A Gallup poll showed that 60% of people worry about their financial future.

Start planning and stop worrying!

Here are a few simple steps you can take to help reduce your worries.

• Regularly put aside a set amount in savings or other investments. The compounding of earnings can be substantial. The longer your investment period, the greater the beneficial effect of compounding.

• Invest in what you know. The better informed you are, the better your investment decisions will be. If you don't want to learn about investments, consider hiring a money manager and paying him or her to do your investing for you.

• Diversify your investments. Have some of your money in an investment that is easily converted to cash in case of emergencies. The old adage "don't put all your eggs in one basket" is excellent investment advice.

• Prepare an annual balance sheet (a list of all your assets minus all your debts) to determine your net worth. A comparison of your annual balance sheets will show you whether you're meeting your financial goals.

• Plan where you want to be financially by retirement age. Many Americans must rely on the government or others for assistance during retirement. With proper planning and diligence, you can be among those who can retire in comfort.

• Update your plan regularly. Review your financial plan often and adjust investment choices when necessary to keep your plan on track with your financial goals.

• Don't use credit to purchase consumption items. Wait until you can pay cash for things which decrease in value. Borrowing money to purchase a home is usually a sound idea. Using credit to purchase household furnishings may not be.

• Pay off your credit card balance every month. Your credit card should be used for convenience, not as a source of long-term financing. Credit card interest rates are much too high.

• Monitor your investments to maximize your after-tax return. The difference that a 2% greater return can make in the growth of your investments is dramatic.

• Have your insurance agent do at least an annual review of your insurance needs to determine that you are neither under- nor over-insured. Be sure to contact your agent when you buy or sell any property.

For assistance in your financial planning, contact us.

We can prepare your financial statements - no matter how simple or complex.

Whether you have staff that needs just needs some guidance, or you need complete financial review services, we can compiled and review your personal and business financial statements according to your specific needs. More importantly, we can help you use these statements, as well as other reports, to better manage your business and increase your profitability.

Good financial records are necessary for several reasons:

• Daily operating decisions are based on financial reports.

• Bank loans require reports of past performance.

• Tax return numbers need proper substantiation.

We prepare financial reports monthly.

For year-to-date comparisons and to make quick management decisions, financial reports must be done monthly. "As goes the month, so goes the year." You can compare the sales, gross profit, and net profit at, say, the end of May, with prior years and get a good idea of how the current year will finish. You can compare the total accounts receivable or payables with prior years to spot problems and then quickly take corrective action.

Here are some common business ratios you should monitor on a month-by-month and a year-by-year basis:

• Current ratio — Current assets divided by current liabilities will measure your ability to pay your current debts.

• Debt to equity ratio — Total liabilities divided by net worth will provide you with a year-to-year comparison of your ownership in the company.

• Receivables outstanding — Receivables divided by average day's sales will give you the number of days' sales on the books.

• Profit margin — Gross profit divided by net sales will allow you to compare your business operations to other companies in your industry, as well as monitor your own operations over time.

Understanding financial statements can increase business profits.

If you would like to learn more about using financial statements to make sound business decisions, we will be happy to assist you. No one was born understanding financial information, but it is easier to learn than most people think.

Give us a call — we're here to help.