Like Harvey, Retirement Plans Can Make Loans, Hardship Distributions to Victims of Hurricane Irma WASHINGTON —The Internal Revenue Service today announced that 401(k)s and similar employer-sponsored retirement plans can make loans and hardship distributions to victims of Hurricane Irma and members of their families. This is similar to relief provided last month to victims of Hurricane Harvey. Participants in 401(k) plans, employees of public schools and tax-exempt organizations with 403(b) tax-sheltered annuities, as well as state and local government employees with 457(b) deferred-compensation plans may be eligible to take advantage of these streamlined loan procedures and liberalized hardship distribution rules. Though IRA participants are barred from taking out loans, they may be eligible to receive distributions under liberalized procedures. Retirement plans[…]
Seven days from now is the real tax filing deadline for 1041 (trust), 1065 (partnerships), 1120S (S Corps) returns that requested an extension in 2016. We often sift through our client and sometimes even prospects lists in our office and reach out on the 8th of September to “check in” and remind folks that a week from now we must be filing a tax return. People with trust income, run businesses and or have partnerships are often busy folks, and the date can sneak up on them. Then, you throw in distractions like Harvey, Irma (way more than simple distractions!) and yesterday EQUIFAX being hacked and everyone scrambling to protect their credit, and it’s not hard to imagine someone looking[…]
First, let’s say upfront that a business that has sources of income and expenses and leaves 25% profit on the table is an awesome business! Example: A Plumber makes $400,000 a year and spends $300,000 a year on plumbing tools, trucks, repairs, staff, insurances, and walks away with $100,000 at the end of the year that he can put in his pocket; great business! It would be rare that it’s that easy. More likely, he puts $60,000 in his pocket and sneaks a few personal expenses into his plumbing books. In a very rare case in the other direction, 50% in expenses and 50% profit, but he probably wouldn’t do that every year. That would be a “magic year” with[…]
When I see the first back to school ad on TV or on the internet, I sigh…. I’m well past my school years so why do I care? Because back to school is code for “It’s time to do the last 15% of America’s tax returns.” Don’t get me wrong, that’s the business we are in and we love it!!! But for some of our clients it creates a great deal of stress as October 15 is the real deadline. On April 15, the IRS demands the tax dollars, but October is when the paperwork to prove it is due! People on extension often have complex situations, complex assets, or both. It is a really serious time thief for many.[…]
Some time ago you had an idea. Over the years your turned that idea into a successful and profitable business. Have you protected what you worked so hard to build? An unexpected turn of events could put your biggest asset at risk. Did you know that moving business dollars into a qualified plan could protect your assets as well as provide a current tax deduction? Money in a qualified plan is generally protected from creditors. That means no one can take away what you have earned. Let us help you protect what you have created. It could be one of the most important business decisions you ever make.
With summer time in full gear, the business world takes a noticeable slow down as key employees that drive productivity are finally taking a few well deserved days off. Vacations have changed over the last 20 years in that the 10-14 days off at one time seems to have faded away and shorter more frequent “action style” vacations are trending. Planning and Google searches for vacation locations and activities are reportedly 38 searches per vacation, so if you spent 5 mins on just 20 of those 38 searches you’ve spent over an hour and a half. Multiply this by 3 short vacations a year (2015 AARP said boomers planned 4-5 a year) and a boomer spends at least 5 hours[…]
Hopefully, you have family that you love and that loves you. It’s the greatest asset any of us could have. If it’s not the family you were born to, then we hope you have a family you put together for yourself…..sometimes those are even better. Summer time seems to lead us all to gathering families of all kinds together at events, to have BBQ`s or other “get-togethers” and it’s during that time that it wouldn’t hurt for any or all of us to reflect on our plans for helping them to help us in our time of crisis. After all, none of us are going to get out of this life unharmed! Death and taxes are the only certainties in[…]