You can’t go wrong with a CPA for escrow accounting. An escrow account is where money is held by a party but does not belong to the party. But funds in an escrow account should not be commingled. And they should always be held separately from the funds of the person or entity that is holding the funds. And they may be used to preserve the funds for the event of a bankruptcy of the person or company holding the funds. Again, the funds in an escrow account do not belong to the person holding them. Therefore, the funds should not be used to settle the debts of the individual’s or company’s own creditors.
Attorneys, mortgage lenders, real estate companies or escrow companies may setup Escrow accounts. But they may also be setup by software engineers, accounting firms, independent agents. Also, there a various other professional business entities that may setup these accounts. But, mismanagement of the funds or negligence handling these funds may result in licensing and/or legal consequences.
Most people are familiar with a common example of an escrow account. I am referring to the money held by your mortgage company. And these funds are used to pay your yearly property taxes and insurance premiums. And generally, your monthly payment includes these taxes. Also, the tax amount is adjusted on a regular basis as your taxes and insurance increase.
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No Substitute for Experience
Business & Financial Solutions has years of experience with escrows. We have fulfilled the bookkeeping and accounting needs of escrows for businesses and individuals. We make certain that all requirements are met, for those charged with the handling of escrow accounts. And our CPAs offer a full-range of other bookkeeping and accounting services. Ultimately, we want to help you meet all your demands. Further, we help fulfill the requirements for complete and accurate accounting of third party funds. And we assist with any legal reporting that may go along with the escrow.
BFS has several office locations. There are offices in Rockville , Frederick and Vienna. And you can contact us if we can be of service. Lastly, our accounting and professional bookkeeping services are priced reasonably. Feel free to offer your comments to our blog.
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Our offices are located in Rockville, Frederick MD and Vienna VA. (Washington DC Area)