Can You Employ Your Child For Your Business? When you employ your children to work in your business, make sure that you comply with both the IRS and the Department of Labor. Labor Law Here’s what the Department of Labor has to say in its plain English explanation about a parent hiring his or her child: The Fair Labor Standards [...]

Know About This Employer-Issued Non-Qualified Stock Options You or your spouse may have the opportunity to obtain non-qualified stock options. Or you may have your corporation issue non-qualified stock options to its employees and independent contractors. In both cases, you will want to know how these options work. When you exercise a non-qualified stock option, the bargain element (the difference [...]

Avoid Gift Tax: Use the Tuition and Medical Strategy If you or a well-off relative are facing the gift and estate tax, here’s a planning opportunity often overlooked: pay tuition and medical expenses for loved ones. Such payments, structured correctly, do not represent gifts. The monies spent by you on the qualified medical and tuition payments reduce your net worth [...]

Answers to Questions About the Secure Act The Setting Every Community Up for Retirement Enhancement (SECURE) Act changed the landscape for retirement and savings planning. Here are eight important reminders about this new law: You can’t use contributions made in 2020 but applied to 2019 for any SECURE Act provisions that apply to contributions made after December 31, 2019. If [...]

Unlock Tax Deductions with a Rental Property Home Office With the start of a new tax year, you’re probably looking for new tax savings opportunities. As you probably know, establishing a home office for your Schedule C or corporate business creates valuable tax deductions. But it’s not available only for your proprietorship, partnership, or corporate business. If you have rental [...]

Solo 401(k) Could be Your Best Retirement Plan Option Have you procrastinated about setting up a tax-advantaged retirement plan for your small business? If the answer is yes, you are not alone. Still, this is not a good situation. You are paying income taxes that could easily be avoided. So consider setting up a plan to position yourself for future [...]