WHAT YOU NEED TO KNOW ABOUT REQUIRED HEALTH INSURANCE COVERAGE FOR 2014 Beginning in 2014, the individual shared responsibility provision of the Affordable Care Act (ACA) requires you and each member of your family to have qualifying health insurance (called minimum essential coverage), have an exemption, or pay a shares responsibility penalty with your 2014 [...]
DIVIDING IRAs TAX-FREE IN DIVORCE Generally, the division of property, including cash, between divorcing spouses has no immediate federal income or gift tax consequences. Such transfers are considered tax-free gifts between the spouses. However, the tax-free transfer rule does not apply to transfers of balances in IRAs. If an IRA owner withdraws funds from his [...]
TIPS FOR BUSINESSES THAT OUTSOURCE PAYROLL DUTIES Many employers outsource their payroll and related tax duties to third-party payers such as payroll service providers and reporting agents (often referred to as service bureaus). Reputable payable service bureaus can help employers streamline their business operations by collecting and timely depositing payroll taxes on the employer’s behalf [...]
TAXABLE TIP INCOME If you receive tips on the job from customers, you must include those tips in the computation of your tax liability, if any. This includes tips, directly from customers, tips added to credit cards, and your share of tips received under a tip-splitting agreement with other employees. The method for paying out [...]
DO YOU NEED TO ADJUST YOU FEDERAL INCOME TAX WITHHOLDING AMOUNT? With over half the year already gone, now is a good time to check to see if you are on track to have about the right amount of federal income tax withheld from your paychecks for 2014. The problem with not having the correct [...]
SOCIAL SECURITY AND MEDICARE UPDATE The annual inflation adjustments have been announced for the various social security amounts and thresholds, so we thought it would be a good time to update you for 2014. For social security beneficiaries under the full retirement age, the annual exempt amount increases to $15,480 in 2014, up from $15,120 [...]