Cash Flow Scenarios
🤔 Should I Separate My Personal and Business Financial Acounts?
If you're self-employed or an entrepreneur, you might be in charge of your business' finances as well as your personal finances.
🙋 Yes, you should always keep your personal and business financials in separate accounts.
There's a few different reasons why it's important to keep these financials separate:
1. It's easier to see what goes in and out of your business
Separating your business financials into its own bank account makes it easier to see what goes in and out of your business. If you intermingled your personal and business finances, you'd be doing extra work to keep track of which income and expenses were business and which were personal.
2. It keeps you honest
It's easy to take more money out of your business and put it in your own pocket if all of your financials share a bank account. A separate business bank account helps keep you disciplined.
3. It leads to more efficient accounting
Justin Green, a CFP we interviewed for The Cash Flow Show, recommends having multiple business bank accounts to split taxes, expenses, and profit. This can lead to a better accounting system for your business.
In Pulse, you can separate your personal and business bank accounts using Financial Accounts. Toggle different Financial Accounts on and off to drill down into the cash flow of each, or toggle them all on to see a full picture of your cash flow.
Looking for more cash flow content?
Here are some links we think are worth your time:
- One Business That’s Loving the Supply Chain Crisis
- How to Enhance Your Company’s Longevity
- 3 Must-Have Attributes for Great Business Leadership
- 10 Ways to Thrive in Hard Times
- Small Business Grant Opportunities for Women and Minority Entrepreneurs
- Ongoing: Would Small Businesses Benefit if Congress Approves a Global Minimum Tax?
2% of Elon’s Net Worth = $6 Billion
✅ Take a moment to wrap your head around that number.
Done? That means his net worth is $289 billion. Here's why David Beasley thinks it could help. Note the correction at the bottom of the article and you’ll understand why we’ve made sure to phrase things carefully.