Stay Ahead: Proactive Financial Planning for Your Business Clients

As professionals, questions are our best tools. If you’re not sure what questions to ask your clients, here are 10 suggestions:

1.????? Are your bank accounts current??When clients are busy, reconciling their bank accounts can easily be pushed aside. Yet, keeping their bank records current lets them stay on top of their cash and keeps their records current and complete. They can avoid missing possible deductions when they stay current on bank reconciliations.

2.????? Can you collect your open receivables??Do your clients have old accounts receivable that they don't expect to collect? If they have made one last-ditch effort and can't seem to get paid, it may be time to write these off. They will clean up the accounts receivable before year-end, plus they can avoid paying taxes on delinquent receivables they can't collect.

3.????? Do they have any old or obsolete inventory??Suggest they look at the inventory their company currently carries. If they have old or obsolete items that seem unlikely to be salvaged, consider writing them off. This will avoid the added cost of storage and insurance on items with minimal value.

4.????? Dispose of any assets.?Have they sold or disposed of any assets during the year? Have them review their property, plant, and equipment list for items they no longer own or have sold. They may discover an additional write-off or income from a sale.

5.????? Did they include all of their unpaid bills??Scanning accounts payable listing will ensure that their books include all unpaid bills. If they are missing invoices, they could be missing possible tax deductions.

6.????? Have they included all payroll benefits for the year??Make sure any bonuses, retirement contributions, or taxable fringe benefits are included in their payroll. Missed benefits can become a headache if they must amend their tax filings and deposits.

7.????? Do they have any general ledger (GL) account errors??Review the GLs for errors in postings. If expenses are posted to the wrong accounts or transactions are missing, they could overlook deductions.

8.????? Are they missing any debt??If they financed an equipment purchase or borrowed money, ensure the books accurately reflect the debt. Check your payment allocations to ensure they haven’t missed any deductible interest payments.

9.????? Have they recorded all credit card purchases??Credit cards can be a necessity, especially if they make purchases online. Record all credit card transactions in their general ledger to ensure the books are complete and avoid missed deductions.

10.? Should they make any year-end purchases??Do they expect to end the year with a profit? If so, they might consider making additional purchases, such as computer equipment or supplies, before year-end to offset your profit.

Taking time to prepare their books and records for the year-end can save your clients time and stress.

It does not matter your current professional title or how you’re working with your clients; these questions help show your clients that you’re thinking about their business and differentiate you from other professionals in your field.

Let me know if your clients need help with any of these areas. We have professionals in the National Referral Network, and I would be happy to introduce you to help your clients.

As always, I am here when you need me.

Featured Articles:

Welcome to this week’s edition of our "Featured Articles" section, where we spotlight insightful content that empowers you to take control of your financial journey.

Whether you’re an individual looking to enhance your financial literacy, a business owner seeking strategic growth, or a family aiming to build a strong financial foundation, these carefully selected articles offer valuable knowledge and practical advice to help you achieve your financial goals.

The Vital Importance of Financial Literacy - John Heck Discover the importance of financial literacy, learn key strategies to improve your financial skills and understand the benefits of developing financial literacy for a secure financial future.

Financial Strategies Every Business Owner Needs — By Mike Clark, MBA —Whether you’re a single-person start-up or an established business, understanding and implementing strategic financial practices can ensure your business thrives and grows.

Why Every Family Needs a Collaborative Financial Team for Financial Success – by Cheryl Blakey - This article details the importance of building your financial team, the roles, and how a well-coordinated approach can help you achieve your financial goals.?

We hope you find this week’s featured articles informative and inspiring as you continue your financial journey.

Don’t keep this valuable content to yourself—share these insights with your network to help others benefit from the knowledge. Feel free to use any of this content in your newsletter.

If you have any thoughts or questions, we’d love to hear from you. Let’s keep the conversation going!

Professional Insights:

Understanding your finances is more critical than ever. Mike Clarke brings his wealth of knowledge and practical advice to help us navigate these turbulent times.

Whether you're struggling with budgeting, managing debt, or planning for your financial future, this interview is packed with insights and tips that can make a real difference.

You can watch all our interviews on our YouTube Channel. Please let me know what topics your clients may be interested in. I would be happy to interview the professional to answer those questions.

Thank you for reading this week’s newsletter. We hope the tips and insights shared have provided valuable guidance for your financial journey. Whether you’re updating estate plans or exploring new financial strategies, we’re here to support you every step of the way.

Please feel free to use any of this content in your newsletter. If you don’t have a newsletter, please let us know. We would be happy to help you create one.

Together, we can help clients build a stronger financial future.

Top 5 things to watch in markets in the week ahead – Investing.com

Investors will be looking at key inflation data on Wednesday for fresh clues on the potential size of an expected September rate cut by the Federal Reserve. Markets look likely to remain volatile, while retail earnings will be watched for clues on the strength of consumer spending. Here's your look at what's happening in markets for the week ahead.

1.????? CPI data

July?CPI?data is expected to show that that inflation continued to edge closer to the Fed’s 2% annual target.

A reading that shows only modest cooling could allay fears that the Fed has sent the economy into a tailspin by leaving rates elevated for too long. But a weak report could bolster recession worries, potentially sparking fresh market volatility.

The economic calendar also includes?retail sales?numbers for July as well as the weekly report on?initial jobless claims.

Investors will also get the chance to hear from several Fed officials including Atlanta Fed President Raphael Bostic, Philadelphia Fed President Patrick Harker and Chicago Fed President Austan Goolsbee.

Comments from a trio of Fed policymakers indicated on Thursday that they were more confident that inflation is cooling enough to cut rates.

2.????????????????? Volatility risk

Investors seem likely to remain on edge in the coming week after last Monday’s stock market dive triggered by a combination of U.S. recession fears and the unwinding of a global yen-funded carry trade.

A bigger-than-expected drop in jobless claims on Thursday indicated that fears over the health of the labor market were overblown, helping markets recover most of their losses by Friday’s close.

The focus in the week ahead will be on whether the pricing in of long-awaited Fed rate cuts is justified by upcoming economic data and how much more of an unwinding of global carry trades is left.

Concerns about the conflict in the Middle East widening and the upcoming U.S. election also mean volatility is unlikely to disappear soon.

3.????????????????? Earnings

Earnings season is in the final stages with the majority of companies having already reported their quarterly financial results.

But there are still a few notable names due to report in the coming week including retailers?Home Depot?(NYSE:HD) and Walmart (NYSE:WMT).

Investors will be on the lookout for what retailers have to say about the resilience of consumer spending, a major driver of growth in the economy, particularly given some recent signs of weakness in economic data.

Other big names on the earnings docket are Cisco Systems (NASDAQ:CSCO) and Fox Corporation (NASDAQ:FOX).

4.????????????????? Oil prices

Oil prices notched gains last week as comments from Fed officials that they could cut rates as soon as September eased demand concerns, while fears of a broadening Middle East conflict continue to raise supply risks.

Brent?gained more than 3.5% in the week, while?U.S. crude?futures rose more than 4%.

Fears over the prospect of a recession have calmed, bolstering the demand outlook.

At the same time, geopolitical tensions in the Middle East have fuelled fears of a potential conflict that could disrupt the region's output and reduce the global supply of crude.

The possibility of retaliatory strikes by Iran against Israel are stoking concerns over oil supply from the world's largest producing region.

5.????????????????? UK data

The UK is to release a string of economic data that will inform the outlook for monetary policy for the next few months.

Data on wage growth is due out on Tuesday, followed a day later by?inflation?figures, which will be closely watched for indications of lingering price pressures, particularly in the still hot services sector.

Monthly GDP data on Thursday is expected to show hardly any growth in?June, but the economy is expected to have expanded?0.6%?in the second quarter.

Meanwhile?retail sales?data on Friday is expected to rebound in July after declining the previous month.

The Bank of England cut rates for the first time since 2020 earlier this month and markets are currently pricing in a roughly 33% chance of another quarter point cut at its September meeting.