business advice

Small business owners determine their salary by balancing the business’s financial health, market rates, personal needs, and their contributions. This guide offers practical steps to help owners set a fair and sustainable compensation.

Business taxes can be overwhelming, but understanding the basics helps you stay compliant and save money. Learn how taxes work for different business structures, including income tax, self-employment tax, deductions, and more.

Keeping credit card receipts isn’t just good practice—it’s essential for tax compliance, expense tracking, and audit readiness. This article explains why you should retain credit card receipts for your business and offers tips on how to organize and store them effectively.

Starting a service-based business offers numerous benefits, including lower startup costs, greater flexibility, and the ability to leverage your expertise. With scalable growth potential and lower risks, service businesses are a smart choice for aspiring entrepreneurs seeking adaptability and strong client connections.

The 50/30/20 rule is a simple budgeting guideline that helps you divide your after-tax income into three categories: 50% for needs, 30% for wants, and 20% for savings and debt repayment. It’s a flexible framework to balance daily expenses with financial goals.

A business product or service is something sold by one business to another. For example, office furniture is a business product, while digital marketing services are a business service. Some companies offer both—like IT firms that sell equipment and provide tech support.

A professional service team is a group of experts who provide specialized, knowledge-based services tailored to meet clients’ unique needs. These teams, found in fields like law, consulting, accounting, healthcare, and IT, focus on delivering customized solutions with a client-centered approach.

Business professional services encompass specialized expertise provided by qualified professionals to help organizations solve problems, improve operations, and achieve goals. These services span consulting, legal, accounting, IT, marketing, healthcare, and more, catering primarily to business clients.

Can you deposit your personal paycheck into your business account? The answer depends on your business structure, like sole proprietorship, LLC, or corporation. While some structures allow it, proper accounting, tax compliance, and legal guidelines must be followed to keep finances clear and compliant.

Successful managers need a well-rounded skill set that combines leadership, communication, decision-making, and problem-solving abilities. These skills help managers motivate teams, resolve conflicts, and align their work with organizational goals to drive success.

As an LLC member, you can pay yourself either through an owner’s draw or a salary. Owner’s draws distribute profits without payroll taxes, while a salary treats you as an employee with regular wages and tax withholding. The best choice depends on your business structure, tax situation, and financial goals—consulting a tax advisor is essential.

An excellent example of a service is a professional cleaning service for residential homes or commercial properties. Here’s why it is considered a service: Intangible: Services are intangible, meaning they cannot be touched or held. In the case of a cleaning service, customers receive the benefit of a clean and organized space, but no physical product is involved. Performance-Based: Services are performance-based, depending on the skills, expertise, and efforts of the servi

How much should you pay yourself as a business owner? While there’s no one-size-fits-all answer, the rule of thumb is to cover your living expenses without harming your business. Learn how to strike the right balance based on cash flow, taxes, and long-term goals.

Groceries are generally not deductible as business expenses unless they qualify under specific conditions such as business-related meals, travel expenses, or if you operate a food-related business. Proper documentation and adherence to IRS guidelines are essential to avoid issues.

Dividing expenses fairly depends on the situation and agreements between parties. Common methods include splitting costs equally, proportionally by income or usage, rotating responsibility, or customized arrangements. Clear communication and documented agreements help ensure transparency and fairness.

Blending your personal and professional life can lead to stress and burnout. Discover practical strategies to set healthy boundaries, manage your time, and keep work and life in balance.

Keeping work and personal life separate can lead to better mental health, stronger boundaries, and improved professionalism. However, in today’s flexible work environment, some integration may be necessary. Discover the pros, cons, and how to find the right balance for you.

Mixing personal and professional life can lead to stress, blurred boundaries, and reputational risks. Learn why separating the two is essential for mental well-being, productivity, and long-term career success.

Business owners pay themselves to compensate for their work, cover personal living expenses, and manage tax and retirement planning. Whether through salary, draw, or dividends, paying oneself helps balance personal financial goals with business sustainability.

Paying yourself as a business owner doesn’t always count as a traditional business expense. How it’s treated depends on your business structure. For sole proprietors and single-member LLCs, owner pay isn’t deductible as an expense. In corporations, however, wages paid to owner-employees are deductible, as long as they’re reasonable. Understanding the tax treatment of your compensation is essential for proper accounting and compliance.