November 19, 2019
As the end of the year approaches, we’d like to remind our clients that it’s the perfect time to start tax planning and see how the past year’s tax reforms have impacted your personal financial situation. It is crucial to review your tax returns to plan for any changes that may affect you in 2020. We recommend examining the following topics to see if they apply to you:
Income Tax Planning - One of the most paramount aspects of tax planning is running a tax projection to ensure that you’re utilizing as many tax reduction strategies as possible. Minimizing your tax liability and familiarizing yourself with your income tax bracket are important steps that are often overlooked by taxpayers.
Estate Planning - It is critical to ensure that all of your estate planning documents are current. Having an up-to-date will simply is not enough; you’ll want to make sure that any trust agreements, healthcare and power of attorney documents reflect your preferences as well.
Education Funding – Funding educational costs is often one of the highest expenses that families experience. There are a number of ways to save for educational costs and finding the one that is most beneficial can be challenging. Sometimes certain strategies require advance planning and making contributions before the end of the year to ensure that you are optimizing your savings.
Retirement Planning – It’s never too soon to start thinking of your retirement strategy. There are numerous options available for retirement saving and it is so important to find the balance of spending and saving that works for your personal situation.
We encourage you to call our office as soon as possible so that we can help you navigate which tax planning strategies are best for you.
We'd like to draw your attention to the new 1099 forms for 2021. If you (as a business) prepare your own 1099’s, please be aware of the changes:
1099-NEC: This form reports nonemployee compensation and/or nonqualified deferred compensation (NQDC). If you are in the trade or business of catching fish, Box 1 may show cash you received for the sale...
We are pleased to announce that Congress changed some of the PPP rules over the weekend. It is important to note that several of the rules have been relaxed; those of you who were getting close to the end of your “8 week window” can now take a deep breath, as that period has been extended. As always, we are staying up-to-date as the new rules are rolled...
Many of you reading this have received, or will soon receive, the Payroll Protection Program (PPP) loan. And that’s good news. Not surprisingly, however, this distribution now shifts the focus to “what qualifies as forgiveness under this program?”
As of now if you spend at least 75% on payroll costs over an 8-week period, from the date you received the funds,...