Many small businesses start out as sole proprietorships. This business structure is relatively simple and inexpensive to establish and maintain. It also gives you direct access to your business profits without having to take formal distributions. However, being self-employed also means your taxes can be more complicated than they were when you were a W-2 […]
09/03/2026
Financial information is the foundation for every important business decision. Whether your goal is to improve cash flow, launch a new offering, hire additional workers or expand into a new market, accurate data enables you to make decisions confidently. A Padgett advisor can help prepare this data and ensure your business is poised to capitalize […]
09/03/2026
Tax problems can happen to even the most organized small business owners. A cash flow crunch, an unexpected tax notice, a missed filing deadline or a payroll tax oversight can be stressful — especially when penalties and interest begin to add up. Fortunately, businesses can get back on track by addressing tax issues promptly and […]
08/19/2026
Business owners today face no shortage of uncertainty. Persistent inflation, evolving trade policies, cybersecurity threats and ongoing geopolitical tensions have made planning challenging. Although it’s impossible to predict every disruption, you can better prepare by evaluating how your business would respond under adverse conditions. One proven approach is stress testing, which helps organizations identify vulnerabilities […]
08/04/2026
Whether you’re launching a start-up, expanding into different markets, developing a new product or pursuing a business acquisition, attracting investors requires more than a good idea. Investors want to see a compelling opportunity supported by solid financials and a realistic growth plan. One of the most effective ways to communicate all of this is with […]
07/29/2026
One of the first decisions you’ll make when starting a business is choosing a legal structure. The entity you choose affects how your business is taxed, your personal liability, and how your business operates. If you’re starting a business with one or more partners, two popular options are a multimember LLC taxed as a partnership […]
07/28/2026
Running a business requires juggling countless responsibilities. Not surprisingly, bookkeeping tasks often end up on the bottom of to-do lists. The good news is that falling behind doesn’t necessarily mean your financial records are beyond repair. With a disciplined approach and the right support, you can regain control. Recognize the issue Many business owners don’t […]
07/09/2026
Strategic planning isn’t meant to be a one-time exercise. Your plan should evolve with your business — and the environment in which it operates. Regular reviews help ensure your business remains focused on the right priorities and positioned to take advantage of new opportunities. Even if you can’t find time for extensive “big picture” thinking, […]
07/09/2026
If you’re self-employed, every legitimate tax deduction matters. Yet many business owners leave money on the table simply because they aren’t aware of all the expenses they can deduct or aren’t sure what qualifies. Whether you’re a sole proprietor, freelancer, consultant, contractor, or side hustler, here’s a straightforward overview of how business deductions work and […]
06/18/2026
Many business owners assume they know whether they’re a “small business.” After all, if you’re running a local company with a small team, it probably feels pretty obvious. But when it comes to taxes, the government doesn’t use a single definition of a small business. In fact, qualifying as a small business for tax purposes […]
06/04/2026
Inflation may not be making headlines every day, but many small business owners are still feeling its effects. Higher costs for supplies, inventory, payroll, utilities, and other operating expenses can make it harder to maintain healthy profit margins and plan for the future. While inflation rates can rise and fall over time, waiting for costs […]
06/02/2026
When most people hear “identity theft,” they think about stolen Social Security numbers or personal tax refunds. But small businesses are targets too. Cybercriminals can use your business’s Employer Identification Number (EIN), payroll information, or tax filings to commit fraud. And unfortunately, many business owners do not realize something is wrong until the IRS rejects […]
05/12/2026
Even if selling your business isn’t on your radar right now, it’s still worth thinking a few steps ahead. The right buyer won’t just look at your numbers—they’ll look at how your business fits into their bigger picture. One smart way to grow today and stay flexible for the future? A strategic partnership. What does […]
05/06/2026
So, you’re starting your own business. That’s a big deal. Most people take this step for the same reason. More control, more freedom, and the chance to build something of their own. And that’s all true. But what doesn’t get talked about enough is the behind-the-scenes work, especially when it comes to finances and taxes. […]
04/20/2026
If you run your business as a C corporation, putting money into your company isn’t just a formality; it can directly impact how much you pay in taxes later. Most owners don’t think twice about this. They just move money into the business when it’s needed. But how you categorize that money—as a loan or […]
04/01/2026
If you used a vehicle for your business during 2025, you may be able to claim valuable tax deductions on your 2025 tax return. Many small business owners use their personal vehicle for work. Whether that’s driving to client meetings, picking up supplies, or traveling between job sites. The IRS allows businesses to deduct certain […]
03/10/2026
If you operate your business as a partnership, an LLC taxed as a partnership, or an S corporation, your business is considered a “pass-through” entity for federal tax purposes. In simple terms, that means: The business itself generally does not pay federal income tax. Instead, profits, losses, deductions, and credits pass through to the owners. […]
02/25/2026
If your business has loans — whether for equipment, vehicles, real estate, or operating expenses — you’re probably deducting the interest you pay. That’s a good thing. Business interest is generally tax-deductible. However, there are limits on how much you can deduct each year. A new law (the OBBBA) changes how limits work for taxable […]
02/24/2026
If your business is set up as an S corporation, you’re already enjoying some great tax advantages. But here’s something many business owners don’t realize: it’s surprisingly easy to accidentally lose your S corp status — and with it, thousands of dollars in tax benefits. The good news? With the right guidance from your Padgett […]
02/10/2026
Mark your calendar: February 2, 2026 is a critical tax deadline for your business. Normally, businesses must send out certain tax forms by January 31. But since that date falls on a Saturday this year, the deadline moves to the next business day—which happens to be Groundhog Day! What’s Due on February 2? Here’s what […]
01/29/2026
Tax season is approaching, and it’s time to gather your business expense records for 2025. But figuring out what you can actually deduct isn’t always straightforward. The Basic Rule The IRS doesn’t give you a specific checklist of deductible expenses. Instead, they use a simple principle: you can write off expenses that are both “ordinary […]
01/29/2026
A new year brings many new tax-related figures for businesses. Here’s an overview of key figures for 2026. Be aware that exceptions or additional rules or limits may apply. Depreciation-related tax breaks Bonus depreciation: 100% Section 179 expensing limit: $2.56 million Section 179 phaseout threshold: $4.09 million Qualified retirement plan limits 401(k), 403(b) and 457 plan deferrals: $24,500 401(k), 403(b) and 457 […]
01/20/2026
It’s not a pleasant question, but it’s one every business owner needs to answer. If you got seriously ill, were in an accident, or faced any emergency that kept you away from your business, who would step in? Who knows where everything is? Who has access to your accounts? If you’re drawing a blank, you […]
12/23/2025
Good news first: If you’re scrambling to figure out new tax forms for 2025, take a breath. Nothing changes this year for your W-2s or 1099s. The catch? You need to start preparing now for 2026, when some significant reporting changes kick in. At Padgett, we’re already tracking these changes so you don’t have to […]
12/22/2025
If you own commercial real estate for your business, you’ve probably heard that certain building improvements can be deducted much faster than the typical 39-year depreciation schedule. That’s great news—but here’s what many business owners don’t realize: maximizing your deductions in year one isn’t always the smartest tax move. At Padgett, we help business owners […]
12/09/2025
At Padgett, we’ve been fielding a lot of questions from business owners about recent changes to clean energy tax incentives. The bottom line? Many of these valuable tax breaks are ending much sooner than expected, but you still have time to take advantage of them if you act now. What changed? The One Big Beautiful […]
12/08/2025
At Padgett, we’re big believers in year-round tax planning, but we also know that December can still offer valuable opportunities to lower your 2025 tax bill. If you’re looking for smart moves to make before year-end, here are six strategies we often discuss with our small business clients: 1. Consider postponing invoices. If you use […]
12/03/2025
If you want to grow your business, you don’t always need to buy another company or take on outside investors. Sometimes the best way to increase revenue is through what you already have — your team, your customers, and your everyday operations. That’s what organic sales growth is all about. At Padgett, we work with […]
11/05/2025
Artificial intelligence (AI) isn’t just for tech giants anymore. If you run a small to midsize business, AI can help you work smarter—whether that’s streamlining day-to-day operations, improving how you serve customers, or spotting new opportunities for growth. But here’s the thing: simply buying the latest AI tool won’t automatically deliver results. To really make […]
10/21/2025
If you’re a small business owner running a sole proprietorship or partnership, you’ve probably noticed how much self-employment (SE) tax can eat into your income. The good news? There may be a way to lower that bill — by switching your business to an S corporation (S corp). At Padgett, we work with many business […]
10/07/2025
When you’re starting or restructuring a business, one of the first big decisions is choosing your business entity. This choice affects how you pay taxes, the amount of paperwork you’ll deal with, and the level of protection for your personal assets. In this post, we’ll focus on the tax side of things (for legal liability […]
09/29/2025
Running a small business is more than serving customers or delivering great work. What happens behind the scenes — especially how you manage your records — can make a big difference in your financial health and your taxes. Good recordkeeping isn’t just about being organized. It can mean the difference between keeping valuable deductions or […]
09/24/2025
If tips are a regular part of your income, there could be some welcome news on the horizon. A leaked Treasury Department list shows 68 occupations that may qualify for a new tax deduction on tips, ranging from food service workers and entertainers to personal care professionals and even digital content creators. While the final […]
09/15/2025
If you’ve ever felt buried under piles of 1099 forms at tax time, we have fantastic news. The new One Big Beautiful Bill Act just gave small business owners like you a major break by significantly reducing your 1099 filing requirements. The big change: From $600 to $2,000 Starting in 2026, you’ll only need to […]
09/02/2025
The Qualified Business Income (QBI) deduction has been a big win for many small business owners since it first showed up in 2018. In simple terms, it lets eligible business owners deduct up to 20% of their business income on their taxes. That’s a pretty powerful way to lower your tax bill. And thanks to […]
08/23/2025
If you earn tips or work overtime, 2025 could bring significant tax savings. New legislation allows qualifying workers to deduct up to $25,000 of tipped income and up to $12,500 of overtime pay ($25,000 for married couples filing jointly) for tax years 2025-2028. But here’s the catch: the rules are more complex than they appear, […]
08/13/2025
At Padgett, we’ve seen too many small business owners lose valuable deductions simply because they didn’t document their expenses properly. The IRS loves to take a close look at certain business deductions—especially meals, vehicle expenses, and home office costs. Why? Because these are the areas where business owners most often make mistakes or don’t keep […]
08/05/2025
Good news for small business owners! The One Big Beautiful Bill Act (OBBBA) has made it much easier and more profitable to write off your business equipment and property purchases. These changes could put thousands of dollars back in your pocket. Here’s what your Padgett team wants you to know about these opportunities. The Big […]
07/24/2025
On July 4, 2025, the One Big Beautiful Bill Act (OBBBA) was signed into law. While the name may be lighthearted, the changes it introduces to the tax code are anything but. With a mix of favorable and less favorable updates for small business owners, it’s important to stay informed—and that’s where your Padgett advisors […]
07/15/2025
If your business spends money on research and development, tax changes that went into effect in 2022 may have affected your tax situation. Proposed legislation could modify these rules. Here’s what business owners should know. What Changed in 2022 Before 2022, businesses could deduct research and development expenses immediately in the year they were incurred. […]
07/01/2025
If you own a C corp or S corp, getting your salary right isn’t just about paying yourself fairly—it’s about staying on the IRS’s good side. Pay yourself too much or too little, and you could face penalties, back taxes, and interest charges. Why Your Salary Matters to the IRS The IRS watches business owner […]
06/20/2025
If you’re planning a business trip this summer—whether it’s to meet clients, attend a seminar, or check on operations in another city—some of your travel expenses may be tax deductible. Understanding which costs qualify can help you save money and stay compliant with IRS rules. Who can deduct travel expenses? If you’re self-employed or run […]
06/04/2025
Some tax mistakes can be costly—but one of the most serious is not turning over the federal income and payroll taxes you’ve withheld from your employees’ paychecks. If your business fails to do this, the IRS can hold you personally responsible, even if you’re not the owner. This is done through something called the Trust […]
05/13/2025
If you’re a small business owner, you’ve likely gotten advice about using technology to run your business better. One term that might’ve come up is “tech stack.” It sounds technical, but it’s actually something every business—big or small—should understand. So, what is a tech stack? Your tech stack is all the digital tools and software […]
05/06/2025
Let’s be honest: financial statements aren’t exactly fun reading for most business owners. But they’re incredibly important. When you understand them, they can help you make smarter decisions and grow a stronger business. Here’s a quick breakdown to the three main financial statements you need to know: 1. The Balance Sheet: Your Business Snapshot The […]
04/28/2025
Running a business is hard enough without worrying about payroll taxes. But staying on top of them is key—mess-ups can lead to big fines and frustrated employees. Here are six simple tips to help you stay compliant and keep things running smoothly. 1. Keep your records organized Tracking hours, wages, and taxes might not be exciting—but it’s essential. When everything is neatly recorded, you’ll know you’re paying the right amount and can handle any questions from the IRS or your state with less stress. 2. Know what you need to withhold There are a few key taxes to keep in mind: Federal income tax: Employees fill out Form W-4 to tell you how much to withhold. Use IRS tax tables […]
04/16/2025
Businesses constantly face new challenges—shifting customer expectations, evolving technology, and increased competition. Some changes can be managed with small adjustments, but in certain cases, a larger, more strategic shift is necessary. This is known as a business transformation, and when done right, it can position your company for long-term success. What is a business transformation? A business transformation is a deliberate change in how a company operates to improve efficiency, profitability, or competitiveness. The scope can vary—from adjusting internal processes to completely overhauling the company’s direction. Some common types of transformations include: Digital transformation – Implementing new technology to improve operations and customer experiences. Operational transformation – Streamlining workflows, restructuring teams, or revising processes to increase efficiency. Structural transformation – […]
03/20/2025
Thinking about the future of your business is important—whether you’re planning to retire, step back, or just want a safety net in case something unexpected happens. Having a solid succession plan helps protect what you’ve built and ensures a smooth transition. Here are five options to consider, along with key tax implications. 1. Passing your business to family Many small business owners want to keep their company in the family. You can do this by selling it to a family member, gifting it, or a mix of both. Tax considerations: Gift tax: If you give part of the business as a gift, the IRS may apply a gift tax. The good news? You can gift up to $19,000 per person (as […]
03/20/2025
If you’re starting a business with partners, choosing the right legal structure is a critical step. An S corporation (S corp) might be a great option, offering tax benefits and liability protection. But is it the right fit for your business? Here’s what you need to know. Liability Protection: A Key Advantage One of the biggest benefits of an S corp over a partnership is that it protects shareholders from being personally responsible for business debts. To maintain this protection, you’ll need to: Ensure the corporation is properly funded, Keep the corporation as a separate legal entity, and Follow state requirements, such as filing articles of incorporation, adopting bylaws, electing a board of directors, and holding regular meetings. Managing Early […]
03/12/2025
If you run a business from home, you may be able to claim a tax deduction that lowers your taxable income. However, it’s important to understand the IRS rules to ensure compliance and avoid potential audit risks. There are two ways to claim this deduction: the actual expense method and the simplified method. Here’s what you need to know. Who qualifies for the Home Office Deduction? You may qualify for this deduction if you use part of your home regularly and exclusively as your principal place of business. Even if your home is not your main place of business, you may still be eligible if: You regularly meet with clients, customers, or patients in your home office. You use part […]
02/27/2025
If your business employs staff who receive tips—such as in restaurants, hotels, or salons—it’s crucial to understand and comply with tax regulations regarding tip income. Here’s a straightforward guide to help you navigate these responsibilities. Are Tips Tax-Free? There have been discussions about eliminating taxes on tips, but as of now, no legislation has been enacted. Therefore, tips remain taxable, and businesses must adhere to existing IRS guidelines. What Qualifies as a Tip? A tip is a voluntary payment from a customer to an employee. Tips can be: Cash Tips: Direct payments from customers, including those distributed through electronic means or tip-sharing arrangements. Noncash Tips: Items of value other than cash, like tickets or passes. For a payment to be […]
02/18/2025
Every year, tax-related limits that affect businesses are adjusted based on inflation. In 2025, many of these limits are increasing, though at a slower pace due to cooling inflation. Here are some key updates that may impact your business. Key Tax Deductions for 2025 Section 179 Expensing: Deduction limit: $1.25 million (up from $1.22 million in 2024) Phaseout threshold: $3.13 million (up from $3.05 million) Expensing limit for heavy vehicles: $31,300 (up from $30,500) Standard Mileage Rate for Business Use: 70 cents per mile (up from 67 cents) Qualified Business Income Deduction (Sec. 199A) Phaseouts Begin At: Married filing jointly: $394,600 (up from $383,900) Other filers: $197,300 (up from $191,950) Retirement Plan Contribution Limits 401(k) Plans: Employee contribution limit: $23,500 […]
02/12/2025
The 2025 tax season is here, and an important deadline is just around the corner! If you run a business, make sure you’re prepared to submit necessary tax forms to the federal government and provide them to workers by January 31, 2025. Here’s what you need to know: Forms You Need to File 1. Form W-2 (Wage and Tax Statement) This form reports the wages you paid and taxes withheld for each employee during the year. It must be provided to employees and filed with the Social Security Administration (SSA). The IRS stresses the importance of filing Form W-2 accurately and on time, as it affects employees’ Social Security and Medicare benefits. 2. Form W-3 (Transmittal of Wage and Tax […]
01/29/2025
Did you know that some of the transportation costs you and your employees incur for your business might help you save on taxes? Here’s a simple breakdown to help you understand how local transportation deductions work. What counts as “local transportation”? Local transportation refers to travel near your main workplace that doesn’t involve being away long enough to require sleep or rest. Your “tax home” is the city or area where your business is based. This is different from long trips or business travel, which have separate tax rules. Commuting costs: What’s not deductible Here’s the bad news: the costs of commuting between your home and your regular work location aren’t deductible. That’s true even if you’re catching up on […]
01/14/2025
So, how are your sales looking for next year? It’s not just a question for your sales team—it’s something that will be helpful to you, as a business owner. Sales forecasting is the process of estimating your future sales, and doing it well can help you manage your business’s finances more effectively. Why Sales Forecasting is Important Sales forecasting helps you estimate how much money your business will make in a certain period, based on both data and input from your team. The better you forecast, the more control you have over your business’s financial health. A good sales forecast helps you set realistic goals, plan your budget, and allocate resources. It can even help you spot potential problems before […]
01/02/2025
The tax rules surrounding business-related meal and entertainment expenses have evolved over recent years, leaving many business owners unsure about what can be deducted. Here’s a simplified guide to help you navigate these rules for 2024. What’s Allowed Entertainment Costs The Tax Cuts and Jobs Act eliminated deductions for most entertainment expenses. For example, if you take a client out for a round of golf or a football game, those costs are not deductible. Food and Beverage Costs You can still deduct 50% of the cost of food and beverages when they’re related to your business or consumed during business-related entertainment. Food and Beverage Costs: What’s Included? Food and beverage expenses cover anything from meals to snacks, including sales tax, […]
12/09/2024
Running your own business is exciting, but it also comes with responsibilities—like managing your self-employment (SE) taxes. If you’re feeling overwhelmed by the numbers, here’s a quick breakdown of how SE taxes work and tips to manage them. What Is the Self-Employment Tax? SE tax covers Social Security and Medicare contributions for self-employed individuals, replacing the payroll taxes typically withheld from employees’ paychecks. Rate: It’s 15.3% of your net self-employment income. 12.4% goes to Social Security (up to a limit). 2.9% goes to Medicare (with no limit). 2024 Threshold: The 15.3% rate applies to your first $168,600 of net income. Anything above that only gets the 2.9% Medicare rate. How Do I Calculate My SE Tax? Here’s a quick formula: […]
11/26/2024
Accurate financial statements are essential for understanding your business’s financial health. But as your business grows, financial transactions can become more complex, and preparing these statements properly isn’t always straightforward. One area that often trips up business owners is the statement of cash flows. This report shows where your cash is coming from and where it’s going. Simple, right? Not always! Ensuring cash flows are classified correctly can be a challenge, especially when following U.S. Generally Accepted Accounting Principles (GAAP). Here’s a breakdown to help you make sense of it all: What Are the Three Types of Cash Flows? 1. Operating Activities This section shows the cash your business generates or uses during its normal operations. Think of it as […]
11/20/2024
With 2025 on the horizon, business owners should be aware of important updates to the Social Security wage base that may impact payroll costs. Starting in 2025, the maximum income subject to Social Security tax will rise to $176,100 (up from $168,600 in 2024). For high-earning employees, this means higher payroll taxes—so it’s a good time to plan ahead. Here’s a clear breakdown of what this change could mean for your business and how to navigate it. Understanding FICA: Social Security & Medicare Taxes The Federal Insurance Contributions Act (FICA) requires employers, employees, and self-employed individuals to contribute to Social Security and Medicare. Here’s how it works: Social Security Tax: Only income up to the wage base limit ($176,100 in […]
11/12/2024
The IRS has been ramping up its audit efforts, targeting large corporations and high-income individuals. By 2026, audit rates for corporations with over $250 million in assets are set to nearly triple. Additionally, partnerships with assets above $10 million will face a tenfold increase in audits. This initiative, funded by the Inflation Reduction Act, is part of a broader IRS strategy to focus on wealthier entities and noncompliant high-dollar returns. Are Small Businesses Affected? For most small businesses and individuals earning less than $400,000, audit rates are unlikely to increase. The IRS’s priority remains on more complex returns involving wealthier taxpayers. For instance, taxpayers who use business aircraft for personal travel are under added scrutiny, as only business-related flights can […]
10/29/2024
Running a partnership or LLC comes with its own set of tax rules, and making sure your business complies with federal tax law is essential. Here are five important areas to cover when drafting your partnership or LLC operating agreements: 1. Guaranteed Payments to Partners Guaranteed payments are made to partners for services or capital, regardless of the partnership’s income. They should be clearly outlined in your agreement since they are treated as ordinary income and have specific tax implications. Be sure to define these payments to avoid surprises at tax time. 2. Accounting for Tax Basis from Partnership Liabilities Partners can benefit from additional tax deductions by including their share of the partnership’s liabilities in their tax basis. Different […]
10/20/2024
The U.S. job market has largely stabilized since the historic disruption of the pandemic and the unusual fluctuations that followed. But the fact remains that employee retention is mission-critical for businesses. Retaining employees is still generally less expensive than finding and hiring new ones. And strong retention is one of the hallmarks of a healthy employer brand. One role that’s been historically challenging to retain is salesperson. In many industries, sales departments have higher turnover rates than other departments. If this has been the case at your company, don’t give up hope. There are ways to address the challenge. Lay out the welcome mat For starters, don’t focus retention efforts only on current salespeople. Begin during hiring and ramp up […]
10/15/2024
Fraud is a pernicious problem for companies of all shapes and sizes. One broad type of crime that seems to be thriving as of late is invoice fraud. In the second quarter of 2024, accounts payable software provider Medius released the results of a survey of 1,533 senior finance executives in the United States and United Kingdom. Respondents reported that their teams had seen, on average, 13 cases of attempted invoice fraud and nine cases of successful invoice fraud in the preceding 12 months. The average per-incident loss in the United States was $133,000 — which adds up to about $1.2 million annually. Typical schemes Invoice fraud can be perpetrated in various ways. Among the most common varieties is fraudulent billing. In […]
10/11/2024
To help ensure continued stability and profitability, businesses need to engage in some form of strategic planning. A recent survey by insurance giant Travelers drives home this point. In its 2024 CFO Study: A Travelers Special Report, the insurer surveyed 610 chief financial officers (CFOs) from companies with 500 or more employees in various industries. One of the questions posed was: What are the most valuable skills needed by today’s CFOs? One might assume their answers would relate to being able to crunch numbers or understand complex regulations. But the top skill, coming from 62% of respondents, was “Strategic planning for future company success and resiliency.” 5 critical skills Along with being somewhat surprising, the survey result begs the question: Which leadership skills, […]
10/09/2024
Now that Labor Day has passed, it’s the perfect moment to start planning your year-end tax strategy. Taking proactive steps now can help lower your small business taxes for both this year and next. One effective method is to defer income and accelerate deductions. This means you might want to shift some expenses into this year while holding off on income to reduce your tax bill. Are You Expecting a Higher Tax Bracket Next Year? If you think you’ll be in a higher tax bracket next year, consider reversing your strategy. You might pull income into 2024 when rates are lower and delay deductible expenses until 2025 to offset that higher income. Here are Some Quick Tips to Save on […]
09/25/2024
Big changes to business taxes could be on the way, depending on the results of the upcoming presidential and congressional elections. A key reason for this is a tax law that will expire in about 17 months, and how lawmakers in Washington choose to handle it could impact your taxes. The Tax Law Background In 2018, the Tax Cuts and Jobs Act (TCJA) introduced major changes to small business taxes. Many of these changes will expire on December 31, 2025. As that date approaches, you might be wondering how it will affect your business’s federal taxes. The truth is, it’s still uncertain. The two major political parties have different ideas on how to move forward with the expiring provisions. What […]
09/18/2024
Every business needs a budget, but not every budget looks the same. Some companies have intricately detailed ones, others rely on simple templates generated with off-the shelf software, and still others forego formal budgets in favor of a “fly by the seat of your pants” approach. (That last option isn’t recommended.) Because budgeting is such an essential part of running a business, it’s easy to take for granted. You may fall into a routine that, over time, doesn’t keep up with your company’s evolving needs. To identify areas of improvement, here are six key elements of a business budget and some best practices to consider: 1. Current overview. You may think you’ve created a sound budget, but its usefulness will be […]
09/11/2024
A strong brand can help boost revenue, while a weaker one may reduce sales opportunities and stifle growth. Like many business owners, you’ve probably spent considerable time and energy crafting your company’s brand. Doing so has likely involved coming up with a memorable business name and logo, communicating with customers in a distinctive manner, and, above all, building a strong reputation in your market. So, how’s all that going? Although your bottom line can certainly tell you a thing or two about the current success of your business, brand strength can be a little trickier to put a finger on. That’s why many companies conduct brand audits — essentially, formal reviews of a brand’s efficacy and market standing. Data to […]
09/04/2024
Building your business is more than just knowing key financial terms; it’s about understanding how to apply them effectively. As you embark on the journey of growing your business, you’ll find that applying your financial literacy knowledge becomes crucial, especially when you find yourself needing to know your financial standing, creating a budget, and establishing tax strategies tailored to your business needs. With advice from a Padgett firm owner and CPA and with testimonials from small business owners like you, you’ll see how financial literacy plays a crucial role in: Mastering cash flow and budgeting Implementing effective pricing strategies Enhancing negotiating and decision-making skills Strategic tax planning Making informed investment decisions Through real-world examples and expert guidance, you’ll gain a […]
08/31/2024
If you’re running a business or investment activities with others, you’ve likely heard of partnerships or multi-member LLCs (limited liability companies). These business structures are popular because of the federal tax benefits they offer, like pass-through taxation. However, they also come with some complex tax rules you need to consider. What Are Governing Documents? In a partnership, the partnership agreement is the key document that outlines the roles and responsibilities of each partner. Similarly, in an LLC, the operating agreement does the same for its members. These documents are crucial because they should include important tax-related information. Here are some things to keep in mind when creating them. Understanding Partnership Taxes In a partnership, the business itself doesn’t pay federal […]
08/27/2024
Most businesses have a website today, but the IRS hasn’t provided clear rules on when these costs can be deducted. However, general tax rules can help guide you on how to treat these expenses. Here’s what you need to know: Tax Differences Between Hardware and Software Hardware Costs To run a website, you might need hardware like servers or computers. The cost of these items can be deducted over time, according to standard tax rules. For 2024, you can deduct 60% of the cost in the first year under the “bonus depreciation” rule. The bonus depreciation rate was 100% for property placed in service in 2022 and was reduced to 80% in 2023, 60% in 2024 and it will continue […]
08/19/2024
Financial literacy is the cornerstone of effective business management and a key driver of success for small business owners. Understanding financial concepts and their practical applications can mean the difference between thriving and merely surviving in today’s competitive business landscape. From grasping essential financial terms to making informed decisions about pricing, investments, and tax strategies, financial literacy touches every aspect of running a successful business. As we delve into the key findings from our Financial Literacy for Small Business Owners whitepaper, you’ll discover how enhancing your financial knowledge can lead to better cash flow management, more effective negotiations, and ultimately, sustainable growth for your business. The Importance of Financial Literacy At its core, financial literacy empowers you to understand and […]
08/01/2024
When the leadership teams of many companies engage in strategic planning, they may be inclined to play it safe. And that’s understandable; sticking to strengths and slow, measured growth are often safe pathways to success. But substantial growth — and, in some industries, just staying competitive — calls for innovation. That’s why, as your business looks to the future, be sure you’re creating an environment where you and your employees can innovate in ways big or small. Encourage ideas It’s sometimes assumed that innovation requires limitless resources or is solely the province of those in technical or research roles. But every department, from accounting to human resources, can come up with ways to work more efficiently or even devise a […]
07/24/2024
Controlling costs is fundamental for every business. But where and how to address this challenge can change over time based on various economic and logistical factors. Earlier this year, global consultancy Boston Consulting Group published a report entitled The CEO’s Guide to Costs and Growth. Within it were the results of a survey of 600 C-suite executives that found, among other things, cost management was a top priority for respondents heading into 2024. According to the survey, three of the top categories for cost-cutting initiatives were: 1. Supply chain / manufacturing. Not every company incurs manufacturing costs, but most have a supply chain. Costs and delays in this area soared during the pandemic because of global disruptions and backups. Since then, some sense […]
07/17/2024
If you’re selling property used in your trade or business, you should understand the tax implications. There are many complex rules that can potentially apply. To simplify this discussion, let’s assume that the property you want to sell is land or depreciable property used in your business, and has been held by you for more than a year. Note: There are different rules for property held primarily for sale to customers in the ordinary course of business, intellectual property, low-income housing, property that involves farming or livestock, and other types of property. Basic Rules Net Gain: If you sell your property and make a profit, this profit is typically treated as a long-term capital gain if you’ve owned the property for […]
07/08/2024
With each passing year, as networked technology becomes more and more integral to how companies do business, a simple yet grim reality comes further into focus: The cyberattacks will continue. In fact, many experts are now urging business owners and their leadership teams to view malicious cyberactivity as more of a certainty than a possibility. Why? Because it seems to be happening to just about every company in one way or another. A 2023 study by U.K.-based software and hardware company Sophos found that, of 3,000 business leaders surveyed across 14 countries (including 500 in the United States), a whopping 94% reported experiencing a cyberattack within the preceding year. Creating a comprehensive strategy What can your small-to-midsize business do to protect itself? […]
06/25/2024
From the minute they open their doors, business owners are urged to keep a close eye on cash flow. And for good reason — even companies with booming sales can get into serious trouble if they lack the liquidity to compensate employees and pay their bills. Here are four ways businesses can better control cash flow. 1. Stick with the budget Although creating and maintaining a detailed annual budget can be tedious and contentious, it’s fundamental to good cash flow management. Items in your budget should align with your stated strategic goals for the year. If you can’t effectively argue how an item enables a particular goal, question its merit. Doing so will help you avoid unnecessary spending and keep […]
06/12/2024
Business owners are rightly urged to develop succession plans so their companies will pass on to the next generation, or another iteration of ownership, in a manner that best ensures continued success. Ideally, the succession plan you develop for your company will play out over a long period that allows everyone plenty of time to adjust to the changes involved. But, as many business owners learned during the pandemic, life comes at you fast. That’s why succession planning should best be viewed from three separate but parallel timelines: 1. Long term. If you have many years to work with, use this gift of time to identify one or more talented individuals who share your values and have the aptitude to successfully […]
05/29/2024
No matter how carefully and congenially you run your business, customer disputes will likely happen from time to time. Some of the complaints may be people looking to negotiate a discount, “game the system” or even outright defraud you. But others could be legitimate complaints arising from mistakes on your company’s part, technological glitches or, perhaps worst of all, fraudulent actions by a third party. Whatever the case may be, you can protect your business’s reputation and even strengthen its brand by creating and maintaining an effective customer dispute resolution process that includes eight key features: 1. Easily accessible channels of communication. Post easy-to-find and clearly written directions on your website, social media accounts and other channels detailing how customers can report problems, suspected […]
05/13/2024
There are several financial and legal implications when adding a new partner to a partnership. Here’s an example to illustrate: You and your partners are planning to admit a new partner. The new partner will acquire a one-third interest in the partnership by making a cash contribution to the business. Assume that your basis in your partnership interests is sufficient so that the decrease in your portions of the partnership’s liabilities because of the new partner’s entry won’t reduce your basis to zero. More complex than it seems Although adding a new partner may appear to be simple, it’s important to plan the new person’s entry properly to avoid various tax problems. Here are two issues to consider: 1. If […]
05/06/2024
When you encounter the word “pivot,” you may think of a politician changing course on a certain issue or perhaps a group of friends trying to move a couch down a steep flight of stairs. But businesses sometimes choose to pivot, too. Under a formal pivot strategy, a company consciously changes its strategic focus in a series of carefully considered and executed moves. Obviously, this is an endeavor that should never be undertaken lightly or suddenly. But there’s no harm in keeping it in mind and even exploring the feasibility of a pivot strategy under certain circumstances. 5 common situations For many businesses, five common situations often prompt a pivot: 1. Financial distress. When revenue streams dwindle and cash flow slows, it’s critical […]
04/24/2024
If your company has been in business for a while, you may not pay much attention to your payroll system so long as it’s running smoothly. But don’t get too complacent. Major payroll errors can pop up unexpectedly — creating huge disruptions costing time and money to fix, and, perhaps worst of all, compromising the trust of your employees. For these reasons, businesses are well-advised to conduct payroll audits at least once annually to guard against the many risks inherent to payroll management. Here are seven such risks to be aware of: 1. Inaccurate recordkeeping. If you don’t keep detailed and accurate records, it will probably come back to haunt you. For example, the Fair Labor Standards Act (FLSA) requires businesses to […]
04/19/2024
If you follow the news, you’ve probably heard a lot about artificial intelligence (AI) and how it’s slowly and steadily expanding into various aspects of our lives. One widely cited example is ChatGPT, an AI “chatbot” that can engage in conversations with users and create coherently written articles, as well as other content, when prompted. ChatGPT and other similar chatbots are what’s known as “generative” AI. The operative word there refers to software that’s able to generate new content based on input from users and existing data either inputted during development or gathered from the internet. Along with college students and the curious, more and more businesses are joining the ranks of generative AI users. Research and advisory firm Gartner surveyed more […]
04/16/2024
Here are some of the key tax-related deadlines that apply to businesses and other employers during the second quarter of 2024. Keep in mind that this list isn’t all-inclusive, so there may be additional deadlines that apply to you. Contact us to make sure you’re meeting all applicable deadlines and to learn more about the filing requirements. April 15 If you’re a calendar-year corporation, file a 2023 income tax return (Form 1120) or file for an automatic six-month extension (Form 7004) and pay any tax due. For corporations, pay the first installment of 2024 estimated income taxes. Complete and retain Form 1120-W (worksheet) for your records. For individuals, file a 2023 income tax return (Form 1040 or Form 1040-SR) or […]
04/09/2024
If your small business is strapped for cash (or likes to save money), you may find it beneficial to barter or trade for goods and services. Bartering isn’t new — it’s the oldest form of trade — but the internet has made it easier to engage in with other businesses. However, if your business begins bartering, be aware that the fair market value of goods that you receive in these types of transactions is taxable income. And if you exchange services with another business, the transaction results in taxable income for both parties. Fair market value Here are some examples of an exchange of services: A computer consultant agrees to offer tech support to an advertising agency in exchange for […]
03/25/2024
The qualified business income (QBI) deduction is available to eligible businesses through 2025. After that, it’s scheduled to disappear. So if you’re eligible, you want to make the most of the deduction while it’s still on the books because it can potentially be a big tax saver. Deduction basics The QBI deduction is written off at the owner level. It can be up to 20% of: QBI earned from a sole proprietorship or single-member LLC that’s treated as a sole proprietorship for tax purposes, plus QBI from a pass-through entity, meaning a partnership, LLC that’s treated as a partnership for tax purposes or S corporation. How is QBI defined? It’s qualified income and gains from an eligible business, reduced by […]
03/13/2024
Businesses basically have two accounting methods to figure their taxable income: cash and accrual. Many businesses have a choice of which method to use for tax purposes. The cash method often provides significant tax benefits for eligible businesses, though some may be better off using the accrual method. Thus, it may be prudent for your business to evaluate its method to ensure that it’s the most advantageous approach. Eligibility to use the cash method “Small businesses,” as defined by the tax code, are generally eligible to use either cash or accrual accounting for tax purposes. (Some businesses may also be eligible to use various hybrid approaches.) Before the Tax Cuts and Jobs Act (TCJA) took effect, the gross receipts threshold […]
02/29/2024
When launching a small business, many entrepreneurs start out as sole proprietors. If you’re launching a venture as a sole proprietorship, you need to understand the tax issues involved. Here are nine considerations: 1. You may qualify for the pass-through deduction: To the extent your business generates qualified business income, you’re currently eligible to claim the 20% pass-through deduction, subject to limitations. The deduction is taken “below the line,” meaning it reduces taxable income, rather than being taken “above the line” against your gross income. However, you can take the deduction even if you don’t itemize deductions and instead claim the standard deduction. Be aware that this deduction is only available through 2025, unless Congress acts to extend it. 2. […]
02/13/2024
The Employee Retention Tax Credit (ERTC) was introduced back when COVID-19 temporarily closed many businesses. The credit provided cash that helped enable struggling businesses to retain employees. Even though the ERTC expired for most employers at the end of the third quarter of 2021, it could still be claimed on amended returns after that. According to the IRS, it began receiving a deluge of “questionable” ERTC claims as some unscrupulous promotors asserted that large tax refunds could easily be obtained — even though there are stringent eligibility requirements. “We saw aggressive marketing around this credit, and well-intentioned businesses were misled into filing claims,” explained IRS Commissioner Danny Werfel. Last year, in a series of actions, the IRS began cracking down […]
02/05/2024
As part of the SECURE 2.0 law, there’s a new benefit option for employees facing emergencies. It’s called a pension-linked emergency savings account (PLESA) and the provision authorizing it became effective for plan years beginning January 1, 2024. The IRS recently released guidance about the accounts (in Notice 2024-22) and the U.S. Department of Labor (DOL) published some frequently asked questions to help employers, plan sponsors, participants and others understand them. PLESA basics The DOL defines PLESAs as “short-term savings accounts established and maintained within a defined contribution plan.” Employers with 401(k), 403(b) and 457(b) plans can opt to offer PLESAs to non-highly compensated employees. For 2024, a participant who earned $150,000 or more in 2023 is a highly compensated employee. Here are some more details of this new type of account: The portion of the account balance attributable to participant contributions can’t exceed $2,500 (or a lower amount determined by the plan sponsor) in 2024. The $2,500 amount will be adjusted for inflation in future years. Employers can offer to enroll eligible participants in these accounts beginning in 2024 or can automatically enroll participants in them. The account can’t have a minimum […]
01/26/2024
The so-called “kiddie tax” can cause some of a child’s unearned income to be taxed at the parent’s higher marginal federal income tax rates instead of at the usually much lower rates that a child would otherwise pay. For purposes of this federal income tax provision, a “child” can be up to 23 years old. […]
01/24/2024
If you’re an employer with a business where tips are routine when providing food and beverages, you may qualify for a federal tax credit involving the Social Security and Medicare (FICA) taxes that you pay on your employees’ tip income. Credit fundamentals The FICA credit applies to tips that your staff members receive from customers […]
01/17/2024
Effective January 1, 2024, the Corporate Transparency Act (CTA) initiated a new era of disclosure and transparency for businesses. This legislation, geared towards combating financial crimes and enhancing national security, holds significant implications for small business owners. In this article, we will delve into the purpose of the Corporate Transparency Act (CTA), explore who needs […]
01/10/2024
If you’re interested in selling commercial or investment real estate that has appreciated significantly, one way to defer a tax bill on the gain is with a Section 1031 “like-kind” exchange. With this transaction, you exchange the property rather than sell it. Although the real estate market has been tough recently in some locations, there are […]
01/08/2024
The optional standard mileage rate used to calculate the deductible cost of operating an automobile for business will be going up by 1.5 cents per mile in 2024. The IRS recently announced that the cents-per-mile rate for the business use of a car, van, pickup or panel truck will be 67 cents (up from 65.5 cents for […]
01/03/2024
The holiday season is here. During this festive season, your business may want to show its gratitude to employees and customers by giving them gifts or hosting holiday parties. It’s a good time to review the tax rules associated with these expenses. Are they tax deductible by your business and is the value taxable to […]
12/11/2023
One of the most appreciated fringe benefits for owners and employees of small businesses is the use of a company car. This perk results in tax deductions for the employer as well as tax breaks for the owners and employees driving the cars. (And of course, they enjoy the nontax benefit of using a company car.) […]
12/11/2023
If you have a tax-saving flexible spending account (FSA) with your employer to help pay for health or dependent care expenses, there’s an important date coming up. You may have to use the money in the account by year-end or you’ll lose it (unless your employer has a grace period). As the end of 2023 […]
12/08/2023
Is your business depreciating over 30 years the entire cost of constructing the building that houses your enterprise? If so, you should consider a cost segregation study. It may allow you to accelerate depreciation deductions on certain items, thereby reducing taxes and boosting cash flow. Depreciation basics Business buildings generally have a 39-year depreciation period […]
11/28/2023
The IRS recently announced various inflation-adjusted federal income tax amounts. Here’s a rundown of the amounts that are most likely to affect small businesses and their owners. Rates and brackets If you run your business as a sole proprietorship or pass-through business entity (LLC, partnership or S corporation), the business’s net ordinary income from operations […]
11/20/2023
If you’re fortunate to have an employer that offers a 401(k) plan, and you don’t contribute to it, you may wonder if you should participate. In general, it’s a great tax and retirement saving deal! These plans help an employee accumulate a retirement nest egg on a tax-advantaged basis. If you’re thinking about contributing to […]
11/09/2023
If you’re planning to start a business or thinking about changing your business entity, you need to determine what will work best for you. Should you operate as a C corporation or a pass-through entity such as a sole-proprietorship, partnership, limited liability company (LLC) or S corporation? There are many issues to consider. Currently, the corporate federal […]
11/06/2023
Are employees at your business traveling and frustrated about documenting expenses? Or perhaps you’re annoyed at the time and energy that goes into reviewing business travel expenses. There may be a way to simplify the reimbursement of these expenses. In Notice 2023-68, the IRS announced the fiscal 2024 special “per diem” rates that became effective […]
11/01/2023
The Social Security Administration recently announced that the wage base for computing Social Security tax will increase to $168,600 for 2024 (up from $160,200 for 2023). Wages and self-employment income above this threshold aren’t subject to Social Security tax. Basic details The Federal Insurance Contributions Act (FICA) imposes two taxes on employers, employees and self-employed […]
10/26/2023
Perhaps you’ve been in this situation before: You have a financial emergency and need to get your hands on some cash. You consider taking money out of a traditional IRA or 401(k) account but if you’re under age 59½, such distributions are not only taxable but also are generally subject to a 10% penalty tax. […]
10/24/2023
As a small business owner, managing your finances is crucial to ensuring the success and growth of your venture. One of the most effective ways to optimize your financial strategy is by understanding and leveraging the various tax deductions available to you. By taking advantage of these deductions, you can significantly reduce your tax liabilities, […]
09/29/2023
When properly claimed, the Employee Retention Credit (ERC) is a refundable tax credit designed for businesses and tax-exempt organizations that continued to pay their employees while experiencing work force disruptions due to the COVID-19 pandemic. Unfortunately, the intricate filing process associated with this credit inadvertently created an opportunity for corrupt specialty firms to prey on […]
09/26/2023
Being a solo entrepreneur or independent contractor has its perks – flexible schedules, creative freedom, and the ability to be your own boss. However, it also comes with its fair share of responsibilities, particularly when it comes to managing your finances and taxes. Self-employed individuals are generally treated as independent contractors, which include freelancers, gig […]
09/18/2023
As a small business owner, juggling various responsibilities is a given. From managing day-to-day operations to overseeing marketing strategies, your plate is undoubtedly full. However, amidst all these tasks, one aspect that deserves your undivided attention is accounting. Proper financial management is the cornerstone of a successful business, and avoiding common accounting mistakes can save […]
08/24/2023
As a small business owner, the term “tax audit” might strike fear into your heart, conjuring images of auditors poring over your financial records with a fine-tooth comb. While tax audits can be intimidating, understanding the process, being proactive in your tax compliance, and knowing how to respond can help ease the stress. In this […]
08/16/2023
Social media is ubiquitous. We stay connected to friends, keep family updated, and even get our news from social media. It can often feel like a “personal” thing though. By its name alone, it seems like something for after-business hours. Right? In this modern online world though, social media is an important tool for small […]
06/30/2023
Financial literacy: “the knowledge and skills that give you the ability to manage your finances, including budgeting and investing” Financial literacy is the key to successful money management and the reduction of financial stress. Yet many people struggle with financial literacy, to the point that the National Financial Educators Council (NFEC) estimates that financial illiteracy cost the […]
06/07/2023
If you or your child is graduating this year, you’re likely caught up in a swirl of pomp and circumstance. You may be thinking about ordering regalia, planning grad parties, taking senior photos or what the next step in continuing education may be. But graduating comes with some implications for your taxes and finances as […]
06/01/2023
Especially since the passing of the Inflation Reduction Act that provided $80 billion in funding to the IRS, many small business owners have been concerned about the possibility of having their finances audited. While most of the funds are dedicated to improving taxpayer services, it is true that some of the funding will be used […]
05/10/2023
Each May and June, millions of teenagers begin their search for a summer job. Before hiring teens for any summertime help, it’s a good idea to be aware of the Federal and State laws governing youth in the workplace. The Fair Labor Standards Act (FLSA) youth employment provisions are designed to protect young workers by […]
05/09/2023
There’s a saying that everyone should have three hobbies: one to keep you in shape, one to keep you creative, and one to make money. Many people have found hobbies that make money. In fact, a 2019 survey found that 27% of full-time workers have monetized their hobbies. Another 55% said they would like to […]
04/17/2023
April is Financial Literacy Month, and improving financial literacy may be more important than ever. With recent legislative changes to retirement plans, proposed student debt relief in question, and expiring COVID relief measures, it’s crucial for Americans to understand what’s going on with their finances. What is financial literacy? Financial literacy is the ability to […]
04/13/2023
With the recent passing of the SECURE 2.0 Act of 2022, you may have questions about the different types of Individual Retirement Accounts (IRAs) available. How do you choose what retirement plan is right for you? IRAs are a powerful tool for retirement savings. They are savings plans that come with tax advantages to help […]
04/06/2023
The tax deadline is now less than a month away! But if you aren’t ready, don’t worry. It’s not too late to request more time to file. Here’s what you need to know about filing an extension: What does filing an extension mean? If you need more time to file an accurate and complete federal […]
03/21/2023
While many of us are hoping to have a payday when our tax refunds arrive, if you owe taxes, you may find that April 15th is the wrong kind of “pay day.” If you’re struggling to pay your taxes this year, here’s what you need to know.? 1. File your return or extension by the […]
03/17/2023
Have you already filed your 2022 tax return? If so, you may have noticed that your refund is lower than it was in 2020 or 2021. As we return to the “new normal” after the COVID-19 pandemic, many tax credits and deductions from the last two years are no longer available in tax year 2022. […]
03/09/2023
How do you show your employees you appreciate their hard work? If you choose to give your staff gifts or throw them a party, remember that only certain types of gifts are tax deductible. Here’s a quick overview of?some employee gift options to help you show your appreciation: Employee Gifts: The IRS doesn’t recognize non-cash […]
03/03/2023
If you’re married, you may not be aware of your tax filing options and assume that filing a return jointly with your spouse is the only choice available to you. In fact, married taxpayers can file separate returns. It’s tricky, though. There are specific situations where filing separately makes sense, and other times where it doesn’t. It’s important to choose the right method, because once you file jointly, you can’t amend your return to filing separately.
There are no rules of thumb on when it makes sense for married taxpayers to file separately. Although in most cases, filing jointly will produce the most beneficial results, tax law has grown so complex that a great number of factors need to be considered. So what’s the real difference between the two options?
02/16/2023
When filing mistakes can be costly, it’s understandable that tax time can be stressful if trying to handle your finances on your own. This time of year can be especially difficult if you’re dealing with issues like Seasonal Affective Disorder, as wintry weather can add extra stress. So, how do you manage stress to stay […]
02/08/2023
There are a host of tax deductions available to self-employed individuals that can generate real savings when filing your tax return. As you prepare to file your 2022 taxes, here are a few deductions you should be mindful of: Home office expenses: If you’re using an area of your home regularly and solely for business, you may be able to deduct expenses for […]
02/01/2023
With tax filing season starting this month, it’s time to think about how you’ll be filing your taxes. If you choose to have someone prepare your tax return, it’s important to choose wisely. You’re trusting this person with your financial information and depending on them to prepare your tax return accurately so that you don’t […]
01/17/2023
If you want your business to succeed, you’ve likely started to set your goals for the new year. Maybe you want to increase your revenue, hire more staff, or renovate your shop or office. Maybe, on a more personal level, you want to have more days off or decrease the hours you’re working to improve your […]
01/12/2023
It’s hard to believe that 2022 is already coming to an end! We’ve covered a lot of tax tips in the past year. Here’s a quick recap of some topics you may need to discuss with your tax advisor and some tips for how best to prepare for that discussion: Make sure you check your […]
12/29/2022
As we prepare for the new year, many businesses are considering changing their payroll partner in 2023. Outsourcing your payroll services can offer some much-needed?flexibility. That means you can focus on your customers while also providing the right attention and care for your employees. Finding the right payroll partner means finding someone who will make […]
12/13/2022
Who doesn’t love opening a present this time of year? Spreading that holiday cheer through a gift to your employees and customers is a great way to get in a festive spirit and thank them for their hard work. Remember that only certain types of gifts are tax deductible, so make sure you follow the […]
12/09/2022
Bette Jeppson’s business-ownership story began at home in 1973, when the oldest of her three children was ready to begin education, leading her to open her first Carden School in Colorado. After serving five years as director of the school, Mrs. Jeppson’s story moved to Tucson, Arizona. “People kept asking me when we would open […]
12/01/2022
What you need to know about car buying after the Inflation Reduction Act Although most of the media attention surrounding the passage of the Inflation Reduction Act on August 16 focused on the additional $80 billion in funding provided to the IRS, the Act also contained other pieces of important legislation. For example, the IRA included […]
11/29/2022
How to manage payroll with remote employees The past few years have significantly changed the way many of us work. The U.S. census estimated that that the number of remote employees more than tripled between 2019 and 2021, and Upwork estimates that 36.2 million Americans will work remotely by 2025. It’s clear that remote employees […]
11/21/2022
If you’re thinking about hiring new staff ahead of the holiday rush, or you’re reworking existing staff, you’ve likely run into the issue of deciding whether you should treat them as a contractor or an employee. How do you choose what’s best for your business? The difference between a contractor and an employee First, it’s important […]
11/10/2022
Anyone who has had family members on their staff likely knows working with relatives comes with plenty of pros and cons—for both your relationships and your payroll taxes. We talked to Sam Pelner, EA and vice president of Padgett Lakeville, who has worked with his father, Steve, for years. Here’s his advice for making it […]
11/02/2022
With Black Friday, Small Business Saturday, and Cyber Monday only a few weeks away, now is the time to review and assess your preparations for the largest retail weekend in the U.S. Whether you run a brick-and-mortar business or are strictly online, this weekend is likely to be one of the busiest times of the […]
11/01/2022
Jarin Jaffee’s background was as an educator and administrator in private schools, but after getting involved with Profile by Sanford, he pivoted to a new way of helping people improve their lives. He joined the health and weight loss program in 2018, and in 2019, he opened the Toledo Profile location. “I lost 35 pounds, […]
10/25/2022
If you’re one of the 45 million Americans with student loan debt, you’re probably aware of President Biden’s proposed plan for student loan forgiveness. On August 24, the Biden administration announced their Student Debt Relief Plan, which would offer forgiveness of up to $10,000 for most Americans, and up to $20,000 for Pell Grant recipients. […]
10/12/2022
Mental health is a major concern in today’s world, with millions of people across the country struggling with increasing levels of anxiety, depression, and other mental illnesses. Business owners are especially at risk, with Forbes reporting that more than 40% of business owners are struggling with burnout and their mental well-being. If you’re feeling like […]
10/10/2022
Right now, your accounts are full of data that can help you understand the overall performance of your business. You probably know that, but do you feel like you’re taking advantage of those insights? If understanding your day-to-day expenses and income and calculating your profit feels hard to navigate, it likely means you need to […]
10/06/2022
Whether your summertime employees are leaving or you’re thinking ahead to hiring extra help for the holiday season, it’s important to make sure you have a proper plan in place for when your seasonal workers say goodbye. Check in with your accountant or tax professional. It’s a good idea to meet with your accountant […]
10/04/2022
When Gail Emrick became the Executive Director of the Southeast Arizona Health Education Center in 2008, she knew she had a tough act to follow. After the prior director passed away, Gail said, “Her life’s work passed to me. I felt the pressure to take over since she had done so well.” But after serving […]
09/29/2022
With the Consumer Price Index rising at the fastest rate in decades, inflation is a major concern for many Americans—especially business owners. According to Bank of America, 88% of business owners reported that their business has been hit by inflation, and 68% are responding by raising prices. Let’s say a product usually costs you […]
09/20/2022
With summer ending, many of us are now back in school. For students who are heading off to a college or university, this transition can take a lot of preparation. Whether you’re a parent or a student yourself, you may be wondering what tax breaks are out there for those who incur out-of-pocket costs for […]
09/06/2022
Even before the Senate voted to pass the Inflation Reduction Act (IRA) on August 7, rumors were flying online about what the bill included and what effect it would have on Americans, especially those with businesses or side jobs. Though the bill includes provisions to reduce the deficit, institute price limits on prescription medications and […]
08/16/2022
Recently, Padgett CEO Jeff Phillips and President Roger Harris had the opportunity to visit Truist Park to sit down and chat with Atlanta Braves president and CEO Derek Schiller. We’re so excited for this chance to discuss sports and business with the leader of the oldest continuously operating professional sports franchise in America. “When you think […]
08/09/2022
While Zoom meetings can start to wear thin, removing the daily commute is a huge bonus afforded to those small business owners who are or who have already transitioned from a physical location to a permanent work-from-home setup. Generally, the cost of travel between your home to your main workplace is a non-deductible commuting expense. […]
08/03/2022
With wedding season peaking between May and October, many newlyweds will soon be settling into their lives together. No matter when you choose to say “I do” if you get married anytime on or before the last day of the year, you’re considered married for the entire year in the eyes of the IRS. So, […]
07/19/2022
With billions of users worldwide, social media is an almost inescapable part of life. If you’re like 70% of Americans, you probably use at least one social media site regularly, and time spent on social media is at an all-time high. But what about using social media for your business? As small business owners ourselves, […]
06/29/2022
I’ve found that many struggles businesses face come from having the wrong mindset. We can’t move forward when we’re too focused on what we’ve already done. We need to think less about the past and more about the future. We need to think less about efficiency and more about value. And we need to change […]
06/27/2022
As a head chef and former Top Chef contestant, Maria Mazon is familiar with challenging situations. But when she opened BOCA Tacos y Tequila, Maria faced challenges she’d never experienced before. “I have been a chef for quite a while now, 20-something years, but I got woken up, really quickly, to how hard it is to […]
06/21/2022
Nothing is more frustrating than when you’re trying to meet an impending deadline and a distraction occurs, be it an unexpected visit from a customer or a sudden text message. Researchers at Michigan State University have revealed that an interruption as little as three seconds can double the amount of time it takes to complete […]
06/17/2022
Every company has a culture. Creating and maintaining a positive work culture is one of the most crucial tasks for any company. Research shows that companies with a strong culture significantly outperform companies without a foundation of shared values. A positive working environment will lead to increased productivity, higher morale for workers and help businesses retain […]
06/06/2022
Each June, millions of teenagers begin their search for a summer job. Before hiring any summertime help, it’s a good idea to be aware of the Federal and State laws governing youth in the workplace. The Fair Labor Standards Act (FLSA) youth employment provisions are designed to protect young workers by limiting the types of […]
05/26/2022
Although technology has revolutionized the way we do business, there are still situations where it’s necessary for a face-to-face meeting with staff, management, or customers. With a little planning for the current vacation season, you can mix some leisure time in with your business travel and still get a tax deduction. Deductible Travel Expenses If […]
05/25/2022
Traditional accounting services are not meeting the needs of business owners. In fact, when I was talking with a CEO recently, he told me, “I’m going to fire my accountant.” When I asked why, he said: “Accountants see in red and black. They do my numbers, and they don’t tell me what to do about […]
05/24/2022
With rising temperatures, thunderstorms typically become more and more common in the summer season—as well as more and more unpredictable. Lightning, heavy wind and rain can result in physical damage to your property, and power outages can wreak havoc on electronic files. If you want to help safeguard your personal and business assets from unexpected […]
05/17/2022
If you or your child is graduating this year, you’re likely caught up in a swirl of pomp and circumstance. You may be thinking about ordering regalia, planning grad parties, taking senior photos or what the next step in continuing education may be. But graduation comes with some implications for your taxes and finances as […]
05/12/2022
There’s no doubt that running a business drains you both physically and mentally. As a business owner, you’re often focused on the health of your business. May is Mental Health Awareness Month, so now is a great time to pause and take stock of your own health—especially your mental condition. Forbes reported that most business owners […]
05/06/2022
For Adam and Tommy Waller, starting a business was not part of the plan. Both brothers work other jobs: Adam is a physical therapist, and Tommy works in national security and in the Marine Corps. But when their mother presented a challenge at dinner one night, The Oyster Bed was born. “In a family tradition that we […]
04/29/2022
Financial literacy: “the knowledge and skills that give you the ability to manage your finances, including budgeting and investing” Financial literacy is the key to successful money management and the reduction of financial stress. Yet many people struggle with financial literacy, to the point that the National Financial Educators Council (NFEC) estimates that financial illiteracy cost the […]
04/28/2022
After 12 years living in Washington, D.C., a move to North Carolina led Dr. Tina Lepage to open her psychology and psychiatry practice, Lepage Associates. Though she now has three offices in Raleigh, Durham and Chapel Hill, starting a new business in a new city wasn’t easy at first. “It seemed like a curse to […]
04/22/2022
Unless you requested an extension, 2021 tax filing is finally over! Many taxpayers stop thinking about taxes as soon as they file and don’t worry about it again until the next April deadline is approaching. But this can make tax preparation more stressful than it needs to be and limits the ability of your tax […]
04/21/2022
Many of us like to get a big tax refund each year when we file our returns. In fact, the IRS reported that as of March 4, the average refund so far in 2022 was $3,401. It can be fun to get a few thousand dollars deposited into your account, but is that large refund […]
04/15/2022
Filing your taxes can be stressful for anyone but discovering an unexpected balance due can make it much worse. And while a surprise check in the mail in the form of a tax refund is more pleasant, you may still be left confused by why you’re being given this money. If you’re wondering why you […]
04/05/2022
Erin Wiley was a professional musical theatre actress for years, but finally decided it was time to find a new role: as a counselor and business owner. “After I raised my kids, I was looking for a meaningful second career,” Erin says. “I always had an interest in psychology, so I decided to pursue a […]
03/28/2022
Although the IRS extended the tax filing deadline in 2020 and 2021 due to COVID-19, they have no plans to extend again this year. Just because the government has decided not to extend the deadline this year doesn’t mean you can’t get more time! It’s not too late to request an extension of time to file. […]
03/18/2022
Have you been feeling lucky lately? Did you score some money in a casino or lottery? If so, with April’s tax deadline approaching, you may now be wondering how those winnings will affect your tax return. The IRS considers gambling income from lottery, horse races, raffles, and casino games as taxable income, including cash winnings […]
03/16/2022
While many of us are hoping to have a payday when our tax refunds arrive, if you owe taxes, you may find that April 18 is the wrong kind of “pay day.” This year marks the third COVID-era tax season, and millions of dollars in past refunds and pandemic relief credits have yet to reach the […]
03/11/2022
Spring is almost here with its longer days, warmer weather and budding plants. It typically conjures up ideas of renewal and happiness, but for many people, March and April bring stress and sickness instead. A 2014 Washington Post article on Google search trends suggested that people feel more stressed, anxious, and just plain miserable during the spring. […]
03/07/2022
Those fortunate enough to own a vacation getaway typically use their property exclusively for themselves. Others rent out their vacation homes for short periods to offset expenses. With the popularity of home-sharing apps like Airbnb and VRBO, many people now rent out space in their own homes for short periods of time. With spring vacations […]
03/01/2022
Throughout his varied career, making good food has been a constant for Kevin Garibaldi, owner of Garibaldi’s Catering and its companion restaurant, Garibaldi’s New Orleans Cuisine. Kevin began his career with a restaurant apprenticeship in Monterey, California. He was trained by chefs of the Monterey Bay Chefs’ Association in the 1980s at the Sardine Factory […]
02/23/2022
For some people, working with a significant other sounds like a nightmare, and it’s certainly true that it doesn’t come without its obstacles. But many couples find that the best business partner is also their life partner—as is the case for many Padgett owners across the country. Here’s their advice for making business co-ownership work […]
02/14/2022
If you’re married, you may not be aware of your tax filing options and assume that filing a return jointly with your spouse is the only choice available to you. In fact, you can file separate returns. It’s tricky, though. There are specific situations where filing separately makes sense, and other times where it doesn’t. […]
02/11/2022
If you choose to have someone prepare your tax return, it’s important to choose wisely. You’re trusting this person with your financial information and depending on them to report that information accurately to the IRS so that you don’t encounter penalties. But how do you know if your tax preparer is right for you or […]
02/01/2022
With electronic communication taking over, many of us don’t pay much attention to mail anymore. But tax time is coming, so this month, you’re likely to start seeing a lot of documents in the mail from the IRS. Do you know what the documents are and what you’ll need to keep? Here’s a guide for […]
01/28/2022
There are a host of tax deductions available to?self-employed individuals that can generate real savings?when filing your tax return.?As you prepare to file your 2021 taxes, here are a few deductions you should be mindful of:?? Home office expenses:?If?you’re?using an area of your home regularly and solely for business, you?may be able to?deduct expenses for a home […]
01/21/2022
As a social worker, Erik Gledhill didn’t originally plan on being a business owner. His journey to owning a pet store in Chico, California began at home — with his own dog. After noticing his dog’s dry skin issues, joint pain, and fatigue, Erik first turned to vets for help, but couldn’t get the answers […]
01/12/2022
What is a vision board? You may have heard vision boards mentioned before — they’re a popular goal-setting tool. Oprah is one of several celebrities to praise the method, and the research backs up their claim. Psychology Today researchers have found that visualization is a very powerful method for reaching your goals. Simply put, a […]
01/07/2022
As we prepare for the new year, many businesses are considering whether they should change their payroll services partner in 2022. Outsourcing your payroll services can offer some much-needed?flexibility so you can keep the focus on your customers, while also providing the right kind of attention and care for your employees.?? Finding the right payroll […]
12/22/2021
Work/life balance is a major consideration for 72% of people when job hunting. So, it’s no surprise that over two-thirds of small business owners consider the ability to set their own schedule and choose their own lifestyle to be their primary motivator for starting a business. Yet many entrepreneurs end up feeling like they don’t have enough […]
12/20/2021
At the end of the year, in the midst of all the celebrations, many of us are already looking ahead to the new year. We get excited about resolutions, goals and plans: ready for a “new year, new me.” For business owners, that goal setting becomes even more important. Aside from the typical focus on self improvement, your goals likely focus on improving your business — your […]
12/15/2021
After an exciting six years in the commercial aviation industry, including a stint in London, Liz Franz took the entrepreneurial leap and founded Altus Global Aviation. Altus supports the airline industry from the OEMs to the engine shops, distributors and even the airlines themselves. Their focus is CFM56 engines — the most widely used aircraft engine today. Altus buys and […]
12/02/2021
Last year, Congress enacted the Taxpayer Certainty and Disaster Tax Relief Act which featured several provisions designed to reward both individuals and businesses who donated to charity. Enacted in the throes of the pandemic and its immediate impact on the economy, these measures aimed to encourage people to give back to the non-profit groups and organizations working on […]
12/01/2021
Who doesn’t love opening a present this time of year? Spreading that holiday cheer through a gift to your employees and customers is a great way to get in a festive spirit and thank them for their hard work, especially during a challenging year. Remember that only certain types of gifts are deductible, so make […]
11/30/2021
We all know Veterans Day as a time to honor those who have served in the United States Armed Forces. But many veterans continue to serve their country when they arrive home in another way: by owning businesses. According to the Small Business Administration, veterans own 1 in 10 small businesses in the U.S. — totaling nearly 2.4 million businesses. At Padgett, we […]
11/11/2021
With Black Friday, Small Business Saturday, and Cyber Monday only a few weeks away, now is the time to review and assess your preparations for the largest retail weekend in the U.S. Whether you run a brick-and-mortar business or are strictly online, this weekend is likely to be one of the busiest times of the year. […]
11/05/2021
In the wake of the current economic climate, interest rates are falling, and that means the number of homeowners interested in refinancing is rising. As such, homeowners are wondering what kind of benefit refinancing may have on their taxes. If you’re thinking of refinancing, or have recently refinanced, here are some key considerations to keep […]
10/28/2021
In Padgett, Bridget Hallett found a “sounding board” to help her with big decisions When Bridget Hallett decided to start her marketing company, she viewed it as a potential resource to aid small businesses. She knew that most of them were serving a special niche with unique expertise and unrelenting passion, but they often had a difficult time getting their message out. Whether it was budget constraints or a […]
10/27/2021
Over the next two years, the IRS is implementing some dramatic changes to current filing requirements for Form W-2. The IRS will soon require small businesses with 10 or more employees to change the way they file these forms. If you have employees, you know how important correctly filing Form W-2 — also known as the […]
10/26/2021
It doesn’t matter if you’re a small business owner or an employee working at a large company, it’s important to have a retirement strategy in place to ensure you’ll be taken care of when your working days are behind you. There are several types of retirement plans to choose from, and knowing how to navigate the tax hurdles associated with each one is key. One of the […]
10/12/2021
From the wildfires in California to the destructive swath left in the wake of Hurricane Ida, we’ve all been reminded of the raw power of nature. Victims affected by hurricanes, earthquakes, flash floods, tornados and wildfires can see their most beloved, sentimental items wiped out in the blink of an eye. They also can experience the loss of important documents related to their business, personal finances and more. That’s why […]
09/30/2021
Reliable service and strategic advisory support endear Padgett to Lasinda and Jimmy Cranelli Lasinda and Jimmy Crane have been in the restaurant business for most of their lives, doing everything from waiting tables to running front-of-house operations for a popular national franchise. It’s been their passion for some time, and a little more than eight years ago they embarked […]
09/21/2021
The pandemic has pushed many businesses to the brink, putting enormous pressure on owners like you who worry about everything from the health and security of your employees to the ability to simply keep your doors open in the face of rising community case counts. Fortunately, you might be eligible for tax credits and other benefits that could allow your employees to get vaccinated or recover from a COVID-19 illness safely, easing your stress over your bottom line and preventing your workers from […]
09/15/2021
Third quarter estimated tax payments are due on Sept. 15, and whether you’re self-employed or a business owner with income from a Partnership or S-Corporation, you might be wondering if any of the pandemic relief programs will impact what you owe. As you probably know, estimated taxes are a way to pay tax on income that isn’t subject to withholding. Income from self-employment, interest, dividends, […]
09/08/2021
Rick Baarlaer and Marci Johannes were rewarded for placing their trust in Padgett Nearly five years ago, Rick Baarlaer and Marci Johannes had a dream of building a one-of-a-kind place where their community could gather together for some great food and a cold drink. Today, Mr. Boro’s Tavern in Springboro, Oh., is a testament to […]
09/02/2021
There’s no doubt the COVID-19 pandemic has ushered a time of rapid change. More than 35 percent of the eligible workforce in the U.S. is now part of the “gig economy,” and that number itself has grown 33 percent since the start of the pandemic. If you’re part of this group who’s eschewed permanent, full-time employment in lieu of short-term contract work, congratulations — you’re officially part of the gig […]
08/23/2021
With the economic challenges of the past 18 months and the start-and-stop impact of the pandemic, it’s important for small business owners like yourself to have a trusted advisor to help you thrive in today’s “new normal.” Today’s business environment can be, at best, described as uncertain. After being hit hard by the pandemic, small businesses need direction to understand how to better adapt to change. With the threat of COVID-19 still lingering, what should you focus on to stay viable and grow your business? Build a […]
08/17/2021
The Paycheck Protection Program (PPP) proved to be a vital lifeline for small businesses dealing with the perils of the pandemic. Initially launched in the early days of the pandemic, it has provided needed funds to help support payroll and other business functions. Businesses may be eligible to have their loan forgiven, and the time to apply for […]
08/11/2021
Butch Minkeyer finds peace of mind partnering with Padgett I have been using Padgett Business Services for 18 years. As a small business owner I have found their expertise to be invaluable. I employ them for annual tax services as well as weekly payroll for my businesses. Meena and the rest of the staff are very helpful and care […]
08/02/2021
Rochelle and Ron Roos turned to Padgett and found a lasting partner Rochelle Roos knew that she needed a change. “My husband and I were working in corporate America, and we spent more time flying and saying ‘goodbye’ at an airport — because I was going one way and he was going a different direction — than we did […]
07/29/2021
Even though summer may still be in full swing, schools across the country are starting to get ready to welcome students back to in-person learning. As a parent, you might welcome the return to the classroom after a year of remote learning, but do you know you might be able to enjoy some tax savings through a variety of programs and credits designed to assist with […]
07/14/2021
Are you a business owner who is torn between whether or not you still need an office in this post-pandemic world? Given that remote work and videoconferencing have given us new ways to communicate and get work done, it might make sense to take a closer look at your space needs. If your office is only partially full now on any given day, think through not only how much […]
07/12/2021
If you’re a mom or dad juggling the various expenses that come with raising your children, it might be hard to imagine passing on monthly infusions of cash. However, there’s more than meets the eye to the new Advance Child Tax Credit (ACTC) program. While the first round of payments is slated to go out to parents and guardians later this […]
07/09/2021
If you’re making plans for a return to the office in the coming weeks and months, you might hear from some of your employees who aren’t as excited as you are about getting back. That’s perfectly understandable, which is why it’s going to be important for you, as a small business owner, to craft a strategy for the return that both ensures your […]
06/22/2021
If you’re the owner of a restaurant, retail shop or hospitality venue, you’re probably turning the page on the restrictions from the COVID-19 pandemic and are now trying to keep up with a year’s worth of pent-up demand from eager customers. To meet this demand, you’re possibly looking at adding staff but may be finding it difficult to fill your open slots. From supercharged federal unemployment benefits […]
06/16/2021
If you’re a restaurant or food-service business owner who sought out financial assistance in 2020 because of the pandemic, you may have overlooked the Employee Retention Credit as a cash infusion source for your business. The good news is this tax break is still available through the end of 2021. Here’s what you need to know how the credit works for […]
06/13/2021
Padgett franchisees share their thoughts on the post-pandemic world The COVID-19 pandemic turned our world upside down, and questions about what comes next are everywhere: What changes are here to stay? Is inflation on the way? Will the tight labor market start to ease up? We surveyed 50 PADGETT BUSINESS SERVICES® local franchise owners to better understand what their small business clients are telling them about life […]
06/10/2021
With plans to help continue the company’s push to explore, adopt and deploy the latest in technology that benefit its franchisees and serve its clients, Amanda Aguillard, CPA has joined PADGETT BUSINESS SERVICES® as the company’s new Chief Operating Officer (COO). An acclaimed leader in the accounting industry, she’ll be tasked with providing operational and logistical guidance for the company’s network […]
06/07/2021
Profitability is always a popular topic with small businesses, but, for most, it’s more important to focus on cash flow. According to CB Insights, 29 percent of new businesses cited lack of cash flow and capital as the reason for shutting their doors. During the COVID-19 pandemic, when many businesses have been forced to limit their offerings […]
06/03/2021
After a year of caution due to the COVID-19 pandemic, travel across the U.S. is making a comeback, including business travel. The rollout of vaccines and falling case counts across the country mean your business might consider returning in-person conferences, events and meetings. If it’s been a while since you‘ve packed your bags and hit the road for work, read on for things to be mindful of as business travel picks […]
05/26/2021
Making a little extra cash always is an enticing thing, and many people have put their car to work for them. Food delivery companies such as DoorDash, UberEats, Postmates, and Grubhub have boomed in the past year, while Uber and Lyft remain popular options for folks looking to make some money on the side. If you’re driving for one of these companies, you may enjoy the flexibility […]
05/18/2021
Summertime is almost here, and that means vacations, BBQs and baseball games. But often, it means scrambling to figure out what your kids are going to do during the summer break – especially if you’re a working parent! Now is the time to ensure your child has something safe and fun to do. Don’t forget that some of those fun activities might make you eligible for a tax credit. Here are five criteria you must meet in order to claim a credit on […]
05/06/2021
When Paula Klein decided to make her dream of running her own business a reality, she was confident in her ability to attract clients and excited to do the work. Where she needed a little bit of help was in navigating some of the day-to-day business tasks that come with being an entrepreneur. Enter Dan […]
04/30/2021
Thanks to a recently revised rule from the Small Business Administration, self-employed individuals now can access potentially larger loans through the Paycheck Protection Program (PPP). This rule allows contractors, gig-economy workers, freelancers and other self-employed individuals to rely on their gross income to calculate their loan amount if they file a Schedule C (Form 1040). Though sole proprietors already were eligible for PPP, they previously had to use […]
04/29/2021
Wondering why it’s taking longer to get your tax refund this year? While the IRS aims for a turnaround of under three weeks when issuing refunds to those who electronically file their tax return, this year could result in a more drawn out, frustrating process for many. If you’re dealing with a longer wait, here are three possible reasons why you haven’t yet gotten your refund: Errors: Delays may […]
04/19/2021
The newly passed Restaurant Revitalization Fund (RRF) is here to offer restaurants, bars, caterers, food trucks and others some extra financial help as we transition into a period of recovery. Part of the American Rescue Jobs Act, it includes $28.6 billion of funding for the Small Business Administration (SBA) to fuel grants designed to aid a multitude of culinary businesses in what we hope are the final stages of […]
04/13/2021
f you own your own business, it might be because you decided to pursue a personal passion or because you recognized an opportunity in the market where you could be successful. Passion and opportunity, however, don’t always mean you’re ready for many of the realities that come with the day-to-day obligations of being a business owner. For some, that may include managing taxes. Being aware of some of the missteps can alleviate a lot of […]
04/08/2021
Have you already filed your tax return for the year? And did you report your unemployment payments in that return only to see the American Jobs Rescue Plan (ARPA) modify the need for some taxpayers to include that compensation? If so, there’s no need to worry – or possibly amend your return – as the Internal Revenue Service recently announced it will refund money throughout […]
04/01/2021
How Padgett is serving Rick Mathes and Egoscue Clinic of Austin, Texas “I was looking not just for an accountant, but for an accountant who wanted to be a partner. My feeling was Scott and Padgett wanted to help our business thrive.” — Rick In the blink of an eye, Rick Mathes’s life changed. At the age of 36, he […]
03/25/2021
The Emergency Injury Disaster Loan (EIDL) program just got a much-needed boost from the American Rescue Plan Act (ARPA) that was signed into law by President Biden on March 11, 2021. If your business is located in a low-income community and previously applied for an EIDL Advance, read on for how a Targeted EIDL Advance could be a viable resource for your small businesses as it continues to deal with revenue losses as result of […]
03/23/2021
A third round of stimulus is poised to infuse the American economy with $1.9 trillion in economic aid with a significant portion going to enhance existing programs that have offered a lifeline to businesses throughout the COVID-19 pandemic. Known as the American Rescue Plan Act (ARPA), President Joe Biden signed it into law on March 11, 2021, and it features a diverse mix of […]
03/15/2021
Back when we were heading into 2021, there were signs that this year’s tax filing would be a very different experience when compared to previous years. Now, as we continue to emerge from the grip of the COVID-19 pandemic, measures such as the Paycheck Protection Program, Employee Retention Credit and a host of other stimulus programs and policies have clearly introduced a level of complexity and uncertainty into this […]
03/11/2021
How Padgett NC is serving Shawn Langton and Kujo Yardwear “Padgett understood what we were trying to do right from the start, and we hit it off immediately.” – Shawn Shawn Langton has considered himself a “sneakerhead” since he was a kid, dreaming of working in the shoe industry for as long as he can remember. It just took a pair of soggy old […]
03/02/2021
There are a host of tax deductions available to self-employed individuals that can generate real savings when filing your tax return. As you prepare to file your taxes this year, here are a few deductions you should be mindful of: Home office expenses: If you’re using an area of your home regularly and solely for business, you may be able to deduct expenses […]
02/26/2021
There’s no mistaking that tax time can be confusing. There are enough deadlines and deductions to make your head spin, and this year adds a new level of complexity to the mix. Thanks to the various COVID-19 economic programs and tax tweaks, this might be the year you reconsider filing on your own and turn to a tax professional to help with your 2020 return. While it may […]
02/17/2021
For many, tax time may conjure up visions of last-minute meetings, late-night number crunching and racing to beat the deadline to file a return. With tax deadlines right around the corner, however, it’s more important than ever to swap that hectic approach with one that is more measured, more strategic and more thoughtful. Now is the time to make sure your finances are in order, recognizing that the journey to filing your taxes may […]
02/10/2021
Filing your taxes can be a complicated and time-consuming process, particularly if you own a business and are focused on the day-to-day needs of its operations. Finding a tax professional who can help you is important. When most people think of finding tax help, they often instinctively consider a Certified Public Accountant (CPA). However, there are other tax professionals with the experience and […]
02/05/2021
Earlier this month, the Small Business Administration officially opened up the Paycheck Protection Program (PPP) for a second round of funding, while also simplifying many of the processes and rules in place that guide it. As we begin to see the light at the end of the tunnel for the COVID-19 pandemic, we know this fresh infusion of funding can offer a needed bridge for many businesses trying […]
01/26/2021
The economic impact of the COVID-19 pandemic has led to a surge in the growth of self-employed workers who rely on freelance opportunities or contract work. If you’re one of the countless Americans who have hung up your own shingle – or if you own property or collect money from investments – it’s important to have a strong understanding of estimated-tax payments […]
01/17/2021
It may lack the pomp and circumstance of the Opening Day of baseball season, but paying taxes is as American as our national pastime itself. And everyone needs their own game plan to navigate this year’s tax season, which the Internal Revenue Service recently announced would begin on February 12, 2021. That’s the date where the agency will begin accepting and processing […]
01/10/2021
As we prepare for the new year, many businesses are considering whether they should change their payroll services partner in 2021. Outsourcing your payroll services can offer some much-needed flexibility so you can keep the focus on your customers, while also providing the right kind of attention and care for your employees. Finding the right payroll […]
12/30/2020
“Buying local” is an important sentiment these days, for a variety of reasons. It drives our local economies, and keeps more money circulating in our communities. And it’s not just your favorite coffee shop or bookstore that offers that local touch, but also your accounting, tax or payroll partner. Having a local payroll service provider […]
12/30/2020
Some long-awaited and much-needed relief for U.S. businesses is on the way as Congress has approved — and the president has signed — legislation for a second round of stimulus to aid those impacted by the COVID-19 pandemic. The bulk of the $900 billion stimulus package is geared to support businesses, helping them weather the […]
12/22/2020
Who doesn’t love opening a present this time of year? Spreading that holiday cheer through a gift to your employees and customers is a great way to get in a festive spirit and thank them for their hard work, especially during a challenging year like 2020! Remember that only certain types of gifts are deductible, […]
12/21/2020
It’s in our nature to want to lend a hand and help those who have fallen on hard times, and during the COVID-19 pandemic there are plenty of people who could use a bit of grace and compassion. The challenge as a business owner is finding a way to ensure the help you want to […]
12/16/2020
The holidays are a time for being thankful, and that often means giving back to organizations and causes that are important to you and your family. These charitable gifts might be able to earn you a tax deduction, so it’s important to understand all of the nuances that surround charitable giving and what it means […]
12/14/2020
Honoring his visionary approach to and respected leadership for the accounting industry, Jeff Phillips, the CEO of PADGETT BUSINESS SERVICES®, has been named to the exclusive Top 100 Most Influential People in Accounting list compiled by Accounting Today. This annual, prestigious report includes several prominent leaders in the accounting industry and tax policy, including U.S. President-Elect Joe […]
12/07/2020
There’s no doubt that 2020 has delivered its share of twists and turns, and that businesses are ready to hop off this roller coaster as soon as possible. It’s understandable many are unsure about what’s to come, including future shutdowns, the fate of the Paycheck Protection Program and the possibility of another round of stimulus. […]
11/29/2020
Earlier this month, our trusted team of accountants, CPAs and tax professionals advised business owners to exercise just a bit of patience as we all waited for additional guidance on the loan forgiveness portion of the Paycheck Protection Program (PPP). Now, thanks to a recent statement from the IRS, we have some much-needed clarity. The IRS […]
11/20/2020
The holidays are right around the corner, though many of the family traditions we’ve come to treasure may look different this year. However, during this pandemic we’ve discovered new and innovative ways to remain connected. This year also has brought with it a myriad of new tax rules designed to help people weather the financial […]
11/20/2020
As a small business owner, have you ever taken a closer look at your cash flow situation? If not, it’s something you might want to consider doing on a regular basis. For starters, understanding your cash flow can give you the information you need to make smart choices for your business. That’s because taking closer […]
11/10/2020
It’s safe to say most of us are ready for this unprecedented year to come to an end! Before it does, however, there is one more thing many small business owners need to be mindful of, and that’s crafting a sound plan to navigate the loan forgiveness process of the Payroll Protection Program (PPP). If […]
11/03/2020
Now, more than ever, we’re all working from home. While Zoom meeting after Zoom meeting can start to wear thin, removing the daily commute from one’s schedule is a huge bonus afforded to those working remotely these days. For many businesses, this is becoming the new normal with several transitioning from a central, physical location […]
10/23/2020
The ongoing COVID-19 pandemic has changed the way many families live and how they school their children. Given the current environment, many families have found themselves in need of childcare to allow them to work or to assist in homeschooling their children. In today’s world, this type of help is an absolute necessity for some, […]
10/19/2020
Starting up a new business requires a mixture of capital and courage, and it’s important for entrepreneurs to understand the right balance to make it work. One tactic that some start-ups take advantage of is Rollovers as Business Start-Ups (ROBS), which allows prospective owners to use their retirement funds to pay for any new business […]
10/12/2020
Have you ever wondered if your business could make it without you? As a small business owner, your primary focus is making sure your business is running smoothly and efficiently. However, it’s also important to consider the factors that might disrupt it because if there is one thing that 2020 has taught us, it’s to […]
10/07/2020
There’s no mistake that the COVID-19 pandemic has impacted every facet of our lives these past few months. From something as routine now as wearing a mask to go to the grocery store to the more profound economic impact that has rippled across the country, we’re all adjusting to this new normal. What you may […]
10/05/2020
Finding the right talent that fits your small business is a critical task. As an owner or manager, you’re often confronted with making important hiring decisions to cover everything from the seasonal demand for new workers to making sure you have the help needed to support an upcoming business expansion. Being able to maximize your […]
09/24/2020
At the most basic level, integrity is doing the right thing solely because it’s the right thing to do. What do you do when no one else is watching? How do you behave when it matters the most? Crafting a strong culture of integrity in your business is important, enabling you to build trust with […]
09/16/2020
With more and more resources shifting to online and cloud-based resources – particularly in an environment that is embracing remote work options – minimizing fraud and enhancing cybersecurity standards are imperative. This includes taxpayers as they begin to eye the preparation and filing of their returns next year. One simple fix has the potential to […]
09/14/2020
The Paycheck Protection Program has offered a much-needed lift for small businesses across the country, enabling them to keep their heads above water throughout the storm of the COVID-19 pandemic and the resulting economic downturn. If you’re a small business owner who benefited from PPP support, you’re probably wondering what your next steps should be, […]
09/08/2020
The difficulties small businesses face from COVID are unprecedented and immense, and there is no doubt the small businesses that embrace flexibility are more likely to survive. Already, many business owners have been innovative in how they can respond to shutdowns and lower customer counts, with some restaurants pivoting to more delivery service options and […]
09/02/2020
If you’re a small business owner, there’s no doubt you might have a few questions related to the recent announcement from the federal government granting employers the ability to stop withholding a portion of the employee’s responsibility of the payroll tax beginning on Sept. 1, 2020. And the top question on your mind is probably […]
08/31/2020
If there’s one thing to be certain of during these days, it’s uncertainty. The COVID-19 pandemic and the resulting economic crisis has introduced plenty of it into our daily lives. A once thriving economy has pivoted to a potential recession practically overnight. Like a suspenseful movie where you’re unsure what may jump out at you […]
08/17/2020
There’s a measure of relief coming to some employees in the form of a short-term payroll tax break, but there are still plenty of questions of what’s the best way for small businesses to take advantage of these changes to help their workers without negatively impacting their own tax situation. The Trump Administration recently issued […]
08/10/2020
If you’re a small business owner, you’re not immune to the economic challenges across the country as we deal with the COVID-19 pandemic, and you have likely heard about some of the programs out there to help provide financial assistance to those in need. The most notable are the SBA’s Paycheck Protection Program (PPP) and […]
07/10/2020
As we continue to navigate the challenges and uncertainties of the COVID-19 pandemic and the ongoing economic crisis, know that Padgett is working closely with the IRS, the U.S. Treasury Department, Congress, and other government agencies and member organizations to get you the very latest news regarding loan forgiveness for the Paycheck Protection Program. We […]
06/25/2020
As part of the ongoing evolution of the Paycheck Protection Program (PPP), additional policy adjustments and complementary legislation have just been approved that will ease the burden on small businesses who feared the original loan forgiveness requirements were too difficult to meet. As you may know, PPP is a loan designed to provide a direct […]
06/05/2020
Across the country, small businesses are feeling the economic crunch from COVID-19. From mandatory lockdowns to jittery customers, many businesses are having to make difficult decisions around managing payroll, forgoing future investments and evaluating when it is safe to reopen. Compounding these concerns are some of the complexities with the Paycheck Protection Program. While PPP […]
05/19/2020
As we continue to grapple with the challenges and uncertainty around the COVID-19 pandemic, the Paycheck Protection Program (PPP) has proven to be a lifeline for small businesses across the country. It has provided needed funds to pay employees and keep small businesses afloat, but it hasn’t come without some level of confusion and a […]
05/19/2020
Direct deposit of employee payroll into workers’ bank accounts in lieu of issuing paper checks has advantages for both payers and payees. So great are the benefits of direct deposit that some employers no longer even offer their employees the option of receiving a paper check at all. Although some states’ labor laws don’t permit that kind of employer […]
12/03/2019
Payroll Manager / Payroll Specialist – Payroll Administration. Contract Payroll Outsourcing And More… Padgett is first in payroll services for small businesses, and we are here to help if you are tired of playing the role of payroll manager. If that’s you, our knowledgeable contract payroll specialists can come to your assistance. You need an […]
10/16/2019
Small businesses rely on their employees to help them become successful and maintain productivity overtime. Because small businesses are able to support only a limited number of employees, hiring the right people is essential. Below are some tips to help you optimize your hiring process and ensure that you are getting the best employees possible. […]
08/14/2019
Many states offer shoppers a tax-free holiday as an incentive once each year. In Massachusetts, the tax-free weekend for 2019 will be August 10-11. Although these weekends encourage more retail activity, they can also create headaches for businesses. Below are some tips to help you prepare for the impact of this upcoming weekend. Understand how […]
07/31/2019
As a small business, you rely on a healthy cash flow to give you the resources to continue operating your company successfully. For this reason, you need to manage your cash flow carefully, which typically involves regular cash flow analysis. Below is some information to help you understand cash flow analysis and incorporate it into […]
07/17/2019
Allowing your employees to work remotely helps to conserve company resources, improve efficiency and open up a much wider hiring pool. However, working with remote employees also comes with challenges. Below are seven tips to help you manage your remote employees effectively. Engage with them on a regular basis.Remote employees may not be able to […]
06/19/2019
When you are operating a small business, having an accurate annual budget is essential. Your budget lets you know how much money you expect to bring in and what expenses you need to pay so you can make the best decisions for your company’s future. However, not all budgets are equally effective. For small businesses, […]
06/05/2019
Company morale can have a significant impact on productivity. For this reason, it is important to keep employee attitudes as productive and optimistic as possible. Below are some tips to help you maximize company morale in your small business. 1. Monitor employee morale. Before you can improve or maintain good employee morale, you need to […]
05/22/2019
If you want to keep your business as profitable as possible, you need to be able to predict the inflow and outflow of cash. One of the best ways to manage cash flow is with a rolling 120-day cash flow forecast. What Is a Rolling 120-Day Cash Flow Forecast? A rolling 120-day cash flow forecast […]
05/08/2019
Employees often incur extra expenses when performing their required duties, most often when they travel for business purposes. In many cases, employers reimburse these expenses, since they are part of the employee’s job. However, expense reimbursement can become expensive, especially if employees are tempted to take advantage of the opportunity to spend money. Below are […]
04/24/2019
As a small business owner, it is not uncommon to receive a tax refund. Whether you were expecting to receive this money or not, it is important to put it to good use. Below are some tips to help you get the most benefit from your tax refund. Pay down business debts.Most businesses must take […]
04/10/2019
Regardless of the size of your business, having efficient accounting practices in place is essential to your success. Without the right accounting processes, you won’t be as profitable as you could be, and you may even find yourself subject to penalties. When you have a small business, establishing appropriate accounting practices can seem like a daunting […]
03/27/2019
Small businesses need a healthy flow of cash in order to operate effectively and maximize their profitability. However, for many small businesses, maintaining a reliable cash flow can be a challenge. Below are five ways your small business can manage and/or increase its cash flow. Offer incentives for faster payments.One of your business’ primary sources […]
03/13/2019
If you own a small business, you may be wondering how you can reduce your taxable income and save some money at tax time. Below are some of the best deductions currently available to small businesses. New equipment purchases.If your small business invested in new equipment, you may be entitled to a tax deduction. With […]
02/21/2019
Payroll is an essential component of any business’ operations. Like all aspects of business, however, payroll continues to evolve and change over time. As payroll changes, business owners develop new goals and priorities. A recent survey of small business owners found that there are several distinct priorities when it comes to managing payroll during 2019. […]
02/06/2019
Small businesses have a number of responsibilities and requirements when it comes to filing and paying taxes. Remembering deadlines and taking care of all of the required tasks can be daunting, especially when you have many other items on your to-do list. Below is some information to help you prepare properly and meet all of […]
01/23/2019
The government recently approved some of the most significant tax reforms seen in recent years. These reforms will affect all taxpayers, including small businesses. As you get ready to prepare your 2018 tax return, be aware of the following changes. Changes to tax rates.If you are a sole proprietor, you may be able to take […]
01/09/2019
In some circles, millennial’s are described only in negative terms, leading business owners to believe that they would make poor employees. However, millennial’s have a lot to offer your small business. Below are five reasons you should consider bringing members of this generation to your company. Millennial’s bring a new perspective to your company.Millennial’s will […]
12/07/2018
The holiday season can be a lucrative time for businesses. However, it is also one of the busiest times of year. If small business owners are not prepared to handle this busy season properly, they may miss out on important opportunities and/or lose money because of errors that could have been avoided. Below are some […]
12/06/2018
Businesses of all sizes must complete certain bookkeeping tasks. In some cases, businesses are able to complete all of these tasks in-house. However, when a business’s bookkeeping needs are too complex or time-consuming, it may be better to outsource them to a third-party company. Below are some of the benefits of outsourcing your business’s bookkeeping […]
11/21/2018
Owning a small business isn’t easy. However, with proper planning and careful implementation of these plans, small business owners are often able to build successful companies. One of the best ways to improve your company’s chances of success is to avoid some of the most common and damaging mistakes made by small business owners. These […]
11/07/2018
Most business owners are already aware that hiring the right talent is essential to the ongoing success of the company. However, when you are operating a small business with limited resources, you may find that it is more difficult to find quality employees. Fortunately, there are steps you can take to ensure you are bringing […]
10/24/2018
If you have employees, payroll is part of your everyday life as a business owner. Managing payroll can be a big job, especially when you have many other tasks to handle. As a result, many business owners find themselves dealing with payroll problems. Below are some of the most common payroll problems business owners experience, […]
10/10/2018
Accounting is an important component of business operations, regardless of the size of the company. However, smaller businesses often face unique accounting challenges that larger businesses may not encounter. Below are some of the most common accounting challenges small businesses can face. Payroll.Payroll is a big job for businesses of all sizes. Every pay period, […]
09/19/2018
When any individual is working for your company, you are faced with the task of classifying that person as an employee or an independent contractor. This classification has implications for both wages and taxes, so it is important to classify every individual correctly. However, thanks to the rise of the “gig economy,” it has become […]
09/05/2018
As a business owner, you need to manage your finances effectively in order to operate your business successfully and maximize profitability. In order to manage your finances well, you need to be organized. Below are some tips to help you keep your finances organized and easy to understand. Set aside a regular time to review […]
08/22/2018
When you start a new business, establishing solid accounting practices is essential to your success. However, many startups face accounting challenges that make it more difficult for them to get off on the right foot. Here are five of the most significant accounting challenges your startup may face, along with tips for dealing with them. […]
08/08/2018
Small businesses rely on a solid flow of cash to keep their businesses operating efficiently and profitably. However, when you have un-recovered debts, your cash flow suffers. Below are some tips to help you recover unpaid debts and improve your cash flow. Contact people who haven’t paid their bills.The first step in collecting unpaid debts […]
07/25/2018
A healthy cash flow is a necessity for any small business. Unfortunately, cash flow problems are all too common among businesses of all sizes. Avoiding the most common cash flow issues is one of the best ways to ensure that your business continues to operate successfully. Below are some of the most common cash flow […]
07/10/2018
If you have one or more employees, payroll is an essential component of your business operations. Mistakes in payroll can be expensive and inconvenient for your company, so it is important to ensure accuracy at all times. Here are some of the most common payroll mistakes businesses make and how you can avoid them. Failing […]
06/28/2018
Those in favor of the new tax law argued that it would boost small businesses by giving them much-needed breaks on taxation. However, since the law has been passed, the idea that it would be truly helpful for small businesses has been up for debate. Although this reform certainly provides some benefits for smaller businesses, […]
06/12/2018
If you own a small business and you employ one or more people, payroll is part of your responsibilities. Because handling your own payroll can be overwhelming if you don’t have the time or resources you need, you may decide to outsource this task to a third-party provider. Here are some of the pros and […]
05/24/2018
Recent college graduates often have a hard time finding jobs. In order to qualify for many positions, a graduate needs experience. However, they can’t gain this experience without first getting a job. Although it may seem like it is a risk to hire a recent graduate, bringing these individuals on staff can actually provide many […]
05/11/2018
As the summer approaches, many businesses are preparing to hire seasonal workers to deal with the resulting increase in customers and orders. Before you begin the hiring process, take some time to consider each of the important issues below. Seasonal workers need to know that their position is temporary.One of the most common problems employers […]
04/30/2018
If you paid more taxes than you owed during the previous year, or if you qualify for certain credits, you may receive a small business tax refund after you file your tax return. Although it may be tempting to simply deposit your refund in the business bank account as a cushion, you can often use […]
04/17/2018
As winter disappears and the weather gets warmer, people everywhere are preparing for spring cleaning. Although spring cleaning may seem like a task for home, it can be beneficial to your business as well. Here are four things you can do to clean up your small business operations this spring. Optimize your cash flow.A healthy […]
03/20/2018
Tax season is one of the most difficult times of year for any business. If you are going to owe additional tax on the income you earned during the previous year, this season becomes even more stressful. To ensure that you have the money on hand to pay your tax bill, keeping your tax flow […]
03/13/2018
Tax season is upon us again, and scams are always a concern. If you fall victim to a tax scam, you may find yourself losing money or even putting your identity at risk. To avoid tax scams, consider these four factors. IRS representatives identify themselves.Some scammers may come to your home or business and try […]
02/27/2018
As a small business owner, taxes are always a concern. With the recent passage of the Tax Cuts and Jobs Act, many small business owners are wondering how their tax benefits and liabilities will change during 2018 and the years that follow. Below are some of the ways in which this bill could impact your […]
02/14/2018
Payroll processing can be difficult. There are a lot of nuts and bolts to this process that can overwhelm small to mid-sized businesses. People who see it as just a matter of ‘getting folks paid’ probably don’t have a lot of experience with this type of financial administration. I Want My Paycheck! The burden of […]
01/31/2018
How do you get ahead over the holidays? Many companies in different industries make this a central part of their annual strategy, and some of the following ideas can help you to bring in more money as the holiday season approaches. Seasonal Promotions Seasonal promotions are one of the best ways to take advantage of […]
12/06/2017
For people who are self-employed or who own their own businesses, there are some helpful tips that can help reward these hard-working individuals as they near retirement. Think about how you can benefit from the value of your business as you reach retirement age, and how to safeguard your financial assets and get the most […]
11/20/2017
Black Friday is approaching quickly, and many businesses are looking for seasonal workers to help them handle the influx of customers. As you look for help for your small business, follow tips below to get the best employees. Look for people who are satisfied with temporary work.Some potential employees may not be willing to take […]
11/09/2017
The recent hurricanes Harvey and Irma caused devastation in areas throughout the U.S. Virgin Islands, Puerto Rico, Florida and Texas. Businesses in these areas are still struggling to rebuild their buildings and replace damaged property. Many have lost important data needed to file tax returns. In addition, because of the significant financial impact of these […]
10/24/2017
To help the victims of the most recent hurricanes, the IRS has decided to relax some of its rules, which would allow these victims to take out hardship loans against their 401(k) retirement accounts. Although having this money may help you to replace some of your possessions, it may not be the best course of […]
10/03/2017
When your customers don’t make their payments on time, it can impact your business in many ways. You may not have the capital you need to purchase additional inventory, pay your own bills or expand when you need to. Fortunately, there are steps you can take to reduce the impact of late payments on your […]
09/12/2017
During the summer, taxes are probably far from the top of your mind. However, even though the next tax season is still many months away, you should still be taking steps to reduce what you owe. Here are some tips you can use to make the next tax season easier for your small business. Pay […]
08/08/2017
Owning and operating a seasonal business comes with unique challenges. One of the challenges you may face involves finding enough quality employees to keep your company running smoothly. Below are some tips to help you find employees who are willing to work on a seasonal basis but also provide the level of service you need. […]
07/28/2017
As a small business owner, you know how important it is to hire the right people to represent your company. Having the right people on staff improves your reputation and ensures maximum profitability. However, while you may think that this means you need to hire the employees with the most experience in the field, that […]
07/27/2017
The goal of every small business is to grow, thrive and increase profitability. However, once you start earning more money, you may find that you aren’t sure what to do with it. If you don’t manage your small business cash flow properly, you won’t continue to prosper. In the worst cases, poor management of extra […]
07/11/2017
As a small business owner, you rely on a healthy cash flow to keep your company running smoothly. Without enough cash in hand, you can’t pay your employees, purchase new inventory, or keep your equipment in operation. Unfortunately, when you are a small business working with limited financial resources, even minor disturbances in cash flow […]
06/05/2017
Most small business owners know that hiring the right people is essential to their success. However, small businesses often face hiring challenges that don’t affect larger organizations. Here are some of the most common hiring challenges facing small businesses today, as well as tips for overcoming them. Focusing too much on cost and convenience.Many small […]
05/22/2017
For most small business taxpayers filing schedule C with their personal income tax return, the filing deadline has now passed. If you haven’t already filed your return or requested an extension, it’s now too late to do so. However, you can minimize the damage and the associated expense by following these simple steps. File your […]
05/08/2017
Preparing a tax return is no one’s favorite task, but most people will have to submit one every year. Fortunately, if you are entitled to a tax refund, filing your tax return ends in an exciting reward. Although it may be tempting to use your tax refund to purchase something frivolous, such as a new […]
04/18/2017
When you own a small business, tax season can be a stressful time. However, you can lower your tax liability by maximizing the small business tax deductions you claim against your income. Here are five small business deductions you need to remember when you prepare your taxes this year. New furniture and equipment.Small businesses are […]
04/05/2017
It’s tax season, and small business taxpayers everywhere are vulnerable to scams. A tax scam can come in many different forms, but the goals are usually similar. Scammers want to find a way to benefit financially, so they may try to steal your identity, your tax refund or important account information. In other cases, a […]
03/29/2017
Although accounting-related tasks are an integral part of the management of every business, few business owners enjoy the time they spend dealing with their books. Most business owners would rather focus on their products and service, as perhaps they should. Nonetheless, having access to current financial information is essential in order to ensure the success of […]
11/16/2016
Regardless of the size of your business, you are likely to accumulate a lot of financial records as you operate. Because you may need to refer to these documents for financial planning, collection or tax purposes in the future, it is important to keep them safe and organized. Follow the steps below to create a […]
09/20/2016
Whether you are just starting your small business or you are looking for a way to expand in a new market, finding the right sources of financing is essential to your success. However, unless you are independently wealthy, getting the money you need may be challenging. To find financing for your small business, use the […]
09/12/2016
Owning and operating a seasonal business presents challenges that are not encountered by owners of traditional businesses. One of the most notable issues involves fluctuations in cash flow. During the business’s high season, your productivity increases and you bring in high levels of revenue. During the off-season, however, cash flow slumps and financial problems can […]
09/09/2016
The topic of minimum wage increases has been discussed extensively in the media, in political forums and in private debates. While some lawmakers want to leave the minimum wage as it is, others are pushing to increase it in order to improve the financial situation of the working poor. In fact, several cities in the […]
08/08/2016
Most business owners know that hiring the right talent is one of the best ways to ensure the company’s success. However, small business hiring budgets tend to be limited, making it necessary for the company to concentrate its efforts on the most effective hiring practices. For this reason, it is important for every small business […]
07/19/2016
Managing a seasonal business can be rewarding, but it also presents unique challenges that owners of other types of businesses may not face, especially with regard to their financial situations. Here are five small business finance tips to help your business reach its full potential. Promote your business even during its off-season.Many seasonal businesses focus […]
07/13/2016
Everyone makes mistakes, but making an error on your tax return can be particularly upsetting. Once you become aware of the error, worry and dread often sets in. Fortunately, most errors can be corrected easily. If you have realized that there was an error on your small business or individual tax return, follow the instructions […]
07/06/2016
In May of 2016, some of the federal regulations that apply to the administrative exemption for overtime pay changed significantly. These changes, which will be officially implemented at the beginning of December, are likely to have an impact on businesses all over the country. Here are a few highlights and examples of those rule changes: Overtime […]
06/28/2016
Whether you are an individual or a small business, filing your tax return on time is important. However, if you can’t pay the full amount of income tax you owe on or before the due date, you will face interest and penalties even if you filed on time. If you have filed your tax return […]
06/27/2016
The cost of certain meals purchased on business trips can be deducted from your taxable income. In fact, this is one of the most common employee and small business expenses claimed each year. When deducting a meal expense, the IRS allows taxpayers to use two different methods: the standard meal allowance or the actual cost […]
06/13/2016
The Internal Revenue Service requires you to document the income or deductions you report on your individual or small business tax return. However, once you have used these tax records to complete your return, you may wonder whether you need to keep them and, if so, how long. Why Should I Keep My Tax Records? […]
06/09/2016
Deducting small business expenses is one of the best ways to lower your tax bill. For many businesses and individual entrepreneurs, one of the most advantageous deductions is the automobile allowance. This deduction allows you to reduce your income based on the expenses you incur when using an automobile for business purposes. Follow the tips […]
06/01/2016
If you paid more tax than you owed during the year, or if you claimed refundable credits, you will typically receive a tax refund. However, you won’t get this money immediately after filing your individual or small business tax return. Instead, you will have to wait for the Internal Revenue Service to approve your return […]
05/19/2016
Receiving a notice from the IRS can be upsetting, especially if you have received the notice in error. If you receive such a notice, however, there is no need to panic. Understanding IRS Notices Depending on your situation, you may receive several different notices from the IRS. Notices you may receive include: CP59– You may […]
05/12/2016
We all want to pay as little income tax as possible without breaking the law. If your small business tax bill is too high, try the following tips to bring it down in subsequent years. Keep impeccable records.Most of the deductions your small business can claim depend on solid record keeping. To ensure that you […]
05/02/2016
With so many other responsibilities and concerns, busy business owners often find it difficult to complete their tax returns on time. Fortunately, if you own a small business, you may be able to qualify for a tax deadline extension. When used properly, this extension will allow you to submit your tax return on a later […]
04/20/2016
Tax credits lower your tax liability dollar for dollar, which can dramatically reduce the amount of money you owe at the end of the year. Here are some of the tax credits every small business owner should know about. Small Business Health Care Tax Credit.If you qualify for this tax credit, you will be able […]
04/15/2016
No one looks forward to tax time, and it can be especially difficult for small businesses. In order to make the filing of your income tax return as painless as possible, it helps to simplify the process. One of the best ways to make tax filing easier is to keep all of your company’s records […]
04/06/2016
Preparing income tax returns as a small business can be challenging. Tax laws change continuously, and keeping up with all of these filing requirements can be daunting for the busy business owner. In order to prevent tax-related problems, it is best to entrust your taxes to an experienced company like PADGETT. Here are some of […]
03/29/2016
When it comes to incentivizing employees, few options are more motivating than bonuses. Employers set goals, employees work hard, and results are achieved – or are they? According to recent research, the way employees are incentivized makes all the difference. Bonuses can be set at intervals, connected to an employee’s individual goals or even in response to […]
03/22/2016
Managing a small business is complicated. Managing and keeping track of all the deductions you are entitled to can be even more so. You are not alone. According to Kiplinger, millions of individuals overpay on their taxes each year. Below are a seven small business tax deductions that either you may have missed or are […]
03/10/2016
Tax season has returned and with it comes a variety of questions about the impact of taxes on payroll. Padgett Payroll Services® employs only the best experts in our field. Our goal is not only to offer payroll solutions for your company, but to help you save money in the process. That is why we […]
03/04/2016
It’s amazing that as a small business owner, you wouldn’t hesitate to ask for professional help to fix a plumbing job or to repair faulty machinery. But when it comes to tax preparation and financial consulting, a lot of business owners opt to go it alone. This decision not only means hours of additional work […]
03/02/2016
Small business owners have enough on their plate – too much to be concerned about every new tax code and regulation. However, there are several new IRS mandates that will affect your small business in 2016. If your managerial schedule is keeping you from mingling with your customers, you might want to consider outsourcing your […]
02/19/2016
Tax season is right around the corner, and it’s time to start preparing to file your return. Here are five tips you can use to reduce the amount of tax you owe and/or make tax time simpler for your company. 1. Organize your records. As your filing deadline approaches, organize your records so that your […]
02/04/2016
Signing up with new outsourced payroll processors can be a scary prospect for many businesses. Chances are you’ve been using the same payroll services for years, whether you rely on an internal H.R. team to complete the work alone or on a third party to prepare all documents accurately. But what happens when the “same […]
01/22/2016
Believe it or not, the Internal Revenue Service does not want to audit your company. It’s a time-consuming, costly process that generally results in dissatisfaction all around. The IRS has actually become very consumer-friendly in recent years, connecting with business owners through YouTube, Twitter and even through resources on their own website. The IRS has […]
01/12/2016
Throughout the course of running your small business, you’re going to encounter some problems, both big and small. When you consider that approximately eight out of 10 businesses fail within their first 18 months, these problems may make your heart skip a beat or two. If you’re facing major challenges with your small business or consistently experiencing […]
12/17/2015
Many businesses set themselves up to fail – and they don’t even know it. Financial errors and payroll mistakes can cost a business more than just a penalty fee; companies have been shut down for failing to properly address federal and state laws regarding payroll. The IRS does not mess around when it comes to […]
12/16/2015
Unless you get thrills from poring through convoluted tax language or performing complicated calculations, managing your small business tax responsibilities is no fun. Odds are, you didn’t start your business so you could spend countless days working on tax preparation, trying to get your forms in order, making sure your numbers add up and praying you don’t […]
12/14/2015
The life of a small business owner is filled with challenges. Every decision you make has an impact on the financial health of your business. Building up your small business profits requires smart management, attentive bookkeeping and inspired leadership. But even the best business owners can make critical errors. Are you making the right decisions […]
12/10/2015
When your small business suffers from cash flow problems, you risk having your financial problems spin out of control. You may miss payments to important vendors or even make critical tax errors like delaying payroll tax payments that lead to severe fines. If your small business is consistently short on the cash you require to keep operations […]
12/07/2015
Starting a small business is not only an incredible accomplishment, but also the start of a journey with great responsibility. As most successful entrepreneurs know, running a successful business requires help from a number of people, whether it’s your family, employees, partners or a combination of them all. But what happens if you don’t know […]
12/03/2015
As a small business owner, you work tirelessly every day to keep your business afloat and, hopefully, see it grow. You seem to be making headway – attracting new customers, finding better ways to accomplish tasks and achieving revenue growth. Yet, when you sit down to examine your profits, you don’t find any. As much […]
12/01/2015
When it comes to taxes, there’s no shortage of “expert” advice. Since we all must deal with taxes at least once a year, many people believe they understand everything they need to know about the topic. This leads to plenty of “free tax advice” being passed around. Truthfully, most of this advice could lead to […]
11/25/2015
Many small business owners fail to recognize the importance of their company’s cash flow. Money in the bank is not an indication of a healthy business. It’s actually cash flow issues that often put companies out of business – even companies that are otherwise successful. The underlying problem of many cash flow problems is poor, […]
11/23/2015
There are a surprising number of ways established businesses can save money – and not a single one of them directly involves giving up resources or cutting back on your company’s existing bottom line. Boost your business’ financial capabilities with these easy tips for business owners and CFOs: Establish a line of credit for your company. This […]
11/23/2015
When you turn an idea into a real, living, breathing business, there is a lot of excitement. Starting a business is an incredible feat and the beginning of a journey, but it’s also a risk. So much goes into starting a business, and without the right support, startup mistakes are inevitable. When you prepare to […]
11/19/2015
Modern businesses are faced with more challenges than ever before. Gone are the days of simply exchanging goods based on mutual agreement; today, government policy, the free market, and even our own technology can get in the way of running a successful company. Protect your assets and the vitality of your business with these business […]
11/17/2015
Small business owners face tax challenges far more often than they know. While most only realize issues during tax season, their problems are the product of difficulties, unattended responsibilities or mistakes made throughout the entire year. In addition, the issues they perceive aren’t the root cause. As a result, they wind up suffering from the […]
11/16/2015
In the middle of a property tax audit, a restaurant owner was suffering from a number of issues, especially the stress of what could have been an incredibly costly tax season. The local tax authority was making a concerted effort to ensure accurate property tax payments from businesses, and this company was the subject of […]
11/12/2015
In small business, there are generally two kinds of accounting help owners use: bare bones support and support that actually impacts your bottom line. Inc.com defines an accountant as “someone who solves a problem you didn’t know you had in a way you don’t understand.” Though a purposefully comical answer, it’s a pretty accurate “description” of […]
11/09/2015
Some small business owners are resigned to the idea that tax season has to be stressful, while others know there are better ways to manage their taxes. Some business owners wait until March or April and are able to avoid tax penalties, while others are far less fortunate. Despite misconceptions, there’s no reason you have to […]
11/05/2015
Is accounting the reason you started your small business? Is accounting one of your strong suits? For most business owners, the answer to these two questions is undoubtedly “no.” The problem isn’t that you don’t enjoy accounting and aren’t knowledgeable about it. But if we asked whether you have insight into the financial health of […]
11/02/2015
Most small business owners work with tax accountants who simply file their tax returns each year. Chances are good that you use an accountant who you see once a year. Perhaps this is all you want, but it’s certainly not all of the support you need. Just ask the owner who, by all accounts, was organized, kept her […]
10/29/2015
The CFO plays a crucial role in the success of a business. This job is more than projecting numbers and generating P&L reports; it’s about planning for the security of the company and ensuring risks are taken in a calculated, researched way. There is no “right” or “wrong” way to practice the duties of a […]
10/26/2015
If you’re familiar with our blog, then you know the importance of getting tax help not just around March and April, but year-round. Most small business owners have day-to-day issues and responsibilities that are far more pressing than taxes. Yet there is a big difference between giving no attention to your tax needs and spending […]
10/26/2015
Defining your 10 to 12-hour days as a “grind” is an understatement. Running a small business day in and day out, you can easily forget about your tax responsibilities. At the root of most small business owners’ biggest tax problem is this inattention to taxes. With income tax due just once per year, and operational […]
10/22/2015
As we wrote in a recent blog, it’s not only businesses with major problems that require help. It’s also important to note that significant problems aren’t always obvious, but they certainly can ruin your small business’s profitability. Look no further than a Connecticut retail business run by a hard-working owner with far more stress than he needed. He […]
10/19/2015
At times, large corporations get lost in the shuffle of day-to-day activities and overlook warning signs that could point to distress for the business. By the time businesses realize a problem exists, it might be too late. The damage done to the company’s reputation is already too catastrophic to fix. This is an extreme, yet […]
10/15/2015
Like many small businesses, one New York pizza place suffered from a prevalent issue: lackluster or nonexistent record keeping that led to tax problems. Its owners, twin brothers, had run the business successfully for years after inheriting it from their parents. But without the support of an experienced small business and tax advisor, the owners eventually ran into several issues. Until […]
10/12/2015
Sometimes, tax problems are fairly easy to recognize. But without tax knowledge, experience and acute attention to detail, painful tax issues can cut into your bottom line and have a big impact on your small business. One company’s owners were the potential victims of such costly problems, but fortunately their local tax consultant caught an issue that could have cost the business […]
10/05/2015
It’s not just the small businesses with major problems that require help. Even successful businesses benefit from working with advisors who support and truly understand small businesses. Just ask the owner of a profitable freight and trucking company in Georgia. His small business’s financial statements weren’t up to par, and he had to make a change in order to secure […]
09/27/2015
A woman with a great talent for baking owned and operated a bakery in suburban Chicago with her father, who also enjoys a successful career in corporate America. Despite the abilities of its owners, the small business suffered from profitability and cash flow problems. In fact, in 2013, the bakery operated at a $34,000 loss, […]
09/24/2015
Small business owners know a unique set of challenges await them in the financial world. Special rules and regulations are in place for businesses with less than a certain number of employees, and different tax brackets further classify companies into categories, each with their own rules and stipulations. It is a lonely world with stiff […]
09/23/2015
Like many other taxing agencies, Florida’s Department of Revenue has pushed for increased enforcement through sales tax audits using alcohol beverages and tobacco (ABT) purchase data to estimate total sales. Auditing convenience stores has been lucrative for governments, with the state of Florida imposing average taxes of over $50,000 over a three-year period. Naturally, this […]
09/14/2015
Payroll errors, while not common, can happen to even the best H.R. departments. Payroll is an extremely sensitive topic for many employees (especially those working on an hourly basis), so it is important to handle these errors with respect for all involved and not only admit the error, but correct it as soon as possible […]
09/14/2015
It was somewhat of a coincidence that they had already worked in commercial real estate, but when a husband and wife inherited another real estate property, they needed tax help. While the property – considered a gift – should have had a $0 tax basis, the IRS assessed the couple a tax bill of $254,000 […]
09/07/2015
A husband and wife started what many would consider a typical small business. Out of their garage, the couple ran an auto repair shop, but they wanted to secure a loan to grow their small business into what they thought it could become. They had a dream – a more visible location, multiple employees and […]
08/31/2015
Too many honest small businesses are penalized for infractions they never knew they committed to begin with. Tax codes are full of asterisks, small print and details most people are simply not trained to navigate alongside the usual responsibilities of managing a business. A CEO’s first priority (next to running a company smoothly) is the […]
08/26/2015
After years of working for others, in the mid-1990s a husband and wife started a chimney sweeping company, focusing primarily on residential chimney sweeping and lining. Life was good in the first few years, and they were able to put 20 people on their small business’s payroll. These small business owners were spending 35% to 40% […]
08/24/2015
No small business is the same. There are virtually no universal tax-saving tips that automatically cut your taxes in half. To maximize your deductions and minimize your tax burden, you need detailed knowledge of small business and general tax codes. For most small business owners, barely enough time exists each day to run their company. They don’t […]
08/17/2015
Selecting the most knowledgeable professionals is key when it comes to selecting payroll processing specialists and tax code experts. Many companies claim to provide outsourced payroll services, but do little to follow through with this promise. Padgett Payroll Services® recognizes our clients have different needs and accommodates each business’ unique schedule. We have implemented some of the […]
08/14/2015
In business for four years, a talented chef owned a unique, small restaurant with an eclectic menu, but rarely were his tables full. While the chef had long dreamed of owning a successful restaurant, he simply wasn’t making enough to support his lifestyle – until he partnered with an experienced small business tax firm that also provides small business […]
08/10/2015
Tax problems are all too common among small business owners. Why are they so widespread? Many owners don’t have a complete understanding of what actually causes these issues and how to prevent them. Moreover, these problems are compounded by an inability to pay your taxes by their deadlines. You may be thinking that filing a tax extension resolves your inability […]
08/03/2015
Small businesses face many unique payroll problems that frequently fall on already overworked H.R. departments or leave payroll administrators to fend for themselves in a big world of tax codes, regulations and stiff penalties for missed deadlines. The IRS doesn’t mess around when it comes to your company’s payroll or tax services. Fortunately, Padgett Payroll Services® […]
07/30/2015
As a small business owner, it’s important to understand how the decisions you make in managing your business impact how much tax you’ll owe each period. But, it’s unrealistic to think that you’ll have the time to research every possible tax problem and understand the root causes. You need the support of a partner who specializes […]
07/27/2015
There are numerous financial issues that small business owners must be aware of, but one of the most valuable pieces of financial advice is to define your small business’ sales cycle. When it comes to sales cycles, many assume that only seasonal businesses are affected. Landscapers, ice cream shops and costume stores are some examples […]
07/20/2015
What do small businesses and large corporations have in common? They both benefit from outsourcing payroll services! Whether your company is comprised of ten people or ten thousand, there are benefits to trusting the experts with your payroll services. Not only will your company avoid legal trouble with the IRS, but employees gain valuable time […]
07/15/2015
When running a small business, there are several financial services that aid your ability to both manage all of your tasks and streamline your company and its finances. Some services, though, are much more critical than others. From the initial phases of incorporation to the advanced stages of the business lifecycle, it is incredibly important to have support from […]
07/14/2015
What small business owner wouldn’t benefit from financial advice – whether it’s to streamline their company or maximize its profitability? Some businesses aren’t charging the right price, so they’re leaving money on the table. They may lose sales by setting prices that are too expensive for their customers, or they might see lower profit margins […]
07/06/2015
Tax preparation is a skill that can be acquired with a great deal of effort and education on the part of an accountant or payroll manager. However, most small business owners don’t have time to study the basics of tax preparation, much less obtain the skills and expertise necessary to properly handle payroll taxes. This […]
07/01/2015
Businesses ought to pat themselves on the back. In the fiscal year ending September 2013, the IRS handed down only 6.8 million payroll tax penalties, amounting to $4.5 billion dollars. The incredible number of penalties and fines looks fairly good compared to the numbers from 2009, when the IRS came down on businesses to the tune of […]
06/29/2015
It’s no secret that many small biz owners fear payroll. It’s often a meticulous task that has many repercussions, and lots of owners fail to understand the ramifications of making a mistake. In a healthy company, payroll typically accounts for 20 to 30 percent of your overall expenses, so it’s important to give it enough attention […]
06/22/2015
Let’s face it: you’re busy. You have to remember to address this client issue, schedule a vendor call, prepare the never-ending stack of invoices on your desk and still make it home in time for your child’s sports game. Add payroll processing on top of your already overloaded schedule, and it is no wonder you […]
06/17/2015
In our previous blog post, we discussed what makes small business owners fear payroll and how to get control. Running a company involves wearing many hats and managing a number of important tasks. If you’re unorganized or don’t have the time to spend on your small business’s payroll, you’re bound to feel stressed. You must […]
06/15/2015
As the owner of a small business, payroll is probably one of your most fear-inducing managerial duties. Most business owners understand what they need to do in order to manage their payroll, but it is still one of your biggest expenses. If you’re unable to dedicate enough of your time and attention to properly managing […]
06/08/2015
The Affordable Care Act (ACA) is forcing small business owners across the country to rethink their tax savings strategy. New regulations and penalties mean that every small business owner – from one-person shops to recently defined Applicable Large Employers (ALEs) – should work with a tax consultant who is knowledgeable on the full scope of the law. This is the best way to realize the most tax savings and […]
06/01/2015
The heart of every small and large business is bookkeeping. This department handles all the bills and payments received. They also work closely with HR to ensure all employees’ pay is reconciled, processed and delivered. If you are just starting out, the bookkeeping side of your business can often keep you so busy that you’re […]
05/29/2015
If you’re a small business owner concerned about tax savings, it’s imperative to understand the full scope of the Affordable Care Act and its implications. As we discussed in our previous blog posts, you should understand your ALE qualifying status and proactively identify tax problems.Then, you should think about several strategies that help you overcome […]
05/25/2015
In recent years, few regulations have impacted small businesses as much as the Affordable Care Act (ACA). While the law itself does not primarily touch on taxes, its requirements are causing financial problems for many small to medium-sized businesses across the country. As you learned in our last blog, businesses that classify as Applicable Large […]
05/18/2015
The costly mistake of filing your taxes incorrectly with the IRS is one no business owner wants to make. From penalties and interest to the cost of tax audit, the consequences of a notice, rejection or tax audit can be detrimental to the business. If you are in a bind with the IRS, you may […]
05/15/2015
As a small business owner, it’s imperative to understand the direct impact that tax planning has on your financial health. Proper planning gives you the freedom to forge ahead confidently, knowing that your bottom line is safe. Conversely, tax preparation mistakes cost you money, time and focus on your most important objectives for your business.Avoid […]
05/11/2015
As the 2014-2015 school year winds to a close, many families are looking forward to time away from home as a break from the daily norm. In fact, summer is the peak season to take extended vacations, followed closely by fall and spring breaks and the winter holiday season. Regardless of when your employees take […]
05/04/2015
It’s no secret that the Affordable Care Act (ACA) is affecting small business owners across the country. New regulations and requirements make proactive tax planning especially important. If you don’t understand the ACA or you fail to factor it into your tax preparation, your financials suffer.Here’s a brief overview of how the ACA impacts your […]
05/04/2015
In Part 1 of Dreading Another Tax Deadline? Streamline Your Company, we highlighted the fundamentals to streamlining your small business’s tax management and processes. In this second installment, we’re going deeper and outlining the more detailed steps to stop stressing about your taxes. As our previous blog noted, meeting your tax deadlines is a function of […]
04/27/2015
It’s official. Tax season is finally over, but that does not mean your small business is done thinking about taxes for the year. Now it’s time to learn from any mistakes made in 2014 and new policies that will be implemented for the 2015 business fiscal year. Every business is unique and has its own […]
04/20/2015
Small business owners collectively tend to dread tax deadlines because they share many of the same issues that larger companies might not have. Your free time, organization, dedication to taxes and available cash all factor into your fear. Let’s look at each element individually: Time – You probably feel like you don’t have enough time to […]
04/20/2015
In last week’s blog, we discussed the five common barriers to fulfilling tax requirements for your small business. Understanding some of these obstacles helps you to determine the actions you should take to overcome them. Equally important is being able to recognize your short-term and long-term options in order to reduce or eliminate the cost of […]
04/13/2015
Successfully running a small business demands attention to a variety of needs. Where do your tax-filing requirements fall on that long list? Fulfilling your tax needs and addressing the requirements of your small business is key to avoiding late-filing penalties. Even so, many business owners suffer from a lack of attention to their taxes. The […]
04/06/2015
A tax consultant who is fit to support you in your journey to achieve your business dreams is a certain kind of professional. There’s no such thing as a “one-size-fits-all” tax partner Whomever you partner with must have specific experience and qualifications, a personality that’s conducive to a successful and productive relationship, and the availability to […]
03/30/2015
In all of our years of offering tax advisement and payroll management to small, medium and large businesses, we have noticed administering pay raises can be quite complicated and have sticky consequences when enacted inefficiently. It requires monitoring of your employees to see where performance excels, meets or falls short of your company’s production standards. Since many […]
03/25/2015
The personal characteristics of your tax consultant contribute to this professional’s ability to support your small business. He or she must also have the experience and qualifications to provide tax advice that has a lasting impact on your business. Yet, none of these criteria matter if you’re not partnering with someone who is capable of giving you […]
03/23/2015
In our last blog, we discussed the professional qualifications of a tax consultant who’s best suited to support your small business. But, as we mentioned, those five credentials are only a starting point. A tax consultant is someone you must work with year-round. Simply getting tax advice and support in April is not a recipe […]
03/16/2015
During the height of the tax season, the payroll experts at Padgett Business Services® feel that it is important for small business owners to understand and follow this small business rule: Seek payroll and tax advisement throughout the fiscal year— not just at tax preparation time. Your small business has many parts and components that keep it running like […]
03/12/2015
The best small business tax services, by nature, require a professional with certain credentials, from experience to qualifications. Not all tax consultants are equipped to support small business owners, and not all small business tax advisors are best for your unique company. The truth: Finding the right tax consultant for your business is a matter […]
03/09/2015
When you’ve run your business a certain way for a long time, you may not stop to question the routine anymore. But that doesn’t necessarily make it the proper way to do business. If you’re like most small business owners, certain aspects of how you’re running your business may be creating cash flow problems. And […]
03/02/2015
Tips are very common in the restaurant and bar industry, but they are common in other industries as well. When was the last time you tipped someone outside of the food service business? Was it a hotel staff member, your VIP valet service, your masseuse or manicurist? It could have also been a moving company […]
02/27/2015
Whether you’re running a small business or a Fortune 500 company, cash flow problems have the potential to run your enterprise into the ground. Even a profitable business suffers if it’s struggling to keep a positive net cash flow. If customers are slow to pay, your expenses are apt to add up quickly and keep […]
02/23/2015
Running a business is difficult. There’s never a shortage of responsibilities. You may be pushing off those tasks that aren’t urgent today in order to focus on what must be done this minute. With tax advice for your small business, however, waiting until April is simply a bad recipe. When it’s time to file your […]
02/16/2015
Angry employees surrounding your desk after receiving a less-than-satisfactory paycheck is not an ideal situation. Honestly, there are many opportunities to make mistakes in small business accounting. While the advent of more computerized systems reduced typos and errors relative to paper records, numeric or miscalculated equations can vastly still impact employees’ paychecks. At Padgett Payroll Services®, […]
02/13/2015
When you think of your business’ bottom line, do you consider the impact your employees can make on it? Employees affect your bottom line, not just from having to pay wages, but also a number of factors that can ultimately make or break your business. As your business grows, it is important to consider the worth […]
02/11/2015
Meeting payroll really comes down to one factor: Do you have the necessary funds to pay your employees? Sound payroll management takes proper planning and proactivity. If you’re unable to meet payroll, you’ve probably been paying your rent, suppliers and other expenses with your payroll tax dollars. This is undoubtedly a reactive measure. The consequences […]
02/09/2015
It’s not your fault. And you’re not alone. When you start your own small business, you don’t put debits and credits at the top of your priorities. After all, keeping your records organized is not your passion or your strong suit. Nonetheless, ignoring management reporting leads to accounting problems that take you away from that […]
02/02/2015
With the IRS penalizing one in three businesses for payroll and tax errors, it is clear that conventional methods of manual payroll will more than likely lead to costly penalty fees. Not only does your business have to deal with paying the IRS penalties, it is also losing money from the hours of time spent […]
01/30/2015
When you spend all year working your tail off to run your small business, there’s nothing quite as demoralizing as watching your hard-earned money walk away with the IRS. That’s why it’s important to implement tax-saving strategies that help you hold onto every possible penny. Use the following five tax strategies to minimize your tax […]
01/26/2015
If you own a small business, the best tax advice you’ll ever receive is that you need to be proactive and make tax planning a 365-day effort. Tax-saving opportunities happen from January to December. If you’re not taking advantage of them all year, don’t expect to find any quick fixes right before you file your tax […]
01/19/2015
Government compliance and tax reporting is something you may rarely think about. But, compliance for your small business is a function of year-round attention. Though you’re likely bogged down with tending to many daily tasks and problems, you’re only hurting yourself by putting compliance issues out of your mind until it’s too late. Today’s compliance […]
01/19/2015
As many people prepare to bring in the New Year and begin making resolutions, do not forget to make resolutions for your business as well. With the beginning of 2015, it may be time to start it off with an automated payroll system. If you have been manually inputting your payroll for your business, like 40% […]
12/30/2014
Procrastination is not something small businesses should do when it comes to taxes; in fact, it can end up costing the business money and add stress to the owner. Small businesses can save quite a bit of money if they make certain business moves before the end of the year. Here are some tips for small […]
11/19/2014
While nearly 80 percent of small businesses handle their payroll internally, roughly one-third of small businesses have reported errors in their payroll. Among the small businesses that report issues, the most common issues include late disbursement of checks and direct deposit, withholding an incorrect amount of taxes, faulty record keeping, and underpayment or overpayment of employees. […]
10/23/2014
promote loyalty among the employees and act as motivation for continued good performance throughout the year. A new small business that has never given a bonus before may have several questions on how to perform such an act, so it is important to learn about the tax rules by which a small business must abide […]
09/29/2014
Asking for a raise from an employer takes finesse. There are very few ways to do this correctly and many ways to do it incorrectly. When trying to negotiate a raise, whether it is for a new job or a raise in pay at the current one, it is important to consider mistakes that other […]
09/17/2014
As a small business grows, each new employee that is hired will have a large impact on how the company’s culture develops throughout the workplace. As a result, with each new member of staff ultimately shaping what the business will become in the future, it is essential to hire people who are passionate about the industry, and […]
08/21/2014
Many companies today focus on the wants and needs of their customers in order to stay ahead of the cost curve and to ensure that they maintain customer retention. However, small businesses also need to consider employee satisfaction as well. Customer satisfaction can only come from employees that are satisfied with their workplace, which means that the […]
08/14/2014
Tax planning is important to the stability and wellbeing of any small business, and having a professional on board that is well-versed in both tax codes and the inner workings of payroll can help to eliminate any setbacks that could arise in the future. Many small businesses claim that they could prepare their taxes by […]
07/28/2014
Running a small business does not mean having to sacrifice your vacation time in order to run a company efficiently. Many small business owners come up with common excuses such as “not being able to afford it” or “the business can’t run without my guidance” but, in all actuality, it may be a good idea to temporarily […]
07/28/2014
Project management is one of the most important elements for any small business. Many projects have a deadline, budget and expected results, but if not handled properly, the desired outcome could actually cost the business more money than anticipated, which will then negatively affect the bottom line. Our expert consultants at PADGETT BUSINESS SERVICES® have come up […]
07/18/2014
While payroll can be a tricky practice at times, it is on occasion required that an employee work overtime, and these additional hours must be paid as well as their regular work hours. A number of employment laws can be broken if the calculations are done incorrectly, and payroll is already a complex enough task, […]
07/18/2014
Has your business become too big to handle on your own? The idea of hiring your first employee can be a rigorous process; there are tax, safety, benefits and many other legal issues that must be resolved first. Before taking the plunge and hiring a candidate for the first full-time position within your business, you should […]
06/30/2014
Creating and maintaining a positive work culture is one of the most crucial tasks for any company, especially a small business. A positive working environment will lead to increased productivity, higher morale for workers and help businesses retain their skilled employees. Staff members will also feel more involved with a company when they feel upbeat, optimistic and […]
06/30/2014
Although the economy is gradually showing signs of positive change at the present, it is certainly different from what we were used to. This unfortunately means that it can be a tough time for many small businesses. While there are still numerous challenges ahead, there are certain strategies you can adhere to in order to improve […]
06/18/2014
In a previous blog post, we spoke about whether or not employing student interns could be right for your business. The same can be said for all internships where businesses provide the opportunity for individuals to learn about a particular industry. Internships provide aspiring people that want to know more about a job the chance to […]
06/18/2014
It can be difficult to find the right employee for the job and, in today’s competitive market, many businesses instead decide to offer temp-to-hire positions. This is where an employee is hired on a temporary basis, more often than not for approximately three to six months. At the end of their contract, employers make the […]
05/29/2014
A general ledger is primarily used by businesses to keep track of all financial transactions that the company makes. Initially, a general ledger was manually kept, but now with advancements in technology, general ledgers are computerized with software. Debits, credits, cash and accounts receivable are all compiled in the general ledger in order to generate […]
05/29/2014
Why hire a consultant for a business? Professional consultants are good problem solvers and are able to sell their expert knowledge or services to businesses in numerous different industries. While many businesses are hesitant to hire a consultant due to the many under-qualified people in the field, contracting a professional consultant can not only bring […]
05/20/2014
Small business owners benefit from outsourcing payroll. While many choose to do payroll internally through the use of bookkeeping, an increasing amount of businesses are starting to prefer professional payroll providers. The fact of the matter is, many small businesses do not have the necessary experience and expertise to handle all the demands that payroll processing […]
05/20/2014
In order for a business to succeed, it must first comprise itself of happy and satisfied employees. When the personnel within a company feels that they are respected and taken as a priority, they produce better results for the entire team. This ultimately increases the business’ profit and overall status. At PADGETT BUSINESS SERVICES®, we […]
05/12/2014
Tax time is the least anticipated time of the year for most Americans, but especially so for business owners. Not only do you have to do your own personal taxes, but you have to file for your business and determine which of your expenses are deductible. With the deadline to file looming in the near […]
05/01/2014
For many people who have become unemployed over recent years due to the downturn in the economy, looking for a new job is a vital part of every waking day. After all, finding either temporary or permanent employment can be the difference between making the rent payments on time and providing food for their family […]
04/28/2014
Congratulations! You made it past the infamous April 15 taxes due date. A part of you may still feel a little overwhelmed with the headache of dealing with tax filing and might be interested in setting new goals for the following tax year. Did you know: PADGETT BUSINESS SERVICES® works all year to provide tax preparation and other […]
04/28/2014
Do you feel as if your business has become increasingly time-consuming or difficult to manage? If so, you might be experiencing too much growth. PADGETT BUSINESS SERVICES®, your small business financial services provider, continues its series on the indicators that your business has grown too large too quickly. Continue reading for more warning signs and plans of […]
03/25/2014
While growth should be the goal of every business, there can be such a thing as too much growth too quickly. Growth that is uninhibited by key organizational changes and business self-analysis can become too big to manage. PADGETT BUSINESS SERVICES®, your small business tax preparer, has created a two-part guide to the indicators that your […]
03/18/2014
In celebration of the wildly popular Game of Thrones returning to HBO April 6, PADGETT BUSINESS SERVICES® continues its two-part series on the business lessons to be learned from Game of Thrones. [WARNING: this article may contain spoilers.] Lesson 3: Know Your Business There is a running theme in Game of Thrones about intelligence gathering. Everyone who has stake […]
03/11/2014
Last month we discussed in length what demotivates employees and makes them unhappy in their jobs. The factors included poor communication, boredom, unpleasant work environment, failure to recognize performance, incompetent leadership, lack of fulfillment and job security. Once you have ruled out or nullified these factors, your business is ready to find the quality employees […]
03/05/2014
Easily one of the most popular shows and novels worldwide right now, Game of Thrones returns to HBO April 6. Audiences love this series because it is full of intense drama, conflict and suspense. Although George R.R. Martin’s epic fantasy is set in a fictional world, there are quite a few incredible lessons that we can apply […]
03/04/2014
Tax season can be a very daunting time of the year. It involves filing, computer time, calculating and other stresses. PADGETT BUSINESS SERVICES® is here to make the process a little easier. We help with income tax, payroll tax, sales tax or any other necessary tax. Both businesses and individuals have a lot to go through when […]
02/04/2014
Many companies are trying harder than ever to counter the threat of disengaged employees with better job perks and benefits. But we have to take the time to examine why so many employees are unhappy with their jobs, if we are to effectively engage them. In the second part of this series, Padgett Payroll Services® continues examining […]
01/31/2014
PADGETT BUSINESS SERVICES® offers small business owners an array of support services. We understand that small business owners work nonstop, and questions can arise at any time of day. This is why our site has been constructed to assist clients 24/7. Whether you are seeking consulting services or simply need to reference something, PADGETT is […]
01/27/2014
Motivated employees are something that every business strives for. Unfortunately, unhappy employees work in almost all businesses. Before you can strive for engaged employees, you first need to examine what makes employees unmotivated and unhappy in their jobs. In this two-part series, Padgett Payroll Services® asks you to consider these common reasons why an employee may hate […]
01/24/2014
As a busy small business owner, you may think that it would be nice to be more involved with your community, but you just do not have the time. However, several studies have found that it is imperative for you to make the time for community involvement if you want to be competitive. PADGETT BUSINESS […]
12/18/2013
If every job candidate was as great in person as their resume suggested, the hiring process would be fairly simple. A hiring manager could easily just select the best looking resume, and have a model new employee to train. Anyone who has ever had to hire another person knows, however, that the perfect candidate is […]
09/30/2013
At the beginning of the 21st century, business leaders knew without a doubt that the internet was rapidly changing the way Americans conducted business; yet, hardly anyone predicted that the internet would be in the pocket of the majority of Americans within only a few years. As of June 2013, 91 percent of Americans own some […]
09/27/2013
Businesses have been using the basic strategy of “steps of service” for the better part of the last two decades. No matter the size of your business, developing steps of customer service and training your employees to follow the steps is one of the most important things you can do as a business owner to […]
09/24/2013
It is widely stated that 95 percent of communication is nonverbal. As a leader, it is important to ask yourself what message your appearance is giving to your employees. How you look and conduct yourself should communicate who you are and what you value, and as a leader of your company, by extension it should […]
09/24/2013
Small businesses often have a difficult time matching large corporations on salary and bonus packages. So how can a small company compete with big business for top talent? The answer is to get creative. As a small organization, you can offer all kinds of creative perks that large companies cannot match. Padgett Payroll Services®, an […]
08/30/2013
Many small business owners start out doing everything for their business themselves. However, as a company grows, it becomes vitally important to delegate tasks in order to keep it growing, while also enabling you to have a life outside of your business. PADGETT BUSINESS SERVICES®, a financial services partner to small businesses for over 40 […]
08/29/2013
Many small business owners start out doing everything for their business themselves. However, as a company grows, it becomes vitally important to delegate tasks in order to keep it growing, while also enabling you to have a life outside of your business. PADGETT BUSINESS SERVICES®, a financial services partner to small businesses for 40 years, […]
08/12/2013
Startups, or small businesses still in the development stage, carry both a positive and a negative connotation. On the positive side, startups are associated with young entrepreneurs differentiating themselves from large companies to form unique brands. On the negative side, critics of startups complain that the employees are undisciplined, profitability is low, and the work […]
08/05/2013
For many small business owners, taking on all of the company’s duties and responsibilities can be rather difficult, especially as your business expands over time. Hiring employees is a great way to reduce your work load, and it allows you to place more emphasis on running the business rather than doing a lot of the leg work […]
07/29/2013
When it comes to any small business, networking is the key to success. With the explosion of online marketing and social media, business owners can easily place face-to-face networking on hold and spend more time online. Although online is still important to the expansion of any business, person-to-person networking will build solid relationships that any […]
07/25/2013
Every company has a culture. The culture can be carefully created and grown by the company’s management, or it can be something that grows on its own. Research shows that companies with a strong culture significantly outperform companies without a foundation of shared values. Company culture can be a nebulous concept, so PADGETT BUSINESS SERVICES® […]
07/10/2013
Providing employees with feedback aimed to improve performance can be a nerve-wracking job for managers and small business owners. So how can you give your employees feedback that will not only be accepted, but also acted upon? Padgett Payroll Services® has created this guide for giving constructive feedback. The first step to giving useful feedback is to […]
07/02/2013
Padgett Payroll Services®, small business payroll experts, continues its guide to hiring best practices for small businesses. In Part One we covered: defining company culture, deciding future employee qualities and skills and prioritizing these qualities and skills. This section will cover the recruiting, interviewing and vetting process for employees. Now that you have your job description, the […]
06/19/2013
The Athena Doctrine: How Women (And The Men Who Think Like Them) Will Rule The Future by John Gerzema and Michael D’Antonio, a new leadership book exploring the traits that make an ideal leader in today’s world, concludes that the qualities traditionally considered feminine make leaders successful. PADGETT BUSINESS SERVICES®, your small business financial services […]
06/17/2013
Your small business is growing, and you have more work than you can handle. It is time to hire new employees. Whether you are the only employee or you already have a team in place, chances are good that you have questions about how to hire the best fit for your company. Padgett Payroll Services®, small […]
06/07/2013
The U.S. Small Business Administration (SBA) recently released information on the SBA Veteran Pledge Initiative, which is a commitment by national, regional and community lenders to increase loans to veterans by five percent each year for the next five years. PADGETT BUSINESS SERVICES®, offering financial services to small businesses for more than 40 years, has gathered […]
06/06/2013
Two recent reports about cyber crime have indicated that small businesses are a big target for cyber attacks. Symantec released a study that states that 31 percent of attacks targeted businesses with fewer than 250 employees. Verizon released a report stating that close to half of cyber attacks targeted companies with fewer than 1,000 employees. […]
06/04/2013
Employee engagement is essential in keeping turnover low and productivity high. Padgett Payroll Services® has created this guide to low cost ways small businesses can increase their employee engagement. Relationship with Direct Manager or Supervisor Direct managers or supervisors have a huge impact on employee engagement. If your employees are not meeting standards, take a look at […]
06/04/2013
As the school year winds down, many college students are seeking their first professional opportunities in the form of internships. Padgett PayrollSM, small business payroll specialists, has put together this guide to determining if student interns are a good fit for your small business. When evaluating if an internship program will work in your organization, ask […]
05/21/2013
Starting a new business is a daunting task. Various studies have cited a failure rate of 50 percent for new businesses in the first year. With so much to do and such a high risk factor, prospective business owners need to do their research before taking the step of launching their enterprise. PADGETT BUSINESS SERVICES® is focused […]
05/16/2013
Nothing is more frustrating in an office setting than when you’re trying to focus and meet an impending deadline when, all of sudden, one of those little distractions occurs. However innocent or unpredictable, it can be one of a number of things as well: Anything from a surprise office meeting or an unexpected visit from […]
04/24/2013
As the country recognizes today as Earth Day, it’s a good time to reflect and ask the question: Is my company doing everything possible to help the environment and “Go Green”? By taking an active role in cutting down on wasteful practices in your office and recycling whenever possible, there are numerous ways you and your […]
04/22/2013
As the country recognizes today as Earth Day, it’s a good time to reflect and ask the question: Is my company doing everything possible to help the environment and “Go Green”? By taking an active role in cutting down on wasteful practices in your office and recycling whenever possible, there are numerous ways you and your […]
04/22/2013
Time is not on your side if you have not yet filed your 2012 taxes, as Monday, April 15th is the fast-approaching deadline. In fact, as of the date of this post, only 5 business days remain. So unless you plan on filing for an extension, you could find yourself in the cross hairs of the […]
04/08/2013
Regarded as one of the most often quoted statements, Benjamin Franklin once said: “Nothing is certain except death and taxes.” As the deadline to file your 2012 taxes steadily approaches, you can add April 17th to the list of looming events you can expect to be certain as well. That is, unless you plan ahead […]
02/27/2013
Today we live in a society saturated with social media. It’s literally everywhere you are: computers, tablets, smart phones, television…you couldn’t get away from it even if you tried. This begs the question of why some small businesses continue to ignore it as a key marketing strategy for their company. Since its inception, the internet has been […]
02/18/2013
Putting the pieces back together after a major life-change like a divorce can be a major challenge. For some people, the aftermath of such a devastating lifestyle change can really set you back, especially if you were the spouse who wasn’t responsible for filing the family taxes at the end of the year. Should you […]
01/30/2013
It’s long been thought by some government officials that low-income households would spend a tax rebate check quicker than high-income families. While that widely-thought theory makes sense because of the fact that those who are “cash-strapped” would have more of a need for the money than those who are better off financially, an interesting new […]
01/30/2013
Looking for ways to get your start-up business off the ground? Sometimes there are some creative ways that you can inject some new life into your dream project that don’t necessarily require throwing a ton of money at the situation. So how exactly do you bounce back if the bank declined your loan or your […]
01/29/2013
At PADGETT BUSINESS SERVICES®, we’re excited about the beginning of a new year and the sense of promise it brings. Like many people at this time of year, you’ve probably made a list, at least mentally, of a few resolutions for 2013. As a small business owner, however, it’s an excellent idea to also write down a […]
01/07/2013
Small businesses may being giving out raises a little more frequently this year, and they may also be shelling out a somewhat bigger increases in wages and salary to keep their top performers on the payroll. That’s according to WorldatWork, a non-profit association of human resources and compensation professionals. After the amount and frequency of employee […]
01/04/2013
Employee pay stagnated somewhat during the Great Recession, but now pay raises are no longer coming so far apart, according to one non-profit human resources organization. WorldatWork, an association of HR professionals that compiles employee compensation data, reported that the average worker waited about 12 ½ months get their latest pay raise. Just two years ago, in 2010, […]
01/03/2013
Payroll processing will become less of an exact science this week because of uncertainties over what payroll and income tax rates will be applicable in 2013. The ongoing negotiations in Washington meant to avert a tumble over the so-called “fiscal cliff” have put payroll managers nationwide in this difficult situation. At many companies, employee pay must be processed now for […]
12/28/2012
It’s that time of year when small business tax preparation is a hot topic, and the small business bookkeeping pros at PADGETT BUSINESS SERVICES® field a lot of inquiries about IRS rules and regulations. Entrepreneurs who run home-based businesses often have a lot of questions about what they can and can’t deduct as a business expense. Working from home is the […]
12/20/2012
In some industries, getting and keeping enough workers with the right skill set on employee payrolls is already a challenge, and that challenge is only going to intensify over the next few decades. In fields like information technology and highly skilled, tech-based manufacturing, the pace of change is predicted to become so rapid that whole job categories […]
12/05/2012
In the previous two posts, we’ve discussed a bookkeeping term called accounts receivable turnover and how to measure it, and we’ve explained why having a good ART is important to your small business financial planning. The question now is, what steps can you take to make your ART higher? The answer to that is a big part of the answer […]
11/29/2012
Our previous PADGETT BUSINESS SERVICES® blog post explained in detail how to sharpen up your small business bookkeeping skills to figure out your company’s accounts receivable turnover, or ART. Remember, your ART is just a ratio that indicates how much money you have in invoices outstanding (i.e., not yet paid by your customers) in relation to the size of your business […]
11/28/2012
Small business bookkeeping serves many purposes, but one of the more important functions of good financial practices is to monitor and manage cash flow. As we’ve pointed out before in the Padgett blog, adequate cash flow is critical to a business’s very survival, and it’s especially important for a small or newly established company. With finances so tight […]
11/14/2012
The internet has brought many formerly unknown conveniences to business owners, from ordering stock and supplies over the web to the efficient online bookkeeping and payroll services offered by PADGETT BUSINESS SERVICES®. Even more exciting for a small business, however, are the opportunities that the internet creates for connecting with potential customers. Through search engines, online directories and internet advertising, […]
10/23/2012
The scarcity of credit for small businesses has been one of the big stories of the last few years, so it came as welcome news last week that small business lending went on the upswing in September, and in a big way. According to the small business lending index compiled by loan broker Biz2Credit, small business loan […]
10/19/2012
Tools for small business bookkeeping have evolved over the decades from huge ledger books and fountain pens to adding machines and calculators to today’s desktop computers and small business accounting software. In the business world, this kind of change is a constant, yet it’s always a little surprising when a piece of once-indispensable office equipment becomes obsolete, or […]
10/17/2012
When it comes to deciding which job applicants get turned down and which ones end up on their small business’s payroll, most small business owners trust their gut instincts. However, some U.S. companies – for now mostly larger ones – are letting computer programs make their hiring decisions. Is automation the future of hiring, even for […]
10/17/2012
When the announcement came last week that 114,000 workers were added to the nation’s employee payrolls in September, just about everyone seemed to be caught off guard by the surprisingly good news. Officially, the U.S. unemployment rate fell below 8 percent for the first time in almost four years, going from 8.1 percent the month before down […]
10/11/2012
Even for small business, payroll systems are essential to make sure that employees get paid accurately and on time, and that payroll taxes are remitted properly. Establishing a well-organized payroll processing system – and sticking to it – will make it a little easier to deal with federal, state and local tax and labor laws. In addition […]
10/09/2012
Forget the Mayan calendar and the end-of-the-world scenario that some people think it forecasts for this coming December. A real potential economic doomsday often referred to as “Taxmageddon” could take place at the end of the year unless Congress acts in time, affecting millions of individual and small business taxpayers across the U.S. Taxmageddon is a term […]
10/03/2012
Whether transacting e-commerce over the internet or serving customers face-to-face at brick-and-mortar stores, merchants today rely on credit card and debit card transactions to facilitate most of the business they do. There are costs associated with being able to accept payment cards, however, and those costs seem onerous to many small business owners. The payment card […]
10/03/2012
Small business financial advisors will tell you that credit can be the lifeblood of small businesses. By the same token, bad decisions related to business credit and financing can be your company’s undoing, and possibly the undoing of your personal and family finances as well. Your small business bookkeeping and finances should be kept separate from your personal […]
09/27/2012
Even modest-sized businesses with relatively small numbers of people on their employee payroll are crafting policies regarding their workers’ use of social media. Companies that don’t yet have a social media policy should probably write one sooner rather than later, because services like Facebook , Twitter and Google+ are so pervasive in our society today. The sphere […]
09/24/2012
Back-to-school season is one of those times of year that many small retail business owners eagerly look forward to. Families in the U.S. collectively spend tens of billions of dollars in August outfitting their school-age kids for the coming academic year, an average this year of almost $700 per family according to one survey. Some states and […]
09/04/2012
New workers have been added to U.S. employee payrolls month after month throughout the late spring and early summer – just not enough of them to bring the overall rate of unemployment down, according to figures from the Department of Labor’s Bureau of Labor statistics (BLS). According to the BLS, the U.S. economy added 163,000 jobs in […]
08/06/2012
In which state in the country does small business have it best? That depends on the criteria you use to determine each states’ business climate, and different small business consultants are likely to come up with different answers to that question. Each state’s economic conditions, tax structure and regulatory code all play a part in determining how well small […]
07/13/2012
Most small business owners would like to see their enterprises grow in size, perhaps someday to the point where they are no longer considered small businesses. The question is, what is “small,” who decides that definition and what difference does it make anyway? Throughout last year, as the Small Business Administration updated its definitions of what constitutes […]
06/18/2012
The prospect that tens of millions of American workers might see a much bigger tax bite come out of their employee payroll checks just six months from now has small business owners, large corporations, politicians, economists and just about everyone else in fear of massive disruptions in the U.S. economy. This looming scenario – dubbed “Taxmageddon” – […]
06/18/2012
The Better Business Bureau, an organization that has made a mission of building consumer confidence in the business community, celebrates its hundredth birthday in 2012. The BBB describes its mission as “advancing marketplace trust” in pursuit of a vision of “an ethical marketplace where buyers and sellers can trust each other.” The first local BBB […]
06/08/2012
National Small Business Week, an annual event that celebrates American small business and its importance to the U.S. economy, will kick off this year on Sunday, May 20. The week begins with a three-day convention of small business owners May 20-22, which will be held in Washington, D.C., and is hosted by the Small Business Administration. The SBA created […]
05/15/2012
The number of workers on the average U.S. business establishment’s employee payroll has fallen, and not just because of the recent recession and the slow pace of recovery from it. In fact, the mean number of employees at each U.S. business establishment – defined as a single physical business location, regardless of its affiliation with a larger […]
05/15/2012
More and more small businesses are finding out that hiring an outside payroll processing company is an efficient and cost-effective way to take care of employee payroll duties. Indeed, handing off the routine tasks of payroll management to a contract payroll processor frees up valuable time for the owner of small business and his or her limited workforce to concentrate on things more […]
05/09/2012
Many small businesses continue to struggle when it comes to borrowing capital, with two-thirds of small business owners in one recent survey saying that obtaining credit is still more difficult today than it was a few years ago. But legislation is pending in Congress that could give credit unions more freedom to fill the lending void that […]
05/07/2012
People aspiring to become small business owners must familiarize themselves with the various federal, state and local business taxes that their enterprises will be subject to. The system of taxation on business operations is complicated, especially for businesses that have employees. Understanding and complying with business tax law is not one of the more pleasant tasks for an entrepreneur, […]
05/03/2012
Absenteeism due to illness obviously affects a company’s productivity and level of service to its customers, especially for a small business that has a small number of employees on the payroll to do the work in the first place. But employees who come into work when they’re sick may not be doing their employers much good, either. So-called “presenteeism” […]
05/03/2012
In which state in the country does small business have it best? That depends on the criteria you use to determine each states’ business climate, and different small business consultants are likely to come up with different answers to that question. Each state’s economic conditions, tax structure and regulatory code all play a part in determining how well small […]
04/27/2012
Employment prospects in the financial services industry tanked in the wake of the crisis in the financial sector several years ago and during the severe recession that followed. According to the U.S. Bureau of Labor Statistics, the number of jobs in the U.S. financial services industry so far has yet to recover to 2008 levels. In late […]
04/24/2012
Offering good health insurance benefits can play a big part in attracting quality people to your company and in retaining them on your employee payroll. In addition, workers can be more productive when they’re healthy and free of worry about how they would pay for medical care if they or a family member were to fall […]
04/24/2012
Not only does unemployment in the United States remain high several years into our current historic “great recession,” but the percentage of the unemployed who are actually receiving unemployment benefits is at a 50-year high. The number of the unemployed who are taking advantage of benefits provided by unemployment insurance – what economists call the “takeup rate” – never […]
04/24/2012
Like Christmas, it seems that tax season starts just a little earlier every year. Anyone who works as a tax preparer for individual income tax filers is already very, very busy. On TV and elsewhere, advertising abounds for tax services available both online and at thousands of retail outlets across the country. Naturally, the point for many early tax […]
04/05/2012
An attorney for National Federation of Independent Business (NFIB), a nationwide organization that lobbies on behalf of small businesses, was among those arguing before the U.S. Supreme Court this week in an attempt to convince the justices that the Obama administration’s main health care reform legislation should be struck down. The NFIB and many other small business groups […]
03/30/2012
Lack of cash, according to some small business consultants, causes more new enterprises to go belly up than any other problem. No business can survive for long without adequate cash flow, yet many new small business owners don’t do enough financial planning to reasonably ensure that their company’s cash flow will remain positive throughout their first year. No […]
03/15/2012
Cash bonuses paid by employers to employees for performance, achievement or service are taxable just like wages are. It’s important for a payroll manager to be aware of this and to comply with tax withholding laws when disbursing bonus checks. As with regular wages, withholding and remitting too little from bonus payments can result in serious IRS […]
03/15/2012
A recent post discussed the importance in payroll administration of correctly classifying workers as either employees or independent contractors. Handling employee payroll properly also requires employers to further classify employees as “exempt” or “non-exempt” for purposes of calculating overtime pay. As a general rule, federal law requires that non-exempt employees be paid at least 150 percent of the regular wage rate […]
02/15/2012
The Small Business Administration would be rolled into a new business- and trade-related department made up of a portion of the current Department of Commerce and several other now-independent federal agencies, under a plan floated by the Obama administration a few weeks ago. A related move on January 13 re-elevated the head of the SBA […]
02/05/2012
Money for capital investment is the lifeblood that allows a small business to prosper, grow and perhaps create badly needed jobs. But the credit squeeze that began several years ago in the wake of the “great recession” has made it difficult for small business owners to include growth and expansion in their financial planning. Unfortunately many […]
02/02/2012
Payroll processing for any company presents challenges, but for companies whose employees receive tips, proper and accurate payroll administration is even more complicated. The good news for employers in most states is that tips can be counted as part of an employee’s pay for purposes of complying with minimum wage laws. The bad news is that accounting for […]
02/02/2012
More and more these days, personal computers are taking on a different form, as Smart Phones and iPads are taking over the market. Desktop and laptop computer sales were down significantly last year, as users have been gravitating to the smaller devices that have the same capabilities, if not better. So your first step, if […]
01/28/2012
An increasing number of state and local governments are implementing or considering laws that will make it mandatory for employers to check the information supplied by applicants on I-9 forms against the database of the federal E-Verify system. Small business consultants consequently advise employers to be aware of current or impending state and local E-Verify requirements where […]
01/20/2012
The Internal Revenue Service, in partnership with the U.S. Department of Labor and various state labor departments, continues to strongly enforce regulations meant to prevent misclassification of employees as independent contractors (ICs). Fortunately, an amnesty program is now in place that will allow an employer who has misclassified workers as ICs to bring them onto […]
01/20/2012
Companies that hired from the ranks of the unemployed in 2010 and subsequently retained those employees for at least 52 continuous weeks can claim a tax credit of up to $1,000 per qualifying employee on their business taxes when they file their 2011 returns. The credit is one of the provisions of the Hiring Incentives to Restore […]
01/11/2012
The payroll tax cut that was in effect for 2011 was extended for another two months by a Congressional vote that took place just before Christmas. The employee share of the Social Security tax would have jumped from 4.2 percent back up to its pre-2011 rate of 6.2 percent on December 31 if federal lawmakers had not […]
01/11/2012
Payroll administration may be a mundane task, but it’s one that can create some serious repercussions if it’s ever done wrong. Monetary penalties for things like non-remittance or late remittance of taxes, incorrect calculation of overtime pay and improper retention of records can be severe, and can be especially harmful for small business with fewer resources […]
12/28/2011
If you own a small business, you probably started it because you were excited about making a certain product or providing a certain service. And what keeps you excited is making that product or service better, pleasing customers and growing your company. The routine business chores are probably not quite that inspiring. And even for […]
12/28/2011
For small business owners, tax preparation for 2011 could bring some confusion surrounding the proper way to report payments to vendors on the IRS’s Form1099-MISC. Form 1099-MISC has always been used to report to the IRS payments of $600 or more made by businesses to small vendors, mostly non-corporate entities, for rent or services. But the IRS, […]
12/21/2011
The payroll tax that funds the Social Security program will go up on January 1, 2012. That is unless it goes down. Or possibly stays the same. Unfortunately for payroll managers, that’s about as clear as the payroll tax situation has gotten with 2011 winding to a close and automatic rate increases ready to kick in […]
12/21/2011
Small businesses employ tens of millions of workers in the United States and Canada. That’s tens of millions of paychecks amounting to billions of dollars going out every month. While that’s a great contribution to the economic engines of our countries, the routine of calculating payroll, taxes and deductions isn’t the most inspiring task in […]
12/01/2011
Good record keeping and accurate financial reporting are important for a business of any size. Finding valuable employee time for bookkeeping chores is a special challenge for a small business, which may well have fewer employees total than a big company has in its accounting department alone. Computerized accounting is supposed to help, but the reality is that many […]
10/06/2011
