Do you need to adjust your withholding?

| Tax Briefs

If you received a large refund after filing your 2017 income tax return, you’re probably enjoying the influx of cash. But a large refund isn’t all positive. It also means you were essentially giving the government an interest-free loan. That’s why a large refund for the previous tax year would usually indicate that you should consider reducing the amounts you’re having withheld (and/or what estimated tax payments you’re making) for the current year. But 2018 is a little different. The Read more [...]

Could a long-term deal ease your succession planning woes?

| Business Briefs, Business Miscellaneous

Some business owners — particularly those who founded their companies — may find it hard to give up control to a successor. Maybe you just can’t identify the right person internally to fill your shoes. While retirement isn’t in your immediate future, you know you must eventually step down. One potential solution is to find an outside buyer for your company and undertake a long-term deal to gradually cede control to them. Going this route can enable a transition to proceed at a more manageable Read more [...]

Factor in state and local taxes when deciding where to live in retirement

| Tax Briefs

Many Americans relocate to another state when they retire. If you’re thinking about such a move, state and local taxes should factor into your decision. Income, property and sales tax Choosing a state that has no personal income tax may appear to be the best option. But that might not be the case once you consider property and sales taxes. For example, suppose you’ve narrowed your decision down to two states: State 1 has no individual income tax, and State 2 has a flat 5 percent individual Read more [...]

Bookings vs. shippings: A sales flash report primer

| Business Briefs

Do bad sales months often take you by surprise? If so, don’t forget the power of flash reports — that is, snapshots of critical data for quick, timely viewing every day or week. One specific way to use them is to track bookings vs. shippings. Doing so can help you determine what percentage of volume for certain months should be booked by specific dates. These reports are particularly useful if more than 30 days elapse between these activities. Get super specific Here’s how your flash Read more [...]

The TCJA changes some rules for deducting pass-through business losses

| Tax Briefs

It’s not uncommon for businesses to sometimes generate tax losses. But the losses that can be deducted are limited by tax law in some situations. The Tax Cuts and Jobs Act (TCJA) further restricts the amount of losses that sole proprietors, partners, S corporation shareholders and, typically, limited liability company (LLC) members can currently deduct — beginning in 2018. This could negatively impact owners of start-ups and businesses facing adverse conditions. Before the TCJA Under pre-TCJA Read more [...]

Be aware of the tax consequences before selling your home

| Tax Briefs

In many parts of the country, summer is peak season for selling a home. If you’re planning to put your home on the market soon, you’re probably thinking about things like how quickly it will sell and how much you’ll get for it. But don’t neglect to consider the tax consequences. Home sale gain exclusion The U.S. House of Representatives’ original version of the Tax Cuts and Jobs Act included a provision tightening the rules for the home sale gain exclusion. Fortunately, that provision Read more [...]

Get started on 2018 tax planning now!

| Tax Briefs

With the April 17 individual income tax filing deadline behind you (or with your 2017 tax return on the back burner if you filed for an extension), you may be hoping to not think about taxes for the next several months. But for maximum tax savings, now is the time to start tax planning for 2018. It’s especially critical to get an early start this year because the Tax Cuts and Jobs Act (TCJA) has substantially changed the tax environment. Many variables A tremendous number of variables affect Read more [...]

Manage health benefits costs with a multipronged approach

| Business Briefs

Many companies offer health care benefits to help ensure employee wellness and compete for better job candidates. And the Affordable Care Act has been using both carrots and sticks (depending on employer size) to encourage businesses to offer health coverage.   If you sponsor a health care plan, you know this is no small investment. It may seem next to impossible to control rising plan costs, which are subject to a variety of factors beyond your control. But the truth is, all business owners can Read more [...]

Stay vigilant and use due diligence when hiring outside service providers

| Business Miscellaneous, News

By Chris Mennel     Recently, I heard about a new form of theft against a central Indiana nonprofit.  Using the organization’s login information for its credit card processor, a perpetrator was able to issue repeated refunds to a Russian bank account.  The first two – one for $9,000 and the other for $21,000 -- were processed.  The third attempt for $80,000, however, was caught by the business administrator when he logged into the account and noticed the pending payment. Fortunately, Read more [...]