Dues and Subsciprtions

Most people think about magazine subscriptions when they see this category. But this is not what this necessarily means. It includes any dues you pay to belong to an organization such as the Better Business Bureau, Chamber of Commerce or other type of business association. For apartment rentals, it would include apartment association dues or other real estate associations. Some dues may be a one time charge such as dues to Costco or may be a recurring annual or monthly charge.

Insurance Expense

Insurance for your business would include liability insurance generally, but other types of insurance can be included, such was worker’s compensation and disability insurance. Car insurance would be included if a vehicle is for business use, however if you car is for personal use only, you would not expense that insurance on your books.

Other Taxes

Other taxes can include property taxes paid for personal property such as your office furniture etc. You may also have inventory taxes such as car dealers who pay a monthly inventory tax. This category can include any other taxes that you may not pay regularly, including penalty taxes.

Payroll Taxes

Payroll Taxes should include social security, medicare, state unemployment and federal unemployment taxes. There are taxes that are paid by both the employee and employer, and there are some that are paid by only the employer. You can also break down between these two types on your bookkeeping so you know how much is the employer portion, and how much is the employee portion which comes out of their wages.

Salary and Wages

Wages paid generally means hourly or salary employees that you pay on a regular basis. Wages should be the gross amount paid before the deduction of any income or social security taxes. It does not include the amount of tax you pay as an employer, that is accounted for separately as payroll taxes. Wages should not include contract labor paid. It should include anyone who has worked for you during the year on a regular basis, even if they did not work all year or only for a short period.