Rachel Daddesio of Montgomery recently discussed major shifts CPAs have experienced due to COVID-19.
The year 2020 threw more curveballs at CPAs than any other year in recent history. In addition to not being able to meet with clients in person, CPAs were forced to navigate unprecedented economic fragility. CPA Rachel Daddesio of Montgomery recently discussed the major shifts CPAs have made in the last year.
“One of the biggest and most rapid changes we’ve seen is how we’ve adopted new technology,” Rachel Daddesio of Montgomery said. “I think this is an area in which many CPAs needed to progress, so this is one perk we’ve seen due to the pandemic.”
Daddesio explained that many accountants have been using outdated methods of accounting for years, and the COVID-19 pandemic forced them to adapt. She stated that the profession of accounting has been lagging behind other professions in terms of technology for years and even decades. For instance, cloud-based tax software didn’t exist before the pandemic. Daddesio stated that CPA firms generally include partnerships and see great success. This can make adaptations seem unnecessary. However, adaptations are essential for the field to progress and continue with such success.
“Due to the coronavirus pandemic, CPAs can now provide services for their clients from just about anywhere,” Rachel Daddesio of Montgomery said. “The CPA profession is one that has long valued in-person meetings. Many CPAs are under the impression that the firm is less productive if employees are not in the office.”
The pandemic has proven that CPA firms can be productive, and even more profitable, with CPAs working from home. Firms can also become more profitable with work-from-home models, which involve less cost in terms of office space, office supplies, commuting, and more. Working from home also means fewer chats around the water cooler and other distractions. Giving individuals opportunities to work from home may also result in a happier workforce.
“The biggest change we as CPAs have seen due to the pandemic is in the mindset of the firm,” Rachel Daddesio of Montgomery said. “We’ve learned all of our team members are capable of completing their work without a watchful eye. They don’t need to be monitored and managed every step of the way. Understanding this allows firm partners more freedom to do their jobs and can result in greater success for the company as a whole.”
CPA firms have learned to become more flexible regarding set office hours, time tracking, and unnecessary rules and regulations. Many firms have experienced major setbacks due to the harsh economy of the pandemic, but the above changes show that the accounting industry is one that can benefit from many of these changes.
CPA Rachel Daddesio of Montgomery recently provided resources for dealing with Identity Theft and Tax Fraud.
Identity theft and tax fraud are major issues nobody wants to face. However, they are common cybercrimes, and knowing the resources to contact when these crimes occur can save you a lot of money and stress. CPA Rachel Daddesio of Montgomery recently provided resources for dealing with tax fraud and identity theft.
“The COVID-19 pandemic has created a major uplift in cybercrimes, including tax fraud, identity theft, and more” Rachel Daddesio of Montgomery said. “This has resulted in major issues for individuals and their CPAs, who are constantly trying to navigate new tax scams and cybersecurity attacks.”
The IRS created its own webpage to help combat identity theft, known as Identity Theft Central. This page offers a variety of resources for those beginning to navigate the hassle of identity theft. This includes resources for CPAs, businesses, and individuals. Rachel Daddesio of Montgomery suggested visiting the “Taxes. Security. Together” resource offered on the site. This page offers an easy-to-follow guide on preventing identity theft for taxpayers, businesses, and tax professionals.
Other resources provided by federal agencies include those provided by the National Institute of Standards and Technology. This site offers an invaluable 54-page guide to information security for small businesses. Reviewing this guide could save your small business, whether you’re working to prevent identity theft and tax fraud or are currently navigating such issues. Recommended actions include identifying tax fraud, protecting yourself or your business, detecting issues, responding, and recovering.
“The Federal Trade Commission also serves as an excellent resource for those who are not experts in dealing with these issues, and very few people are experts in tax fraud and identity theft,” Rachel Daddesio of Montgomery said. “The FTC offers the Cybersecurity for Small Business website as well as a specific section providing information on COVID-19 tax and identity scams.”
Rachel Daddesio of Montgomery also explained that the Department of Justice National Center for Disaster Fraud provides a COVID-19 hotline that’s directed toward dealing with identity theft and fraud due to the pandemic.
“The pandemic has created an unprecedented amount of fraud, but the government and private organizations have taken action,” Daddesio finished. “Using these tools can save yourself or your business thousands of dollars and a lot of hassle.”
Daddesio suggested meeting with a qualified CPA or identity theft specialist to discuss how your family or business can be better protected from cybercrimes.
CPA Rachel Daddesio of Montgomery recently offered new methods of teaching ethics to accounting students.
Ethics are some of the most important lessons taught to accounting students. However, accounting educators like Rachel Daddesio of Montgomery have explained that these methods appear to be outdated in several ways. The CPA and assurance professional recently offered several new methods for teaching ethics to accounting students.
“For decades, accounting educators have used the ethical decision-making model to teach important ethics lessons to students,” Rachel Daddesio of Montgomery said. “These models have offered a definitive, systemic way to identify ethical issues, create alternative options, and evaluate the ethics of each of those alternative options.”
However, Rachel Daddesio of Montgomery explained that the problem with this old ethical decision-making model is that it only applies philosophical reasoning methods to the issue at hand. The model does not take into account, or significantly downplays, the importance of internal policies, a firm’s code of ethics, and other practices that may help in the decision-making process.
Rachel Daddesio of Montgomery stated that one of the only solutions to this problem is to find new ways to incorporate these organizational policies and practices in the educational curriculum. She added that the AICPA Code of Professional Conduct is in place for a reason and its importance should be taught in all accounting programs. This Code of Professional Conduct addresses certain, common ethical conflicts and provides processes for resolving them, which includes steps that may be specific to an organization.
“The culture of the organization always needs to be taken into account,” Rachel Daddesio of Montgomery said. “Those who are problem-solving with decision-making models alone are less likely to correctly resolve the issues at hand. That can result in more serious areas of conflict within the organization and beyond.”
Rachel Daddesio of Montgomery explained that decision-making models, such as the Eight-Step Method of Decision Making by Bill May of the University of Southern California, simplify the process of ethical decision making. The only organizational perspective provided in this approach is to, “discuss alternatives with a trusted person.” Rachel Daddesio of Montgomery explains that this model is seriously lacking in organizational analysis.
“The organization, its policies, and procedures should be taken into account immediately upon identifying an ethics conflict,” Rachel Daddesio of Montgomery said. “This model shows consulting organizational policies as an afterthought, but the organizational culture should be considered in the first steps of creating a company-wide solution to an ethical issues.”
Rachel Daddesio of Montgomery explained that the more uniformly an organization responds to issues, the more seamless the ethical conflict resolution process will become. She encourages accounting professors to emphasize the importance of seeking relevant assistance, guidance, and support during the first phases of the resolution process.
“Considering organizational practices shows that an ethical decision is not made by an individual, but by the organization as a whole,” Rachel Daddesio of Montgomery finished. “That is what will lead to a superior ethical decision-making process for any firm or other organization.”
Montgomery, TX / The coronavirus pandemic turned life upside down in a matter of days at the beginning of 2020. Millions of people quickly became unemployed, schools went online, restaurants closed, and life as we formerly knew it seemed like a distant memory. Certified Public Accountant (CPA) Rachel Daddesio of Montgomery recently explained that income tax payments and refunds have been greatly disrupted as well.
“Personal finances for millions of Americans have changed drastically in just a few months,” Rachel Daddesio of Montgomery said. “Many have gone on unemployment, others have had to forego rent payments, and some have not been able to pay their income taxes.”
Rachel Daddesio of Montgomery explained that taxpayers shouldn’t panic, because a number of major updates have been made to help accommodate the needs of Americans in these trying times. Rachel Daddesio of Montgomery stated that the first major change was seen when the IRS extended the 2019 tax return deadline for filing to July 15, 2020.
“The pandemic has brought about issues we’ve never seen in the past,” Rachel Daddesio of Montgomery said. “New laws have been initiated for those who have had to take days off of work due to being ill with COVID-19 or another sickness.”
Rachel Daddesio of Montgomery explained that employers with less than 500 employees must now provide paid sick leave and paid family leave to employees. Employers can also receive tax credits for the family leave or paid sick leave they’ve had to pay due to the coronavirus pandemic. Rachel Daddesio of Montgomery added that self-employed citizens can also receive a refundable income tax credit that is equivalent to the amount of paid sick or family leave they would have incurred had they worked for an employer.
“So many of the changes due to the coronavirus pandemic will be brand-new for those filing income taxes for the year 2020,” Rachel Daddesio of Montgomery said. “This will be a year in which it is especially important to hire a CPA who can help you get the tax credits you deserve due to the hardships of the pandemic.”
When things are rough, being self-sustaining for an extended period is deeply important. Rachel Daddesio of Montgomery explains why being a going concern is vital.
With how the coronavirus has affected businesses across the world, especially in the United States, many businesses are questioning whether they can continue with their status as a going concern, being able to be self-sustaining until this blows over. Rachel Daddesio of Montgomery discusses how things are going for businesses, as well as some safeguards which may be implemented to help them out.
Rachel Daddesio of Montgomery: How has the Coronavirus Affected Going Concern Companies?
The coronavirus has been a major difficulty economically, especially to smaller businesses that do not have the cushion that larger ones do. A going concern company has a lot of strength during this, but it’s also important to note how unprecedented this situation is. As Rachel Daddesio of Montgomery notes, going concern companies are being taken off guard more than normal. One of the best approaches to take, the SEC notes, is to be more forward-thinking, due to the aforementioned unprecedented nature, and that historical information is less relevant than it used to be. Some companies have been hurt more than others; travel and dining have taken quite the beating, and nonessential businesses, such as GameStop, suffered quite a bit.
Caution goes a long way, Rachel Daddesio of Montgomery notes, and you should speak to consultants about the financial health of your company through financial accounting. It’s better to know what’s up now than ever. Management must take charge of this, as preparing financial statements will help shareholders as well as the employees of your business, all of whom will have a concern about the continued sustainability of the company. The assessments made must take into account many things, ranging from what we already know to what may come to pass over the next year or so, while being required to disclose any uncertainty regarding the sustainability and contingencies that exist or may exist to maximize the sustainability. Always make sure to have people on staff who can help you better understand the feasibility of these potential methods and contingencies. Rachel Daddesio of Montgomery also notes the importance of clarity, ensuring that the relevant parties understand why the assessment is the way it is. This disclosure is not set in stone; Rachel Daddesio of Montgomery points out as circumstances change, you may need to change the assessment in turn.
While larger businesses have a more pronounced financial cushion, the process is notably more complicated, whereas a smaller business has fewer resources but has less to assess. Thankfully, there are systems in place that seek to “equalize” the situation, Rachel Daddesio of Montgomery notes. The CARES Act, for instance, has a loan program to help small businesses, including a Paycheck Protection Program loan which ended just recently, offering to help retain employees during trying times. An Economic Income Disaster loan, meanwhile, helps companies meet operating expenses, though not payroll expenses. The Main Street Lending Program, meanwhile, is expanding to accommodate more businesses than before, due to the pandemic. These are just a handful of options available. Whatever path you take, make sure to do it concisely and accurately, to ensure that everyone is on the right page and that all ducks are in a row, Rachel Daddesio of Montgomery recommends.
Rachel Daddesio of Montgomery – Is There Anything She Doesn’t Do?
Rachel Daddesio’s skills cannot be underestimated. In today’s business world it’s not enough to be an accountant. When Rachel Daddesio of Montgomery became an exceptional assurance professional she added a cadre of administrative, business analysis, as well as project management skills to her certified public accountant credentials. This is what Rachel Daddesio of Montgomery brings to the table.
Rachel Daddesio of Montgomery Has The Confidence of Her Clientele
When they learn that she is in charge of their audit, her clientele is rest assured that their project is in great hands. She has graduated from the Integrated Master of Professional Accounting Program – Financial Reporting and Assurance track at The University of Texas at Austin. Rachel Daddesio of Montgomery has an extensive background in the business space. She has managed countless projects with an elevated level of skill and management acumen. What kind of clientele does she cater to in both the private and public sectors?
Rachel Daddesio of Montgomery, Works With Non-Profits
According to an article in the CPA Journal. Com, a non-profit organization achieves success when they are able to marry an impactful program for the communities and/or people it serves while, simultaneously maintaining a solvent financial organization. Rachel Daddesio of Montgomery has been able to conceptualize this ideal while she works efficiently with her non-profit organizations. She has been the in-charge individual for several successful projects.
Rachel Daddesio of Montgomery Moves Mountains in The Private Sector
The non-profit sector is not the only arena that Rachel commands. She works proficiently in the exploration and production, insurance, and real estate spheres. These types of organizations benefit from the skills that she brings. She is a motivated, detail-oriented and goal-oriented professional that commands her space while working diligently with her team. Having a better understanding of the Exploration and Production space or (E&P) is imperative. E&P is a specified faction of the oil and gas industry. Certainly the companies involved in this very high-risk and high-reward business circle can benefit from the pristine accounting and management skills of Rachel Daddesio. These companies focus on researching, building, developing, as well as marketing various types of oil and gas sources.
Rachel Daddesio of Montgomery – Is Well-rounded
There is more to being a consummate professional than work. Ms. Daddesio has many hobbies that lend to her being the well-rounded individual that she is. This is a person that is making a tremendous difference in the assurance professional space. An avid reader of both science fiction and mystery books, Rachel loves to let her mind wander during her down time. Another pastime that she enjoys is enhancing her foreign language fluency and proficiency. On a more physical front, Rachel enjoys running as an exercise. She is a meticulous and precise leader and the advanced accounting and management arenas are better for her presence.
There are a lot of tricky factors to worry about when it comes to being a nonprofit, namely a reduced cashflow. Rachel Daddesio of Montgomery explains how to become more stable.
When a person thinks about a nonprofit, what might occur to them is just where the money comes from that helps do what they want to do. This comes from the misunderstanding of what a nonprofit is. Simply put, a nonprofit does not exist for the purposes of gaining profit, but they do raise money to allow them to do the things that they intend to ue their entity intends to accomplish. These kinds of organizations often raise money through donations, but individual donations can be a difficult means by which to achieve sustainability. As such, Rachel Daddesio of Montgomery encourages nonprofit entities to seek out this self-sustainability.
Rachel Daddesio of Montgomery Explains Good Ways to be Self-Sustainable
One thing an operator of a nonprofit entity should understand now is that self-sustainability is not going to be an easy task, Rachel Daddesio of Montgomery warns. Nonprofits typically exist to advocate for marginalized people and causes, and when it comes to making money for sustainability, people tend to put their money towards something that benefits them. So if you were, say, advocating for trans rights, you have to convince them to want to contribute — either through a desire to good, or by imparting upon them that there’s some benefit to doing so. There are a number of ways you can try to get attention through sales, but in the end, it’s one heck of an uphill battle, Rachel Daddesio of Montgomery cautions.
When all is said and done, one of the best ways to make and keep money is to be smart with money. An important thing to do is to make sure that you know your costs well in advance. For example, if you want to attract an individual or group that is willing to sustain your cause for a long period of time, you need to be able to demonstrate that you will be a reliable partner for that entire period of time, and then some, Rachel Daddesio of Montgomery explains. By budgeting, and generally having a good idea of what your costs will be, you will have significantly improved stability and, in turn, sustainability. Philanthropists like to know that their money is both going to a good cause, and that the people they’re giving it to know what to do with it, Rachel Daddesio of Montgomery points out. Obviously, there are always going to be twists and turns that hit you like a ton of bricks, Rachel Daddesio of Montgomery notes, but adaptability and a good contingency plan is also a sign of someone who’s a good fit to manage such charitable donations. For example, Rachel Daddesio of Montgomery notes how Covid-19 really demonstrated the skills of some nonprofits and their ability to roll with the punches.
Internal Audits Can Be Enlightening to Businesses of All Sizes, Explains Rachel Daddesio
Many businesses depend on internal audits to tell them about what is going on with their finances. When audits are not conducted regularly, it can lead to various financial struggles. Rachel Daddesio, a CPA based in Texas, explains the many benefits of an internal audit.
Rachel Daddesio explains to an internal audit is that it can help to protect assets. It is possible to reduce fraud when identifying where money is going on a regular basis. It can also highlight where internal controls are needed. In many instances, people are issued company credit cards without there being any control in place.
Often, an internal audit can also improve efficiency within operations. Businesses of all sizes will encounter spending in multiple departments. It isn’t until a profit and loss statement is created that a business realizes that they are spending too much money. Audits can highlight inefficiencies and spending problems early on.
Rachel Daddesio recommends that a business establishes routine internal audits. The audits should be conducted by a trusted consultant as opposed to an employee. Rachel Daddesio that the reason for not using an accountant or another employee is to reduce the possibility of fraud. If fraudulent activity is happening, the employee conducting the audit may be responsible for it or, at the bare minimum, responsible for hiding it.
Internal audits can be as comprehensive as a business wishes. Rachel Daddesio suggests that a business conduct the internal audit to monitor, analyze, and assess risks. It should also be reviewed to ensure that state and federal policies are being followed. Further, the auditor should provide recommendations on how operations can be improved.
Upper management should be asking a number of questions during an internal audit. When Rachel Daddesio conducts internal audits, she identifies areas of improvement. She reached her policies and procedures to ensure that they are accurate. She also ensures that risk is being managed effectively.
Rachel Daddesio has found that many companies that are struggling financially have no internal or external audits being conducted. As such, when they finally get an audit conducted, they learn that their finances are out of order. There may be a number of risks for fraud, overspending, and more.
Further, Rachel Daddesio explains that internal audits can help to get affairs in order prior to an external audit being conducted. Internal audits are generally designed to educate management and employees to improve operations and efficiencies. External audits provide credibility and reliability to the financial reports that are being presented to shareholders.
Rachel Daddesio has a significant amount of experience as a certified public accountant in providing internal audits. She urges businesses of all sizes to schedule an internal audit so that they have a better understanding of their finances as well as financial risks in place.
Rachel Daddesio begins, “The most popular component of the CARES Act is the $1,200 rebate recovery check available to individuals. Taxpayers married filing jointly are eligible to receive up to $2,400.” In addition to this, families with children are eligible to receive up to $500 per child. Rachel Daddesio adds “While there are no limits to the number of qualifying children, there are income limits determining who is eligible.” The recovery rebate checks are lowered by five dollars for every $100 a taxpayer’s income is above $75,000. For couples, the threshold is $150,000 in income. Rachel Daddesio continues “This essentially means that if you are an individual making less than $99,000 or $198,000 for married filing jointly, you will at least get something to help during this troubling time.”
Another massive tax implication of the CARES Act involves retirement account distributions. Unfortunately, a sobering amount of Americans actually have emergency or rainy day funds. Because of this, many turn to their retirement accounts during troubling times. Rachel Daddesio explains, “The CARES Act makes withdrawing funds from your retirement account…a less taxing experience.”
Rachel Daddesio of Montgomery points out, “The 10% early withdrawal penalty is waived for distributions up to $100,000 for what is called a coronavirus-related distribution.” This is a new distribution created to reflect the pandemic’s effect. To claim this distribution the taxpayer or a spouse must be either diagnosed with coronavirus or have experienced adverse financial consequences from having work hours reduced, being quarantined, laid off, or furloughed. Rachel Daddesio calls out “If you are not able to work because of no child care options, you can also qualify for a coronavirus-related distribution and the waived penalty.”
Even though the penalty may be waived, taxpayers will still be responsible for the income tax due on the distribution. However, Rachel Daddesio of Montgomery interjects “The period to pay the income taxes on a coronavirus related distribution is extended to allow you to make payments over three years.” Rachel Daddesio also explains “Additionally, the act waives the RMD or required minimum distribution for IRAs and certain types of defined contribution plans during 2020. This is especially helpful to retirees and others who would be required to withdraw funds from their retirement rates and potentially eat huge market losses.”
One of the final consumer tax implications of the CARES Act revolves around charitable deductions. Rachel Daddesio clarifies, “Typically, you have to itemize deductions to utilize charitable donation deductions. However, this requirement is eliminated for most charitable contributions of up to $300. It’s important to understand that not all donations are eligible.”