As a small business owner, you probably find the end of the year a busy time. Before you know it, you find yourself into January trying to determine what the New Year will bring. One of the keys to being a successful business owner is taking a break from the day-to-day routine and spending some time doing valuable planning. This is sometimes referred to as working on your business, not just working in your business. To help you with this process, here are five things you should consider doing as a small business owner as you start the New Year. (more…)
Posts Tagged ‘financial planning’
Are you out of breath from the impact the economy had on your business during the last several years? Is it time to develop some New Year’s resolutions that will make a difference in your business? Adopting a new diet, jumping on the treadmill or committing to run a half marathon are common items on the “personal” resolution menu. However, is it time to add energy and resources to your resolutions in order to improve the health of your business? (more…)
The holidays are upon us, and right now you’re probably looking forward to celebrating with family and friends. Your finances may be one of the furthest things from your mind, but once Jan. 1 hits, the holidays are over and we all go back to our “regular” lives. If you’re an individual who sets goals or resolutions for the New Year, you may find yourself hoping to get into better physical shape or get better organized. But in the craze of the holidays and in the midst of your New Year’s resolutions, have you considered your finances? (more…)
Just when you think your estate plan is complete, is it really? Your will gives your personal property to your daughter, Suzie. Great, Suzie gets your laptop and your smartphone. But what happens to your online accounts, emails, Facebook account, iTunes account, that special digital crown won in an online game, and digital pictures stored in the “cloud”? Does Suzie know where to find your usernames or passwords? Even if she does, does she have a right to access the accounts? (more…)
The end of the year is fast approaching. Before you know it, Jan. 1, 2014, will be here and another business year is at hand. So… have you started planning and budgeting for your 2014 business year? If you haven’t, don’t wait any longer. The sooner you get your budget in place, the better idea you’ll have of what you can do in the year ahead. (more…)
Are you in the market for a new home? Or maybe you’re looking to purchase a new car for your daughter or son? Don’t have enough cash for a down payment? No problem. There’s a nice workaround that can provide short-term relief for your immediate need. (more…)
When is the last time you talked to your accountant about your business’s entity type? If you’re like most business owners, it’s probably not something you regularly think about. Whether you are taxed at the corporate level as a C-corporation, or have a pass-through entity such as an S-corporation or a limited liability company (LLC), there have been plenty of changes in the tax laws recently to warrant at least considering your entity type. (more…)
If you deal with trusts, you may soon feel the effects of new higher tax rates and the Medicare surtax. Unfortunately, the fiscal cliff deal was not kind to trusts, trustees or trust beneficiaries. For 2013, a trust will pay income tax at the highest individual tax rate of 39.6 percent when taxable income is more than $11,950. An individual would not pay at this highest tax rate until taxable income exceeds $400,000. In addition, the new 3.8 percent Medicare surtax on net investment income applies to trusts if taxable income exceeds $11,950. (more…)
If you’re a business owner, did you know that you can significantly increase your net wealth by simply changing the way you look at your business? (more…)
Big GAAP vs. Little GAAP has been a hot topic in recent years. (Okay, “hot” topic may be a stretch…) The question of the hour is: Why should a privately held company with close relationships to owners, bankers, insurers and other financial statement users need to comply with the same complex rules and extensive disclosure requirements that a publicly traded company is held to? (more…)
Do you know the current balance of your business checking account? If you don’t, keep reading. Cash flow is the key to business survival. A healthy business generates money for the operations of the business. (more…)
Like so many Hollywood couples these days, maybe you are finding yourself a newly divorced person. With all the legal shenanigans that can happen during a divorce proceeding, have you taken the time to consider some of the more practical matters related to your finances? There are several tax-related items and helpful advice tidbits to be discovered after a change in your marital status. (more…)
You’re used to discussing your financial assets with your CPA. You talk to your accountant about your income, your business and your estate plan. But there’s one financial asset that doesn’t always come up in discussions of your financial situation: your life insurance policy. Insurance might seem more like a safeguard than an asset, but it’s an important part of your financial portfolio. And, it’s important to review it regularly with the same diligence that you devote to your income, your business and your estate.
Why review your life insurance? Three reasons: to save money, reduce risk and ensure policy suitability. (more…)
Exit strategies are the options that you have to leave your business. There are only a few exit strategies that Ohio business owners can choose from and each will provide you with a different level of proceeds when you leave. All strategies will require planning and time to implement.
It’s never too soon to start planning your exit. You will eventually leave your business, and it’s better to do so before a life-changing event forces you out. The sooner you plan, the more options you will have. (more…)
Recently, Ohio eliminated the Ohio estate tax. The estates of individuals who die after January 1, 2013 will not be subject to the Ohio estate tax. (more…)
Recently, a reader shared with us that she inherited property in both Ohio and Florida. She had a pretty specific question related to the value of the Ohio property. That question made me think there may be more people who don’t know how to handle newly inherited property for estate tax purposes. Hence, I’m going to provide some general estate information I hope will help.
According to Ohio law, “the value of any property included in the gross estate shall be the price at which such property would change hands between a willing buyer and a willing seller, neither being under any compulsion to buy or sell and both having reasonable knowledge of relevant facts.”
Now, let me put that in simpler terms. If there is real estate in an estate, then you need to claim its fair value. That value is the amount the property would sell for assuming both the buyer and seller know about the property and neither was pressured to either buy or sell. (more…)
Expiring Provisions Will Cost you Big
There is a gentleman I know who started a successful business and has become a wealthy man. He always tells me that he wants to provide for his children and grandchildren – however, he needs to wait to make sure his wife will have the money the need to live comfortably for the foreseeable future. It’s something he adds to his to-do list for the fantasy “next year.”
It’s respectable that he’s worried about the economy, and the impact it may have on his personal lifestyle. However, Uncle Sam is taking the luxury of waiting away from many people. If you’ve ever considered making a gift, there may not ever be a more opportune time. (more…)
2012 Gift Tax Exemptions and Business Planning
As you go about your day-to-day work within your business, you might not be thinking about what will happen when it’s time for you to leave the company. However, recent changes in the gift tax laws have created a window of opportunity that could allow you to transfer more of your business interests for less tax liability than at any other time in history. (more…)
As a doctor, you know that prevention is the best medicine. You encourage your patients to eat their greens, to exercise, and to make healthy decisions. Physical health is important; but so is another kind of health. As a CPA, I help physicians to stay financially healthy. While there’s no “apple a day” to keep the IRS away, there are some preventative steps that you can take to maximize your financial well-being. (more…)
Did you know that research shows that young men and women today will likely have more spouses than children? Unfortunately, that could have a huge impact on your family business. (more…)
Your accountant can help your business get financing in a number of ways.
Preparing documents. Lenders want to receive financial information in a specific format, and also want year-end and interim financial statements on a timely basis. Your accountant can help. (more…)
One day, I received a call from a client whose husband had been hospitalized for a couple of weeks. He had mentioned that he thought a tax payment was due that day. She did not know how to make that payment, or if it needed to be paid. We worked things through, but learned a valuable lesson: she realized she doesn’t know much about the family finances. (more…)
It may not be the most romantic Valentine’s Day conversation, but financial planning is an important part of starting your marriage on solid financial footing. After all, married couples fight over personal finances more than they fight over anything else. (more…)
As the Duke and Duchess of Cambridge settle into married life, they may manage many of the same financial issues that any other newlyweds face with a new union. So, what if William and Kate got married in the United States instead? What financial advice might they receive that soon-to-be brides and grooms might also heed? (more…)