On Wednesday, February 1, 2023, the Federal Reserve Board raised the Federal Funds rate by 0.25%. In turn, banks typically follow by raising their "prime lending rates" by the same 0.25%, which would make the new "Prime Rate" 7.75%. By comparison, the Prime Rate last year at this time was 3.25%. … [Read more...] about Federal Funds Rate Increased by 0.25%
Banking
Federal Reserve Funds Rate Increase
On September 21, 2022, the Federal Reserve Open Market Committee raised the target for the Federal Funds Rate to between 3% and 3.25%. The Federal Reserve stated that, "inflation remains elevated, reflecting supply and demand imbalances related to the pandemic, higher food and energy prices, and … [Read more...] about Federal Reserve Funds Rate Increase
Form 1099-K – Big Changes for 2022
Form 1099-K, Payment Card and Third-Party Network Transactions is an IRS information return used to report transactions made via payment settlement entities. If a business accepts payments via credit card, debit card and third-party payment networks like PayPal, they will receive a Form 1099-K for … [Read more...] about Form 1099-K – Big Changes for 2022
Expected USPS Delays Ahead; Avoid Payment Delays
Recent news from the Post Office stated that they will be slowing down the delivery of first-class mail beginning October 1, 2021. As a result, they will be increasing the first-class mail delivery standard from one to three days to one to five days as of this date. That includes any bills your … [Read more...] about Expected USPS Delays Ahead; Avoid Payment Delays
Importance of Bank Reconciliations
Cash is the most vulnerable asset in a business. Performing bank reconciliations is an internal control mechanism that can help identify unusual transactions that might be caused by simple accounting errors or worse yet, fraudulent activity. It’s extremely important to perform such … [Read more...] about Importance of Bank Reconciliations
Federal Reserve appears set to keep interest rates low for longer periods
September 1, 2020 In a major policy shift, the Federal Reserve recently announced it will not raise interest rates to combat incoming inflation just because the unemployment rate is low. While emphasizing the importance of a strong labor market, the chair of the Federal Reserve, Jerome H. … [Read more...] about Federal Reserve appears set to keep interest rates low for longer periods