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ROTA is calculated by: Profits Before Interest and Tax (PBIT) / Total Assets (TA)
PBIT = operating profits of the firm before interest and tax is deducted. So this is operating revenues less operating expenses (including direct and indirect)
TA = current plus non-current assets
In reviewing the commentary around ROTA there are two schools of thought to which short assets to include in the total assets figure. In particular, only those current assets for which a charge in the use of funds is made in their acquisition. For example, inventory purchased through "free" creditor lines of credit would not be included. Where as inventory purchased through interest bearing overdrafts would.
This difference in approach would result in the former approach producing, all other things being equal, a higher return as the denominator to the fraction is a smaller figure.
We feel that this would be a rather misleading approach as the source of asset funding should be inclusive of all sources as this is a reflection of how effective management are in their sourcing of funds. For example, a firm that was able to better utilize non-interest bearing funding is generating a more positive return for its shareholders when compared to another firm utilizing interest bearing funds.
So the key components used in this measure of management performance are total costs (excluding interest incurred), total income (excluding interest received) over total assets employed.
Below are statements of financial performance and position with the same format and figures we used when looking at ROE in our previous tutorial. The ROTA figure is always expressed as a percentage and as we have mentioned already it is a key measure in how efficient management are in the deployment of the firm's assets and the return therefore generated.
|Operating Sales
|Operating Expenses
|Less: Interest Expense
|Less: Income Tax
|Less: Dividends Declared
|Net Profit
|Owners Equity
|Current Assets
|Less: Current Liabilities
|Working Capital
|Non-Current Assets
|Non-Current Liabilities
|Net Assets
PBIT = Profit Before Interest and Tax
PBT = Profit Before Tax
PAT = Profit After Tax
|Total Assets
When compared to the ROE we calculated with the same figures, being 16.4%, the ROTA 14.0% reflects the leverage that owners achieve through the use of debt. A modest 2 percentage points can make a significant difference as the scale of the business increases.
Of course like any analysis the figure calculated and the conclusions drawn from it must be analyzed within context. The context in this sense means looking at both the longitudinal data series of the firm itself and the cross-sectional comparison with other firms within the sector and other comparable sectors. At the moment 14.0% means little to us in how well this firm's management is performing.
And of course these comparisons are set within the context of the general economic conditions of the economy and the sector itself. One would expect, ceteris paribus, that as economic conditions improve so would returns on assets and equity. While as conditions deteriorate returns would track down in the same manner.
The performance of management, which this is a key measure of, is compared against what targets have been set and how the performance compared against similar firms and over previous years. Without this type of context performance is very difficult to measure and the figure itself means little. One only needs to see this in the media on a daily basis when a particular company's profit is reported as $xxx million; often with inference of price gouging or monopolistic power or some stakeholder group demanding a greater slice of the action, for example employees. But the profit figure in-it-self means little when used in isolation. Is the $xxx million a growing or shrinking figure? Does it reflect a 50% ROTA or a 1% ROTA? How are comparable firms in the sector performing? Which profit was reported? A highly leveraged firm could well have a much better PBIT compared to a firm carrying little debt.
Back in November 2014 we provided an overview of ROE and also provided an online calculator to help you with the calculation. In this new post we expand on this material and in particular introduce the measure of ROTA (to be covered in next weeks tutorial).
These two measures provide a means analyzing the business from the perspective of the total capital employed in the business to generate the results that it does. While the second looks at the reward for the owners, with the equity placed into the business what return are the shareholders being rewarded with.
In the first of two tutorials on this material we work through examples to show how the performance measures are calculated and, more importantly, what do the measures mean and how should be used in business analysis.
Set out below is the source figures for the calculation of the ROE. The figure is always expressed as a percentage and reflects the return being generated from the funds shareholders have invested in the business through capital directly paid in and profits reinvested.
|Operating Sales
|Operating Expenses
|Less: Interest Expense
|Less: Income Tax
|Less: Dividends Declared
|Net Profit
|Owners Equity
|Current Assets
|Less: Current Liabilities
|Working Capital
|Non-Current Assets
|Non-Current Liabilities
|Net Assets
PBIT = Profit Before Interest and Tax
PBT = Profit Before Tax
PAT = Profit After Tax
|Owners Equity
Out of the two measures, ROE and ROTA, the former is perhaps one of the most important figures in the assessment of investment return and in particular for publicly listed firms their respective share price. Other than a boasting figure for executives around lunches and a key driver of performance related bonuses, for the company itself it strengthens its ability to attract and retain capital funding. And, all other things being equal, should also attract cheaper debt financing.
With the ability to attract and hold equity and debt funding a business then has the means to utilize this capital through which it can then grow its revenues and profits. As long as the executive is able to continue or improve its efficiency in the utilization of this additional funding the returns to shareholders, in particular with increased leverage through greater debt funding, will improve and grow.
Like many of these measures of financial efficiency it cannot only be applied at the individual company or business level but also to the wider economy. The efficiency in which a country can utilize its capital, physical, human and money, is reflected in its economic growth and strength. You will find over history those countries that have been able to gain the greatest leverage in deployment of capital has been able to grow in economic and political power. Where as those countries that have been wasteful in this deployment of economic resource, and often despite the bounty of it, have suffered lower levels of employment, standards of living, political stability and wider geo-political influence.
Next week we will be looking at ROTA and how this measure complements the ROE and the efficiency in capital deployment. As always we welcome any feedback you have about our site. Please provide comment below or use the Contact Us page.
The formula for the net profit margin is:
Net Profit Margin = (Net Profit/Revenue) x 100
As an example, if Company Z has $200,000 net profit and $2,000,000, then the net profit margin will be 10%.
A more detailed analysis of the above example is as follows:
Let's assume that Company Z has published the latest income statement (or profit and loss account) which is as follows:
|Cost of Sales
|Gross Profit
|Admin Expenses
|Profit Before Tax
|Profit After Tax
The example above shows that while the profit after tax (which is also the total profit that is available for distribution to shareholders) remained stable during these two years, the net profit margin decreased.
Calculating the net profit margin for these two years gives:
200x: Net profit Margin = (400,000/2,000,000)%= 20%
200x-1: Net Profit Margin = ($400,000/1,500,000)%=27%
It is clear from the above example that while revenue increased during the second year, the net profit and therefore the net profit margin decreased. Net Profit Margin effectively shows if a company is able to control it's costs in order to translate the revenue generated into distributable profits.
Therefore, while revenue is very important, so are the costs and not only the cost of sales but also the administrative expenses and the finance costs.
Net Profit Margin is one of the most widely used ratios by both analysts and investors. However, judgement should be exercised when comparing two potential investments or when comparing and judging the performance of two companies that operate in different industries.
As an example, companies that operate in competitive markets often try to grab additional market share by reducing their prices, at least for the short term. In addition, new companies might have increased interest expenses due to capital raised which should cause the net profit margin to decrease.
At the same time, increased net profit margin does not necessarily mean increased distributions since companies might choose to retain the profits.
It's not that uncommon for a company to have one or more exceptional items on the income statement. As an example, an exceptional item might be an impairment, a restructure expense or a decommission cost.
Therefore, it might be useful to omit these exceptional items in order to maintain comparability.
As already mentioned above, net profit margin shows the ability of a company to "translate" the income into profits. Therefore, if a company is making losses, then the net profit margin does not have a meaning.
Both net profit margin and gross profit margin are very useful and widely used ratios. However, there are quite different. Analyzing a company by calculating and using the gross profit margin, we effectively try to understand if the company is able to increase costs while controlling the costs that can be directly attributed to the manufacturing the delivery of a product.
However, the net profit margin allows us to see the bigger picture by incorporating not only the cost of sales but also other expenses such as payroll, other admin expenses, finance costs and the taxes paid.
At the same time, while net profit margin includes more costs, it also includes more costs that are subject to judgement and can therefore change from company to company. As an example, depreciation policy varies from company to company and net profit margin can be subject to costs that could be described as more judgmental.
The calculator below can be used to find the net profit margin of a company. Simply enter the net profit and the revenue in the boxes!
Return on Assets is calculated by dividing the net profit for the year to the total assets that a company has. The Return on Assets Ratio (ROA) is expressed as a percentage. The net profit is a figure found in the profit and loss account (income statement) while the total assets is recorded in the balance sheet.
In addition, Return on Assets can be also calculated by taking the average assets (average of opening and closing) but for companies with fairly stable assets, this version should produce consistent results. Furthermore, there are analysts that prefer to ignore (or better to add back) the interest expense since the interest is effectively the cost of raising the capital in order to acquire the costs.
In summary, the Return on Assets Ratio can be calculated as follows:
Return on Assets: (Net Profit/Total Assets)%
The table below includes details for two companies with different numbers. We will use these two companies in order to calculate both versions of the return on assets ratio (with interest and without).
|Company A
|Company B
|Net Profit
|Net Profit
|Interest Expense
|Interest Expense
|Total Assets
|Total Assets
Company A: Using the first version (ignoring the interest expense), the Return on Assets Ratio is : $4,000,000/15,000,000 or around 27%. However, adding back the interest expense slightly increases ROA to 28% ($4,250,000/$15,000,000).
Company B: Using the simpler formula, ROA is 38% ($3,000,000/$8,000,000) while by using the second version ROA becomes 39% ($3,100,000/8,000,000)
The examples above, show that while the first company has higher net profit, it also uses significantly higher assets to generate these profits and therefore, the return on assets ratio is lower. All things being equal, increasing the total assets for Company B and matching them to the assets that Company A has would allow it to generate more profits than company A.
In other words, the example above shows that company B is more efficiently using its' resources and is able to generate more cents of profits per cent of assets.
Comparing the Return on Assets for one company with the Return on Assets for another company is useful but also certain difficulties. Each company is unique and has a different structure. In addition, a company that operates in the manufacturing sector for example might be more asset intensive and might have a higher asset base compared to a company that is providing services (as an example a marketing company).
Therefore, the Return on Assets Ratio should be ideally used to compare companies that operate in the same industries or be used to understand if a company is improving based on historical information.
The calculator below can be used to produce the ROA ratio. Simply input the net income and total assets for the company you want to calculate the Return on Assets for.]]>
There is more than one formula that you can use to calculate the debtor days. To be more specific, the first version of the debtor days calculates the debtor days ratio by dividing the trade debtor (not the whole debtor balance, just the trade debtors) with the credit sales and multiplying the result with 365 (number of days in a year).
Debtor Days= (Trade Debtors/Credit Sales)*365
However, the above formula assumes that information about the credit sales will be available to you. Most of the times, such information is not available in the financial statements. Therefore, if you are an analyst or if you don't have access to the credit sales figure, an alternative is the following formula:
Debtor Days Ratio = (Trade Debtors/Revenue)*365
As you can imagine, the second ratio will give you a smaller number of days that a company needs to turn its' sales into cash. The reason for that is that the second formula includes cash sales and not just credit sales, since it includes the total revenue figure and not just credit sales.
Finally, you will also see the debtor days ratio being calculating the average of the opening and the closing debtors for the year.
The table below includes details for the two hypothetical companies. Company A has managed to generate more sales. However, it also has a larger trade debtors figure.
|Company A
|Company B
|Trade Debtors
The debtor days ratio for first company is as follows:
Debtor Days Ratio : (350,000/5,000,000)*365= around 26 days
However, the debtor days for the second company is:
Debtor Days Ratio : (150,000/3,000,000)*365= around 18 days
What the example above shows is that Company A suffers from a higher number of days that it takes its' customers to pay for the amounts invoiced. On average, it takes around 8 more days for customers of Company A to pay the amounts outstanding compared to the clients that the company A has.
There are several implication for this which are further analyzed below the most important is that Company A shows a greater ability to collect cash and increase its' working capital which can be used for the day to day operations.
There are many useful things that the debtor days ratio can show. In particular, by calculating, analyzing and interpreting the debtor days ratio, you can gain insight about:
At the same time, it is worth noting that each company has a different client portfolio and different agreements with its' clients in place. Similarly, different companies from different industries will have significantly different debtor days ratio. Therefore, the specifics of the company and also the industry that a company operates in should be taken into account when comparing more than one company at the same time.
The calculator below is very straightforward so please fill in the boxes and you will get the debtor days!
The formula that is used to calculate the Inventory Turnover Ratio is quite simple. The formula is:
Inventory Turnover Ratio: Cost of Sales/Average Inventory for the Year
Where Average Inventory for the year is: (Opening Inventory + Closing Inventory)/2
If the stock levels do not drastically change year one year, it's also possible not to use the average inventory levels and just use the final closing stock balance.
In addition, it's also possible to use specific costs that are included in the stock line item in order to further refine the ratio and make it more accurate. As an example, certain overhead costs such as labor can be excluded since they are allocated to stock as needed while raw materials for example are actually purchased by the company.
The table below summarises the information we need in order to calculate the inventory turnover ratio for two hypothetical companies, Company A and Company B.
Company A
Company B
|Cost of Goods Sold
|Average Inventory
|Inventory Turnover Ratio
Company A is smaller than Company B both in terms of year end stock levels but also in terms of cost of sales. However, the Inventory Turnover Ratio is lower for Company B (Cost of Goods Sold/Average Inventory).
As explained in the introduction above, the inventory turnover ratio shows how many times stock is sold or replaced during the year.
Therefore, it's reasonable to assume that the higher the inventory turnover ratio the better. The reason for this is that a higher ratio is correlated to higher sales and also lower (always comparatively) lower year end stock levels.
At the same time, having unusually high inventory turnover ratio can be also associated with a couple of negative points. For example, high stock turnover can mean that the company might be having difficulties in keeping a certain level of stock level at all times which leaves it open to price fluctuations of its stock.
As a result of that, the first company will have a lower inventory turnover ratio compared to the second company. It's therefore advisable to benchmark each company against other comparable companies.
In order to use the online calculator below, just fill in the cost of goods sold (or as it's also called cost of sales) and the average inventory figure.
It therefore shows how much profit (attributable to the shareholders) in dollars (or any other currency) can be distributed to the shareholders for every dollar of common stock.
The formula to calculate the return on equity ratio is very simple. You will need two numbers, the net income available for distribution to the shareholders which can be found on the income statement and the shareholders equity which can be found on the balance sheet – statement of financial position.
The formula is: ( Net Income/Common Stock Equity)%
It is worth pointing out that in order to calculate ROE, the net income is after deducting any dividend that needs to be paid out to investors that hold redeemable preference shares. However, these dividends are already deducted before arriving to the net income, since redeemable preference is debt and the "dividend" is included in the finance expense line (on the profit and loss statement).
The following example will help us calculate and understand the return on equity ratio. It's a straightforward scenario for two different companies that have a different capitalization and different income.
|Company A
|Company B
|Net Income
|Shareholders' Equity
Therefore, the return on equity ratio for company A (2,000,000/15,000,000) is 13% while the ROE for Company B is 10% (5,000,000/50,000,000).
Based on the example above, we can see that while Company B has a higher net income, ROE takes into account the "size" of equity too.
As a result, ROE for company A is higher than for Company B. This means that Company A has managed to generate more profit per dollar of equity than Company B.
Investors usually follow company that have a high ROE because it shows that the company is able to potentially pay out high dividend. However, high ROE and does not necessarily mean high dividends too. In other words, a company might be able to generate high profits compared to the equity funds used, but it might be choosing to either retaining them or re-investing them instead of distributing them.
Another point that is worth noting is that ROE can be manipulated by raising debt instead of capital. If a company used more debt, then the shareholders' equity will be lower and therefore the ROE (return on equity) will be higher. However, higher debt also means higher interest expense (among other things).
Finally, a variation of the Return on Equity is the Return on Common Equity which excluded preference shares (both the dividend paid to preference shares but also the funds raised by issuing preference shares).
The online calculator below can be used to calculate the return on equity. Just fill in the blanks!
Creditor Days Ratio is used together with other ratios such as the accounts receivable days, the inventory turnover ratio in order to monitor the working capital.
The Creditor Days ratio can be calculated as follows:
Creditor Days Ratio = (Trade Creditors/Credit Purchases)*365
However, if information for the credit purchases is not be available, you can also use the formula below that will produce comparable results:
Creditor Days Ratio = (Trade Creditors/Cost of Sales)*365
You might be wondering what is the difference between these two formulas. Credit purchases should be included within the cost of sales. However, cost of sales will also include cash purchases. Therefore, including cash purchases too, the creditors days ratio will appear lower than it actually is.
In addition, there are analysts and accountants that prefer to also include purchases that not just from the cost of sales line but also from financial statements line items such as admin expenses. The reason for that is that if you make a purchase that does not directly relate to stock (such as stationery for example), using only the cost of sales effectively ignores these purchases, Therefore, if your income statement does not only include cost of sales but also other lines where purchases are included, make sure you add these too in order to calculate the creditor days ratio (or DPO as it's also called).
Let's assume that we have two different companies (Company A and Company B). Company A is larger with company B and has a greater trade creditors at the year end but it also has a larger cost of sales balance.
The table below summarizes the specifics for the two companies but briefly, using the formula above, the creditor days ratio or else, the days payable outstanding ratio, is 36.5 days for Company A and 29 Days for Company B.
This is calculated by dividing the trade creditors by the cost of sales and multiplying the result with 365 which is the number of days in a financial year.
Company A
Company B
|Trade Creditors
|Cost of Sales
|Creditors Days Ratio (DPO)
36.5 Days
29 Days
While Company B has a higher trade creditors at the year end, it also has a higher cost of sales. As a result, Company B has a smaller Creditor Days Ratio or Days Payable Outstanding Ratio.
The creditor days ratio for company B is 29 days and 36.5 days for company A. So what does that mean in practice? It means that company B takes a shorter period of time to repay its suppliers. In particular, it takes on average a slightly more than a week less to pay the invoices for purchases made.
While you might think that this is a good thing, that's not always the case. In order to maintain, a healthy working capital, companies need to reduce the days it takes for clients to pay any amounts due but at the same time this can by achieved by delaying payments to suppliers.
However, as you might be able to guess, delaying payments it not something that your suppliers will be particularly happy about! It's therefore important to be able to keep a balance between increasing the time it takes your company to pay invoices due (by improving credit terms for example) but at the same time maintaining good relationships with your suppliers.
The online calculator below can help you calculate the days Payable Outstanding ratio by simply filling the boxes with the trade creditors and the cost of sales figures.
Managing your accounts receivable and collecting on time can become a simple exercise if you run a big corporation. You allocate resources and you train them to invoice on time and collect your cash. What happens if you run a small business and your resources and time become limited? Do you afford to spend more time collecting and getting your invoices paid instead of providing services and generating new customers?
There are plenty of cloud based accounting software that you can pick from and plenty of payroll service providers that you can outsource to. But what about accounts receivable management companies? Debt collector companies is definitely not something new but the service that ZenCash (See bottom of page for update) offers has a twist which I think adds value.
Keeping a healthy level of working capital is vital for every business, new or well established. Two of the most important components of the working capital are the accounts receivable and the accounts payable balance. Your ultimate goal should be to collect fast and at the same time pay your suppliers as late as possible.
Sounds like a good plan but this pattern is something that all companies try to follow. In other words, your accounts receivable is someone else's accounts payable. It might make sense at this point that quite a lot of companies face problems collecting money on time since everyone tries to pay as late as possible. In addition, this problem becomes bigger the smallest your company is. The reason for that is that you might end up spending more time trying to collect invoices rather than actually running your business.
First of all, let's start by saying that ZenCash is not an accounting software and it's not an invoicing software. ZenCash can be integrated with third party accounting applications including quickbooks, xero, lessaccounting, blinksale and others and can be used to monitor your accounts receivable.
In other words, you integrate ZenCash with the accounting software that you use and you then setup what actions you want to take for your aged accounts receivable. For example, you can select to send a reminder letter 15 days after an invoice is past due.
When you issue an invoice through your accounting application, the invoice is synchronized with ZenCash which you can then use to monitor what invoices are past due and what actions you can take.
ZenCash has "two levels" of actions that are available to you. The first level of actions are the usual follow up actions which include email reminders, printed reminders, phone calls etc.
When you see that your invoice is way past due and these reminders do not actually bring any results, you can than move to the second level of action which is basically a more formal debt collection service that works on a contingency basis.
ZenCash has two different pricing structures. The first structure has a more like pay as you use basis. You are charged when you actually initiate an action through the ZenCash dashboard using a standard and predefined pricing. For example, a phone call reminder costs around $3 so asking ZenCash to call three of your customers will cost around $9. If you don't initiate such actions then you don't pay anything.
The second method is to basically outsource the whole accounts receivable process to ZenCash and let them manage it for you. The price structure for this is not available which I think makes sense since it depends on the volume of your transactions and the volume of work ZenCash will need to perform on your behalf.
Apart from the standard accounts receivable management, ZenCash offers an invoice collections service which works on a contingent basis or in other words on a performance basis. What that means is that if the manage to collect any proceeds, then ZenCash will charge a fee (pricing available here). If they don't manage to collect any cash, then you don't get charged.
At this point, there is a two weeks trial period which can be used along with the pay-as-you-go option to try it out and see how useful it is for your business.
Update May 2015: Unfortunately, ZenCash is no longer in business. There are other similar services in the market such as InvoiceCare.
Built in features include one-time and recurring invoices, multi-currency reports, VAT returns with just a few clicks, credit control, automated invoices to late clients, basic inventory management and contacts management.
One of the most important features that KashFlow offers that is not very common in cloud based that are specialized for the UK market is the support for third party addons. I believe that companies that want to succeed in the SaaS industry should sooner or later realize that allowing third party apps to be integrated with your application is a smart move. KashFlow supports a variety of third party applications that span from CRM and inventory management software to payroll and marketing addons. Some of the addons that you can integrate include:
Dropbox Integration with KashFlow
This addon allows you to store files such as purchase orders, contracts and reports right on the cloud. DropBox is maybe the market leader when it comes to inexpensive (or even free) cloud storage.
GoCardless Integration with KashFlow
This is one of the newer third party apps. It permits you to collect customer payments via a direct debit system, allowing you to use it for recurring or one-off collections.
If those aren't enough, you can integrate KashFlow with SagePay, PayPal and WorldPay, as well as Freshbooks and eCommerce. As mentioned, you can integrate KashFlow with third party addons in order to track the time spent working on project or with a specific client.
KashFlow Updates
Successful companies and successful products are built based on customers feedback. If the client are not satisfied with something, the company should work to improve the product and make it more useful. KashFlow is improving its product almost on a monthly basis. That shows commitment! They recently changed the way that the bank reconciliation is performed based on customers' feedback.
KashFlow for Accountants
KashFlow also has nice features for professional accountants. First of all, accountants can create a branded version with you own logo. This is a nice feature for accountants that believe that building their name online and developing a recognizable brand is important.
Accountants can work with their clients, organize and analyze the information that you need to run reports that can help you monitor the performance and the financial position of your clients.
A very useful feature that Kasflow offers is the ability to track what has been uploaded (in terms of documents or information) by your client as well as the records that have been changed. It also allows you to lock the records and prevent your client from changing anything before you have finished properly recording the transactions that need to be recorded.
KashFlow Pricing
When it comes to pricing, the structure of KashFlow couldn't be simpler. You have one option, and at the time of this writing it costs GBP18. Flat pricing means that there no different versions, no different price structures and no features that become available before you spend a fortune. I believe that £18 is a very low price tag for the professional support that you can get, let alone the product itself.
The final verdict is that it is difficult to find a small business package that is better than KashFlow for UK clients for this price. If you believe that usability, third party integration and pricing are important features then KashFlow is a bargain.
Xero, for example, claims approximately 22,000 members and says it adds 300 more on a daily basis. Outright is one of the newest cloud accounting applications, and it claims on its website that its features can help you "free yourself from accounting." If you own a single-person LLC or a sole proprietorship, Outright is designed to meet your needs.
Small business owners never want to have to focus on the books. That's not why they opened their businesses in the first place. Owners who are raking in a large profit can afford to hire an accountant. However, if you can't, you're stuck doing the books after a long day of promoting, operating, managing, training, and (hopefully) doing some selling. If you're sitting in front of spreadsheets, you're not out there growing your brand. The main benefit of Outright is that it frees the small business owner to get back out there and pursue his passion – his business.
Outright Functions
Outright automatically keeps track of expenses and income, and it even sorts your transactions to give you the best deductions when it's time to report to the IRS and state taxation authorities. It assists with the preparation of estimated tax statements and yearly returns, so you can focus on your brand. A lot of small business owners don't know all the tax deductions for which they qualify, which is why the automatic sorting feature is such a valuable one. It is worth noting that Outright only works for the U.S. tax system at this point.
How Outright Operates
First of all, Outright focuses and targets small businesses. Some people might wonder why an accounting application would limit itself to small businesses in this way. While this might seem shortsighted, the truth is that this permits the company to focus on this target group, develop a product that better serve it and establish it as a market leader.
For example, one small business that receives particular attention is the regular eBay seller. Outright has a few sections that are set aside for eBay resellers, making this the perfect application for people with eBay stores. That's a clever move that can create a competitive advantage and help Outright stand out from the crowd.
Inside Outright
When you open Outright, there are tabs for taxes, expenses, income and reports. These tabs show you each category analysis and send you to reports that are user-friendly, showing you your loss or income at any given time. It also breaks down expenses and income by customer, vendor and category.
One interesting feature is that Outright contains a function allowing you to ask an accountant or bookkeeper to take a look at your records. This way if you run into an accounting issue that is over your head (and that of Outright), you can bring in a professional with a minimum of time spent bringing that person up to speed.
Outright Pricing
When Outright first came out, it was free for all users. However, now you only get to use it for free for a one-month trial. When that ends, it costs $9.95 a month to keep using it. However, the level of reporting and assistance that you receive makes it well worth the price. It will improve your productivity and that can be priced higher than $10.
Additional Features
How to Handle 1099 Forms
A Form 1099 needs to be prepared for every client that has spent over $600 during a year. Outright has come up with a way to send in your 1099s for you to the IRS. This costs extra ($5 per 1099), but the feature is so useful that it is well worth that minimal cost.
Recent News
Outright has been bought from GoDaddy, one of the biggest hosting companies worldwide. GoDaddy was reportedly trying to find an acquisition target to enter the SaaS industry. The good news is that GoDaddy is a big company with a very strong brand in the hosting marketing.
Yes or No?
Given the extremely low price and the features that are available, Outright seems a reasonable choice. The fact that Outright by Godaddy also shows that it will be actively developed (hopefully). Signing up is easy and the cost to try it minimal. So, why not?
The goal of YNAB
The goal of You Need a Budget is to help you rearrange your finances to such a point that you will be living on your previous months paycheck (claim from their website) rather than your latest income. This should provide you with a buffer in case of unexpected financial emergencies.
Installing YNAB
YNAB can be installed on multiple computers, regardless of whether it was purchased from the Mac App Store or Steam. This means that all members of your household can access the budget management benefits offered by the software. To ensure that you can access your budget from any device, YNAD encourages you to sync it with Dropbox. You simply need to feed details of your Dropbox account into the application and it will automatically manage the synchronization between different computers and any mobile Apps.
Using YNAB
YNAB comes with an in-built tutorial that that pops out as help windows to explain what different categories and boxes mean. What's more, there are online live classes that can teach how to:
* Allocate a task for every dollar
* Have something saved for a rainy day
* Roll with the (financial) punches
* Strive to live on last month's income.
The dashboard looks just like a corporate budget. At the top, you can check the amount that you have available to include in your budget and the balance that you have "overbudgeted" or "underbudgeted".
You will need to insert estimates on how much cash you will spend on various things within the month. These categories include medical bills, living expenses, donations, etc. The software keeps prompting you till you've budgeted for every single dollar you have, including the cash you wish to set aside for emergency funds and savings.
Whenever you spend any money, you enter the amount into the application as a transaction. What's more, you are allowed to enter recurring payments, which means that regular transactions such as your wages (incoming) and rent (outgoing) can be automated. These transactions will be marked "uncleared" till you approve them. These scheduled transactions are displayed in a separate screen too.
Separate columns are provided for each month's planned budget, your actual expenditure and the difference between the two, which indicates whether your spending exceeds or not your budget and whether you should take any action to limit your expenses for this month. Your goal should be to keep your spending as close to the budgeted amount for each category as possible. Moreover, you don't have to worry if at first, you find yourself wide off the mark – the program will talk you through all sorts of issues and show you how to manage them.
Flexibility is one of You Need A Budget's greatest strengths. While inexperienced users get a lot of guidance from the program, it allows knowledgeable users to customize practically anything in the App. You can delete and create new categories, subcategories, add notes and generally futz with any feature. Other features include:
* The Phone App – The YNAB App is available on both the android and iOS platform and it allows you to log transactions on the go as they happen.
*Reports – This software has some nice inbuilt reporting tools. It provides spending trends similar to that are similar to ordinary budget breakdown percentages.
Cons of You Need a Budget
The learning curve – For least tech savvy users, being able to fully utilize the full potential that YNAB offers might be a challenge at first. But this con also has a pro, YNAB offers fantastic customer support. They offer on line classes almost on a daily basis that you can literally walk in out to learn how to bet use the software.
Another disadvantage is the price. There are free alternatives like Mint but YNAB offers a level support that you would not expert from a free app. In addition, it might be a bit of a boring task for some users to record every single transaction that happens. However, if you want to get the benefits that an application like that offers, you will need to put some effort!
InFlow Inventory is available in three different versions – premium, regular and free. The free version, unlike other programs, is not a web-based solution. The user will still have to download and install the software, and he or she will be able to use it with up to one hundred products. This software allows users to easily track and manage your stock. With a few clicks of the mouse, purchase orders, invoices, sales orders, shipping documents and receipts can be easily created.
They can all be customized to suit your business needs. The user-friendly interface has an intuitive dashboard which shows outstanding orders with a customization graph which allows users to view profit, costs and cash flow. This software offers users a look into their complete product movement history with full support. The only negative thing is that the software does not have an iOS version.
The POS Maid is a great first-time software for small and medium businesses. It is very easy to use and offers an intuitive user-friendly system. The inventory control manager software will allow businesses to fill in forms so that they can keep track of their stocks. Features such as account management, low stock alerts and employee management are some of the things that POS Maid has to offer. This software is best for retail and general merchandise.
It has simple and easy to use basic features that all small to medium businesses need. While building an inventory is made easy with this software, it is not recommended for big businesses.
This inventory control software's main feature is that it allows lot and serial number creation for control. This helps businesses keep track of their goods without having to physically count their stock (although regular stock counts is something that businesses should perform for other reasons). The Inventory stock manager feature can be configured manually or by using a simple wizard.
This gives business owners full control of how they want to keep track of their products. With Inventoria small to large businesses will be able to monitor things such as recurring orders, stock costs and receipts. Although Inventoria offers a wide array of features, it does not support multiple languages.
This powerful inventory software comes with a handful of templates. This makes it easier for business owners to create receipts, invoices, purchase orders and other important documents. It has a user-friendly interface with a document creation wizard. This helps businesses keep track of their orders, shipping and stocks. iMagic Inventory can help small to medium businesses deliver the right goods to their customers without all the guesswork, keeping your customers happy and improving their loyalty.
This software is perfect for any growing business that has never used an inventory management software. The important functions are easily accessible on the dashboard, and the latest information will be displayed on the user interface. Another great feature is that the software has a multi-user interface which allows businesses to keep track of the cashier or person in charge of the task. The only negative thing is that to access the multi-user feature, a heavy download is required.
ABC Inventory Software was created by Almyta Systems, it is perfect for small and medium businesses. This software allows growing companies to execute all management tasks like a professional. It comes with a variety of features that can help make a lot of tasks much easier. The complete inventory track with barcode feature is something that a lot of companies find very useful.
Along with that extra feature, it also comes with purchase order management, automatic stock report generation, mailing labels and a variety of other tools that can assist businesses when it comes to inventory management. One of the negative things about this software is that it comes with a hefty price tag.
1. FreshBooks
FreshBooks is a simple cloud-based solution that helps business owners track their expenses, record their sales and invoice their customers. It's a complete and robust accounting software. Above all, it's a software that allows you to integrate it with popular third party addons that span from CRM software, inventory tracking software and many more.
It is a cloud-based accounting service that users can access through any mobile device or desktop computer. The financial data for companies is backed-up and is securely stored on the cloud.
Users can create customized invoices, send payment reminders and manage multiple projects. FreshBooks is used by over 5 million small to medium enterprises worldwide. The interface is very easy to use and it focuses on the users.
2. QuickBooks
QuickBooks has long been a favorite accounting tool for many small businesses across the globe. While a number of companies use the self-hosted and standalone versions, QuickBooks Online is an excellent tool that can handle any SME's accounting needs. Its competitive pricing is something that makes it very attractive.
It becomes a more attractive solution for the small business owner due to 30-day risk-free trial where users can get a feel of the accounting tool. It allows users to create invoices, download banking transactions, track sales, generate reports and so much more. This web-based program can also export data to Microsoft Excel for presentations and reports. QuickBooks also allows you to utilize addons such as project management addons, customer support addons, payment gateways and others.
3. Xero
Xero is an accounting software package that currently has over 200,000 users. It is available in the United States, United Kingdom, Australia and New Zealand (where the company is also listed). This cross-platform product is available at a very competitive price. It is very easy to use which is also the main reason that it became so popular for small to medium enterprises as well as freelancers.
It offers all the standard features users would expect of cloud-based accounting software such as easy invoice wizards, multiple currency support and bank reconciliations. This software also has the ability to pay bills on time and track company expenses. There are a set of financial tools available on the user dashboard that allow businesses to create documents with the help of step-by-step wizards. These financial reporting tools are available for users who are constantly on-the-go as they can access their documents on any smartphone, tablet or computer.
4. Crunch
The first great thing customers will notice about this accounting package is the tagline which is "love accounting". Crunch lives up to this catch phrase as it makes accounting tasks very simple. It has a user-friendly interface that offers modern accounting solutions for small and medium enterprises.
The intuitive dashboard allows users to manage all their documents so that everything stays organized. This interface is perfect for freelancers, contract workers or small businesses who want to take advantage of the cloud. This package is available in a mobile iOS version and can be downloaded for a limited free trial. Please note that crunch is available only in the UK.
5. Kashoo
Kashoo is a cloud accounting service that is also very simple. Users can access their dashboard through any apple device or web browser. This accounting app is best for small businesses who do not have a lot of transactions to manage and want to limit the time they spend to record transactions on a daily basis. The features included in this app are professional invoice wizards, ability to connect to credit cards and online bank accounts, options to categorize cash flow and tax reporting.
Small businesses who want to use this app can share their business data with an accountant over the internet in a secure environment. Kashoo is known for top-notch transaction security. Users are required to pass a double-entry barrier in order to access documents such as financial statements and bank reconciliation. The attractive thing about this accounting package is that it comes at a very low price.
However, there is also no doubt that implementing an ERP system is not the easiest of the things to do. It's not just the scale and the size of the company that can increase the complexity of this exercise. Just think about the things you expect an ERP system to be able to do. An ERP system is expected to help you monitor and manage your stock, record your transactions, build and assess budgets, monitor and evaluate your employees and so many other things. It's therefore reasonable that implementing a system like this that does all these things could not be but a complex task.
The list that is below is not exhaustive. In fact, every case is expected to be different and probably require a different and unique approach. However, some points that should be considered in most cases are:
1. It will be helpful (and can actually save you money despite the cost) before considering implementing to talk to an expert. There are companies that specialize in ERP implementation and have a very sound knowledge and understanding of the ERP market and the products available. They can help you see the benefits and compare them with the costs. Performing a cost benefit analysis should be help you understand whether implementing an ERP system is worthwhile in the first place. An ERP system is supposed to help your company be more efficient and more profitable so assessing and quantifying the benefit from implementing an ERP system is vital.
2. Choosing the right product is also expected to be a hard decision to make. There are so many choices and so many very good products. The market appears to be segmented but the key players are not that many. In addition, you should look into products that are designed specifically for the industry your company operates in. Two examples are the ERP systems for manufacturing companies and the ERP system for companies that offer services instead of products. Manufacturing companies would be more interested in an ERP system that focuses on Inventory (Work in Progress), budgets and expenses while a company that sells services and not products will not have physical stock and will probably not have a particular interest in fixed assets modules either.
3. Bespoke vs off-the-shelf is another dilemma that is more applicable and valid for large companies. SMEs might not have the financial resources to choose a bespoke solution. However, there are pros and cons for both choices. The only thing that I think it's worth mentioning here is one risk that is associated with a bespoke software. Ordering a bespoke ERP System has risks that are associated with the supplier. You should audit the supplier and evaluate (in depth) the level of support you will be getting and whether this supplier will be available to work with you to overcome any difficulties you will be facing.
4. The implementation of an ERP System is not just a task for the IT department. I am not saying that the IT department need not be involved. It's just that they are waiting for you to set the expectations, guide them to install and make the system functional. Installing an ERP system is one problem and integrating it with the rest of your systems is another. This is an area where an expert can be also helpful.
5. Data Migration is another significant risk that you should evaluate in depth. Think about the things that can go wrong and try to find solutions to overcome any potential difficulty. Things to consider include having backup of your data and having a contingency plan that involves being able to return to your previous system (for example) in order to be able to operate with minimal "downtime".
6. Implementing an ERP system is only the first step. You should train your staff so that you can fully utilize the system you have at your disposal. Training might sound easy but consider the scenario where you have to train a lot of people in more than locations. It's costly and might be also be difficult in practice.
As already mentioned above, this list is not exhaustive. ERP systems are fantastic tools that can help your company grow. There are also costs and risks that an ERP implementation has so analyze them and manage them in advance is highly recommended.
QuickBooks Online can be now used from your iPhone, your iPad or your android phone. This move was expected since most cloud-based accounting app providers are enhancing their software by focusing on social media and on the ability of the users to access the apps on the go.
QuickBooks Online Cloud-Based Accounting Software
The problem with QuickBooks Pro is that it's a desktop software that you need to install on your computer, maintain it, update it and run it only locally. With the evolution of cloud-computing and the rise of the professional apps that are now offers as cloud-based, Intuit launched the QuickBooks Online Accounting.
QuickBooks Online Interface
The recently revamped QuickBooks Online user interface has sleek design. It has a left-hand side bar which allows users to view all their reports, transactions, supplier and employee information. The developers have carefully selected functions that are most frequently used and have placed shortcuts for them right on the front page of dashboard. In addition, you can view the details of your company's account with just one click of the mouse. Your income, expenses, profit and loss will be visible in the form of charts and graphs for easy viewing. On the right-hand side of the screen, a bar with the break-down of bank account details as well as activities can be seen.
The re-engineering of QuickBooks Online can help business owners see an overview of the recent activity, record transactions faster and eventually spend less time recording their day to day operations and more time running their business. There are notifications for pending payments, taxes and other important tasks that need to be completed.
QuickBooks Online is therefore easy to navigate around, and the interface is designed to also suit touchscreen devices. Larger buttons and a clear navigation bar has been placed so that all the reports and important documents are within reach. The main navigation bar allows users to access the basic accounting features that all small businesses perform on a daily basis.
QuickBooks Online on the go
Users who wish to view their accounts through a mobile browser either on a tablet or smartphone can do so with ease. QuickBooks Online even allows users to perform basic accounting tasks such as create invoices and raise quotes through the iOS and Android version apps. This means that business owners can now take care of their accounting while on-the go. By being able to view all their financial reports through a mobile device, small business owners will be able to make informed decisions even when they are away from the office, visiting a client or while travelling.
QuickBooks Online Versions Available
The new online web-based solution comes in a standard, an essential and a plus version. The plus version offers more than the basic accounting features, it can integrate different tools with your inventory and help you track your products, cash-flow and other aspects of your business. It's worth noting that although cloud computing can help businesses keep track of their accounting while on-the-go, the online version does not yet offer all the features that QuickBooks Pro offer.
QuickBooks Online Development
Since the first release of QuickBooks Online, some of the quirks in the system have been addressed. Now, users will be able to move their documents from the desktop to the online version using an addon. Stock and inventory control can also be added along with a payroll system. Although cloud-based accounting solutions are still being developed, QuickBooks Online is a helpful tool that can allow small business owners to complete accounting tasks with ease, whether they are at home, in the office or on-the-go.
QuickBooks Online Versions Comparison
First of all, the three version allow 1 user for the Basic Version, 3 users for the Essentials and 5 users for the Pro. I don't know what's the rationale behind this decision but limiting the users to 5 for the PRO might be a disadvantage. It's true that most small companies do not have more than 5 people that record transactions but still, I don't see the reason for this limit.
A very important feature that all versions offer is that you can give free access to your accountant that can tidy your books, do your taxes, record transactions or generate reports to monitor the performance for company. That's a fantastic feature and a great idea that other cloud-based accounting software providers should implement.
The standard version allow you to record transactions, raise invoices and perform other day to day accounting operations. The next step is the Essentials that includes some additional features such as the ability to generate reports that show your financial performance and manage your supplier payments.
Finally, the pro version allow you to track stock levels and also be able to record your employees' time that has been spent on a client which can be then used to directly bill this client. That's a fantastic feature for professional services firms.
I think that the QuickBooks Online is a robust solution for small business owners and a rather inexpensive one. It's been around for quite some time now (taking into account the desktop version as well) so it's a tested product offered by a tested company. The only comment that I would make is that the three different versions might need to have the features balanced in a better way. I think the Essentials version should have the ability to track your stock and all versions should have the time recording feature as a standard one since more and more companies are billing per hour nowadays.
When it comes to usability and based on online reviews, FreshBooks has one of the cleanest interfaces. The navigation is right on the top of the screen and I have to admit that the designers have done a fantastic job. The frontpage shows the recent activity and includes shortcuts that you can use to create invoices, record expenses, track time spent on projects, export financial reports and much more.
But enough with the way that FreshBooks looks! If you are a small business owner, an accountant that is serving a client or a bookkeeper, it's the functionality that you would be most interested in. So, what can FreshBooks offer to you?
There are so many software solutions, both cloud-based and self hosted, that can create invoice and track whether there are payments that are due. However, that's not what a complete accounting package should be limited to.
Freshbooks is much more than just an invoicing solution. You can of course invoice your customers, receive and record payments but you can also perform other tasks such as expense tracking, reports generation, tax calculation and much more.
You can connect FreshBooks with your bank or your credit card and start tracking and recording your expenses automatically. That's something useful for the small business owners that do their own bookkeeping and prefer to spend more time running their business than record transactions all day long.
FreshBooks Time Tracking Feature Review
One of the most useful features that FreshBooks offers is the time tracking. I think it's a fantastic tool since it allows companies that offer services for example to track how much time each member of a team spends on a project and compare the cost incurred to the revenue that the client generates. You can understand that this is very crucial since accepting loss making jobs can not be part of a long term strategy. Freshbooks also offers the opportunity to directly charge and invoice a client based on the billable hours spent on a project. That is a fantastic feature for accountants, designers, lawyers and many other professionals that sell services and charge by the hour.
Financial Reports and Taxes
Another important feature that Freshbook offers is the ability to generate reports that should included in the analysis of every small business owner. You can run monthly income statement reports and track sales and expenses, understand your margins and be able to see what expenses you should be cutting.
Speaking of expenses, FreshBooks can also run an expenses report so that you can save them in excel files, plot graphs or create pivot tables to see how much you are spending and where.
Another report that you can generate is the aging report. The debtor aging report can basically tell you how much your clients owe to you and if there are amounts that are past their due date (and how long). You should be keeping track of such things and you should never let your sales turn into bad debt. The best thing to do is invoice fast and cash in faster!
FreshBooks and Third Party Addons
In my opinion, what sets FreshBooks apart from other accounting cloud-based software is the ability to integrate it with third party professional software. The list of addons that are supported is endless but briefly, you can integrate FreshBooks with CRM software such HighRise or Batchbook, specialized time-tracking software such as ChronoMate, marketing tools such as MailChip, workforce management tools, project management software and the list goes on!
Finally, something that every business owner should be looking (actually before looking into anything else) relates to data security. FreshBooks is a cloud-based software which means that you have no control over the way that your data are stored on the FreshBooks servers. The goods news is that you can export your data. In addition, FreshBooks creates backups and stores them in different locations. They use RackSpace (a big name in the hosting industry) with very big clients such as GE and Cisco so that you can be sure that your data will be safely stored.
Finding a software that can make your day more productive, help your company grow faster and easier, increase your profitability and help you satisfy your customers and turn them into loyal supporters, is not an easy task. The truth is that are so many accounting software (including inventory software) solutions being launched every month that makes the whole process of choosing the right software a nightmare.
However, Inflow seems to be a very good option. First of all, it is a product that has been around for around 7 years with continuous support and updates.
Why inFlow?
No better place to start our Inflow review than by taking a look at what this inventory software offers. Then we can see how well Inflow lives up to those promises.
The main focus of inFlow is keeping track of your inventory, customers and vendors. What does that mean? Being able to know exactly your stock levels, being able to track what is coming in and is leaving your premises can make the difference between a succesful company and a company that will not be able to survive. That's the area Inflow tries to help you to improve.
inFlow's Inventory Features
Being able to track inventory over multiple locations is the first thing that I think is worth mentioning. There are so many companies that have more than one warehouse and are trying to centralize the work and control everything from one place. Well, Inflow can help you do that. I can see how this feature will save both money and headaches for companies that ship products from different locations.
Inventory can be tracked both by lot and serial number. You can also utilize the barcode scanner feature, import and track products easier and faster.
In addition, another very important feature is ability to take the orders your company has received, mark items as shipped and also raise purchase orders when your stock levels run low. That's is a fantastic flow of information that can help you keep track of what's is being sold, produce shipping documents and raise purchase orders easier than ever.
Another feature that inFlow has is the ability to use exchange rates, translate the cost of your stock and your sales price and exporting and using graphs that can help you understand the performance of your company.
Miscellaneous Features
Apart from the two areas of inventory and financial features that are probably most important to business owners. inFlow is packed with other features as well, that are worth mentioning.
It allows you to set access passwords and permissions for up to five other users. Since you probably don't want everyone to have complete access to your files these different accounts can be set up exactly how you choose. Unlike to a few other inventory software programs that come to mind, this was very easy to set up. No need to call in a computer expert to have set it up at all, which is a big relief.
inFlow Ease of Use and Price
I've covered it already, but let me stress the point that inFlow is generally pretty easy to use. The learning curve is small, for the most part, and you can realistically be working it and having it work for you the same day you install it. Some of the features, like I mentioned above, may take longer to master. However, inFlow hosts an online forum and offers video tutorials for its users.
The price point for inFlow is right around $300 and this is certainly on the low end for inventory software. The features may warrant this, but still for a small business just getting started the price tag is still a hard pill to swallow. Hopefully, with time, inFlow will drop this down to more affordable levels since this is one of the few disadvantages of making the choice of going with their product for small businesses.
All of the money that you transfer from your traditional IRA to your Roth IRA gets added to your ordinary income for the current tax year. This can increase your marginal federal and state tax brackets subjecting any additional income you earn this year to a higher level of taxation. The odds are that you will be in a much higher tax bracket in the current year than you will be later on when you're taking distributions from your IRA.
I was looking at an IRA Account at Schwab and I was trying to compare the benefits of a ROTH IRA vs the Traditional IRA. It turns out that the conversion is not always a no-brainer as most people believe. People often overlook the risk that the increase to your adjusted gross income can also eliminate your eligibility for many tax credits and reduce your itemized deductions. The AGI increase can also reduce or eliminate any subsidies available to you under the Affordable Healthcare Act. This could cost you thousands of dollars.
You need to look at all of these factors in order to determine what the real cost of the transfer is to you in the current year. This task practically requires you to do your entire tax return in advance just to figure out how much it's really going to cost you.
Once you have a good idea of what your tax cost will be, you need to do some present value calculations to make sure that the transfer actually increases your total after-tax return over time. There are a number of online calculators the can help you with this mathematics. The problem is that there a lot of variables and you are playing a giant guessing game. You have no real idea what your tax situation is going to be like in the future. Often, the results of these calculations are that you only end up with more money if you keep working hard and stay in a high tax bracket.
Another major variable and thus another major risk, is the government. The government could change the rules of the game at any point in time. They could:
1) Eliminate or reduce the tax-free status of the Roth IRA.
2) Reform taxes so that all the tax brackets are lower.
3) Eliminate the income tax entirely and replace it with a consumption tax.
You really have no idea of what is going to happen.
Conversely, you can assume that government inertia will continue and things will stay pretty much the same as they are now. Plus, there is just as much chance of marginal tax rates going up as there is of them coming down. Under this scenario, there are a few benefits to converting from a traditional IRA to a Roth IRA.
One would be income flexibility. Maybe you are still working but would like some extra money to use to purchase a second home or take a special vacation. The tax-free funds from your Roth IRA are perfect for that purpose.
Tax-free withdraws from your Roth account will not increase your adjusted gross income. Thus, enabling you to take extra advantage of tax deductions and subsidies at a time when they are of more value to you. Also, unlike with a traditional IRA, withdraws are never mandatory so your money can keep growing tax-free for as long as you want.
You are probably starting to wonder why with all the risks and uncertainties you would want any kind of IRA. The answer to that has nothing to do with taxes. The number one benefit of any kind of IRA is asset protection. An IRA is the safest place to protect your money from lawyers, bill collectors, and tax collectors. Even bankruptcy judges can't touch the first $1,000,000.
Regarding conversions, you need to look at all of the factors and decide what is best for you as both forms have their advantages and disadvantages. Most financial planners counsel their clients to have money in both types of plans. So, maybe you want to convert some or all of your current traditional IRA into a Roth IRA now but continue making tax deductible contributions to a traditional IRA. This will give you the ultimate flexibility when you need it most.
What is Guaranteed Life Insurance?
I was reading the blog of an insurance comparison website (http://www.bestlifequote.com/blog/) which had an article of the things that people don't know about the guaranteed life insurance policies. First of all, People that have bought guaranteed life insurance are bound to get payouts, regardless of any medical conditions they may have (as long as they pay their premiums in a timely way!).
There are no medical questionnaires or blood tests involved when you sign up for a guaranteed life insurance. All you have to do is fill up a form and you're good to go. And insurance companies will approve your application, though some have a few restrictions. It's also useful to know that this type of life insurance may be temporary or permanent, though term policies are most common.
Sounds too good to be true? There are a few hidden catches under the fine-print that policy buyers often fail to realize. But before we take a look at the hidden fine-print surprises, let's take a look at the types of people that usually buy this insurance.
Who Buys Guaranteed Life Insurance?
Because there are no restrictions on applicants for guaranteed life insurance, it is the most common choice for people who are unable to get other types of life insurance. So, applicants generally include people with terminal illness, serious disabilities, life-threatening diseases, seniors and other high-risk conditions. Standard life insurance that is affordable may be hard to find under these circumstances, so guaranteed life insurance is the only option. It is also used by the elderly looking to be able to pay their burial expenses. The policy is not without age limits though. It is usually available for people between 45 and 85 years of age.
What You Should Know About the Fine Print of Guaranteed Life Insurance
Premiums are usually higher as compared to standard life insurance! Premium rates can vary for a guaranteed policy, but it is usually on the higher side because of the additional mortality risk charge claimed by the company in exchange for the medical test waiver. Sometimes the premiums can be as much as 5 times that of a comparable standard policy. In a desperate last-ditch attempt to get the protection you need, you may decide that it's okay to pay that much.
But don't be so sure that it's the best option. It's wiser to shop around a little more for standard insurance at other companies. You might find insurers willing to cover you. Because insurance companies actually calculate risks and your life expectancy through different algorithms, there may be some company that doesn't find your profile ineligible for their standard insurance.
Most policies have a minimum term before payout.
This means that from the time your insurance policy goes live, you may have to wait a stipulated period of 2 or 3 years before you can start receiving your payouts. During the waiting period, you receive minimal benefits. For instance, if you die within the period, your beneficiary will either receive just the premiums paid out so far or nothing at all.
This graded payout applies to most such guaranteed life insurance policies. Only once the policy lapses will you receive the full death benefits. This fine print stricture is a way for the insurers to protect themselves against having to immediately pay out in case of the death of a high risk policy holder.
This stipulation is a problem, because you are most likely buying the policy because you are a high-risk candidate. But you don't want to end up paying out with no gains for your beneficiaries. So it is wise to thoroughly evaluate your situation before you decide to sign the application form.
Death benefits are not particularly high
For the premium that you are paying and taking into consideration factors like your sex and age, you will find that the death benefits offered by guaranteed life policies are quite low. For instance, for a 50-year old woman looking to pay for funeral expenses (which may cost anything between $7000 and $10,000 today) and other bills may pay out $60 to $100 a month for a maximum benefit of only $15,000. And insurance companies usually have limits on the maximum death benefits that they pay out.
If you are about to sign away a few thousand dollars of your money in premiums, it is wise to go about it with the full knowledge of how much you will get back. Keep in mind these fine-print stipulations that insurance companies don't usually tell you about. They should help you steer clear of bad choices that benefit no one but the insurers. You may also be spurred on to renew your search for more mainstream insurance policies that some companies may be willing to offer you.


text:
SDLT3 Intro p04 by ryuuenWatch
©2011-2016 ryuuen
Heyheyhey.... I'm wondering. Would Mikami still be in the hospital by round 3?
he's already out, all through out SDLT3 o 3o
Oh right, forgot that he was on the round 3 intro comic alive and running OTL
Can't wait to see whats coming next. What is Hiki going to do with Tanaka anyway? MOAR KICK YEAH.
Sudden style change indeed, but it still looks cool anyway!
you make Hiki look so manly lmao
It''s becoming moar like Western comics!
woah! sudden style change yeah : O

subset: commoncrawl


text:
MONTGOMERY, Ala. — The Southern Poverty Law Center said it plans to file a lawsuit on Wednesday, Sept. 26, in Denver in the U.S. District Court for Colorado against a Falls Church, Va.-based anti-gay group over a direct-mail campaign that used an altered version of a New York gay couple's engagement photo without their knowledge or permission.
Steve Klein, the leader of a California hate group, says that Islam is a "penis-driven religion" whose followers have "no choice but to hunt Jews and Christians down, torture us and murder us."
NEW YORK -- A coalition of human rights groups is calling on public officials not to attend the upcoming Values Voter Summit in Washington, D.C., because its host, the Family Research Council, has spread demonizing lies about the LGBT community, and because one of its co-sponsors, the American Family Association, has linked homosexuality to the Holocaust.
(Editor's note: The ongoing religious right attack on the SPLC, originally framed last month to suggest that the SPLC bore responsibility for a shooting at the Family Research Council because it had earlier named the FRC a "hate group," has continued to expand to the point of absurdity.
(Editor's note: The following statement may be attributed to Mark Potok, Senior Fellow of the Southern Poverty Law Center and editor of its Intelligence Report and Hatewatch blog.)
Yesterday's attack on the Family Research Council and the shooting of a security guard there was a tragedy. The Southern Poverty Law Center (SPLC) deplores all violence, and our thoughts are with the wounded victim, Leo Johnson, his family and others who lived through the attack.
Conservatives tend to object when the gay rights movement is compared to the civil rights movement, often claiming that LGBT activists are trying to "hijack" a unique moment in American history.
It had been our impression here at Hatewatch that this objection was underpinned by an antipathy toward being compared to racist reactionaries who protested desegregation, the end of laws barring mixed-race marriage, and the other triumphs of the civil rights movement.
One of the most prominent ex-gay organizations in the country, Exodus International, has been experiencing an exodus of a different sort, one it surely isn't pleased to see. The group canceled its next Love Won Out (LWO) conference, which was scheduled for May 19 at Legacy Church in Albuquerque, N.M.
Anti-gay extremists in Maine have a new talking point. In their battle against a marriage equality ballot initiative, they're asking voters to reject "sodomy based marriage."
Interesting. The term opens up all kinds of questions. My dictionary defines sodomy as "anal or oral copulation with a member of the same or opposite sex; also: copulation with an animal."
PHOENIX — Michael Brown took the dais in a sterile Marriott ballroom last fall, beaming for the 40 or so therapists who form the devout core of the National Association for Research and Therapy of Homosexuality (NARTH). With a hulking frame packed tightly into a three-button black suit, one of the nation's most vociferous anti-gay activists began his speech with a dire warning.
COON RAPIDS, Minn. — An agreement has been reached on behalf of six students who filed two federal gender and sexual-orientation harassment lawsuits against Anoka-Hennepin School District.
The Southern Poverty Law Center (SPLC), the National Center for Lesbian Rights (NCLR), and the law firms of Faegre Baker Daniels LLP and Culberth & Lienemann LLP announced the settlement today.
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Best Photography Group Show -- Historic (2004)
A Moment in Time: Photographs of the Early American West, Colorado Springs Fine Arts Center
The earliest examples of modern art done in our region are frontier photographs from the nineteenth century. Some of the finest examples of these images from local public and private collections were brought together at the Colorado Springs Fine Arts Center last winter for the stunning exhibit A Moment in Time: Photographs of the Early American West. The photos that former CSFAC director David Turner selected were wonderful, but what was really remarkable was that many of them could have been taken only yesterday except that the vistas shown were still pristine.
More Arts & Entertainment Awards
Best Dadaist Bathroom GraffitiGabor's
Best Early-Morning Happy HourZephyr Lounge
Best Free EntertainmentPeople-watching on the 16th Street Mall while we still can
Best Radioactive PhilanthropistNuclia Waste


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Ask the Experts
CD4 Count V. CD4% Count (ABSOLUTE CD4 COUNT VERSUS CD4%, 2010) (WHEN TO START TREATMENT, 2010)Hi,I was diagnosed with HIV around 15 months ago. Since then my health has been good (especially in the last six months) but my CD4 count has fallen a bit rapidly from 470 to 371 to 324 over this time period. However, my CD4 percentage count has...
Response from Robert J. Frascino, M.D.
The Robert James Frascino AIDS Foundation...had tonsilitis at the time of blood test) and my doctor has said that its not neccesary for me to take the meds yet untill my cd4 cell count drops unless however i can choose to start them now. im confused becuase most of the information i can... Read more »
Vaacinations vs CD4 countA disparage of opinion has occurred in relation to the effectiveness of giving an HIV+ patient... Read more »
Your response ref a normal CD4 countIn a response to Sep 29th post re early viral load and CD4 count you stated that a normal CD4 is... Read more »
Study Examines HIV-Positive Patients' Death Risk at CD4 Counts Above 350...for continuing studies to examine the risks and benefits of starting antiretroviral therapy, or ART, for patients with high CD4 cell counts," HealthDay News reports. "For this study, researchers examined data from 40,830 HIV patients, aged... Read more »
Blood Work: Two Common Tests to Use for Monitoring HIV Disease... Introduction CD4 Cell Count Tests Why Do You Use CD4 Counts? CD4 Counts and When to Start Therapy What Do CD4 Counts Mean? Viral Load Tests Read more »
What Is HIV?...At least one AIDS-defining opportunistic infection (see list of OIs in our info sheet called AIDS Defining Conditions ) A CD4 cell count of 200 cells or less (a normal CD4 count is about 600 to 1,500) How Do I Know if I Have HIV? Most... Read more »
CD4 Counts Decline Despite Nutritional Recovery in HIV-Infected Zambian Children With Severe Malnutrition...contribution that severe malnutrition makes to CD4 lymphopenia in HIV-infected and -uninfected children and to determine the changes in CD4 count during nutritional rehabilitation. From a pediatric ward in Lusaka, 56 children with severe... Read more »
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cd4 count
Posted by Anonymous, 3 Replies...is there any way of getting around having an hiv test? like could i just have my doctor test my cd4 count instead. would you be able to tell from that whether or not it seemed like i needed to be tested? Read more »
How to increase CD4 Count?
Posted by Just_Joe, 2 Replies...I have had HIV since November 2008 and 3-4 months later am undetectable with CD4 Count in the 200's but my last CD4 count in January 2010 is in the 300's. My doc said my ratio looks good as far as my CD4 count goes Read more »
CD4 Count
Posted by T_BOOGIE...How lond does it take for hiv to effect your cd4 count? Will it show right away if you are having symptoms? Is 11 weeks to early to get tested? Read more »
Do anybody know about CD4 cells count?
Posted by Anonymous, 1 Reply...under 500, which means there is already damage done to my immune system?! My question was: If medical document all relate low CD4 cell counts to HIV/AIDS, what could my low count mean? Other than HIV infection, do all viruse infection affect... Read more »
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|This document may not represent best practices for current development, links to downloads and other resources may no longer be valid. Current recommended version can be found here. ArchiveDisclaimer
MFC Reference
The MFC Reference covers the classes, global functions, global variables, and macros that make up the Microsoft Foundation Class Library version 8.0.
The individual hierarchy charts included with each class are useful for locating base classes. The MFC Reference usually does not describe inherited member functions or inherited operators. For information on these functions, refer to the base classes depicted in the hierarchy diagrams.
The documentation for each class includes a class overview, a member summary by category, and topics for the member functions, overloaded operators, and data members.
Public and protected class members are documented only when they are normally used in application programs or derived classes. See the class header files for a complete listing of class members.
In This Section
- Hierarchy Chart
Visually details the class relationships in the class library.
- Class Library Overview
Lists the classes in the MFC Library according to category.
- MFC Technical Notes
Provides links to specialized topics, written by the MFC development team, on the class library.
- MFC Classes
Provides links to and header file information for the MFC classes.
- MFC Macros and Globals
Provides links to the macros and global functions in the MFC Library.
- Structures, Styles, Callbacks, and Message Maps
Provides links to the structures, styles, callbacks, and message maps used by the MFC Library.
- Obsolete MFC Functions
Provides links to functions that are obsolete in MFC.


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I Know Why The Caged Op-Ed Columnist Sings
Did you know that President Obama might be reading The American Spectator? "Most nights, before going to bed, he'll surf the Internet, reading the columnists whose opinions he values," writes Dylan Byers in a Politico piece called "President Obama: Off the Record." One wonders whether Obama spends a lot of time in the comments section—hopefully with a more creative alias than Carlos Danger. Byers describes the president as a voracious consumer of opinion journalism who frequently summons his favorite writers to the White House for off-the-record discussions where "he can show them how obviously everything he is doing makes sense."
Byers names some of the journalists that the president has invited. It's largely a liberal echo chamber with a smattering of conservatives for good measure. "Joe Klein of Time Magazine. From The Washington Post: E.J. Dionne, Eugene Robinson, Ezra Klein and Fred Hiatt, the editorial page editor. On foreign policy: the Post's David Ignatius, Bloomberg View's Jeffrey Goldberg, and the Times' Thomas Friedman." As for conservatives, last month the president staged a rather public meeting with Charles Krauthammer.
Byers makes special mention of David Brooks from the New York Times, who is apparently "a frequent guest." TAS's own Wlady Pleszczynski calls out Brooks in this month's magazine, and it's hard to resist the image of ostensible conservative Brooks as Obama's kept Republican, a bird in a cage, tweet-tweeting for the president's ear. If Obama thinks he's getting a fair representation of conservatism from David Brooks, he probably has no idea what he's really up against.
Still, it would be dangerous to discount the role that these talks are having on public opinion. "He sees columnists as portals," said one journalist quoted by Byers, and the president is using these portals to keep his viewpoint present during national debate. Also it appears that Obama is a very philosophical man, inclined to focus on "grand concepts" and determined to "to ween [sic] White House staff off their obsession with the 'who's up, who's down' Washington culture."
What's it like to bandy with the president about grand concepts and ideas? "These sessions are a chance for the president to get on his high horse and opine," said Ari Fleischer of the long-running practice. Gee, who could imagine President Obama opining from a high horse? The ideas conveyed are generally along the lines of: "The president is thoroughly convinced that the course he has set out is correct, and that his opponents are either wrong-headed or crazy." Also: "[A]s in public, it's the president who does most of the talking." Yikes. Our sympathies go out to Byron York, who recently endured one of these sessions.
Does this mean we should expect a regular column from the president and daily appearances on MSNBC come 2017? "He's naturally predisposed to analysis. In his own mind, that's what he is: he's like us. He wants to be a writer, and so he likes to talk to writers," one journalist told Byers. Perhaps he should have skipped the stint as president and plowed straight into a career as a talking head. "'He likes the intellectual sparring element of it,' a source familiar with the president's thinking told POLITICO. 'He likes talking to reasonable adversaries.'" If he really wants "reasonable adversaries," he should drop the Brooks and give it a go with some of the contributors to The American Spectator. No caged op-ed writers here.


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CBIZ Inc. Stock Downgraded (CBZ)
TheStreet) -- CBIZ (NYSE: CBZ) has been downgraded by TheStreet Ratings from buy to hold. The company's strengths can be seen in multiple areas, such as its reasonable valuation levels and increase in net income. However, as a counter to these strengths, we also find weaknesses including generally poor debt management, poor profit margins and a generally disappointing performance in the stock itself. Highlights from the ratings report include:NEW YORK (
-- Written by a member of TheStreet Ratings Staff
- CBIZ INC reported flat earnings per share in the most recent quarter. This company has reported somewhat volatile earnings recently. But, we feel it is poised for EPS growth in the coming year. During the past fiscal year, CBIZ INC increased its bottom line by earning $0.58 versus $0.45 in the prior year. This year, the market expects an improvement in earnings ($0.63 versus $0.58).
- Despite the weak revenue results, CBZ has outperformed against the industry average of 11.7%. Since the same quarter one year prior, revenues slightly dropped by 1.1%. Weakness in the company's revenue seems to not be hurting the bottom line, shown by stable earnings per share.
- The gross profit margin for CBIZ INC is currently extremely low, coming in at 2.00%. It has decreased from the same quarter the previous year. Along with this, the net profit margin of -0.70% trails that of the industry average.
- The debt-to-equity ratio of 1.07 is relatively high when compared with the industry average, suggesting a need for better debt level management.
-- Written by a member of TheStreet Ratings Staff
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text: Hey guys sorry if this has been asked before I searched and couldn't find the answer I was looking for so after lurking for a long time I figured I would register on the forum and ask. Is there a way to project my smartphone screen (HTC Evo 4G LTE) to a tablet screen (Samsung Galaxy Tab or similar) or if not on the tablet to an LCD? Basically I am looking at running a tablet in my dash but dont want to worry with tethering or any of that stuff I have unlimited Data and I am already using my phone all the time it would just be nice to have the bigger display. I would have no problem controlling everything from the phone as long as I could have the tablet or even an LCD screen for the actual display. Any help or suggestions are appreciated. Thanks everyone.


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A reader left this incredibly thoughtful comment in response to my last post on our changing attitudes on the Civil War and Civil War remembrance.
Until five years ago I didn't know that I had a Civil War ancestor. Most of what I know about that ancestor I learned on my own by way of the internet. I spent the first five decades of my life blissfully ignorant of the myriad ways in which that conflict shaped my life. I don't remember anything about the Centennial celebration. I lived on the west coast from 1961 until 1965 and beyond in a state that didn't become a state until fifteen years after the war had ended. The Civil War was simply not relevant to me. Then in 1970 I moved to Houston before my senior year in high school.
I was born in Lawrence, Kansas, and started school in Topeka, five years after the Supreme Court ruled on Brown v. Topeka, Board of Education. There weren't any black kids in the schools I attended. The only black kid I ever met in Topeka was named George. His father worked with my dad at the V.A. hospital. We lived in a barracks called Sunnyside on the hospital grounds. My first memory of Halloween was trick or treating with George in the barracks. We both dressed as pirates. Continue reading "The Civil War Centennial: A Personal Reflection"


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Article Summary
The geeks at The Gamer Gene really love Rock Band, and their latest feature is designed to convince PAL PlayStation 3 owners that they should stop waiting for EA to release the game in their territory, and simply import the game. They've done so, twice, and can't fault the process - especially when the other option is sitting around waiting for a vague Q2-Q3 release date. Read on for what to and what not to worry about when importing Rock Band.
Read the full article: Why PAL PS3 owners should import Rock Band
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