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Cash? Accrual? What the heck?
Manage episode 356026135 series 3421360
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Episode 12: This is the second episode in our Financial Basics for Authors series. In this episode, I talk about the two different ways used to account for your business activity: Cash basis or accrual basis. I explain what each one is, and which one is best for an indie author’s business.
0:00 Intro to this week’s episode
0:32 Welcome to the Podcast
1:31 The two methods of accounting
2:45 The cash basis method
5:48 The accrual basis method
9:49 The accounting standard
10:26 Problems caused by using the cash basis
15:05 Advantages of using the accrual basis
15:51 How to use the accrual basis
17:31 The reasons accrual is better
19:24 New coaching service for your author business!
Show Notes:
Find out more about how I can help you with your author business with Author Business Coaching: https://indieauthorbizguide.com/abc/
Additional show notes and transcripts are on my website: IndieAuthorBizGuide.com/podcast
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Music, Inspiring Sunny Day, used on the show is licensed from Nazar Rybak via MelodyLoops.com
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