Don't Be The Next Victim
many people tell me that their office would never have an
embezzler as an employee! They all have great, trustworthy
people in their office.
However, I still get calls from businesses that have become
Embezzlement is on the rise and
there are even seminars and internet sites that give the
how-to information out!
Take the blinders off and follow these simple practices!
Keep everyone aware of your involvement with spot checks,
especially regarding daily cash and checks.
Diversify the duties so that no one employee has all
the financial responsibility. This means one person should not
make deposits, pay bills and do payroll.
Review your credit card and bank statements immediately.
Make sure these statements are mailed to your home. Do not
allow anyone to sign for you or to have your bank account
Do not allow anyone to pay your bills on-line.
Authorize and review all adjustments to customer
Record all cash receipts and provide customers with one part
of a two part walk out receipt. This way all cash received has
a receipt in the office. Endorse all checks immediately. Make
deposits daily. Do not have the same person make deposits and
adjustments to patient accounts.
Be aware of lavish lifestyle changes of your employees
or of employees not taking vacation time.
If you need further assistance, suspect or just to be sure,
want to have me review your accounting practices that might
encourage embezzlement, call me at the office at 714-619-0667.
To read this & my other articles online,
Eating Up Your Retirement Savings?
Be aware of all the fees that can be charged to you in your
401(k)plans, IRAs and other retirement accounts. How you
handle these fees can make a difference on your returns.
Account termination fees
Account maintenance fees
Various account transfer fees
Roth conversion fees: charged when traditional IRA is
converted to Roth IRA
Federal fund wire fee and overnight delivery fee: those
who are unable to wait for regular delivery and want same day
or overnight receipt
"Special Investment" fees: applies to
non-traditional/non-publicly traded investments such as
private placements, real estate and certain limited
partnerships. A one-time “set-up” fee for special investments
can be charged along with a servicing fee of up to $2,000 per
year. Also for special investments, the custodian/trustee may
have to file Form 990-T with IRS and this fee can be a few
hundred dollars more.
Loan processing fees: for those who take loans from
401(k)/403(b) or other employer plans.
Recordkeeping fee: if you use the services of a
record-keeper for solo-K/individual-K plans, this fee can be
several hundred dollars.
How you deal with these fees can make a difference to your
account. If you are in the “accumulation” phase of your
savings, see if you can pay these fees from money outside your
This will allow more money to grow tax-deferred. However, if
you are in the “distribution phase”, it may make more sense to
pay from the account.
To read this & my other articles online,
If you haven’t converted your traditional IRAs to Roth IRAs
you may want to consider the benefits. Here are some tips on
how to convert into a Roth IRA while paying the least amount
of tax possible:
Calculate all non-deductible contributions you
have made into your IRA.
Roll over any taxable portion of your IRA into other
retirement plans, i.e. 401(k), defined benefit. Be sure to
check your plan to see if it is allowed.
Convert the regular IRA that now only has
non-deductible contributions into a Roth IRA.
Make your maximum contributions to the regular IRA.
After the next tax year end convert that account into
your Roth IRA tax-free.
If you made a conversion in 2010 and paid high taxes, the
law allows you to undo a conversion no later t han 6
months after the due date, including extensions, for filing
your tax return for the year of the conversion.
Also, if you are in the process of selling your business, you
may want to consider converting portions of your taxable IRA
into Roths starting in the year following the sale and
continue until the IRA distribution begins at age 70½.
This can save a considerable amount in federal and sate income
taxes. However, seek advise before trying this. To read
this & my other articles online,
click here or go to
www.RebellaCPA.com and click on the Newsletter section.
always you can call me at 714-619-0667 if you have any
questions about investing, retirement or any other tax &
accounting related issues.
Regards, Monica Rebella, CPA
President, Rebella Accountancy