Not all business licenses require a surety bond to be posted. To see if yours does, you can search the surety bond requirements by state. If your industry does not require a license bond, you can always obtain fidelity bond coverage to protect your clients from your employees stealing from them.
Can a bookkeeper be held liable?
In both scenarios, the IRS could hold bookkeepers personally liable for 100% of any trust fund taxes (i.e., employees’ Social Security, Medicare, and withheld income taxes) if they: are “responsible parties” with decision-making authority (in other words, as a check-signer, they decide which checks to send out), or.
How does a person become bonded?
You can typically begin the process by giving them a call or completing an online quote request form. Get quotes from a specialized surety agency like Surety Bonds Direct that automatically searches multiple surety insurance companies for you.
Is bookkeeping illegal?
Bookmaking is generally illegal in the United States, with Nevada being an exception due to the influence of Las Vegas. In May 2018, a United States Supreme Court ruling struck down the Professional and Amateur Sports Protection Act of 1992, which prevented individual states from legalising bookmaking.
Why do you have to be bondable as a bookkeeper?
Bookkeepers are frequently required to be bonded, either by their employer or to build trust with their customers. These are surety bonds and are provided by an insurance company as a guarantee of compensation in the event of dishonesty or malfeasance on the part of the bookkeeper.
How can I find out if my bookkeeper is a blanket bond?
Contact the company holding your bond and find out if it is a blanket bond. If you hold a blanket bond, it covers all employees in your firm. When you hire a new bookkeeper, that individual is automatically added to the blanket bond and you do not need to take any further action.
Do you get insurance if you are a bookkeeper?
If you are a bookkeeper working as an employee of a company, the company generally pays for any insurance it determines it needs, or that is required by the state where it operates or is incorporated.
Do you have to have a fidelity bond as a freelance bookkeeper?
However, if you are working freelance, check with your state department of insurance to see if freelance bookkeepers are required to have a fidelity bond, or business service bond, that protects your clients. Why a Fidelity Bond? Most bookkeepers have full access to a client’s online banking information and accounting software.
