Embedded Files
DAILY TASKS
DAILY TASKS
Agency billed policies
Agency billed policies
1. Agency-billed policies should be financed through Ascend.
2. Once the quote is received, create an account in Ascend for financed and fully paid policies. We lessen the funds that we collect through Applied Pay.
3. If the insured paid in Ascend using ACH, we must wait for the payment to clear before we can approve the pay-out. Payment clears in 3-5 business days.
4. If the insured paid in Ascend using credit card, we can approve the pay-out.
5. Before pay-out approval, we need the invoice from the carrier to make sure that the amount for the commission and other fees are correct.
6. Once pay-out is approved, check if the funds were already sent out.
Direct billed policies
Direct billed policies
We encourage the insured to pay the carrier directly since we want to lessen the funds that we collect through Applied Pay.
If the insured pays us, create a task with the checklist (Accounting-Payment Received). Once checklist is sent back, and the carrier is not yet paid, make the payment then apply as DB cash payment.
If the carrier is already paid, check for payment confirmation or binder then apply as DB cash payment.
Payment through Applied Pay
Payment through Applied Pay
When a payment is made through Applied Pay, a receipt is automatically created in the system.
If the payment is made via ACH, payment clears after 7-10 business days.
If payment is made via credit card, payment clears immediately.
Check if there are notes on what the payment is for. If there are none, create a task with the checklist (Accounting-Payment Received) and assign it to the producer or account manager.
If we need to pay a carrier, make the payment and note the task.
Paying thru Melio
Paying thru Melio
If there is no link or payment portal for the carrier to be paid on, we pay them using Melio.
Make sure that the address in Melio for the specific carrier is correct.
Enter the name of the carrier of PFC and enter the amount.
Make sure to include the invoice number or policy number if the invoice number is not available.
Melio check payments take up to 7-10 business days for them to receive the check.
Paying Coverwhale
Paying Coverwhale
1. Create a receipt for the payment received from the insured.
2. We need to pay CoverWhale before they bind the policy. (https://pbs.first-quotes.com/Secured/EcompletePaymentOption/EcompletePaymentLogin.aspx)
3. Check the PFA uploaded on the CW website to check for the quote number. Make sure that the PFA is signed.
4. Pay the down payment using the link and make sure the email confirmation will be sent to accounting.
5. Note the file that the down payment was made. Keep the task open to wait for commission. As advised by CoverWhale, it takes 45-60 days for the commission to be sent to us.
How are Commissions Paid?
Great news! As long as there are no outstanding balances due to Cover Whale, commissions get paid within 45 to 60 days of the policy being bound and the down payment collected. After these steps and receiving financing from your finance company, Cover Whale will quickly send your commissions via ACH payment.
Payment Refund (Applied Pay)
Payment Refund (Applied Pay)
We can issue refunds in Applied Pay for ACH and CC payments. There is a checklist for refund. Add that checklist to the task.
Locate the account you want to refund.
Click refund and enter the amount you want to refund.
A refund confirmation will be sent to the accounting email.
Policy Change Task (Agency bill)
Policy Change Task (Agency bill)
Check the documents tab if there is an endorsement quote, invoice, or binder.
If there is a change in premium, check if the amount is already collected from the insured or check if the endorsement is already added in Ascend.
If there is no change in premium, close the task.
Policy Cancelation (Agency bill)
Policy Cancelation (Agency bill)
Check the documents tab if cancelation invoice is already available. If not, email carrier to request cancelation invoice.
Confirm with the carrier where the return premium and unearned commission will be sent.
If policy is financed and the unearned commission will be sent to the finance company and create the invoice as shown here
If policy is financed and the carrier will send us the return premium, we will send the return premium and unearned commission the finance company and create the invoice as shown here
If policy is not financed and the carrier will send us the return premium, we will send the return premium and unearned commission to the insured and create the invoice as shown here
If the policy is not financed and the carrier will send the return premium to the insured, we will send the unearned commission to the insured and create the invoice as shown here
After sending out the return premium and/or unearned commission, we will create a check in the payables tab and click submit.
After creating the check, close the task.
Invoice Creation Task
Invoice Creation Task
Check if the invoice being created will be based on a quote from the carrier.
Check if the invoice is already available under the documents tab. If no invoice is uploaded, check email to see if the carrier already sent the invoice or request the invoice from the carrier.
If the account or policy has a PFA, email PFC to check if the account is already activated. If we have access to their online portal, check if the account is already active.
If a broker fee is included in the PFA, confirm with PFC if they will send the broker fee to us or if we will retain the broker fee from the down payment.
Once the invoice from the carrier is available, create an invoice in EZLynx. Make sure that the policy premium and commission percentage matches the one in the invoice.
If the broker fee is being sent to us, we need to create 2 invoices to account the broker fee.
If the financed amount is being sent to us, we should tag the invoice under agency instead of billing company. (Funds for policies under Prime, Tapco and USLI should be sent to us. Pacific Coast/Yaldi sends the funds to us.)
Confirm with Mae Ann if the funds from the PFC have already been received. (Only create the invoice once funds are received.)
Make sure to split the broker fee to Mike, Maria, or Anthony if applicable.
Make sure to add all line items found on carrier invoices to the invoice you are creating in EZLynx.
Make sure the total invoice amount, commission amount and final invoice amount if the policy is financed, is balanced. You can create the invoice after.
WEEKLY TASK
WEEKLY TASK
Unapplied Cash Report
Unapplied Cash Report
Go to the reporting tab under accounting.
Select Cash then Unapplied Cash.
Run report and export in excel.
Check accounts under the report and make sure that there is no overdue unapplied cash, or all invoices are applied to the correct receipt.
Aged Receivables Report
Aged Receivables Report
Go to the reporting tab under accounting.
Select Receivables then Aged Receivables.
Run report and export in excel.
Check accounts under the report and make sure that there are no overdue receivables, or all invoices are applied to the correct receipt.
Payable Worklist
Payable Worklist
Go to the reporting tab under accounting.
Select Payables then Payable Worklist.
Select date range (2 months).
Run report and export in excel.
Check accounts under the report and make sure that there are no overdue payables, or all invoices are applied to the correct receipt.
MONTHLY TASK
MONTHLY TASK
Commission Statement per Producer
Commission Statement per Producer
Commission Process Monthly Reconciliation
Commission Process Monthly Reconciliation
Monthly Carrier Reconciliation Process
Monthly Carrier Reconciliation Process
1. Overview of the Process
1. Overview of the Process
Importance of monthly reconciliation with carriers.
Objective: Ensure accurate payment tracking and reconciliation.
2. Setting Up Monthly Tabs
2. Setting Up Monthly Tabs
Create a separate tab for each month (starting with January).
Organize data for each carrier in the respective monthly tab.
3. Gathering Necessary Information
3. Gathering Necessary Information
Obtain statements from each carrier.
Verify if the statements are recorded in QuickBooks.
Check the payment format (ACH, EFT, regular check).
4. Identifying Payment Methods
4. Identifying Payment Methods
Distinguish between different payment methods:
ACH/EFT payments.
Regular checks.
List carriers paid via regular checks for follow-up.
5. Manual vs. Automatic Processes
5. Manual vs. Automatic Processes
Determine if statements need to be manually downloaded or if they are automatically updated in Easy Links.
Identify if carriers are direct bill or finance companies.
6. Tracking Payments
6. Tracking Payments
Ensure that all transactions are checked in QuickBooks.
Confirm that payments are being received as expected.
Highlight the importance of tracking payments for accuracy.
7. Action Items
7. Action Items
Start the reconciliation process for January.
Use Easy Links for manual entries as necessary.
Maintain consistency in tracking and reconciling every month.
8. Training Reference
8. Training Reference
Note that training is up to date as of October 2023.
Link to Loom
Link to Loom
https://loom.com/share/553e2749b93d45a1936a5436c7a1f440?src=composer
Employee file
Employee file
Add to commission tab on individual file Employee File Statements Update
Add Statements folder to save service team, commission and other statements to this folder
For external producers Commission Statements Organization
Commission Setup
Commission Setup
Commissions by Producer- just verify they are setup with rules Step 3 - Creating Rules
Fees-For agency bill/direct bill fees make sure to select correct line items
Agency Fee - Agency Bill- Internal Split (select producer)
Direct Bill- Internal Split- (select producer)
Service Team Rules this is used for users that are external or that write policies that have a different assigned Producer Step 2 - Create Service Team
Service team Account Setup
Commission Payments Process
Commission Payments Process
Commission Reports by Producers https://www.youtube.com/watch?v=SsyZ9nvc0hg
Service Team Reports Understanding the Service Team Reports
Agency Bill Income Payable worklist report for agency bill
Commission/Service Team/Payable worklist Statement per Producer
Coordinate with operations team at the end of the month Per Monthly Commission Process to make sure comissions are paid in a timely manner.
Go to the commissions tab and select reporting.
Saved reports for Mylo, Connie’s Business Solutions, Brittni, Erik, Mike, Maria and Anthony need to be run.
Mylo, Connie’s Business Solutions, and Brittni have a service team report.
Make sure that the date range will be from the 16th of the previous month to the 15th of the current month.
Export the report in excel.
Run a payable worklist report to get commissions and fees for agency billed policies.
Make sure the commission and fees on the payable worklist report only includes the fees for last month.
Check for rewrites
For BORs validate we did in fact get paid commission and that the producer is setup as a service team.
Every 4 weeks the team will reach out to get this paid through Sharp Payroll per Monthly Payroll, Bonuses, Commissions process
Copy the sheet to the DB policy commission report and send it to Jake, Jimmy, and Carlo.
Make sure Carlo approves of the statement
Once this is done please save the statement to the employee individual file along with updating the amount paid for the commission/fee tracker.
Email the statement to the producers, mention the month of the statement and let them know it includes the direct bill, agency bill policies, and fees. Please review the handbook for any questions on how commissions are handled Handbook BCC Carlo, jake, scarlett, and Jimmy No need to email Maria
Payment Types
Flat-The amount is consistent
Flat + Commission- The base amount is the same, but the contractor gets fees or commission only on new business
Commission-based-The contractor only gets paid when they make a sale/renewals
If the policy has a PFA, add a linked account to the corresponding finance company with the account number.
Chargeback/Dispute
Chargeback/Dispute
What is a chargeback?
A chargeback can occur for one of the following reasons:
1. The client has insufficient funds in their debit/ACH account
2. The payment raises a fraud alert with the client’s bank
3. The client cancels a payment after submitting it
4. The client tells their bank that your agency is not authorized to debit money from their account
5. The client claims that they paid for services by other means
6. The client enters their account/routing number incorrectly (though we have security measures in place to limit
this)
Typically, when a client submits a payment prior to 9:00 P.M. on any given day, those funds are deposited to your
agency’s bank account the morning of the next business day. However, a chargeback may be reported anywhere
from 2 to 5 business days following the date of the transaction. In such cases, your agency may be notified via e-mail
if your agency’s Applied Pay administrator has designated a recipient address in the Agency Settings of the Applied
Pay portal. In addition, our company will refund the amount for the transaction to the customer in question without
pulling the funds from your agency’s bank account. This will create a negative balance for your agency in Applied
Pay, and our company will collect the funds from any subsequent payments made through Applied Pay until that
negative balance is cleared. However, AppliedNet will not charge any fees for chargebacks.
What to do in case of chargeback?
Create a memo in EZLynx. To create a memo, follow the steps below:
Click on the Documents Tab
On the right-hand corner beside the "Actions" button, click Add and select Form
Click on the Agency Forms tab and look for Streetsmart Memo
Edit the recipient information to Ascend and reference the Case number. Also, make sure to add the description of this correspondence.
Include and upload all these documents in the memo:
Signed application accepting the policy
Signed Finance Agreement (if necessary)
Invoices and Receipts of Payments
Notes from our system (including automated text messages confirming we are binding coverage)
If there are any phone calls available
Any additional documentation such as screenshots
Make mention if we're using Privnote
If there are call recordings notify Jake, Carlo and Jimmy
Important: If there is payment information, do not include this in the note
3. Send it via fax, email and upload it to their website. Make sure to reference the case number and CC Carlo, Jimmy and Jake
If there are call recordings notify Jake, Carlo and Jimmy to transcribe phone calls into plain texts
QBO Reconciliation
QBO Reconciliation
Daily Quickbooks Update
Daily Quickbooks Update
Trust Account
Trust Account
Deposit
Find an Applied Payment deposit in QBO Trust 3021 banking
Find the transactions included in this batch in Applied Payment portal in EZlynx
Login to Ezlynx
Go to the Marketplace-Home tab
Click Applied Pay
In the 'Payout Tab', you'll see the breakdown of the deposit per batch
Find the individual deposit in QBO and move the account 'Trust' to 'Trust Checking 3021'
Do the same process until all deposits in the batch is completed
Return to QBO Trust Checking bank Feeds and open the batch deposit.
Click the match button and check the deposit included in the batch, make sure that totals are matched.
Deposits other than those coming from Applied Pay
Please note that all deposits must have a matching Journal entry from EZlynx.
To search for the journal entry, go to the “advance search”
Search for the Amount of the deposit. Sometimes the transactions in the QBO Bank feeds have the details as to which Carrier/Insured the deposit was from.(In the event that QBO transaction does not indicate any information, make sure to check the details in EZlynx).
If the Journal entry is found in QBO, this means that the transaction was also recorded in EZlynx. We just need to match the Journal entry with QBO.
To match, Open the Journal entry, make sure that it is Debited to 10002 Trust Checking WF (3021), EZLynx always tags the entry to Debit “Trust” so we need to adjust the debit entry to the correct account which is “10002 Trust Checking WF (3021)”
After the Journal entry is checked, go back to the bank feeds and refresh.
You should see the transaction with the “match’ banner. Click Match to
If the “Match’ banner is not present even after refreshing QBO, open the transaction, and click the ‘Find Match” button and look for the transaction in the list that will appear
In the event that we cannot find a Journal Entry from Ezlynx, please advise the accounting staff handling EZlynx to check. Otherwise ask, Carlo, Jimmy or Jake for the details of the transcations.
Expenses
Check with EZlynx as to the classification of the expense.
Please note that all Expenses must have a matching Journal entry from EZlynx.
To search for the journal entry, go to the “advance search”
Search for the Amount of the Expense. Sometimes the transactions in the QBO Bank feeds have the details as to which Carrier/Insured the expense was from.
If the Journal entry is found in QBO, this means that the transaction was also recorded in EZlynx. We just need to match the Journal entry with QBO.
To match, Open the Journal entry, make sure that it is Debited to 10002 Trust Checking WF (3021), EZLynx always tags the entry to Debit “Trust” so we need to adjust the debit entry to the correct account which is “10002 Trust Checking WF (3021)”
After the Journal entry is checked, go back to the bank feeds and refresh.
You should see the transaction with the “match’ banner. Click Match
If the “Match’ banner is not present even after refreshing QBO, open the transaction, and click the ‘Find Match” button and look for the transaction in the list that will appear
In the event that we cannot find a Journal Entry from Ezlynx, please advise the accounting staff handling EZlynx to check. Otherwise ask Carlo, Jimmy or Jake for the details of the transactions.
Operating Account
Operating Account
Deposit
Categorize as Commission income. Transaction’s Payee is indicated in the description
For Edeposits transactions, it always has a check attachment. Open the attachment to identify whom the deposit came from to identify the Payee, then click ADD
In case the transaction has no details indicated in the description, please check with EZlynx accounting staff. Otherwise ask Carlo, Jimmy or Jake for details.
Expenses
For new Vendors/Supplier, categorize it first to 'Uncategorized Expenses' for Jimmy's review
Once category is confirmed, set up the approved rules in QBO
For recurring expenses, QBO will automatically identify the transaction with previous historical data as “RULES” have been already set up.
Double check the details and ADD the transaction to finalize
Credit Card Accounts
Credit Card Accounts
The Company currently has 2 credit cards that are used for the expenses listed as follows:
A. Trust CC 2617 - used for Payment to carriers
B. Business CC 6714 Software and technology stuff, Business Expenses and Subscriptions. Rules were already set up. You just need to double check the details and ADD. Otherwise, put it under uncategorized transactions and send to Jimmy (See Weekly Task below)
*The Bank account used in paying off the credit card expenses is the WF Trust Checking (3021). MOSTLY
QBO Reports Process Flow
QBO Reports Process Flow
Quickbooks - Uncategorized Transactions
Quickbooks - Uncategorized Transactions
GO TO REPORTS - PROFIT AND LOSS - UNCATEGORIZED INCOME/EXPENSE - EXPORT TO EXCEL FILE
Save the summary to Accounting Shared Drive
Send updated Spreadsheet link to Jimmy for checking
Once identified by Jimmy, reclass the transactions to the correct account
Add Rule in QBO for future reference
Weekly Transfer
Weekly Transfer
As discussed with the management, a transfer from the Trust account to Operating account should be made every week by Jimmy. The entries should be coming from Ezlynx. These entries will be coming into Quickbooks as “Agency Billed Income”. Accounting should provide a weekly total Agency billed income report to Jimmy. Please see below steps for reference.
GO TO REPORTS - PROFIT AND LOSS - GENERATE CURRENT WEEK’S DATE RANGE - OPEN AGENCY BILLED INCOME ACCOUNT - EXPORT SUMMARY TO EXCEL
Verify if the invoices has been paid by the insured. To do this, refer to steps below
Login to EZlynx
Go to Accounting Tab, then Billing
Search the invoice number in the search parameter
Open the invoice and check if it has been paid
If paid, include that invoice in the current week's transfer request to Jimmy
If unpaid, open that invoice in QBO and move the date to the following week
Email the summary of verified paid invoices to Jimmy (jimmy@streetsmart.insurance), cc Carlo (carlo@streetsmart.insurance), Jake (jake@streetsmart.insurance), Maris (mreyes@insboss.net)and Audrey (accounting@streetsmart.insurance).
After receiving a transfer confirmation from Jimmy, please recategorize all the Total Agency Billed Income items to “Income” account for the current week. Click SAVE and CLOSE to finalize.
Note : Make sure not to change anything in the entry except for the “account” portion.
Customer Acquisition Cost
Customer Acquisition Cost
Ezlynx Report
Google Sheet Report
Customer acquisition Cost for the below list should be calculated every 1st of the month
Bold Penguin
CTL
Google Ads
Referral =Thanks.io
Cross Sell
Ezlynx will send out a “Monthly Sales Opportunity Report” every 1st of the month.
From this report, we need to get the numbers in “SOLD” and the “Premium” amounts to compute our CAC.
See below sample:
In QBO, we need to get the total monthly expenses for the above channels/supplier.
Go to REPORTS >> PROFIT & LOSS >> generate the month needed (eg. March 1 to 31st, 2024), then run the Report >> click the line 64000 Marketing/Advertising/Promotional and get the totals for each channel/supplier
In an excel sheet, create a table showing the below details.
Here's how to calculate your Customer Acquisition Cost (CAC):
Understanding CAC
CAC is the average cost you spend to acquire a new customer. It's a key metric for businesses to assess the efficiency and profitability of their marketing and sales efforts.
Formula:
Commission: 10% of Total Premiums
Adjusted CAC: (Marketing Costs + Commission) / Number of New Customers
Calculation:
Commission: $498,581.94 * 0.10 = $49,858.19
Adjusted CAC: ($10,134.12 + $49,858.19) / 68 = $882.24
Premium = Premium Amount (from EZLynx Report)
Amount = Total Expenses for the month (from QBO P&L Report)
Customer Count = Sold Amount (from EZLynx report)
Customer Acquisition Cost (CAC) = Amount / Customer Count
End Of Year Taxes
End Of Year Taxes
W2
W2
Contact Sharp Payroll (we switched July 2023)
Save documents to w2sw2sand send to each person
1099s
1099s
Save 1099s here:
Identify all 1099 contractors (consult the accounts payable team if needed) Contractors Payments - 2023
Determine how each contractor was paid (e.g., PayPal, check, etc.)
Gather the following information for each contractor:
Name
Address
Tax ID number (Social Security number or EIN)
Total amount paid in 2022
Prepare and mail 1099 forms to contractors by January 31, 2025
Keep copies of all 1099 forms and related documentation for at least 4 years10991099 make a folder for each year Send to each person
W2 email
W2 email
Dear [Employee Name],
This email is to inform you that your W-2 Wage and Tax Statement for [YEAR] is being sent by Sharp Payroll. This form contains important information about your earnings and taxes withheld during the year, which you will need to file your tax return.
Please keep a copy of your W-2 for your records. You will need it to file your tax return for [YEAR].
Additional Resources:
For more information about Form W-2, please visit the IRS website: https://www.irs.gov/forms-pubs/about-form-w-2
For more information about your 1099, please visit the IRS website: https://www.irs.gov/pub/irs-pdf/f1099nec.pdf
If you have any questions about your W-2/1099 or your taxes, please do not hesitate to contact Carlo.
Thank you for your continued contribution to StreetSmart. We appreciate your hard work!
Sincerely,
1099 email
1099 email
Dear [Employee Name],
This email is to inform you that your 1099 Wage and Tax Statement for [YEAR] is being sent by Sharp Payroll. This form contains important information about your earnings and taxes withheld during the year, which you will need to file your tax return.
Please keep a copy of your 1099 for your records. You will need it to file your tax return for [YEAR].
Additional Resources:
For more information about Form W-2, please visit the IRS website: https://www.irs.gov/forms-pubs/about-form-w-2
For more information about your 1099, please visit the IRS website: https://www.irs.gov/pub/irs-pdf/f1099nec.pdf
If you have any questions about your 1099 or your taxes, please do not hesitate to contact Carlo.
Thank you for your continued contribution to StreetSmart. We appreciate your hard work!
Sincerely,
End of Year Tax Process for Filing Business Taxes
End of Year Tax Process for Filing Business Taxes
This is to be completed by the end of January every year
Step 1: Gather financial statements
Balance sheets for Ferrara Organization, FastBreak Marketing, and StreetSmart Risk Managers
Profit and loss statements for Ferrara Organization, FastBreak Marketing, and StreetSmart Risk Managers
Step 2: Save financial statements to applicable folders in PDF and Excel format
Ferrara Organization
Balance sheet
2023
2022
Profit and loss statement
2023
2022
FastBreak Marketing
Balance sheet
2023
2022
Profit and loss statement
2023
2022
StreetSmart Risk Managers
Balance sheet
2023
2022
Profit and loss statement
2023
2022
Step 3: Send to Accountant CC Jake Jimmy and Carlo
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