Small Employers: Should You Jump on the MEP Bandwagon?
Today, approximately 38 million private-sector employees in the United States lack access to a retirement savings plan through their employers. However, momentum is buildingin Washington, D.C., to remedy this situation by helping small employers take advantage of multiple employer defined contribution plans (MEPs). Could a MEP work for you and your workers? If the federal government…
Protect Your Company Retirement Plan from an IRS Attack
When your company sponsors a qualified retirement plan, you must comply with complex rules established by the IRS and the Department of Labor. Ignore the rules and your firm could face costly penalties from federal regulators — and plan participants might sue you for mishandling trust assets. This is no time to be a do-it-yourselfer. You…
Uncle Sam Wants to WARN Employers About a Layoff Law
If your business finds that it must lay off a large number of employees, make sure you are in compliance with a federal law that requires some employers to provide advance notification. This little-known law is called the Federal Worker Adjustment Retraining and Notification Act (WARN). Under the law, employers who are covered must give 60…
Requirements to Classify Costs as Indirect when Allocated as Direct
Q. Do you ever have customer requirements to classify costs as indirect when your accounting practices allocate such costs direct? In some cases, a customer’s request for proposal (RFP) will specify that a particular cost may not be proposed, charged, allocated or billed to the contract as a direct cost, which may create a conflict with your…
Common Tax Mistakes to Avoid
If your objective is to pay the least amount of income taxes, then you need to be aware of common tax mistakes. Here are seven to watch out for: Maintaining poor tax records. Don’t rely on your memory to keep track of deductions. During the year, accumulate tax receipts and notes concerning deductions in one place. Withholding…
The Financial Literacy Crisis
Imagine driving a car without a basic understanding of the rules of the road, or even how to operate it? Scary thought. Yet many Americans are operating their personal finances with only the barest minimum of knowledge. When asked five basic questions about finances and the markets, 61% of American got 3 or fewer correct. Only…
Can You Have Too Much Tax Deferral?
Taking steps to defer your individual federal income tax bill is often a good idea. If you expect to be in the same tax bracket in future years, lowering this year’s taxable income will postpone your tax bill and give you extra cash to work with until the bill comes due. If your tax rates turn out to…
5 Ways to Boost Deductions for Charitable Giving
The holiday season is fast approaching. It’s the time when people traditionally make gifts to charities. Generally, year-end donations increase the charitable deduction you can claim on the personal tax return you’ll file the next year. But 2018 is different from most previous tax years. From 2018 through 2025, the Tax Cuts and Jobs Act (TCJA) nearly…
How To Recognize a Good Leader for Your Company
Traditional interviews, background checks, and clever “scenario” questions might help you turn up a good leader. But sometimes, in spite of your best efforts, you end up hiring a problem, and then struggling to get rid of him or her. Here are some characteristics of good leaders and bad, that may help you find the pearls…
Tax Considerations of Long-Term Care Insurance
The cost of long-term custodial care – including skilled nursing facilities, unskilled facilities, hospice and adult day care facilities – can be devastating to ordinary families. They can reach up to $100,000 per year and even higher in some areas for a semi-private room in a skilled care facility. What’s more, these expenses are usually not…