One-person 401(k) plans can provide a valuable source of retirement savings for successful entrepreneurs. Given the right circumstances, such plans allow large contributions on behalf of a business owner and maintain flexibility for making contributions in future years. For 2015, a business owner can make an elective deferral contribution of up to $18,000 (and an [...]
CORPORATE ANNUAL MEETINGS ARE IMPORTANT Generally, one of the requirements for maintaining a corporation’s existence (and the liability protection that it affords) is that the shareholders and Board of Directors must meet at least annually. Although most people view this requirement as a necessary evil, it doesn’t have to be a waste of time. For [...]
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 [...]
AVOIDING PENALTIES ON IRA WITHDRAWALS BEFORE AGE 59 ½ IRA owners can withdraw money from their account at any time and for any reason because the owner is in total control of this account. Most withdrawals from traditional IRAs will be at least partially taxable. To add insult to injury the taxable portion of a [...]
IRS PHONE SCAM WARNING The IRS has issued a warning about a pervasive phone scam. The Treasury Inspector General for Tax Administration (TIGTA) called it the largest scam of its kind. It has received reports of over $20,000 contacts related to this scam, and thousands of victims have paid over $1 million to fraudsters claiming [...]
TAXING A CHILD’S INVESTMENT INCOME Some children who receive investment income are required to file a tax return and pay tax on at least a portion of that income (and possibly at the parents’ marginal tax rate). This is often referred to as the kiddie tax. The kiddie tax cannot be computed accurately until the [...]