If you’re considering becoming an Uber driver, NOW is the time!
The referral bonus for new Uber drivers has traditionally be lower, at $50 in most cities, but Uber has increased the new driver referral bonus to $150 in many cities! The bonuses vary by city, so it may be more or less in certain cities.
It’s very easy to get started, and there are only a few steps you need to take to get paid your bonus:
The choice you make at the checkouts while paying for goods you bought is a personal matter. You can process the transaction as debit, requiring your PIN to complete the process or you can run it as credit and sign for the receipt. This seemingly straightforward action has created an all-out battle between banks & retailers far away on Capitol Hill.
Banks claiming the interchange fees are necessary to cover the cost of transaction processing. On the flipside, merchants are claiming that they are losing profits due to banks’ interchange fees. Let’s take a closer look at what goes behind the scenes and how it affects the prices of everyday commodities.
Interchange fees: The cost of doing business
The card-issuing bank or credit union works out a deal with major credit card companies in case of offline transactions (otherwise known as ‘Credit’ transactions) that use one of the major credit card networks. This deal is all about using their processing service which is around 2%-3% of the total purchase price. This fee is paid by the merchant and is subsequently split into three ways; majority portion goes to the card-issuing bank, the rest goes to Credit Card Company and to the merchant’s bank proportionately.
Providers of online or ‘Debit’ transactions like Star, Interlink, Pulse, or NYCE also do an agreement with banks for the use of their Electronic Funds Transfer(EFT) network but here the interchange fee is significantly lower—1% of the total purchase price.
Now, of the two choices merchants always prefer the debit option because in that case, they keep a higher percentage of the total transactions. On the bank’s end, they are investing a good amount of money to steer consumers into choosing the ‘Credit’ processing method because of the swipe fees.
What the law says about it
In July 2010, Congress addressed this concern and initiated the Durbin Amendment regarding swipe fee reform. The amendment gave the Fed the authority to limit debit card processing fees. The central bank suggested capping fees at $0.12/transaction which is a 73% reduction from the current average. It seems like the Durbin Amendment allows the price of financial goods to go up as banks try to reclaim the loss of interchange fees.
If the swipe fee reform comes into the act as proposed, consumers will have to pay higher fees for checking accounts. Debit rewards cards & free checking account will soon become a thing of the past.
But if banks are the losers in this war, the opposite parties—merchants & their customers may be the winners. Merchants may start offering discounts based on the credit card you use. Besides, you may enjoy a 3% discount on your purchase if you are paying with cash.
In the end, we are yet to know how swipe reform will affect the card transactions. But the good thing is the price hike of goods & services due to hidden fees has come into the light. It’s up to the lawmakers now to decide if banking continues to benefit or if merchants along with their consumers can regain their breath from hidden interchange fees.
Of all the bookkeeping tasks in an office, tax management is widely considered one of the most difficult. The complexity of local, state, and federal laws, the preferences of individuals, and the other demands on the bookkeeping staff’s time make payroll tax issues very difficult to manage.
Fortunately, automation can come to the rescue. Just as we can handle timesheets, accounts receivable, inventory, and accounts payable with specialized software, we can also use the power of the computer to manage payroll taxes. The investment is one that will no doubt pay many dividends for your business, and the great thing is that the time horizon for it is very long.
If staff, management, or others in the mix have reservations about making this upgrade, there are several key areas they should consider before closing the door.
Protection From Mistakes
Because of the complexity we mentioned earlier, payroll tax calculations are notorious for errors. Most are benign and accidental, and normally the errors can be corrected. But because of the prevalence of fraud, many such errors are viewed first as deception and only considered honest mistakes after a full review.
If your overall bookkeeping house is in order, you’ll come through audits or other investigations without any problem. But the headache and expense of seeing things through to this conclusion can be a serious disruption to your operations. The process of getting things cleared up will require a lot of your time, considerable effort by your employees, and some significant disruption to your daily routines. That’s the price you pay even when you’ve done nothing wrong.
It’s far better to avoid mistakes than to survive them, and when a software system can make that happen, it will quickly pay for itself.
Efficiency In Your Office
Cobbling together your own system of spreadsheets, paper records, and other methods can look good in terms of the cash cost incurred at the time of purchase, but over the long haul you’ll see that payroll software will pay for itself by making better use of employee time and skill.
Keeping your personnel moving and on task is vital to making the most of their time. When they need to go back to check and re-check their calculations, valuable time is lost. In some situations, it can’t be helped, but in many, the use of payroll tax software would have decreased uncertainty, captured errors, and made staff more confident in their entries.
The only constant is change, and the only thing certain is death and taxes. Those two sayings make it clear what one main way is that we can benefit from using payroll software.
Whether it’s an incumbent promising to right past wrongs or a challenger who wins an election with vows to reform the system, the tax codes at every level of government are in line for massive changes with every election. It can seem as if your personnel is just getting the hang of your current system when a new group of rates, rules, and exceptions hits the pipeline.
Software that can update into compliance with changing laws not only reduces errors, it also reduces the time your staff spends making updates. That combination saves you time and money.
The best solution to any business task is to strike the best possible balance of cost, simplicity, and effectiveness. While many businesses may do well with payroll taxes over the short term, in time there will be at least one thing that complicates the system and calls for a change. Investing in payroll tax software will help to avoid those problems as well as others down the road.