SHOULD YOU CONVERT TO A ROTH 401(K)?

Brian Wynne, CPA

Tucked into the recent “Fiscal Cliff” bill (the American Taxpayer Relief Act of 2012) was a provision allowing an individual to convert amounts in their 401(k) plans to a Roth 401(k).   Previously, an individual could only convert amounts that were otherwise available to withdrawal from their 401(k), meaning after leaving their job, retiring, or reaching age 59 ½.  Under the new rules, as long as Roth contributions are offered by the employer’s 401(k) plan, employees can convert […]

February 6, 2013 Accounting, Benefit Plan Accounting, Wealth Management Read more...

New 401k Provisions in the Fiscal Cliff Deal: Converting to a Roth 401(k)

Scott Price, CPA

In addition to the more publicized tax hikes and provisions included within the Fiscal Cliff Deal (formally known as the American Taxpayer Relief Act of 2012) there is also an interesting provision for 401(k) plans.  Specifically, the bill has removed certain restrictions regarding the conversion of traditional 401(k) accounts to Roth 401(k) accounts, making it significantly easier for employees to move their retirement assets.

Previously, one of three scenarios had to occur to qualify for a conversion:

Change […]

January 11, 2013 Accounting, Benefit Plan Accounting, Wealth Management Read more...

IRS APPROVES LEAVE DONATION PROGRAM IN WAKE OF SANDY

The IRS has announced employees will not be taxed when they donate their vacation, sick, or personal leave in exchange for employer cash contributions to qualifying charitable organizations providing relief to the victims of Hurricane Sandy.  Additionally, employers will be able to deduct 100 percent of the contributions and will not be subject to any charitable contribution limits.

November 9, 2012 Accounting, Tax, Wealth Management Read more...

Illustrating Retirement Savings: DOL Considers Lifetime Income Estimations

Scott Price, CPA

In an effort to help defined contribution plan participants more effectively save for retirement, the Department of Labor (DOL) is considering rules that would require defined contribution plans, such as 401(k), 403(b) and profit-sharing plans, to include lifetime income stream illustrations in participant statements.

Current regulations under the Employee Retirement Income Security Act of 1974 (ERISA) require plan sponsors to provide periodic benefit statements to participants or beneficiaries that show only the total accrued benefits. The regulations currently […]

August 7, 2012 Accounting, Wealth Management Read more...

THE 2013 GREEN BOOK RELEASED WITH SOME INTERESTING ESTATE AND GIFT TAX PROVISIONS

Early last week, President Obama released the General Expectations of the Administration’s Fiscal Year 2013 Revenue Proposals, which outlines potential tax changes and is otherwise known as the ‘Green Book.’  This year many estate and transfer tax provisions were specifically mentioned.  As you may be aware, the current estate tax laws are set to revert back to tax year 2001 rates on December 31, 2012.  Current laws provide an estate tax exemption of $5.12 million and a top tax […]

February 21, 2012 Accounting, Tax, Wealth Management Read more...

That’s a Shareholder Problem!

2Posting by Eric Fletcher, CPA

For most large businesses, the personal financial needs of their shareholders, partners or members are of little concern.  Obviously, there is a market incentive to maximize the value of the company, thus enriching the owners, but the impact that the income or appreciation of the company has on the shareholders does not have to be a principal concern of management.  The exact opposite is true for the family business, where the finances of the company […]

February 21, 2012 Accounting, Family Owned Businesses, Wealth Management Read more...

DEDUCTIBLE PROPERTY TAXES

What taxes on real estate are deductible? Many people will get out their end of year mortgage statement or Form 1098 and look for the “Real Estate Taxes Paid” line on the form and use that amount.  However, depending on where you live this number may contain several non-deductible fees and assessments.  In order to accurately determine the deductible taxes you paid you need the actual tax bill.  The state of California is making an effort to educate property […]

November 8, 2011 Accounting, Tax, Wealth Management Read more...

DON’€™T GET TRICKED BY BOGUS EMAIL FROM THE ‘€œIRS’€

Glenn Bailey, CPA

As sure as the sun will rise in the morning, a phishing scam alleging to be from the IRS will appear in your e-mail box. Since most everyone has some dealing with the IRS and filing taxes, You are a popular target for scammers who count on people to take the bait and click on the links.  Fear of the IRS or an audit can make normally cautious people panic and click through the emails without fully considering […]

July 22, 2011 Accounting, Tax, Wealth Management Read more...

FOUR BUSINESS TRAVEL STRATEGIES THAT CAN YIELD PERSONAL SAVINGS

Jobe Dupre’, CPA

Here are four ways to make your required business travel a little less stressful:

Saturday night stay-overs:  Your out-of-town business chores conclude on Friday and you would like to extend your business trip to take advantage of a low-priced fare requiring a Saturday night stay-over.  The IRS says that if the savings in airfare are higher than the costs of the weekend meals and lodging, then you can deduct your Saturday meal and lodging expenses.

When a personal day […]

June 23, 2011 Accounting, Firm News & Events, Wealth Management Read more...

THE WEALTH TRANSFER SILVER LINING IN THE CURRENT ECONOMIC DOWNTURN

Almost all of us have been impacted in one way or another by the current recession.  Even prosperous and successful investors and business owners have seen the value of their investments and business interests dwindle in the face of the “Great Recession.”  Although it appears the dark clouds of economic strife have slowly begun to clear on the horizon, the current economy still presents a silver lining opportunity for those individuals and businesses contemplating a transfer of family business […]

November 30, 2010 Accounting, Wealth Management Read more...