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I am starting a new repair business and am considering Microsoft Money for Small Business. I need a software package that will let me separate taxable items from non-taxable items. I need to show my repair labor separately as non-taxable and the parts used as taxable. Can anyone tell me if Microsoft Money provides this basic capability? Thank you.
Microsoft Money will allow you separate taxable from non-taxable items. When you mention "repair labor," I'm assuming that you are referring to your billings for hours. Without fully understanding your financial situation, I can't say for certain that Microsoft Money will be able to manage your repair labor, but it should. Handling parts is an area where Microsoft Money may fall short of your needs. If you are basically buying parts, adding a markup and then selling them, the program may be able to handle your needs.
Anything beyond this, for example, assembling parts, may be beyond the
program's capabilities.
Hope this helps ...
Pat with some help from Wayne Kawamoto
You can separate taxable and non taxable expenses in Quicken too. I tend to still do this on my own.
I create a report and then copy that report and paste it on MS Excel. From the Excel worksheet I then delete non-taxable expenses. This may seem like busy work but often tax expensable items are by category - hence, the report.
The report pulls together items you may purchase using a number of accounts. The reason I don't simply save the Quicken report is because if I want to manipulate the numbers - find an average fuel expense, for example - I can't do that with the Q report but I can in Excel.
I'm assuming MS Money has similar report capabilities. But I would never rely on a program to tell me what was expensable and what was not. The IRS isn't going to go after MS if I make a mistake:)
Thank you everyone for your responses. I guess I wasn't clear on exactly what I needed. Yes, I will be charging for hours worked and parts installed. What I need from "Money" is the ability to list them separately on an invoice so that I can tax for parts but not my labor. Some programs that I have seen only allow the "total" cost to be taxed. I need line item control, if you will:)
I'm more familiar with QuickBooks, but I'm sure Microsoft Money for Small Business must be comparable (or Microsoft is really slipping). In QuickBooks, you enter different items on the invoice and simply toggle the 'T' next to the amount to charge (or not charge) tax for each item. SmallBusinessComputing will have a review of Microsoft Money 2004 Small Business edition shortly and we'll make sure we touch on that topic.
As Shelah16 said in a previous post, though, you should check with the IRS on taxable vs. nontaxable items. They have pretty good booklet on it they will send.
--Dan
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Microsoft Money will allow you separate taxable from non-taxable items. When you mention "repair labor," I'm assuming that you are referring to your billings for hours. Without fully understanding your financial situation, I can't say for certain that Microsoft Money will be able to manage your repair labor, but it should. Handling parts is an area where Microsoft Money may fall short of your needs. If you are basically buying parts, adding a markup and then selling them, the program may be able to handle your needs.
Anything beyond this, for example, assembling parts, may be beyond the
program's capabilities. You can separate taxable and non taxable expenses in Quicken too. I tend to still do this on my own.
I create a report and then copy that report and paste it on MS Excel. From the Excel worksheet I then delete non-taxable expenses. This may seem like busy work but often tax expensable items are by category - hence, the report.
The report pulls together items you may purchase using a number of accounts. The reason I don't simply save the Quicken report is because if I want to manipulate the numbers - find an average fuel expense, for example - I can't do that with the Q report but I can in Excel.
I'm assuming MS Money has similar report capabilities. But I would never rely on a program to tell me what was expensable and what was not. The IRS isn't going to go after MS if I make a mistake:)