Can you deduct charitable gifts on your tax return?
Many people who used to claim a tax break for making charitable contributions are no longer eligible. That’s because of some tax law changes that went into effect a couple years ago. You can only claim a deduction if you itemize deductions on your tax return and your itemized deductions exceed the standard deduction. Today’s much higher standard deduction combined with limits or suspensions on some common itemized deductions means you may no longer have enough itemized deductions to exceed the standard deduction. If you do meet the rules for itemizing, there are still other requirements to claim a charitable deduction. Contact us with questions.
3 best practices for achieving organic sales growth
Every company should strive for organic sales growth; in other words, increasing sales from existing operations rather than mergers or acquisitions. That’s not to say a merger or acquisition is out of the question, but you shouldn’t rely on such a major move to regularly boost your numbers. Organic sales growth tends to come from 3 best practices: 1) Providing attentive customer service that addresses problems quickly and maintains positive contact, 2) Choosing smart marketing strategies that adjust and evolve to changing trends, and 3) Hiring, training and retaining good employees at every level who contribute to sales. We can help you identify optimal strategies and measure the results.
What can AI do for my business?
It’s one thing to learn about how artificial intelligence (AI) is changing someone else’s company and quite another to apply it to your own. Three primary types of technologies fall under the AI umbrella: machine learning, natural language processing and robotic process automation. Two of the most common on-ramps into AI are chatbots and data sensors. Chatbots are those automated text- or voice-based systems that allow users to ask questions and get quick answers. Data sensors can help improve decisions about building maintenance and replacement of systems, lowering energy and repair costs of offices or facilities. Contact us for help cost-effectively implementing an AI solution.
Help protect your personal information by filing your 2019 tax return early
The IRS is opening the 2019 individual income tax return filing season on Jan. 27. Even if you usually don’t file until closer to the April 15 deadline (or you file an extension), consider being an early-bird filer this year. It can potentially protect you from tax identity theft. In these scams, a thief uses another person’s personal information to file a fraudulent return early in the filing season and claim a bogus refund. Then, when the legitimate taxpayer files, the IRS rejects the return because one with the same information has already been filed for the year. If you file first, any would-be fraudulent returns will be rejected by the IRS, rather than yours.
New rules will soon require employers to annually disclose retirement income to employees
The recently enacted SECURE Act includes a new requirement for employers that sponsor tax-favored defined contribution retirement plans that are subject to ERISA. Specifically, the law will require that benefit statements sent to plan participants include a lifetime income disclosure at least once during any 12-month period. It will need to illustrate the monthly payments that an employee would receive if the total account balance were used to provide lifetime income streams, including a single life annuity and a qualified joint and survivor annuity for the participant and his or her surviving spouse. The requirement won’t go into effect until 12 months after the DOL issues a final rule.
New W4 Form for 2020
The redesigned form takes into account that there are no longer dependency exemptions. It also makes adjustments for other income and child tax credits. It’s very simple for single taxpayers with no other income or dependents. Check the single box and you’re done. For dual income families: 1. If earnings are about equal, you can […]
How business owners and execs can stay connected with staff
The beginning of the year can be a busy time for business owners and executives. One danger of a hectic start is distancing yourself from staff. Fortunately, there are some simple ways to stay connected throughout the year. Solicit feedback through a suggestion box or email account. Be sure to hold at least one town hall meeting in which you take questions from attendees. Consider a company retreat to get even more interactive. Don’t overlook the value of social gatherings such as parties and outings. Visit different departments or facilities to stay visible. Finally, think about shadowing an employee for a day to learn about his or her job. For more ideas and info, contact us.
4 new law changes that may affect your retirement plan
If you save for retirement with an IRA or other plan, be aware there’s a new law that makes several changes to these accounts. For example, the SECURE Act repealed the maximum age for making traditional IRA contributions. Before 2020, traditional IRA contributions weren’t allowed once you reached age 70½. Starting in 2020, an individual of any age can make contributions, as long as he or she has compensation. The required minimum distribution age was also raised from 70½ to 72. In addition, penalty-free withdrawals up to $5,000 are now allowed from a retirement plan for birth or adoption expenses. These are only some of the new law changes. Questions? Don’t hesitate to contact us.
WHY YOU SHOULD NOT ABBREVIATE 2020 WHEN SIGNING LEGAL DOCUMENTS
We’ve now entered the year 2020—but don’t abbreviate 2020 when signing your legal documents. Police have warned that anyone signing important documents or checks with an abbreviation of 2020, i.e. “20,” could put themselves at risk of fraud. They recommend writing out the date in full, as 2020, on legal documents and checks. Why not […]
New law provides a variety of tax breaks to businesses and employers
While you were celebrating the holidays, you may have missed a law that passed with a grab bag of provisions providing tax relief to businesses and employers. It makes many changes to the tax code, including an extension (generally through 2020) of provisions that were set to expire or already expired. For example, the law extended the employer tax credit for paid family and medical leave through 2020, as well as the Work Opportunity Tax Credit for hiring individuals who are members of targeted groups. It also repealed the “Cadillac tax” on high-cost employer-sponsored health coverage. These are only a few provisions of the new law. If you have questions, don’t hesitate to contact us.