits Of Hiring Employees Versus Contractors?

Hiring employees allows you to build a consistent team but comes with added responsibilities like payroll taxes, benefits, and compliance with labor laws. However, wages paid to employees are tax-deductible, and you may qualify for certain employment tax credits, like the Work Opportunity Tax Credit (WOTC). Independent contractors, on the other hand, provide flexibility and... [Read More]

How Do I Choose The Right Accounting Software For My Business?

Choosing the right accounting software depends on the size of your business, industry needs, and budget. Popular options include QuickBooks Online for ease of use and scalability, Xero for integration and automation, and FreshBooks for service-based businesses and freelancers. Key factors to consider include user-friendliness, integration with your existing tools, customer support, and whether the... [Read More]

What Are The Advantages Of Using Online Payroll Services For My Business?

Online payroll services streamline the process of paying employees, filing payroll taxes, and generating required forms like W-2s and 1099s. These services, such as Gusto, ADP, and Paychex, automate tax calculations, withholdings, direct deposits, and tax filings with both federal and state agencies. One key advantage is accuracy and compliance. Payroll tax laws can be... [Read More]

What Is Cloud Bookkeeping And How Can It Help My Business?

Cloud bookkeeping refers to the use of online software platforms to manage and record your business’s financial transactions. Unlike traditional accounting systems, cloud bookkeeping allows you to access your financial data in real-time from anywhere with an internet connection. Tools like QuickBooks Online, Xero, and Wave offer user-friendly interfaces, automatic bank feeds, and easy integration... [Read More]

Can I Deduct Crypto Losses On My Tax Return?

Yes, you can deduct cryptocurrency losses on your tax return to offset your capital gains. If your losses exceed your gains, you can deduct up to $3,000 ($1,500 if married filing separately) in net capital losses against your ordinary income each year. Any remaining losses can be carried forward to future tax years. To claim... [Read More]

Do I Need To Report Crypto Held In Foreign Wallets?

Cryptocurrency held in foreign exchanges or wallets may be subject to additional reporting requirements. While crypto itself is not considered a foreign financial account under current FinCEN guidelines, this could change in the future. If your account is custodial and involves fiat currency, it might fall under FBAR (Foreign Bank Account Report) or FATCA (Foreign... [Read More]

What Tools Can I Use To Track My Crypto Gains And Losses?

Tracking your crypto transactions manually can be overwhelming, especially if you trade frequently or use multiple wallets and exchanges. Fortunately, there are many software tools available to help you automate this process. Popular options include CoinTracker, Koinly, CoinLedger (formerly CryptoTrader.Tax), and ZenLedger. These platforms can import transaction history, calculate capital gains and losses, and generate... [Read More]

Do I Owe Taxes On Crypto Received As A Gift Or Airdrop?

Receiving cryptocurrency as a gift generally does not trigger a taxable event at the time of receipt. However, if you later sell or trade the gifted crypto, you must report the gain or loss based on the original cost basis of the donor and their holding period. If the donor didn’t provide the cost basis,... [Read More]