How to position your business for recovery the right way.
How do we navigate our way through the economic turmoil? How do we ensure that our businesses continue to perform well and provide us with the ability to enjoy a full and rich life outside the workplace? How do we ensure that our businesses will in fact prosper, or at least be positioned to prosper, in the future?
Any number of reasons can lead to a meeting with a Certified Public Accountant (CPA). It might be your first meeting if you have a new business or if you need assistance with your personal finances and don’t want to use your company’s CPA.
Maybe you’re one of those individuals who meet regularly with a CPA, but you don’t feel satisfied with how things are going, so you’re interviewing replacements.
Read on for tips on how to achieve a win/win meeting.
Do you need a succession plan?
c. Maybe, probably, who knows
d. Meh, don’t bother me, I’m busy
Should an accountant have a role in your succession plan if you decide to implement one?
c. Maybe, probably, who knows
d. Meh, what does an accountant have to do with who succeeds me
Simply put, succession planning is preparing your company for changes. It’s usually thought of as training individuals to fill leadership roles, but it also includes transferring ownership of your business. It’s a process with both long-term and short-term facets.
You can probably name more than one company that’s no longer in existence because it didn’t adapt to change. Big companies must evolve just as much as small companies do. Markets change. Key employees leave. Regulatory agencies always have new or different rules. Your business goals aren't the same as when you began.
Unless you have a crystal ball, you can’t know precisely what impending changes, if any, will affect your company. You might see changes coming, but you can't predict their impact. Part of your succession planning involves calculating the probabilities of certain occurrences and how to survive them.
Depending on a variety of factors, you may have an accountant or CPA on staff, or you may be a client of an outside accounting firm. In either case, you want a professional who welcomes your questions. If you receive answers that are full of jargon or feel like you’re being patronized, then you may need to change accountants.
You’ll find a selection of suggested questions in this article, not all of which need to be asked repeatedly. Change the frequency of your questions and topics to suit your needs. The first two questions are generally more applicable to an accountant you’re considering hiring, but they may be appropriate to clarify matters with an accountant with whom you have an established relationship.
The simple answer is “no”, but there is more to know about the “no”. Let’s walk through the basics of amending a tax return.
If you discover an error after filing your taxes, you may need to amend your tax return. You should file an amended return if there's a change in filing status, income, deductions or credits. This is a reality as receipts are lost, records jumbled or the exclamation of: “I thought you kept that record.” It is more common than you might think to experience errors on a tax return since humans can easily misinterpret definitions of terms and expectations.
You can and should file an amended return if there is a change in filing status, income, deductions or credits.
Please note that the IRS may have already corrected mathematical or clerical errors on a return. They also may accept returns without certain required forms or schedules. In these instances, there is no need to file an amended return, but you can contact us, and we can help you amend your return.
If you use a car or other vehicle for your business, you may be able to deduct the expense of operating that vehicle on your taxes. Businesses generally can use one of the two methods to figure deductible vehicle expenses:
Professional architectural, engineering, railroad, and utility companies who perform work for government agencies are generally required to have an independently audited overhead rate. You calculate this rate by dividing total allowable indirect expenses over direct labor but getting to this step and optimizing this result involves some effort.
It might seem as you're jumping through hoops to satisfy a regulatory body, but that's only partially true. If you're working in this space, your livelihood and success depend on your ability to be fully reimbursed for your eligible costs and make the right decisions on future contracts. These are just a few of the reasons why understanding and optimizing your overhead rate are vital.
It is literally true that you can succeed best and quickest by helping others to succeed.” - Napoleon Hill
Choosing any professional for a job is never easy. Most people don't know exactly what design engineers do, and they certainly don't know how to judge how competent they are.
But your potential clients might one day need the services of an A/E firm (don't leave out professional services firms) and wonder how they'll be able to choose the best one. While experience and skill in the industry are understandably important, not being deliberate enough in this selection process can have serious ramifications.
Maybe a business chooses an A/E firm based on a recommendation, but there's no innovation or creativity. Or a selected design engineer lacks dedication to the project, leaving the client wishing they could ditch the contract for someone else.
How can a potential client see into the heart and mind of a design engineer professional whose work is done largely behind the scenes?
These are difficult scenarios, but not uncommon. How can a potential client see into the heart and mind of a design engineer professional whose work is done largely behind the scenes?
While past projects are one way to accomplish this, so is the right kind of work with nonprofits.
I have enough money to live comfortably for the rest of my life... If I die next Thursday.” - anonymous
I’ve been told , more times than once, “I do not plan to retire” or worse, “I have no plans to retire and I am not considering even thinking about retiring for the foreseeable future.”
But just because you will never retire, “never” does not mean you forget about goals and metrics to judge your success. And that is just what this article is about, The Earliest Possible, Maximally Strategic Date to Die
Your business is not perfect (whose is?) but your business needs you to make it at least perfect enough. How long do you need to hang on before you correct all of your “grave” errors? That is what you will learn below.
That’s right. Read on and when you are finished, you will have computed the number of months you must remain above ground.
But first, who is this dark dissertation not for?
The United States government spent $835 billion in contractual services in 2018, making it the world's largest employer for contract work. If you or your business can meet the government's requirements, you could end up with a healthy revenue stream. But every job has its pros and cons, and government contracting is no different.
Whether you choose to become a government contractor could involve a mixture of circumstance and personal preference. There are some who swear by this type of work and others who wouldn't touch a government job if offered one. Still, others have more government work than they can handle and long for something else.
While government contracting can be an excellent way to start or sustain a business, it's not without its downsides. As with any risk, you must evaluate all factors to determine if the reward is worth the effort. Here are some of the pros and cons of contracting with the government.
Following the most expansive tax law changes in 30 years, Treasury asked the IRS to look at ways to improve the 1040 filing experience. The IRS reviewed the set of 1040 forms (i.e. the Forms 1040, 1040EZ and 1040A) with the goal of simplifying this experience for taxpayers and its partners in the tax industry.
Treasury approved a new approach that provides flexibility in how IRS will be able to manage future changes to the Form 1040 and reduce the number of 1040 forms from which taxpayers must choose, to one basic Form 1040 that all taxpayers will use.
The 2018 Form 1040 replaces prior year Forms 1040, 1040A and 1040EZ.
Subscribe now and receive regular updates!