On June 3rd, the Senate passed the Paycheck Protection Program Flexibility Act.  The bill now awaits the president’s signature.  The bill includes some much needed changes that will help businesses and organizations utilize the funds to meet their needs.  The covered period is now extended to 24 weeks, up from the original 8 week period.The covered period is now extended to December 31,...

With all the uncertainty surrounding the current economy, it is more important than ever to understand your cash flow needs. You may be utilizing a monthly forecast, but it is important to now use a weekly forecast as events are changing rapidly. Why 13 weeks? While 13 weeks is one quarter, it is also long enough to make strategic decisions while being short enough to provide higher accuracy. The forecast ...

No matter how long you’ve owned your business, you probably feel comfortable relying on the methods that have served you well in the past, like doing your own bookkeeping. But when it comes to accounting, it pays to outsource. Keeping your own financial records takes a lot of time, especially if you use Excel or other tools that require tedious hours of manual input. Whether you handle your accounting...

One of the changes made to the tax laws by the Tax Cuts and Jobs Act (TCJA) was to disallow a tax deduction for qualified transportation fringe benefits businesses provide to their employees.  This nondeductible expense has been dubbed the “Parking Lot Tax”. Items subject to disallowance as a Qualified Transportation Fringe benefits (QTFs) include: Parking expensesCommuter vehicle transport...

Companies with large amounts of tax depreciation could be impacted greatly. Background and Basics of the Business Interest Deduction Limitation As part of the new tax law (Tax Cuts and Jobs Act), there is a new interest limitation for businesses with gross receipts greater than $25 million (*see more details of this limitation below). This was effective for tax years starting after December 31, 2017....

I’m a plan sponsor, now what? A retirement plan can be a great way to attract new employees and offer a benefit to existing employees, but it comes with certain responsibilities. If your company or organization sponsors a retirement plan, you have certain fiduciary responsibilities as the plan sponsor. But, let’s get to know ERISA first. The Employee Retirement Income Security Act of 1974 (ERIS...

As a company grows it more than likely will need to hire employees and pay those employees wages.  An employer that pays wages has a responsibility to pay payroll taxes and report those taxes to the IRS on quarterly and annual forms.  This post will look specifically at Federal Unemployment Tax (FUTA) taxes and ways businesses can attempt to reduce their future FUTA tax liability. Anyone who ...

On September 24, 2019, the Department of Labor (D.O.L.) issued a Final Rule that updates regulations related to wage and hour (i.e. overtime) rules.  Although these regulations were updated on December 2016, those 2016 changes were subsequently invalidated by a Federal court. The effective date of this new Final Rule is January 1, 2020.  What has changed, and what does this mean for employers...

Are you a small employer and wondering if you can provide your employees with a standalone health reimbursement plan which is compliant with the Affordable Care Act (ACA)? A Qualified Small Employer Health Reimbursement Arrangement (QSEHRA) may be the answer. What is a QSEHRA? A QSEHRA is a health reimbursement plan for businesses with less than 50 full-time equivalent employees.  Under a QSEHRA ...

Has your business invested in any capital assets in 2019, or are you considering adding any depreciable assets in the current year? The good news is the Section 179 depreciation deduction for business property is back for 2019 as an effective tax savings strategy. The election has long provided a tax windfall to businesses, enabling them to claim immediate deductions for qualified assets, instead of taking...