Are your financial reports giving you the full picture, or hiding costly mistakes?

In this episode of Getting to the Bottom Line, host Stephanie Smith of New Light Financial Solutions is joined by her husband and business partner, Kris Smith, to unpack the most common bookkeeping cleanup issues they see when working with high-earning entrepreneurs.

If you’ve ever fallen behind on your books, categorized expenses “close enough,” or wondered why your profit doesn’t match your bank balance, this episode is for you.

Stephanie and Kris break down two of the biggest financial clarity killers:
→ Cost of Goods Sold (COGS) being miscategorized
→ Payroll entries recorded incorrectly

When these items aren’t properly structured on your Profit & Loss statement, your margins become distorted, your gross profit is misleading, and your decision-making suffers. You may think you're profitable — but the numbers could be telling a different story.

They explain:
• What cost of goods actually includes (and how to know if it applies to your business)
• Why service businesses often overlook COGS
• How misplacing COGS impacts your gross profit percentage
• Why recording payroll as “net pay” is a major bookkeeping mistake
• The difference between employer vs. employee payroll taxes
• How liabilities from payroll affect your balance sheet

If you want accurate financial reports, clean books, and better business decisions, this conversation will help you understand where clarity begins.

Because at the end of the day, good decisions require good data.

We want to hear from you! Send us a message.

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My name is Stephanie Smith, owner of New Light Financial Solutions, and we help business owners walk the one clear path to generating more cash in their business. To learn more, visit us online at https://newlightfs.com/

Sign up for our newsletter for more great tips on how to keep the cash flowing in your business: https://newlightfs.com/newsletter/

Need help generating more cash in your business? Book a right fit call with us today: https://newlightfs.com/rightfit

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Want to be a guest on Getting to the Bottom Line: Conversations to help business owners maximize revenue, profit, and cash flow? Send Stephanie Smith a message on PodMatch, here: https://www.podmatch.com/hostdetailpreview/newlightfs

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