accountancyaccounting services in singapore

Preparation of management account

 

General/ short description of the service:

No business is set up to incur losses. Active directors that view management accounts as a financial dashboard of their company are always interested in keeping updated on the performance and position of their business. At one glance, they need to know whether they have enough cash to fund their operation, and whether their company is incurring  too much debts.

Due to the requirements from the director, the accounts can be prepared monthly, quarterly or yearly. We can assist to generate the management accounts as listed below in many different ways:
 
  1. Enter all accounting records into the company’s accounting software at their office.
  2. Bring the accounting records to our office to generate the management accounts for the year by next month, provided that all records are properly filed and given.
  3. Provide accounting staff to your office and assist you in your operation once a week.

What does preparation of management accounts include?

  1. Entering all accounting records into a computerized accounting software.
  2. Bank reconciliation
  3. GST reconciliation
  4. Generating Statement of Financial Position, i.e. SOFP (formerly known as Balance Sheet)
  5. Generating Statement of Comprehensive Income i.e. SOCI (formerly known as Profit or loss)
  6. Generating Statement of Cash Flow
  7. Generating Statement on changes in equity
  8. Generating notes to SOFP
  9. Generating notes on specific accounts in the SOCI

Benefits:

CASE STUDY

SenarioCompany A has just operated their business for less than a year. They had engaged a freelance bookkeeper who handles their accounting needs annually. Company A wanted to know more about the performance of their business but the freelance bookkeeper is unable to provide them useful insight.
YtK ActionCompany A approached our firm and showed us their management accounts. They wanted more insights about the performance of the company so as to make decision to improve the business. We interpreted the accounts and pointed out the critical areas that the management should focus on.

Since then, we not only took over as their accounting agent because of the insights that we gave them but also provided them with the accounts on a monthly basis so that they can easily keep track of the performance of their business.
Benefits to
Client
The client is able to know the performance of the company and make changes to their pricing of their goods to keep pace with the mass market.

COMPILATION OF UNAUDITED FINANCIAL STATEMENTS

 
General/ short description of the service:
All Singapore incorporated companies will have to prepare their financial statements in accordance with the Financial Reporting Standards. A complete financial statement includes Statement of Financial Position, Statement of Comprehensive Income, Statement in Changes of Equity, Statement of Cash Flow and notes to accounts.
The difference between management accounts and financial statements is that management accounts provide the “numbers” for the management to make decision whereas the financial statements are for the public to know about the company. As such, the focus on the financial statements is not only on the numbers but also on the notes to the accounts whereby the public can know about the company through these notes.
In compiling the financial statements, we present information that is the “representation of management” and express no opinion or assurance on the statements.
 
What does compilation of unaudited financial statements include?
  1. Statement of Financial Position, i.e. SOFP (formerly known as Balance Sheet)
  2. Statement of Comprehensive Income i.e. SOCI (formerly known as Profit or loss)
  3. Statement of Cash Flow
  4.  Statement on changes in equity
  5. Notes to accounts
  6. Notes on specific accounts in the SOCI

Benefits:

Generate the unaudited financial statements within 1 month.

CASE STUDY
SenarioCompany A is due for ACRA filing within a month and has yet prepared their financial statements. Failure to file their accounts and hold their Annual General Meeting will attract penalties.
YtK ActionWe took over the job and generated the financial statements within a month.
Benefits to
Client
The client is able to comply with the necessary law and thus saving them from paying the penalties.

GOODS AND SERVICE TAX SERVICES

 

General/ short description of the service:

Registration for Goods and Services Tax (GST) is compulsory for a company,  if  the taxable supplies are expected to exceed or exceed S$1million. 

 

Non-GST registered companies need to have their taxable supplies monitored so that they do not exceed the threshold. In the event that their taxable supplies exceed the S$1 million and they have not registered GST, the company will have to bear the GST amount from the GST-exceeding date and pay the tax to our tax authority, IRAS when IRAS finds out. An alternative to prevent this from happening is to voluntarily register for GST. However, the entity will need to stay GST registered for at least two years. 

 

GST registered companies has to ensure that their submission is in accordance to the requirements imposed by IRAS. Failure to do so will also attract unexpected penalties. One commonly overlook point is when the company does not follow the “time of supply” rule in reporting the GST to IRAS. This means the GST may be understated and IRAS may charge penalties for the delay in reporting. 

 

What does GST services include?

  1. Computation and submission of GST F5 to IRAS
  2. Application for GST registration
  3. Application for GST de-registration
  4. GST advisory
  5. Application of GST-related schemes
  6. GST review to avoid pitfalls and improve efficiency
  7. GST procedures manual development
  8. Ad hoc GST advisory services
  9. In-house GST training
  10. Handling IRAS/Customs queries
  11. Filing of GST F7 forms
  12. Assistance in applying for GST schemes (e.g. ACAP or ASK)

Benefits:

Each GST submission is tallied with the accounting records to ensure no leakage of tax under-reported. 

CASE STUDY

SenarioCompany A has been accounting for the GST based on excel records. They have three employees to separately handle the accounting. One employee handles the accounts receivables, one handles the accounts payables and the director holds on the bank statements.

At each submission, the two employees submitted their excel spreadsheets separately, and the director is responsible for filing to IRAS based on their spreadsheets. At the end of the year, they discovered that there was a huge difference between amount stated in their GST records and the financial statements.
YtK ActionWe took over the job and reconciled the GST. The process is tedious as we compare the two listings and detect the mistakes made by the two employees. However, we are able to complete the work within a month and assist the company to rectify the issue before IRAS slaps them with a fine.
Benefits to
Client
The client is assured that GST submission is correct and every error has already been rectified, preventing any impositions of late penalties.

PAYROLL SERVICES

 
General/ short description of the service:
All employees in Singapore should be given a pay slip. In addition, CPF has to be contributed for and by Singapore citizens and Singapore Permanent Residents.  
 
What does Payroll Services include?
  1. Computation of payroll
  2. Computation of CPF contribution
  3. Submission of CPF contribution
  4. Timely CPF update

Benefits:

Save time. 

CASE STUDY

SenarioA foreign company employs Singapore citizens to carry out work in Singapore. They are unaware of the Singapore labor law and payroll obligation.
YtK ActionWe took over as their payroll agent and processed their payroll monthly. We also informed them when there were any adjustments in the contribution rate.
Benefits to
Client
The client save time in processing the payroll and is able to stay focused on their core business.