Why it’s Never too Early to Start a Savings Account for Your Children
Parents - especially new ones - are always looking for new ways to improve the lives of their children. Surprisingly, one of the most effective opportunities that people also often overlook has to do with starting a savings account for that child as early as they're capable of doing so. On the one hand, no - it's probably not a good idea to give a young child in particular unrestricted access to a bank account [Read More]
IRS Releases New FAQs on the Employee Retention Credit
The IRS continued its campaign to alert taxpayers against ERC fraudsters by releasing updated FAQs. The most recent update includes details on qualifying government orders, a drop in gross receipts, recovery startup firms, and when taxpayers can anticipate receiving an ERC refund. Click here to view the FAQs on the IRS website.
It’s Not Too Late for an IRA Contribution
Most of the time an expense that may be tax deductible needs to be paid by the end of the year for which the expense will be claimed. However, there is an exception to that rule. IRA contributions for the prior year can be made after the close of the year if made by the return’s original filing due date for the year. Thus IRA contributions for 2022 can made by April 18, 2023. Normally [Read More]
ASC 842 Considerations and Impact
ASC 842 is now in effect for all companies, updating standards for how organizations classify and record leases. After years of delaying the effective date, the new standards are finally being enforced for privately held companies, and the changeover can no longer be avoided. The impact of the new standard is proving to be significant, with even more ramifications than previously expected. It is vital that businesses take steps now to understand these standards and [Read More]
Don’t Ignore Household Employee Payroll Tax Rules
If you hire a domestic worker to provide services in or around your home, you probably have a tax liability that you don’t know about – or one that you do know about but are ignoring. Either situation can come back to bite you. When the worker is your employee, your liability includes both withholding and paying payroll taxes as well as issuing a W-2 after the close of the year. Sure, it is a [Read More]
What Your Construction Business is Missing
By: Sheryl Tschimpke The construction industry is hectic, with many projects and priorities to manage. You understand the impact that operations staff can have on your business, but are you missing out on the value that a solid accounting department provides? Investing in your accounting department can increase your success by enhancing business management, planning, and strategy. Benefits of Experienced Leadership in the Accounting Department Your accounting department is more than a cost center. Having [Read More]
Secure 2.0 Act of 2022 Introduces Key Changes for Workplace Retirement Plans
By: Mallory Salter The SECURE 2.0 Act of 2022 was signed into law on December 29, 2022, and introduces over 90 changes to the federal rules governing workplace retirement plans. This landmark legislation, which aims to expand coverage and increase retirement savings while simplifying and clarifying retirement plan rules, will bring sweeping changes for employers over the next several years. The legislation builds upon changes established by the 2019 Secure ACT and includes both mandatory [Read More]
Haven’t Filed Tax Returns for Multiple Years? Here’s What You Need to Do Next
You'd be hard-pressed to find someone who actually enjoys the process of filing taxes. Having said that, it's absolutely something that you're supposed to do like clockwork every single year. Of course, there is a myriad of different reasons why you may have fallen behind. You could be going through something of a major life transition and simply were unable to meet the filing deadline. Maybe you filed for a much-needed extension and then other [Read More]
Are You Worried You Won’t Have Enough Money Saved for Retirement?
All of us dream of one day being able to retire - to finally be able to relax and enjoy the lifestyle we worked so hard for. However, you'll need a significant amount of money to do it, which is where a lot of Americans begin to worry. Saving for retirement is a constant fear for many out there, especially during periods when the economy is hurting. The good news is that not everyone needs [Read More]
Are You an S Corporation Stockholder? Are You Taking Reasonable Compensation in the Form of Wages?
S corporation compensation requirements are often misunderstood and abused by owner-shareholders. An S corporation is a type of business structure in which the business does not pay income tax at the corporate level and instead distributes (passes through) the income, gains, losses, and deductions to the shareholders for inclusion on their income tax returns. If there are gains, these distributions are considered a return on investment and therefore are not subject to self-employment taxes. However, [Read More]