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The purpose of this article is to have Private Placement in Securities Regulation D Defined so that you can understand it. Security law can be very complicated for anyone who is not a lawyer, so getting Private Placement in Securities Regulation D Defined in easy terms will help you understand how regulation D applies to you and your sale of equity.

Private Placement in Securities Regulation D Defined – Purpose of the Regulation

The primary purpose of regulation D as it corresponds to private placement of securities is to ensure that you receive an exemption for the sale of your securities in a private transaction without registering said securities in addition to giving you a proper framework to do so. Without having Private Placement in Securities Regulation D Defined one can easily become confused as to what is exempt and what needs to be reported to the federal government.

One thing to remember is that regulation D does not provide exemption from reporting to anti-fraud or civil liability provisions for state and federal government and these provisions include civil and criminal penalties for misstatements or omission of facts. This is to protect consumers from investing in companies without being fully informed, but at the same time regulation D allows entrepreneurs the ability to raise capital without having to go through a Securities and Exchange Commission review. These reviews can take up to sixty days to complete and will require assistance by multiple attorneys and accountants, something that can be extremely expensive for the small business person.

The purpose of regulation D is to allow these smaller business investments, required by rule 505 to be less than five million dollars, the ability to raise capital without the overhead and time of lengthy full disclosures to the federal and state governments. The purpose of this regulation is not to allow small businesses to hide from the federal government, but rather to ensure that they can raise capital without having to incur more costs or incur costs that take up a sizable chunk of the capital being raised.

Having Private Placement in Securities Regulation D Defined for you before you decide best how to change your equity into finance will help you determine the best way to get your business off the ground or acquire more funding to let you truly grow. This article is by no means a comprehensive review of regulation D, but rather serves to point to you, the entrepreneur, what options are open to you when raising capital.

Gary K. Landry is the CEO of TIC Advisors, Inc. If you are looking for the most complete information on a 1031 exchange or TIC property ownership, then you should visit one of the TIC Advisors, Inc. websites: http://www.tic.com and http://www.ticadvisors.com

Every week, it seems, a new story surfaces about a retiree whose golden years have been ruined by an investment scam. The stories are depressingly similar. They begin with people struggling to make ends meet. Then come telephone sales pitches, free-lunch seminars, friendly but pushy “advisors,” and promises of high returns coupled with absolute safety. The stories inevitably end with huge losses and shattered lives.

Yet you have to invest your retirement nest egg somewhere. And you want to get the best possible return on your investment, both to have enough to live on, and to ensure that it won’t be eaten up by withdrawals and inflation. How can you be sure that an investment “opportunity” isn’t really a scam? Follow these six guidelines:

1. Stay away from strangers who solicit your business.

There are plenty of reputable mutual fund companies (e.g. Vanguard and Fidelity) that offer extensive online and offline resources to help prospective customers choose wisely among their many investment options. And there are plenty of well-known full-service brokerage firms that will manage your money for a fee (e.g. Merrill Lynch, Wells Fargo, Morgan Stanley). They’re easy to find on the Internet or in the phone book. In any event, you’re better off seeking out your own investment vehicles or investment advisor than waiting for someone to come to you. Anyone who cold-calls you or offers free seminars is suspect. Well-established, reputable firms don’t do these things because they don’t have to.

2. Remember that there is no “magical” solution

This is the most important guideline of all. You may look at the size of your nest egg, and at the amount of money you need to live on, and conclude that you need a 20% annual return. The unfortunate reality is that no such investment exists that isn’t ridiculously risky–or an out-and-out fraud. And contrary to popular belief, even the experts can’t consistently beat the historical averages of 10% or so per year for stocks and 5-7% for bonds. Yes, hedge fund managers sometimes manage to squeeze out an extra percent or two–but only at considerable risk.

3. Consider managing your own money through no-load mutual funds

Unless you’re totally uncomfortable with numbers and percentages, you can put together your own retirement investment portfolio. Stick to the basics: a money-market fund for immediate cash needs; a short, intermediate, or Ginnie Mae bond fund for reliable income; and a broad-based index stock fund for growth. The only open question is asset allocation among these tried-and-true investment vehicles. The sooner you’ll need the money, the more you should lean toward cash and bonds, and away from stocks. Use the major mutual fund companies’ retirement planning guides. They’re free, and trustworthy.

4. Never be pressured

Anyone who tries to hurry or pressure you into investing is unprofessional at best, and is probably a scammer. Break off contact with them and go elsewhere. Period.

5. Get detailed info about commissions, surrender charges, and guarantees in writing

If you’re dealing with an investment advisor or broker, get a clear statement of what you’re being promised, and what it will cost, in writing. If you don’t understand it, consult a trusted, uninvolved person, e.g. your adult children or your accountant.

6. Don’t hesitate to check with regulators

If you have the slightest uncertainty, contact your state securities department, state insurance department, or the Securities and Exchange Commission, and ask for information about the company you’re dealing with. Even if this takes some time, it’s worth it. If you’re being rushed, or if the company you’re negotiating with reassures you that this isn’t necessary, don’t deal with them. Reputable firms have nothing to hide, and welcome clients who are cautious and diligent.

Once again, above all, remember point #2, which, in a nutshell, is this: If it seems too good to be true, it is.

Ed Garrison is Executive Director of the American Association of Future Retirees and is a frequent contributor to its blog, The Future Retiree.

The process of online income tax filing can be much easier than traditional means and much less expensive than paying for an accountant to assist you. In addition, many online tax filing services offer eFiling, which when combined with direct deposit can result in getting your refund in as little as 1 – 2 weeks.

However, that does not mean that you will not have questions about how to prepare your return or what a certain 1099 means or how to enter a receipt. Online income tax filing can still be a complicated process and for that reason, there are plenty of services and individuals who can assist you in getting everything organized and figured out.

Being Organized

The first thing to do for online income tax filing is to have all of your paperwork in order. Even the most experienced professional may have a hard time untangling your tax mess if you do not have the W2s, 1099s, receipts and past returns you need to fill out your current return.

Find everything you will need, organize it all into a nice and neat file and then start the filing process.

The most common documents you will need are:

• 1099s
• W2s from every employer
• Receipts from all charities
• Property tax receipts
• Records of the purchase price of all stock and mutual funds sold during the year
• Receipts for medical expenses
• K-1s (if you are a partner in a partnership, or member of an LLC)
• If you own a business as a sole proprietor or single member LLC, your complete business books and records of all income and expenses

The above documents are just for starters. As you go through the process online, you will likely be asked for additional documents. Don’t be concerned–most online filing services permit you to save your progress and come back later.

The Filing Process

When you start filing your taxes, you will want to decide which service is best suited for your needs.

For online income tax filing, there are 19 different websites to choose from via the IRS homepage.

Each site offers a different set of features but is considered trustworthy and tested by the IRS. Visit a few of these websites and view their rules and feature sets to decide which one will best meet your needs.

Tax Preparation Help

When you file your taxes online, you will be given a decent selection of resources to help you in the process. Online income tax filing sites usually provide a full annotated copy of the tax code integrated into their help services, allowing you to figure out what each form and line means.

They will also include a frequently asked questions section for you to find the answers to those questions that many other people have. If the site you are considering does not offer these services, look for a different one that does.

However, if the basic information that an online income tax filing website offers is not enough, you have still more options – though these options may cost you a small bit of money. Many of these websites will feature real time tax support from professionals who can answer your questions. These individuals can be reached via instant message from within the software or via a phone call to the company’s call center. You can also look for local tax preparation experts who may be willing to offer you the same advice for a better price. However, it can be confusing to try and take offline advice for an online return.

The process of filing your taxes online can seem daunting at first, but if you take the time and energy to do the research and be fully prepared when it comes time to answer those automated interview questions, everything is much easier and faster.

Simon Maher is a contributor for OnlineTaxFiler.com
Get more deductions and faster refunds by filing your taxes online this year.
Find the right online tax filing program for you with exclusive customer reviews and reports of all the major online tax filing services at OnlineTaxFiler.com.

Copyright 2008 Native Elements, LLC and OnlineTaxFiler.com

Over half of all new businesses fail in the first five years. Only one in ten will last ten years. Know the odds and plan to beat them with basic, tried and true business sense; starting with:

• Motivation and stamina
• Good research and planning
• Good choice of business (fill a need)
• Good location
• Good management
• Good marketing strategy
• Good financing
• Good employees

Know the Laws

When planning your business, be sure to find out tax applicable zoning for the location you are considering, necessary business licenses, insurance, etc.

If you have employees in your business, it is important to be knowledgeable about employment laws relating to work hours, minimum wage, workers’ safety equal opportunities, workers’ compensation and required insurance for workers.

Hidden Costs

If you work for yourself, you will be required to pay your own Social Security tax and federal and state withholding on a quarterly basis. You will also need to cover the cost of our health insurance and retirement benefits. If you have employees, you will have to cover these costs for them also.

Consult with a lawyer, accountant or other business professional about tax requirements and employment laws.

Finding the Money

Every entrepreneur needs money to get started. Funds may come from your own savings, the resources of friends, family or investors. A common place to secure financing is from a bank. Before going to a bank or other financing sources, it is important that you organize some information about your business so that you will be prepared to answer questions, be clear about your goals and financial needs and you will be more successful at securing a loan.

Business Structures

There are several types of business structures to tax before starting your own business. These include: 1) sole proprietorship, 2) partnership, 3) corporation, 4) limited liability corporation, 5) non-profit corporation and 6) cooperative. Each structure has advantages and disadvantages regarding decision-making, profit-sharing and taxation. It is a good idea to research each structure and then talk to an accountant, a lawyer or other business professional before deciding on which structure will work best for your business.

The Business Plan

A business plan includes the following information:

• Name of Business
• Name of Owner(s)
• Location and Phone Number of Business
• Definition of your Business (1-2 sentences)
o What you are offering (selling)
o What your goals are
o What makes it unique or better
• Financial Analysis
o Start-up costs; rent, advertising, inventory, equipment, utilities, etc.
o Estimated sales, expenses, profits
o One-year budget
• Marketing Analysis
o Definition of your market
o Evaluation of your competition
o Price structure for your services or goods
o An advertising plan
o A plan for selling or distributing your goods or services

This information should be organized in a clear way. The library has several texts which will help you develop your business plan. Several top-rated software packages also will help you write your business plan.

In addition to your business plan, gather the following information:

o Sources of Collateral – personal assets that you have which you can offer as security for a loan (real estate, investments, cash, personal property, etc.). A bank will almost certainly require collateral.
o Down Payment – cash that you are providing for your business start-up. Banks will expect you to make a personal financial investment in your business.
o Credit Record – documentation of all participating owners’ personal net worth.
o Management Ability – show resumes or outlines of job-related experience and education of all managers.
o Ability to repay the loan – cash flow projections including monthly loan payments from the budget in your business plan.

Organize all your information in a clear way. Make two copies – one for you and one for the loan officer. Make an appointment ahead of time. Answer all questions honestly and directly. If one bank turns you down, try another. Organization, thoroughness and planning are important to running your business and in getting a loan.

Alesha Sheely is a steadily rising marketedly improving entrepreneur with a home based business in the natural wax candles industry. You can visit her personal website at: http://www.VirginiaGourmetCandles.com

You would be surprised how valuable your Profit & Loss Statement is tax mistakes how it can help taxes manage your business. It can show you if you material, labor or administrative costs are too high or too low. It can also show you the trend in your business so that you can capitalize on favorable trends and mitigate negative trends. And finally, your Profit & Loss Statement can provide the foundation for creating a budget and truly enable you to get control of your costs.

Most small-business owners think of their bookkeeping as a necessary evil that is useful only for the preparation of tax filings. But your Profit & Loss Statement is much more than that. Comparing the current year financial activity to the prior year can tell you how your business is progressing – whether the trends are headed up or down. If they are headed up then you can expand on what you are doing right. This will increase your profits and make your business stronger. Conversely, if the trend lines are heading down, you can identify what is causing the negative trend and then make changes to rectify the situation. Maybe your quality is slipping or your vendors are causing delays in the production cycle. Whatever the problem, by figuring out what is going wrong, you are sure to improve your business.

Another useful tool is calculating costs as a percentage of sales. This calculation will tell you if your material or labor costs are too high and show how your selling and administrative expenses are tracking against sales. Costs that are too high will eventually put you out of business. But costs that are too low are a real danger too. It could indicate a decrease in product quality or reduced customer service.

By digging a little deeper you can identify which product lines are most profitable. It might surprise you that a product receiving little attention has a great gross profit. That is your starting point for a marketing program to push a product with low sales volume but great gross profit potential.

Your Profit & Loss Statement is also a useful tool for creating a budget. Once you have identified your sales streams and costs, you can estimate what those items will be next year. It might surprise you that a small increase in sales without a corresponding increase in costs can have a dramatic positive effect on the profitability of your business. At the same time, increased costs without a corresponding increase in sales can cut deeply into the profitability of your company. This is especially true of labor costs which are often the highest cost in a business.

So take a few minutes and look tax your Profit & Loss Statement. Compare it with last year and see how your business in progressing. Then look at those percentages to see if your costs are too high or too low. You will be surprised at how much valuable information is available just by reading your Profit & Loss Statement.

Linda Dawson is a Certified Public Accountant with more than 25 years experience helping small and start-up businesses. Dawson & Associates has just introduced their latest service, the Virtual Accounting Office. Learn more about this exciting new product at http://www.MyVao.com.

“It takes money to make money.” That saying is somewhat true. To create or expand your business empire you will need some funding to cover your expenses until your income comes in. That may take 2 months or 2 years, and it may require $200 or $200,000. The money can always be found, one way or another, but you need the right method for you.

Money comes from three sources, each with its own benefits, dangers, and costs. You will likely use two, if not all three of these types over the course of your enterprise — and you must understand each to evaluate which will work for you today, tomorrow, and 5 years from now.

#1 Method: Self Financing

When business owners have cash on hand, they typically look to their own bank account first as a simple form of financing. Self financing can be broken down two different ways, each with their own considerations. First, there are two types of self financing: lump-sum and bootstrapping. Second, self-financing can come from you, personally, or can come from your current business that finances another business, venture, service, or product line.

Lump-sum financing is when you have a fixed amount of money from the sale of a business or investment, an inheritance, personal savings, 401(k) cash-out (rarely a good idea) or other amount of cash that can be used to finance a business venture. The amount you have available is relatively fixed and can be viewed and tracked as a one-time investment.

Bootstrapping is constantly used by most small businesses, usually without conscious knowledge. Bootstrapping is where you pay for the new or expanding business through cash flow coming in from another source. The other source may be your day job, your spouse or partner’s job or business, a profitable business or product line, or passive investments (real estate, mutual funds, and bond).

Self-financing works when you need a small amount of money, when you have a large amount of money available, when you are comfortable with risk, or when you need money quickly. It also works when a profitable business can absorb investing in a new venture until the new venture takes off; assuming adequate cash flow projections and tracking has been done to ensure the new venture is not a never-ending profit leach.

#2 Method: Debt Financing

Debt financing is obtaining money that must be paid back to the lender, usually with interest. Similar to self-financing, debt financing may include both using your personal credit as well as the credit and security of the business to obtain a loan or line of credit.

Personal debt financing is readily available to most business owners. If you have a decent credit rating, you can obtain credit cards, a home equity line of credit, or a loan, without informing the bank about your business. You may obtain a loan from a family member or friend who knows about your business venture but who may not demand as rigorous standards as a formal bank.

Businesses may also obtain credit cards, lines of credit, and loans from banks and credit unions. Loans that are secured by the Small Business Administration (SBA) are available through banks providing lines of credit to small businesses that may not be able to obtain credit without the SBA guarantee. Alternative debt financing options such as Prosper.com enable individuals and businesses with lower credit ratings to obtain financing from diverse sources. But these private loans will typically be at interest rates higher than SBA loans.

#3 Method: Equity Financing

Equity financing is giving away ownership (equity) in your business, and potential future profits, in exchange for money (capital) today.

Investors can come in the form of silent partners, family, friends, or private investors who speculate in new companies. Angel Funding, wealthy individuals and groups who invest in small, high growth companies, typically buy stakes in companies for a few hundred thousand dollars. Venture Capital firms and Investment Banks typically are looking for companies where they will invest millions of dollars.

If you are planning to seek private investors, Angel Funding, Investment Banks, or Venture Capital, you will likely need more sophisticated financial reporting than is covered in this book. You will also need more lawyers and accountants.

How do you decide which type of financing to pursue?

Most likely, one type of financing is obviously not right for you now. You will probably use two or even all three types of financing for any one business, and your choice may change over the life of the business as you expand and add new ventures. You may be able to weed out certain choices because they are not available — you don’t have cash or another income source (self), you don’t have a good personal credit rating (debt), or your business has no exit plan (equity).

For each decision, you must track the benefits (Return on Investment), and the costs (interest, fees, and lost profits) of each type of financing. As your business grows, you may need to add or switch financing as prior financing methods become too expensive, are exhausted, or do not produce a sufficient return.

Elizabeth Potts Weinstein CFP JD, attorney, financial advisor, is the author of Grow Up! Strategies: The 7 Legal & Financial Strategies You Need to Up-Level Your Small Business. Learn how to take control of your cash flow in just 15 minutes per week in her free Special Report at http://www.GrowUpStrategies.com

Our financial needs are multi-faceted. You need to save. You need to invest. Sometimes you need to do tax-efficient investment. You want to plan for the education of your child, for a home and sometimes for your retirement. If you are running a company then there is no dearth of need of financial consultancy regarding various issues. Now, all these cases need knowledge and a little expertise. For gaining that knowledge and expertise you can opt for a financial planning services firm.

A financial planning services firm is that firm which plan your finance by offering useful services. They offer valuable advices for your protection, pensions, mortgage services, investment & savings, healthcare, tax planning and also group employee benefits. Whether you are an individual or a corporate client, you can get good advices from these firms. You can expect appropriate advices because these firms are made up of finance researchers who are qualified professionals, carefully selected and rigorously trained. Most of them are chartered accountants who can understand each movement of market.

Hence, in no case you will get a wrong advice. Moreover, these days many people are opting for financial planning services firms for taxation planning also. The frequency and significance of changes in many taxation laws are affecting small to medium enterprises. These firms are composed of taxation professionals who can provide excellent taxation advices and keep you up to date with the latest taxation legislation.

In fact this is an essential service because taxation is the biggest issue for any corporate establishment. And a Financial Planning Services firm can be a great way to be aware of day to day changing in taxation laws. This is how you can minimize taxation liabilities. You can also get advices about state tax issues like land tax, payroll tax, stamp duty, goods and services tax etc. So, choose a firm and take good taxation decisions.

Author:
Anton Kadin is an expert in the domain of asset management and investment solutions. Written from experience and with expertise, his write-ups provide guidance to individuals and businesses on Financial Planning Services, Asset Management UK, Wealth Management Company and Investment Management UK.

Accounting is the main element that forms the spine of the business organizations and not even a single step can be stirred without managing the accounts efficiently. Any business organization whether the small scale or the larger one can never survive without the accounting finance It is the personnel of accounting departments who are assigned with the job of keeping track of all the accountancy records and monetary transactions that has taken place every minute in the business organization.

The Real estate market is the fastest growing industry which is expanding at greater pace so real estate people have to face new challenges almost every day. Though real estate market is booming and gaining huge profits but firms, companies, brokers, and agents are facing difficulties in managing and coordinating the various functions of the business.
This has become the reason of slackening down of business activity which if regulated appropriately would definitely reap huge benefits. Every year new sapling real estate firms are joining the market but success seems so far from them. And, the major drawback in their success is the unmanageable state of business activities and accounting affairs. The accounting department must be proficient in handling the urgent calculations and monetary transactions. Managing account is very difficult job and even a slight error can lead the whole business into real problem. So, the accountants and the financial experts are required to perform the job but affording large work force for the accounting affairs may drain huge amount of money.

However, many big companies have already installed real estate accounting software in their operating systems in order to stream line the accounts and manage the monetary transfers on daily basis. Still, the work load is too heavy and getting out of control so much so that corporations have resorted to the rescue of real estate accounting outsourcing services. This is one of the medium with the help of which not only companies have started regulating their accounts matter but their expenses in recruiting the work force in accounting departments have also reduced considerably. Outsourcing companies are available online and are located all over the world and they complete your real estate accounting task with great efficiency. The best part of the deal is that these outsourcing companies offer the most cost efficient services and that too in very short span of time.

The fact about the outsourcing business is that most of these companies are in third world nations where labor charges are low in comparison to USA. Due to this reason they can employ large work force of expert and highly trained accounting professionals who knows how to deal with real estate accounting matters of USA.

Real estate accounting does not only include the maintaining the data and records of financial transactions but it has lot more extensive functions including balance sheet, ledger book keeping, tracks of credit and debit transactions, billings of office supplies, and machinery bills. Outsourcing companies have knack of handling all these affairs expertly.

Alvis Brazma gives advice to business owners about how to manage their business efficiently without any hassles.To know more about Accounting help,bookkeeping help, Real estate accounting outsourcing services visit http://www.impacctusa.com.

Introduction

QuickBooks is tax far the easiest program to use with the most complicated and diverse applications in it that never get used by most business owners. Fraud happens every day and as I have said before, small businesses lose more money every year due to fraud than some of the largest corporations. What a lot of Fraudsters, who happen to use QuickBooks don’t know is that every move they make, every step they take, is being ‘watched’ by the QuickBooks software.

Prevention

The key to preventing fraud of course is making sure that it is not the same person who handles more than one tax function in a business. You don’t want the same person who is opening the mail, being the one who sends the checks. You don’t want the same person who can sign checks being the one determining the amounts to put on the checks.

Upon setup, QuickBooks allows the business owner to set up users. The owner should always be the Administrator, not the bookkeeper, not the CPA or accountant, but the Administrator. Anyone else using the program can be limited to the parts of the program that they can access by the Admin. Sales persons needing to enter sales can do so, but they don’t need access to the bank account information. Purchasers need to be able to create purchase orders and invoices, but not able to adjust inventory on hand or create checks to pay for invoices. Only the admin should be able to make these adjustments. Name the users of QuickBooks so you know who is doing what and when. This will give you an eagle eye on the security of the QuickBooks transactions.

Detection

There is a little known feature of QB that is called the Audit Trail. The Audit Trail records any changes made to original transactions, any deletions of invoices, checks, etc. You’ll want to do this when the place is closed or when you have plenty of time because this report can take a very long time to generate. Go to the Reports tab on the menu bar and click on it. Find the Accountant’s Reports and you will see the Audit Trail as one of the options. Click on it and apply the dates you wish to check, (the longer the period of time and more transactions, the longer the report will take) and wait.

In the audit trail, if an entry has been altered or deleted there will be two or sometimes three lines for one transaction. The one on the bottom is the original entry, the one(s) above it have been altered or deleted and the report will give what tax changed, the payee, the amount, or an account and tell you which user entered the original, which user changed it and the day and time it was done.

So how do you tell if it’s fraud or just someone making changes? First, deleting an invoice should rarely be done, if there are a large number of deleted invoices then chances are, your company is not using the Estimates icon. The invoice should only be created when you know for sure a customer is going to go through with the arrangement, if you are using the invoice feature to send estimates, those estimates are posting to your accounts receivable account which should not be done.

So how would someone commit fraud by altering an invoice? If the same person that prints the invoices also sends the checks, it is very easy to print the invoice for your approval at $200 or more than what was actually invoiced for. Once you’ve approved what should be a $5000 invoice for $5200, the clerk will change the $5200 to $5000 and send the vendor the right amount, and at the same time issue themselves a check for $200 which would be written off to another account somewhere in the books. The bank reconciliations would always match and no one would be the wiser. This is one reason that you cannot print an invoice without saving it first.

Another common method of fraud is altering the payee of existing invoices to benefit the relatives, friends, etc of the crooked clerk. So an invoice may come in that has been created at home and submitted to you for payment by the person creating the invoice. Or, you may be cutting a check for a legitimate expense only to have the funds redirected to the crooked clerk.

You might also be on the lookout for checks being issued for identical amounts, during the same period every week, every month, etc. Sometimes the fraudster will send two checks to the same vendor and call up a day later and ask the vendor to return the check ‘mistakenly’ sent. If the fraudster is the same person who opens the mail, he will take the check and ‘wash it’ and make himself the payee. (If your bookkeeper seems to be continually doing her nails, you smell nail polish remover constantly, your company is at risk as that is what is used to remove ink off of checks) You can catch this by exporting the check detail to Excel and sorting it according to amounts, if you have one or two more checks a month for identical amounts, call your bank and ask for a copy of the cashed checks, front and back. The back of a check tells you which bank cashed it, and often, the name of the person who cashed it as well.

If you get your bank statements already opened by your bookkeeper, watch for checks that have cleared but that aren’t placed into the envelope with the statements. Compare your bank register to the images of the checks on the statements and confirm that the person or company you wrote the check to is the actual person or company that cashed the check.

Conclusion

If you take the basic precautions, it makes this kind of fraud much harder to commit. But you have to be vigilant and ready to take action should fraud be occurring in your business. Remember, however, that this is America, home of the Free Land of the Lawsuit. NEVER directly accuse your bookkeeper of stealing, especially in front of others. Find the services of a Certified Fraud Examiner in your area and they will be able to help you put a successful case together for prosecution, should you choose to go that route.

David Roberts, CFE, CQBPA, MBA, lives in Kissimmee, Florida with four girls, three dogs, two snakes and one wife. He has been a member of the ACFE for four years and has been studying fraud for longer than that. He is the owner of Homesoon Accounting Services which specializes in Quickbooks Consultations and Fraud Prevention and Detection.

In February through April of every year, millions of Americans will be filing their taxes and receiving sizeable refunds.

Here taxes seven smart ways tax mistakes make best use of your tax refund:

1. Reduce your credit card debt.It is difficult to build wealth if you are paying 20-30% interest on credit cards. There are few better uses of your tax refund than paying down your high interest rate debt. You can use the Resources section of The Baron Series Web site to obtain your free credit report and find the fastest way to pay off your debt.
2. Contribute to a Roth or Traditional IRA.Through April 15th, individuals are allowed to contribute up to $4,000 ($5,000 if you are age 50 or older) to an IRA for tax year 2007. If you are unable to make the April 15th deadline, you can make your 2008 contribution with it instead. For 2008, individuals are allowed to contribute up to a $5,000 ($6,000 if you are age 50 or older).
3. Fund a 529 plan.For many parents and students, the cost of higher education has become increasingly difficult to manage. According to the College Board, tuition and fees at public colleges and universities have increased 51 percent on an inflation-adjusted basis over the last 10 years. A 529 plan can be a great way to begin saving for your children’s college educations. Some states even offer an income tax deduction for residents who contribute to one.
4. Build up your cash reserve.The average person should have enough cash to cover at least six- to 12- month’s worth of living expenses to handle emergencies and to take advantage of new investment opportunities. You can use the Resources section of The Baron Series Web site to help you find many of the highest interest rate checking, savings and money market accounts in the country to help you fight inflation.
5. Start saving for a down payment on a house or investment property.The government rewards property owners, so real estate can be a helpful way to build wealth while generating more tax deductions and tax credits. The sub-prime mortgage crisis and weak real estate market have created some great buying opportunities for those with the proper training and knowledge.
6. Start a tax business.Starting a home-based business can be a smart way to supplement or multiply your current income while generating additional tax write-offs. Facing a recession, it has become essential for individuals to not only diversify their investments but also their sources of income. On The Baron Series Web site, you will find the top 20 part-time and home-based businesses that you can start today and business coaching to help you succeed.
7. Invest in your financial education.The more you know, the fewer mistakes you will make and the more opportunities you will find. Inadequate financial education exposes you to risks that can cost you tens of thousands of dollars and can create a paralyzing fear and lack of confidence in your ability to build significant wealth.

It is important to remember that receiving a large tax refund is not a good thing. Rather than allowing the government to hold onto your money throughout the year and pay you nothing in interest, you should work with your financial advisor, tax preparer, or accountant to adjust your withholdings so that you receive only a small refund after you file your return. This will allow you to free up more cash flow throughout the year to invest or pay down debt.

Lastly, beware of the real cost of expedited and rapid tax refunds. Generally, the few days you will save are not worth the cost, particularly if you file your return electronically. Patience always pays!

William R. Patterson is CEO of The Baron Solution Group and The Warcoffer Capital Group, LLC. He is an internationally recognized wealth coach and business coach who has been a featured guest on over 300 television and radio programs. William is a two-time award-winning lecturer and national best-selling co-author of The Baron Son. His Web site, BaronSeries.com, is winner of three 2008 Web awards including Best Wealth-Building Site. For information and coaching on THE BARON SOLUTION Strategies for Wealth and Business Success, visit http://www.baronseries.com/coaching.htm