Where is Fraud Likely? – Part 10: Payroll Fraud

Lawrence R. Beebe, CPA, Principal

In this series, we are discussing specific areas where fraud might be likely to occur within an organization and the steps management can take to detect and prevent fraud.

Net Pay Does Not Tell the Whole Story

A company president took pride in signing the company’s pay checks.  He knew that owner-manager controls were important, so he looked carefully at each paycheck as he signed it and he knew what each person’s bet pay should be.  He […]

April 30, 2010 Accounting, Forensic Accounting, Payroll Audit Read more...

THE TAX MAN COMETH!

Like most tax professionals, I am relieved that April 15th has now come and gone.  As a member of the tax department here at Bond Beebe, tax compliance has been the center of my universe for the past three and a half months.  With many returns completed and the rest safely extended, my thoughts now turn to other areas of tax practice, including representing various clients in audits before the IRS and other state and local taxing authorities.  This […]

April 27, 2010 Accounting, Tax Read more...

Bond Beebe Employees Participate in Greater DC Cares Servathon

Bond Beebe, a certified public accounting and advisory firm with offices in Bethesda, Maryland and Alexandria, Virginia, sent a team of 30 firm volunteers to landscape at the Samaritan Inn’s Lazarus House in the Columbia Heights neighborhood of DC on April 24th as a part of the Greater DC Cares Servathon 2010.

Firm members planted new bushes and mulched along around the front and sides of the building and spruced up the gravel walkway at the front entrance.  This is […]

April 26, 2010 Firm News & Events Read more...

PRECISE RECORD KEEPING REQUIRED ON ALL CHARITABLE CONTRIBUTIONS

Glenn Bailey, CPA

There have recently been a series of cases decided by the Tax Courts disallowing charitable contributions due to a lack of proper documentation about them. The rules here (under Code Section 170(f)(8)) are precise and strict:

Contributions of $250 or more must be supported by a written acknowledgement from the recipient organization dated prior to your return filing that states the amount of cash contributed and/or a description of any property other than cash,
A statement […]

April 24, 2010 Accounting, Benefit Plan Accounting Read more...

Lack of Cooperation by the Employer – Reason 9

Posting by Larry Beebe, CPA

Does Not Allow the Auditor to Stay When He/She Leaves

You are at the employer’s office doing your payroll audit.  It is 3:00 PM and you estimate that if you hustle, you can get done by 6:00 PM.  The employer representative says that he/she has to leave at 4:00 PM and you will have to leave then as well.

You should inform the employer representative that you still have about 3 hours of work to do and […]

April 23, 2010 Payroll Audit Read more...

Where is Fraud Likely? – Part 9: Check Fraud

Lawrence R. Beebe, CPA,

In this series, we are discussing specific areas where fraud might be likely to occur within an organization and the steps management can take to detect and prevent fraud.

Two Signatures on a Check May Be No Better than One

Many entities insist that every check have two signatures.  It is an excellent internal control if it works properly.  Don’t be fooled into thinking, however, that two signatures are always better than one.

Take the following scenario:  a bookkeeper […]

April 23, 2010 Accounting, Forensic Accounting Read more...

Undercover Boss: Oh to be a Fly on the Wall at Your Business

Posting by Joel C. Susco, CPA, Principal

Have you ever heard someone say, “I would love to be a fly on the wall and just see what goes on at my business while I am not there?”  I am certain many business owners feel that way.  They would like to know just how their employees truly feel and act, while the boss is away.  I recently watched a new reality series called “Undercover Boss,” and thought this was a great […]

April 19, 2010 Uncategorized Read more...

Lack of Cooperation by the Employer – Reason 8

Posting by Larry Beebe, CPA

Delaying Tactics Once You Arrive

You arrive for your scheduled payroll audit at 9:00.  The employer makes you wait for a half an hour and then suggests coffee which takes more time.  The employer then says he/she has seen the list of records requested and takes hours to produce them one by one.  You are told that lunch is from 11:30 to 1:00 and you have to leave.  You are them reminded that quitting time is […]

April 9, 2010 Payroll Audit Read more...

Where is Fraud Likely? – Part 8:Repeat Offenders

Lawrence R. Beebe, CPA, Principal

In this series, we are discussing specific areas where fraud might be likely to occur within an organization and the steps management can take to detect and prevent fraud.

The Petty Thief Always Gets Greedy

A person is caught stealing small amounts from a company.  The perpetrator confesses and asks for another chance at the same job.  The company president feels sorry for the individual and agrees.  Is this a smart move?

There is a chance that the […]

April 9, 2010 Accounting, Forensic Accounting Read more...

PENSION CONTRIBUTIONS FOR THOSE OVER 70 AND A HALF YEARS OLD

Glenn Bailey, CPA

A client asked me the other day if she should contribute to her Simplified Employee Pension (SEP) plan since she was almost 70 and a half and would just have to take required minimum distributions (RMD) soon.  “Why bother when I just have to take it back out?” she asked, “unless there is an exception because I am still earning at quite a hefty level – for a girl anyway.”
Explaining the Pension Options
So I explained the options […]

April 8, 2010 Accounting, Benefit Plan Accounting Read more...