Looking to minimize clutter? Here are recordkeeping guidelines that will help you do just that while retaining what’s important. Income tax returns. Keep these at least seven years. Hang on to the back-up documents, such as Forms W-2, mortgage interest statements, year-end brokerage statements, and interest and dividend statements, for the same amount of time. […]
Do you think pulling the plug on a failed contract would be “wasting all the money” your business has spent to date? If so, you may be making the choice based on emotion and “sunk costs.” Sunk costs are past expenses that are irrelevant to current decisions – such as those spent on non-performing contracts. […]
Financial literacy is a vital skill in today’s world. Will your children be able to handle their finances when they became adults? Here are tips to help ensure the answer is yes. Shave spending. Take the weekly allowance to the next level by helping your child develop a budget. Review the results to reinforce good […]
When a customer complains, think of it as three opportunities in one. An opportunity to get feedback on something that’s not working right in your organization. An opportunity to convert a disgruntled customer into a loyal customer. An opportunity to head off negative publicity. Here are four steps to take to convert a complaint into […]
A December 2015 survey by a consumer financial services company showed that 36% of the people who participated said they dealt with their most recent unexpected expense by using savings. Would you be part of that group? Here are tips for starting your “rainy day” fund. Define how much emergency savings is enough. A good […]
Did you receive a big tax refund or owe the IRS a lot of money for 2015? Then it’s time to update the form that tells your employer how to calculate your federal income tax withholding. That’s Form W-4, Employee’s Withholding Allowance Certificate, and here’s what you need to know. Filing a new Form W-4 […]
While you’re gathering information to prepare your 2015 tax return, set aside time for a financial review. Here are steps to get started. Compile a year-end list of your assets and debts and compare the list to last year. Are you gaining or losing ground? What actions can you take to improve your financial situation […]
You might believe a “dependent” is a minor child who lives with you. While that is essentially correct, dependents can include parents, other relatives and nonrelatives, and even children who don’t live with you. Here’s an overview of the dependency exemption. Exemptions and your taxable income. Each dependent deduction is worth $4,000 on your 2015 […]
Well-documented corporate minutes can provide valuable supporting evidence if the IRS questions choices you make on your tax returns. Minutes are especially important when related-party transactions are involved, such as payments, loans, or distributions between the company and you or other owners. For example, the IRS may challenge the amount of your compensation. Corporate minutes […]
Check whether your children need to file a 2015 tax return. They’ll need to file if wages exceeded $6,300, self-employment income was over $400, or investment income exceeded $1,050. When income includes both wages and investment income, other thresholds apply. Consider whether you’ll contribute to a Roth or traditional IRA. Since you have until April […]