Free Online Accounting Calculators
Accounting can be a complicated process, and when you’re running a small business, you must have a good handle on your financial situation. Accounting calculators can be valuable when working out your company’s finances.
At Business Accounting Basics, we have developed several financial calculators to help business owners and students understand their finances. Our accounting calculators are easy to use and include full instructions.
Accounting software is great for entering your financial transactions. However, to understand the figures, you need to perform accounting ratios and calculations. Our accounting calculators will help you do just that!
Below we have listed our most popular online accounting calculators with a link and brief description. Some accounting calculators take figures from financial statements: the Balance Sheet, Profit and Loss and cash flow statement.
Net Profit Margin Accounting Calculator
The net profit margin online calculator for small businesses is a helpful tool that can be used to measure a company’s profitability. This calculator considers the company’s total revenue from the profit and loss and then calculates the net profit percentage after all expenses are accounted for.
The net profit is the total revenue, less all costs. Although you may have a great sales figure, the costs may eat up all the profit. Calculating the Net profit margin as a percentage will enable you to understand the figures. It will help you make better business decisions and improve your bottom line.
Flat Rate VAT Accounting Calculator
The UK flat rate VAT is a scheme designed to make life easier for small businesses. It allows them to calculate their tax bill using a simple, fixed percentage rather than working out the exact value of each purchase.
Our free accounting calculator makes determining how much you’ll owe under the flat rate scheme is easy. We include an essential list of the most common flat VAT rates.
Enter your annual turnover and percentage rate, and we’ll do the rest. Using this form of VAT may save both time and money.
Corporation Tax Accounting Calculator
Using the Corporation Tax Calculator can be helpful in understanding the changes in corporation tax coming into effect on 1st April 2023.
The calculator provides a breakdown of how much will be paid based on the company’s taxable profits; it takes into account the marginal relief and shows the difference between the old and new rates.
By entering all necessary information, businesses will be able to easily determine what their corporate tax liability should be for the year ahead, helping them to plan accordingly and avoid any surprises come tax time.
VAT Accounting Calculators
The free VAT calculator can help you calculate how much VAT to charge on your goods and services or how much VAT you will pay when you buy goods and services.
We have two calculators, one for the exclusive price and the other inclusive.
Depreciation Calculators
A depreciation calculator is a helpful tool for calculating the amount of depreciation on an asset, such as machinery or equipment. It takes into account the type of asset and its estimated salvage value at the end of its useful life.
There are several different ways to depreciate a Fixed Asset. The most popular methods are straight line and reducing balance.
Our online depreciation calculators will help you determine each method’s depreciation. You can enter the asset’s value, and the calculator will calculate the depreciation for each year.
Simplified Home Office Expenses
You can claim the simplified expenses if you work from home for at least 25 hours per month.
Three different rates depend on the number of hours working from home. Our calculator allows you to enter the month at each rate and provides a total claim as expenses.
Prepayments Accounting Calculator
Prepayments are payments made in advance of the services or goods being received. In most cases, prepayments are considered assets on the balance sheet, representing money the company has paid in advance. A prepayment journal will move the expenses from the profit and loss account to the Balance Sheet.
The online calculator below can be used to help you calculate the prepayment amount for a given period. Enter the amount of the transaction and the number of months of the prepayment. The calculator will then calculate the amount of the prepayment.
Typically when you take out an insurance policy, it is for a year. A prepayment is required to move the amount that you pay early to the balance sheet.
Below is an example of our prepayments calculator, a worked example.
Cost of Goods Sold
The cost of goods sold is the total value of the products sold during a specific period. This calculation takes into account the opening stock, the purchases, and the closing stock. To calculate it, you will need to complete the following equation:
Opening Stock + Purchases – Closing Stock = Cost of Goods Sold
Gross Profit Margin
The gross profit margin is one of the financial ratios that can be used to measure a company’s performance. It is expressed as the percentage of gross profit, which is revenue minus the cost of goods sold, divided by revenue. To know this ratio, you will need to complete the following equation:
Revenue – Cost of Goods Sold / Revenue = Gross Profit Margin
Knowing your gross profit margins as a percentage of sales helps the business understand its profitability. Although a company has a high turnover, it may be all eaten up by expenses. The higher the gross profit margin, the better the company is performing.
Equity Ratio
An equity ratio is a calculation that is used to determine the percentage of a company’s assets that shareholders fund. This calculation is used to measure a company’s financial stability and can indicate whether or not a company is in a good position to take on new debt.
Debt to Equity Ratio
The debt-to-equity ratio calculates the relationship between a company’s total liabilities and its shareholders’ equity. It is also known as the gearing ratio or leverage ratio. The ratio can be used to assess a company’s financial health and its ability to repay debts.
Financial Accounting Calculators
The best financial accounting calculators are the ones that fit your specific needs. Whether you need a simple calculator to help with basic calculations or a more complex one that can handle more advanced functions, there is sure to be an option for you.
Take the time to research the different types of calculators available and find the one that will work best for you. With the right calculator by your side, you can easily handle any financial accounting tasks that come your way.
Here are just a few of the advantages of using a financial accounting calculator:
- Large display screen
- Larger buttons make it easier for lots of calculations
- Easy to calculate percentages
- Saves using the computer calculator while trying to view other figures on the screen.
A few examples of easy-to-use calculators are available from Amazon.
Accounting Calculators Conclusion
Hiring a professional accountant to handle your accounting can be expensive and time-consuming. Thankfully, other options are available that make it easier than ever before to take care of all of your financial calculations.
When analysing a company’s accounts, numerous accounting calculations and computations exist. We also have a list of accounting ratios in addition to the calculators.
All the online calculators’ figures are from either the balance sheet or the Profit and Loss account. To read more on these reports, read our accounting basics section.
Our online calculators will help you understand your financial statements and ratios to make better business decisions.
