Dear AccountMate Clients,
For companies whose fiscal years match the calendar, you’re probably already starting to look towards the end of the year. Our December NewsLine issue always includes AccountMate-specific information (links to year-end closing procedure documents and webinars), but wanted to take this opportunity to highlight the upcoming “Section-179 Cliff” while there’s still plenty of time to react to it.
IRS Section-179 allows businesses to immediately expense capital purchases and leases, up to a certain amount, from taxable earnings in the current tax year – versus amortizing the purchase across several years, or depreciating in accounting-speak. The qualifying items include everything from fork lifts to vehicles (with a gross vehicle weight over 6,000 lbs) to financial management software (think, AccountMate upgrades and add-ons! ).
The ‘Jobs Act of 2010’, passed late in 2010, increased the limit for Section-179 deductions in 2010 and 2011 to a whopping $500,000. In 2012, that amount is at $139,000 – still a healthily sized amount for many small businesses – but, barring any future action by Congress, falls to a measly $25,000 in 2013. More information at http://www.section179.org/.
So NOW, in the next two months, is the time to be considering your purchase options, as making capital purchases in 2012 as opposed to 2013 will obviously yield a huge decrease tax liability. In fact, $139,000 in purchases/deductions results in more than $50,000 in tax savings at the 36% tax bracket!
In fact, if you’re interested in upgrading or expanding your AccountMate installation, we have special deferred payment leasing options available that can include hardware, software and services that would allow you to put a new system in service before December 31, 2012 – deduct up to $139,000 – and not make a payment until 2013. How’s that for a deal?
While certainly no one can predict future tax laws, this is an opportunity that may not be available again any time soon…
Regards,
Kevin E. Stroud
NexLAN, LLC
AccountMate/SQL 8.3 Webinars
Nearly as many features as a full version update, the enhancements in AccountMate/SQL V8.3 will be presented in a TWO-HOUR webinar on Thursday November 8, 2012 from 12:00 to 2:00pm CDT.
If you are interested in attending any of these webinars, please hit reply to this e-mail or call us at 877.2NEXLAN and we will be glad to get you registered!
Payroll Tax Subscriptions
It is AccountMate’s 2013 Payroll Tax Subscription season with subscription options of Federal plus a single State, five States or all 50 States (plus PR & DC).
The 2013 Federal W-2 Electronic Filing Generator (formerly MagMedia) is also available to subscribers of a Payroll Tax Subscription plan at an additional cost.
AccountMateForms.com: HR & 2012 Tax Forms
We always like to encourage our clients to order their check stock and tax forms from AccountMateForms.com; and to help you get ready for the 2012 Tax Season, your tax forms are now available at https://www.accountmateforms.com/.
AccountMateForms.com also offers posters and forms for the most current labor laws and regulations (state and federal) that are a mandatory requirement for all businesses in the United States. It is important to know that penalties are normally imposed on those businesses that do not properly display the most up to date labor law notification posters in the workplace.
AccountMateForms.com has these HR posters, forms and required content to keep your business in full compliance and avoid government fines.
To order either call 800-499-2022, fax order to 800-261-1499 or go to the website at https://www.accountmateforms.com/.
Application Improvements Released
Application improvements are regularly released, but we’ve honestly wrestled with the best means of notifying you about them. Since many installations are customized, installation sometimes requires integration of the updates with customizations already in place; and many issues being addressed occur only in very narrow circumstances (such as when multi-currency is configured, or other such esoteric conditions) so we’re hesitant to make everyone think every patch even has to be installed.
So, with those caveats, we’d like to make you aware that AccountMate has recently released program amendments to address the following possible issues in AM SQL/Express 8. These application improvements are available to clients with an active AccountMate Software Maintenance Plan and we’re happy to provide them to you directly, or to install/integrate them (which would be a billable event).
AM SQL/Express V8
Module: SO
Enhancement: Approve Sales Quote is not saved if one line item with negative qty is saved to lost sales quote.
Module: AP
Problem: Getting error Failed to retrieve data from the database when previewing the AP Invoice Detail Report.
AM LAN V7
Module: IC
Problem: Getting error VFP 1806: Column GIMAGE is not found in custom reports.
Tech Note: Using the Vendor Last Received Cost as Default Purchase Cost
AccountMate’s Last Received Cost feature provides users the flexibility to configure each vendor record to use the last cost at which items purchased from the vendor were received as the default purchase cost for future purchases made from that vendor. Users can specify the number of days during which the costing scheme will be in effect. Reports are available that can be used to review the most recent purchase costs from any range of vendors and the expiration of those vendor prices. This feature allows users to expedite data entry during creation of purchase orders and to facilitate choosing the vendor from whom specific inventory items will be ordered before the next purchase is made. Click on the article’s title below to access the PDF document.
Today we revisit a Technical Note that discusses the procedures for activating the Last Received Cost feature and the timing when AccountMate updates the last received cost and date in the inventory item record. It also discusses how the last received cost affects default vendor prices. Click on the article’s title below to access the PDF document.
Article 1176: Using the Vendor Last Received Cost as Default Purchase Cost
Technical Tips
Versions: AM8 for SQL and Express (8.3 or higher)
Module: SM (MP – AM8.3 Enhancement)
Tip: Starting in AccountMate version 8.3 for SQL/Express, users have the option to continue using the US-GAAP compliant setting or to switch to an IFRS-compliant setting when generating financial reports for the individual companies set up in AccountMate.
When the company must start implementing IFRS, users can switch to an IFRS-compliant setting by marking the Activate IFRS Features checkbox in Company Setup. During the switch, AccountMate will verify that the following conditions are met:
- The company does not use LIFO to cost its inventory since IFRS does not allow the use of the LIFO cost method.
- All companies in a consolidating group (i.e. parent and subsidiaries) are set to use the IFRS-compliant setting since IFRS requires that all companies that are presented in consolidated financial statements comply with the same set of accounting standards.
After the switch, AccountMate will deactivate all features and functions until the user has run GL Module Setup. This is done to ensure that users assign Category Name to the new set of IFRS-compliant account categories created by the switch and assign the new account categories to their existing Account Groups.
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Versions: AM8 for SQL and Express (8.3 or higher)
Module: GL (CP – AM8.3 Enhancement)
Tip: AccountMate 8.3 for SQL/Express is enhanced with the new Equity Account for OCI field in the Chart of Accounts Maintenance function. Other comprehensive income will close to the GL Account ID entered in the Equity Account for OCI field when you perform fiscal year end closing. This field is enabled only when the account group assigned to the GL Account ID is an Other Comprehensive Income account category. You can set up the default GL Account ID for the Equity Account for OCI field in the GL Module Setup function.
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Versions: AM8 for SQL and Express (8.3 or higher)
Module: GL (CP – AM8.3 Enhancement)
Tip: Starting in AccountMate 8.3 for SQL/Express, users have an option to display the Income Statement and Statement of Other Comprehensive Income in one report or separate reports. To display the Income Statement and Statement of Comprehensive Income in one report, select the One Statement Approach option in the Income Statement function; otherwise, you can select the Two Statement Approach option to display in separate reports.
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