There is currently a House bill sitting in committee that would let employers make tax-free contributions to 529 college savings plans and Coverdell accounts. Rep. Jon Porter R-NV introduced H.R. 3585. We think this is an excellent idea and would allow the employer /employee relationship some added flexibility when it comes to bonuses and compensation. […]
The Internal Revenue Service is putting small business owners in their crosshairs. This year, the IRS is planning to heavily scrutinize company pension plans especially small to mid-size businesses due to what they view as increasing amounts of abuse and errors made within pensions. The IRS has expanded its employee plan division this year to […]
I happened to overhear a conversation at the gym this past month when two young executive types were getting themselves all excited about the sizeable tax refund they were expecting this year. When I hear peoples joy regarding their pending refunds I have to shake my head in frustration. To everyone out there that is […]
Look out America! The IRS is about to get real tough. The Internal Revenue Service is intensifying its crackdown on tax dodgers, and plans to increase the number of tax audits it will conduct next year. The IRS will be focusing on investigating taxpayers with incomes of $100,000 and above. The agency will be examining […]
In this past months edition of Fortune Small Business columnist Brian O’Reilly made this excellent analogy… Imagine for a moment that your local police set out to trap a few wily burglars but wound up clumsily ensnaring you and others, the town’s shopkeepers, factory owners, and doctors. The town officials discover they can make so […]
During the dotcom boom of the late 1990s, we were vehemently criticized on our position on looking for dividends. Conventional wisdom at the time was that we were in the “new economy” where earnings and cash flow didn’t matter, and stocks never fell. Who in their right mind would ever want to look for dividend […]
Exchange Traded Funds, or ETFs, are simply a basket of securities that trade just like stocks on the major exchanges. For individuals who want to invest in the market quickly and cheaply? ETFs are the most practical vehicle. They help the investor focus on what is most important, choice of asset classes. All the major […]
We have received many phone calls and e-mails from investors regarding the poor performance in their 401k plans. Unfortunately what we have discovered is that many plans are not diversified enough, they are under funded, and the fees being charged are off the charts. 401k plans tend to fall under the “set it and forget […]
Due to the tax cuts of the past few years it is important that individuals take a hard look at the tax implications of their portfolios. Certain assets that were prudent to hold in taxable and taxdeferred accounts need to be rebalanced based on the rule changes. For example: tax rates on qualified dividends and […]
After plenty of new tax legislation in 2001 and 2003, Congress has not enacted any major new tax changes for 2005. What we have left for this year is essentially leftover legislation that will continue to be phased in until 2010. The leftovers include the rollout of the Roth 401K discussed earlier and these other […]