Saturday, December 31, 2011

Inventory is Not a Business Expense

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As we are at year's end and taxes are looming, I have heard many directors tell consultants that ordering inventory at the end of the year is a wise thing to do as it increases your business expense. Formerly from an accounting background this statement has always made me want to scream. Inventory is not an expense, it is an asset. If you need product in December, than order product in December, and if you don't need product in December don't order product in December. The less you have on the shelf, the less you have to count when you do your inventory.

A little piece from our Tax info on intouch is copied below:

You should remember these three facts about inventory/cost-of-goods-sold deductions:
• The amount of this deduction is not the total of all inventory (product) you purchased during the year, unless you sold exactly what you bought.
• The amount of the deduction is not the amount of product you have in stock at the end of the year.
• The amount of the deduction is the cost of product that you sold or distributed as hostess or incentive gifts-with-purchases during the year. Thus, stocking up before December 31 will not increase your deduction.
Inventory is not deductible until sold. (Emphasis was added by Mary Kay)

Any inventory that is purchased but not received before 12/31 will be counted as part of your ending inventory. The ending inventory becomes part of your cost of goods sold computation. All those purchases do is to increase what you have on your shelf.......it does nothing for tax deductability.

and the other little things that makes me want to scream... no we can not deduct nylons and manicures/pedicures. IRS would LOVE to audit some of the consultant's tax returns with some of the things I have overheard.

Remeber when indoubt check with a professional and always error on the side of safety. An IRS audit is noooooo fun.

Happy New Year Everyone!!! Be Safe!!

Sunday, December 25, 2011

Enjoy!!!

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Loving every minute of it. Family, friends, love it!!

Wednesday, December 21, 2011

Merry Christmas Everyone!!

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I am still here, just extremely busy with Family, Holidays, and my business. I should be back in swing very soon, so stay tuned and I am ready to get going soon. Great Holiday selling season, did my last ladies night last minute shopping night at my house... love to help out my clients!!

Thursday, December 15, 2011

Intouch Maintenance

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From Mary Kay Intouch:

Online Maintenance Outage


As a reminder on Dec. 16, online ordering will be unavailable from 12:00 a.m., through 8:00 a.m., Central Time, in order to make the transition of regularly scheduled Fall to Winter Quarter Updates.

In addition major maintenance is being planned for our online communication resources beginning Saturday, Dec. 17, from 7 p.m. through approximately 6 a.m. (Central time), on Sunday, Dec. 18. During this time the following websites will be unavailable:

•All Mary Kay® Personal Web Sites
•Mary Kay InTouch®
•www.mkitgo.com
•www.marykay.com
•www.marykaymuseum.com
•www.marykaybooks.com
•www.marykaytribute.com
•• Desktop Office Manager

During this window of time, anyone trying to access these sites will see a message letting her know that the sites are undergoing maintenance and upgrades. You may consider letting your customers know who could attempt to place orders through your Mary Kay® Personal Web Site during this period. Thank you for your cooperation!

Are Cosmetics Recession-Proof? Famous Female Entrepreneurs Who Have Built Branded Empires - ABC News#.Tun8XkA4xAI.facebook

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Are Cosmetics Recession-Proof? Famous Female Entrepreneurs Who Have Built Branded Empires - ABC News#.Tun8XkA4xAI.facebook

Website with great resources and responses to Pink Truth

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I just stumbled on this website and absolutely must share it with all of you.

http://www.responsetopinktruth.com/index.html

According to the "About Me" page, this is another Mary Kay Director that tried to reach out to Pink Truth and was rejected (Shocking... right).  

Her responses (found here) are well thought out and organized and her resources (found here) are great.

She remains anonymous, but there is a contact section where you can send a message.  Please give her site a visit and send her an encouraging message.

With enough people countering Pink Truth's poison, hopefully less people will fall victim to their lies.

Thanks

(as always, please post your comments and keep the conversation going)

Wednesday, December 14, 2011

In the Cosmetics /Business World

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Avon's Andrea Jung loses CEO title By Msnbc.com staff and wire

The list of women CEOs in the U.S., never very long, is losing one of its most prominent names.

Avon Products Inc., the global beauty company, said it has begun a search to replace chief executive Andrea Jung, who will remain as chairman. Jung has attracted the ire of investors because of slumping sales and a federal probe about whether the company broke bribery laws overseas.

Jung will be named executive chairman beginning in the new year, Avon said Tuesday, adding that Jung will work with the board to find a replacement.

"The stock has been cut in half this year," Ali Dibadj, analyst at Sanford C. Bernstein, said. "The trust between investors and management has been severed. There have been a few times where expectations have been laid out there and have not been met."

Avon in October said that the Securities and Exchange Commission was investigating the company's contact during 2010 and 2011 with certain analysts and other representatives of the financial community. The company also reported third-quarter profit that fell below analyst expectations, with Brazil weighing on earnings as the result of implementation of a new computer system, while tough economic conditions also hurt sales in other markets.

Jung has been Avon's CEO since 1999 and is credited with helping to grow the company in the late 1990s and early 2000s, as it continued to expand, bringing the prospect of a career or even just some extra pocket money to women from South Africa to South Korea.

But in the past several years, Avon has turned in poor performances in key markets such as Brazil and Russia, poured tens of millions of dollars into its international bribery investigation and struggled to stem declines in a sluggish U.S. market.

Aside from saying in October that the SEC was conducting its own bribery probe, the company also said the commission was looking into whether the company violated disclosure laws in contacts with analysts and others.

Avon shares have fallen 44 percent this year, while the Standard & Poor's 500 Index is down only 2.5 percent.

Though the stock rallied on the announcement of a CEO change on Tuesday, analysts were skeptical about the impact of the move.

"What you can say is the company is going to look for a CEO who hopefully will be able to right-size the fundamentals. But it's too soon to say anything about the turnaround itself," BMO Capital Markets analyst Connie Maneaty said.

Jung is popular with the representatives who sell the company's products, and at one time were known as "Avon Ladies."

That popularity might be one reason Jung is staying on as chairman, Dibadj said.

"Andrea is extraordinarily good at working with the representatives, and letting them down in some sense, very hard, might not be the best business decision," he said.

Jung's successor will need to be somebody who can also inspire the representatives, but at the same time improve operations and set out a vision beyond the "boom and bust" cycle Avon has endured, he said.

Reuters contributed to this report.
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Friday, December 9, 2011

Mary Kay Gives!!

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Published 12.09.11 from Mary Kay Intouch Community

(may I add I am proud to be a part of this Company)

Mary Kay Donates to the NBC Today Show Toy Drive

For the seventh year in a row, Mary Kay Inc. has made a donation to the NBC Today Show Toy Drive. Today, Jill Wedding, Director NSD Services and Communications, appeared on the show to announce Mary Kay Inc.’s donation of more than $7 million in skin care, color cosmetics and toys.

Over the years, Mary Kay has donated more than $25 million in gifts to this important cause that helps bring joy to many families during the holiday season!

For Further Reading...

This Week On Pink Truth - Click Here
Pros and Cons of Mary Kay - Read or Contribute or Both!
First Post - Why I Started This Blog
The Article I Wrote For ScamTypes.com (here) (there)
If this is your first visit please leave a comment here. I would love to hear from you!
If you want to email me: balancedmarykay@gmail.com
But you are probably better emailing mk4me: mk4me2@gmail.com