Category Archives: Financial Planning

A Direct Way to Save Time and Money

January 2, 2018 | Accounting Standards, Business Plans, Financial Planning

The term direct deposit does not apply to payroll only. This can be a time and money saving service to businesses in other ways too. What about the checks written for expense reimbursements or commissions? For a corporation, how about depositing the dividend checks of shareholders into the bank accounts of their choice? Today, it’s  Continue Reading »

Manage Debts to Protect Bottom Line

December 26, 2017 | Accounting Standards, Business Plans, Financial Planning

Most small business owners realize that paying company debts is just as important as collecting accounts receivable and that these debts need just as much management. What business owners may not realize is that they can actually have a surprising amount of control over how and when company debts are paid, giving some advantages. First,  Continue Reading »

Bad Debt Losses: Can You Deduct Loans Gone Bad?

December 22, 2017 | Business Plans, Court Rulings, Debt & Financing, Financial Planning, IRS Regulation, Tax Planning, Tax Preparation

When individual taxpayers claim deductions for bad debt losses, the IRS is always skeptical. Why? Losses from purported loan transactions often fail to meet the tax-law requirements for bad debt loss deductions. For example, a taxpayer might try to write off a capital contribution to a business entity that underperformed. Or a taxpayer might have  Continue Reading »

Retirement Account Catch-Up Contributions Can Add Up

December 11, 2017 | Financial Planning, IRS Regulation, Tax Planning, Tax Preparation

You can currently make extra “catch-up” contributions to certain types of tax-favored retirement accounts if you are age 50 or over. Over time, these contributions can make a significant difference in your retirement-age wealth. What about tax reform? After President Trump and other lawmakers stated that they wouldn’t tinker with retirement plan contribution tax breaks,  Continue Reading »

When Goodwill Takes Center Stage

December 6, 2017 | Financial Planning, Valuations

According to the International Glossary of Business Valuation Terms, goodwill is defined as: “That intangible asset arising as a result of name, reputation, customer loyalty, location, products, and similar factors not separately identified.” The remainder of value after subtracting identifiable tangible and intangible assets is goodwill. So when a business is valued under either the  Continue Reading »

Year-End Business Tax Planning Strategies in Light of Tax Reform

December 1, 2017 | Business Plans, Debt & Financing, Financial Planning, IRS Regulation, Tax Planning, Tax Preparation

There’s still time to take steps to significantly reduce your Maine business’s 2017 income tax bill and possibly lay the groundwork for tax savings in future years. Here are five year-end tax-saving ideas to consider, along with proposed tax reforms that might affect your tax planning strategies. 1. Juggle Income and Deductible Expenditures If you  Continue Reading »

Open Enrollment: Sign Up for Tax-Smart Benefits Before the Deadline

November 22, 2017 | Financial Planning, IRS Regulation, Tax Planning, Tax Preparation

November is open enrollment season at most Maine offices. Have you signed up for employer-provided benefits for 2018? Because it’s uncertain how tax reform legislation that could be enacted soon will change the tax rules starting in 2018, benefits enrollment is a little trickier this year. Some employer-provided benefits might be repealed. But there are  Continue Reading »

Consider a Phased Retirement Program for Your Employees

November 20, 2017 | Business Plans, Financial Planning

Many employers in Maine believe their employees expect to work past age 65. A recent survey by the Transamerica Center for Retirement Studies states that one reason for staying on the job longer is that so many older workers experience a shortfall of retirement savings. Another is that many employees don’t want to go cold turkey on  Continue Reading »

Recent Incidents Fuel Concerns over Breach Response

November 6, 2017 | Accounting Standards, Business Plans, Financial Planning, Fraud Prevention

Could your data be hacked? Unfortunately, every organization is vulnerable to cyberattacks today. There are plenty of examples. In September, Equifax reported a data breach that exposed the credit histories and other information of 145.5 million Americans. Shortly thereafter, the Securities and Exchange Commission (SEC) reported a hacking incident that occurred in 2016. Individuals and lawmakers  Continue Reading »

How to Save Tax with an Installment Sale

October 30, 2017 | Business Plans, Financial Planning, IRS Regulation, Tax Planning, Tax Preparation

Considering selling real estate in Maine before the end of the year? Most likely you hope to entice a qualified buyer who has plenty of cash on hand. But being open to the idea of an installment sale may help you seal the deal, and fortunately, installment sales also offer tax savings for sellers. Here’s how  Continue Reading »