Most Retirees Wish They’d Planned Better
What’s the No. 1 thing retirees wish they had done while they were preparing for retirement? Created a budget, according to the respondents to a survey of recent retirees by Fidelity Institutional Retirement Services Co. One in five retirees said they wish they had created a budget so they would have had a more realistic…
Is Your Business Overlooking R&D Tax Credits?
Many taxpayers mistakenly believe that they have to be scientists inventing something completely new or developing cutting-edge technology to qualify for the research and development tax credit. Or they think they have to be doing “research” as we commonly understand that word. These do qualify, but there are many other activities that also qualify. The…
When do Donors Give Most Online?
It might seem surprising in this day and age, but less than 10 percent of the money charities collect is from online donations. But online contributions are definitely on the rise, according to The Chronicle, with 51,000 charities reporting a 10.9 percent increase in giving to $204 million during one quarter in 2012. In another study, the…
Accounting Updates Will Impact Financial Statements
Two new accounting technical updates will have significant impact on the financial statements of not-for-profit entities. Impairment of long-lived intangible assets The Financial Accounting Standards Board issued Accounting Standards Update 2012-02 in July 2012, entitled Testing Indefinite-Lived Intangible Assets for Impairment. The guidance serves to amend requirements in FASB Accounting Standards Codification (FASB ASC) Topic 350,…
Plan Ahead to Reduce Capital Gains Taxes
What are capital gains? They typically are profits made from the sale of property that is a capital asset. For individuals, gains from the sale of capital assets – such as stocks, bonds, real estate or collectibles – are generally taxed more favorably than those gains from the sale of an ordinary asset. However, short-term…
The Pros and Cons of Laddering Investments
“Laddering” investments is a method of staggering the maturity dates of these investments. Why would someone do this? There are several potential advantages and a few disadvantages. When laddering, an investor purchases a series of fixed-income investments, such as certificates of deposit or bonds, with different maturity dates. Rather than buying one certificate of deposit…
Does Your Practice Need a Firm Administrator?
Time. It’s your most perishable resource. It’s your inventory. Looking for a way to free up more time so you can practice law? Every administrative nonbillable hour you spend is like a retailer throwing merchandise in a dumpster instead of selling it. It’s not good business. While there will always be some administrative issues that…
Is the Discounted Cash Flow Method Dead?
Some bloggers have said that the U.S. Bankruptcy Court has “discredited” the discounted cash flow method of valuation in the case of In re Bachrach Clothing, Inc. (Bankruptcy No. 06-06525, Adversary No. 08-00726, in the U.S. Bankruptcy Court for the Northern District of Illinois, Eastern Div.) That’s an unnerving conclusion for those who find many practical applications…
Low Interest Rates Favor Charitable Lead Trusts
For those who are charitably inclined, the current low interest rate environment tends to favor charitable lead trusts over their better-known cousins, charitable remainder trusts. With a charitable remainder trust (CRT), a donor transfers assets into a trust with annual payments to you or your designated noncharitable beneficiary. This payment may be in the form…
Flash Reports Can Help Your Business
Information is more accessible than ever. Communication is nonstop. Amid all the noise, how do you focus on the critical details that will allow you to stay on top of your business? In keeping with our instant gratification age, a time when decisions need to be made immediately before opportunities slip away or resources are…