For any divorce decree that becomes final after 12/31/18, the alimony payments will no longer be deductible by the payor or taxed as income to the recipient. This only applies to new divorce decrees. Any alimony arrangement that exists prior to 2019 will be grandfathered into the new provisions. As a tax planning move, if… Continue Reading
Many clients I have spoken with since tax season have incorrectly assumed the requirement to have health insurance coverage has been repealed. This is only partially correct. The requirement to carry health insurance on one’s self and every dependent in their household has been repealed, but not until 2019! For 2018, you still must have… Continue Reading
Sometimes small business owners try to accomplish tasks without assistance from anyone. Many years of successful practice can lead us into a mindset that we can tackle almost any job without assistance. Sometimes we get deep into the project and find we are overwhelmed with alternatives we cannot properly evaluate, or we have suspicions that… Continue Reading
Since the end of tax season, I have met with two new clients who are considering starting their own businesses. We discussed the benefits and disadvantages of many aspects of self-employment. I found it interesting that neither considered having a pension to be of high importance. More and more people seem to be retiring early… Continue Reading
When you operate a seasonal business, your workload is concentrated into a few months out of the year. The very nature of this beast makes it difficult to assemble a talented workforce. Most experienced employees desire year-round income. This limits the business to finding seasonal help. Every year we experience a backlog at the review… Continue Reading
This tax season we experienced a significant increase in phishing e-mails and fraudulent phone calls regarding taxes. I have spoken with a number of my peers who also experienced an increased level of security attacks. I personally received a phishing e-mail or fraudulent telephone call almost every week during the filing season. This is a… Continue Reading
Unless you work in this industry or are married to someone who works in this industry, you probably don’t fully appreciate the demands of a “tax season.” The average CPA makes about 67 percent of their annual income during the months of January to April. It is a lot of work during a relatively short… Continue Reading
Most small businesses don’t have employees. The owners perform all the duties of the business. However, that type of business model restricts growth. If you want a business to grow, the owner must be willing to delegate most non-essential functions to an employee. A good employee who competently handles the clerical and administrative functions can… Continue Reading
A deduction is available for money an employee spends to perform their duties in the course of their employment if they are unreimbursed by their employer. This includes mileage, licenses, union dues, education and out of pocket expenses. The expenses must be incurred as a condition of employment or utilized in the performance of the… Continue Reading
The advice we give our clients is personalized to their situation and circumstances. No two clients are the same. We may recommend one course of action for you and the opposite for your neighbor. The key is to listen to your client. Learn their goals and question any limitations to achieving them. Customers don’t want… Continue Reading