Today I am learning about tweetdeck!
This is way too cool! And if you need a private one on one training, I recommend Dave Barnhart with Business Blogging Pros!
Dave can be found on twitter at: dbarnhart
On The Web:
Technorati Tools
Want to Learn how to Budget?
Then this new SWC educational class is for you!
Click here for the registration information
If you are looking to have a personalized budget when you leave this class, you've come to the right place! Your budget will be ready to implement when you walk out the door!
I am so excited about this offering and can't wait to be out there helping our community gain some control back into their lives!
Shauna, your Tax Goddess!
What about marketing to professionals?
I am currently sitting on a conference call that is talking about how to market to professionals. I like the speaker, Dr. Pauline Wallin, she is going thru both online and offline marketing techniques. Getting down and dirty and figuring out what your real target market is!
I just wanted to post quickly, to remind people - don't forget, everyone loves to get a copy of an article that they were in mailed to them!
If you want to start marketing to your niche market, don't forget the simple phone call or handle written note!
Handling stress in these times,...
Good Morning all!
Oh, you don't think it's a good morning? Are you stressed out today?
A few things that may help you get a great outlook on your day:
1) Eat a healthy breakfast, and for that matter, eat more healthy all around (This can be a deduction if your Doctor tells you to do it!)
2) Listen to your favorite happy song in the morning. (Don't forget to deduct your XM radio if you are a salesman traveling all over the place!)
3) Think good thoughts (Gosh darn I look beautiful this morning! :) (Beauty can be a deduction if you are in the right industry!)
4) Organize your day when you get to work. That way more stress won't creep in! If you can get your top 3 things to accomplish done that day, you should be good to go! (This is just good for everyone, but if you need help, a professional organizer would be a deduction as well!)
Just a few pointers that I personally do when I wake up in a grumpy mood! I hope they help!
Shauna, your Tax Goddess!
I can make getting in a better mood a deduction! I love my work! :)
Budgeting Tips for a downtrodden economy!
Sometimes people in a booming economy are used to spending money that they don't have. Living on credit cards, racking up debt. Sometimes, once the economy turns down, it is hard to get back on track and start living within your means.
Here are some of the common things that I see, as a CPA, in people's expenses that are easy ways to turn down your expenses:
1) Check your insurances. Their may be the same coverage, with an equally good company, for cheaper.
2) Install the energy efficient light bulbs in your home. A bit of cost up front, but TONS of savings on your electric bill.
3) Change your "standard" temperature in your home (up or down a few degrees can make a ton of difference)
4) Look at your spending habits. For 2 weeks, write down EVERYTHING that you spent money on (kind of like being on a diet for your wallet!). How many times di you REALLY go to Starbucks? Could a coffee from home save you some $?
5) Write out a list of the following 3 items: Mandatory expenses (mortgage, Groceries, savings); Flexible Spending (Cable); "Fun" Spending (Dining Out, Massages). Categorize all of the items that you spend into one of those three categories. What can you cut? What is Mandatory? Does your monthly take home cover at LEAST the mandatory? If not, where can you cut? If so, go down the list from Mandatory to Fun and pick which ones you want to keep!
If you need any help creating a budget for yourself, or some additional tips, please don't hesitate to email me! I would be happy to help!
Get your income on your 2008 tax return or get hit with Higher Tax Rates!
So, Obama, once he is in office, is going to raise taxes
- Capital Gains Rates are going to increase
- Income tax rates for those over $250k are going to raise
It is important then to do year end planning. Try and get as much income as possible into the 2008 tax year (where it is most likely that the rates will not change) if your adjusted gross income is more than $200k.
So, just an FYI - if you are making money - PLAN IN ADVANCE!!!!
The new depreciation limits - $250k - they want us to spend!
Morning everyone,
So, if you didn't know - the depreciation limits for the §179 deduction have been raised to $250k for this year (2008) and going forward. This limit applies to any equipment, major manufacturing dollars spent, etc.
Be warned! Do NOT listen to many of the car manufacturers as only CERTAIN vehicles can use this limit, most autos are capped at the $25k limit for depreciation in a single year.
If you want to know if your new potential car or truck falls under the new raised $250k limit, you need to know that in order to qualify the vehicle must be:
Vehicle must weigh more than 6000 lbs GVWR and
Vehicle must be built on a TRUCK chassis or
Vehicle bed must be more than 6 feet in length or
Vehicle can seat more than 9 passengers behind the driver
(there are more regulations that are for more specific types of vehicles, so make sure you ask your Tax Goddess if you have more questions!)
So, for those of you who need more deductions at year end, want a new truck?
How to Survive an Audit
One of the biggest questions that I get is "how long do I need to retain my documents for tax purposes?"
Well, for any normal circumstances really only 7 years
(if you plan on committing tax fraud, keep them forever- the IRS can go back and look at ALL of your tax filings, forever, if you commit fraud!)
Now, what should you keep?
- Anything relating to real estate (Keep these FOREVER as well - you never know what the IRS is going to try to pull when it comes to these larger dollar amounts)
- Receipts for anything you are trying to deduct. The IRS accepts bank statements, original bank statements, (with the creases from the mail and everything, not the printed out ones that you can manipulate from the computer), about 80% of the time to back up a deduction. The receipt with WHO, WHAT, WHERE, WHEN & WHY is the only 100% acceptable method of proof for most agents
- Daily planner, or meeting book, or a print out from your PDA of your meetings, the same 5W's as above apply! This helps you with your mileage backup!
These are just a few of things things necessary to help you survive an audit! If you are in an audit already, make sure you CALL FOR HELP to your CPA (Shauna can be reached at 602-357-3275 or at shauna@swcbe.com
Tax Planning - the best idea yet!
So, I will make it brief,...
most people like to budget, know when their $ is going to be needed.
Wouldn't you also want to do that with your taxes? Be prepared - be ready to pay the amount owed on April 15th rather than wait until April 15th to know?
So - the idea is to "plan" for your taxes, thus the year end taxes planning meeting. You figure out what you want to owe by figuring out what you would hypothetically owe and then make decisions to alter your final tax outcome (like contributing to a retirement plan, etc.)
Point is - if you haven't done your planning, you are playing into the government's taxing hands. Do you want that?
No? Then Setup a planning meeting with your CPA (or with me! I can always help you in this area!) by sending them an email asking for some planning.
Always yours,
Your Tax Goddess.
Sorry it's been so long! - but new news on how to increase the value of your business for sale!
Do you Know???
So, the other week I went to a fabulous presentation put on by some Exit Strategy folks down in Mesa. They were discussing how to increase the value of your business upon sale. Below are some of the tips and tricks that they were talking about, and a lot of them are items that you would want to begin implementing now - many years before the sale - so that the true value can be obtained!
- Run Your Business Like a Business:
- Do not use the business bank account as your personal bank account!
- Taxes should not be the main motivator (hmmmm??? well, I guess you are right there!) i.e. don't always lower your taxes or your bottom line looks horrible to a buyer!
- You WANT to have Profits, a strong bottom line, and positive cash flow!
- Present your Business Like a Business
- It is important the visual appeal of your location and image
- your Books should be accurate and well maintained
- Your records should be well documented (Sales, customer lists, contracts, etc.)
- You want to have characteristics that will LOWER the perceived risk for your potential buyer
- Have Stable, Motivated Management
- Have operating systems that help with cash flow
- have a solid and diversified customer base
- have a realistic growth strategy
- have effective financial controls
- use Customer Relationship Management programs
- have office documentation (an owner's manual to your office)
All of these together will increase the value of your business to a potential buyer!
So, If you have any questions on other ways to make your business more valuable PLEASE speak with your CPA (our Tax Goddess can be found here if you have any questions)!
Looking our for your best interests,
Your Tax Goddess~
Shauna~
Taxpayer runs his car into an IRS building -
Now, that was just a funny title,.. but it's happened!
Many disgruntled taxpayers or people in trouble with their finances have done some crazy things when it comes to the IRS!
1) Write out your check to them on a shirt "the shirt off your back!"
2) Obviously, driving your car into their building is pretty extreme
3) Prank calling agents - not so smart with caller ID these days!
Anyway - just a few, but have heard of any good ones?
Let me know!
Shauna, Your Tax Goddess!
What else can you do to keep your business afloat?
1) have you tried running discounts? Sales?
2) What about attending more free networking events, getting your name out there?
3) What about putting up free adds? On places like Craigslist?
4) Do you have any outstanding receivables? When was the last time you called them? What about going to their location and asking for your payment?
Just some more ideas!
Your Tax Goddess~
Shauna~
What can you do to keep your business afloat?
So, everyone is trying to figure out ways to handle the down-turn in the economy.
I figured perhaps I should, as a consultant to many of my business clients, publish a list of the ideas that I have seen for keeping your business afloat in these times.
1) Are you overstaffed? Many people, when times are good, fail to look at their human capital expenses. They are paying huge medical premiums, paying their staff at salary raises that were put into place in boom times, and are failing to look at the business' real need for the staff person themselves. Be careful that you only have on staff those people that you need!
2) Owner's, what are you doing? Are you doing the work in the business, or have you stepped back and let your managers run the business. What about some of the actual technical work? Have you thought about your own time and if your time would be a good contribution to the output of your company?
3) What about your banking and financing? Many businesses have thought about calling the banks and credit card companies to see if they can get better payment terms, or rates. But have you thought about calling your vendors? Can you switch from a Due on Receipt to a term of 15 or 30 days out?
I will post some more ideas in my next blog post, but thinking about it this way - As Dan Kennedy says - when times get tough, think tougher - have you sat down and figured out the possibilities? What would happen if you had to fire your secretary today? Who would handle her job? And when you figure out the answer to that, is that answer better than the way you are currently running?
Thoughts to get you going in the morning,
Shauna~ Your Tax Goddess.
Being tied in to your business,....
So, the other day I was speaking with a business / life coach. He was telling me about how many business owners begin taking on their business as if it were a child. Becoming emotionally attached to the people, the business, it's outcome as if it were their own flesh and blood (not saying it's not!) but almost too much, emotionally rather than looking at it as if it were a business.
One of the main things that my family always told me was fire quick and hire slow. There are too many businesses that get dragged down by their employees (or held up by them) but more because the owner wouldn't make a fast decision when there was no money to let go or cut hours on the employees.
Now, in these times of economic hurt, i urge all business owners to at least LOOK at what and where they are. Look for thins that you could do better, if possible, involve outside opinions and thoughts, someone who has a tremendously successful business, and ask their opinion, use other peoples knowledge.
As small business owners people often believe themselves to be an island - NOT TRUE! There are hundreds if not thousands of other business owners out there who are in the same place you are, just ASK!
Anyway - if anyone needs some help and feedback, I would always be happy to oblige -
Best of luck to all the owners out there - remember this is business, not personal!
Your Tax Goddess,
Shauna~
International Business Openings
So, Friday morning I went to a meeting of AZIGG, an organization dedicated to helping Arizona businesses grow internationally. I was VERY impressed by not only the size of the crowd that attended this event - a panel of speakers on how to break out into foreign countries - but also by the quality of the people there. Many attendees were from large corporations (or at least what smaller Arizona only businesses look at as large) and there were also many political and state people in attendance, so and so from xyz board, etc.
The thing that caught me the most was the real drive to help Arizona businesses. Kahala hosted the event (Cold Stone Creamery) and the head of International Operations was there. He was great, very kind, and knowledgeable, and even offered his contact information as a way to move into international waters if anyone had any questions.
So, I am writing this not only because international tax is a section of something we all deal with, but also because you never know who you are going to meet by trying new things!
Don't forget to get out and network!
your Tax Goddess,
Shauna~
$7500 "Tax Credit" for new home buyers? Interesting Phrasing.
Well,
The government has passed another new bill that is supposed to help the American public to buy homes (you know, the ones that most people cannot afford but are buying anyway!)
The new "tax credit" (and please notice that I am putting this name in quotes) is more like an interest free loan rather than a tax credit - you have to pay it back over the next 15 years. You will owe the payback on each years tax return or when you sell the property as a tax out of your gain on the property (if you have one, at a loss, there is no payback or if you die no additional payback from your heirs).
At least you are getting up to $7,500 per couple on this thing, interest free,.. that's a good start. Of course, when you ask people what they are doing with the $7,500 that they had started to save up to use as a down payment, most of them are talking about spending on goods (new TV's, Cars, Etc.) (now I wonder if the government knew that additional spending was coming ::said sarcastically::?).
Another interesting thing about this is the date range for which this applies - homes bought between April 9th, 2008 and July 1st, 2009. Tough Bananas if you bought your home earlier in the year,... So now would be the time to start planning!
Anyway - I normally don't like being so tough and sarcastic, but sometimes the push to fix the economy, instead of working for the money, saving, and having like minded goals as people did in the 50's I feel is driving our economy into a new pit, only farther to crawl and fight our way back up.
Reporting on new tax news!
Your Tax Goddess,
Shauna~
PS - If you can get this $, by all means go for it - it's still $7,500 interest free! :)
hat tip to: mymoneyblog
Retirement Options - TALK TO YOUR FINANCIAL PLANNER (OR HIRE ONE!)
If you don't have a financial planner (or even a plan!) now is the time to get one. Many people, especially those who are young, put off retirement planning because they believe that someone else will take care of them (social security - which I believe will be long gone before we get there (the 20-30 somethings)) or that they will save money later,....
It never fails to amaze me how if you put just a dollar a day away now (or even stop drinking starbucks everyday and maybe just 6 days a week!) how much that could translate to in 30 years when you are ready to retire. (Millions if you do it right, and I hope you realize that is what you are going to NEED in order to live in the future - millions to pay the electric bills, and mortgages, etc.!)
I believe FIRMLY that every one needs a financial planner. Everyone needs a specialist who knows this stuff and can help you organize for the best and brightest future,....
INTERVIEW people, lots of people. Ask them questions. Are they interactive? Or are you going to find yourself, 20 years later, no more in the bank, and some "financial planner" who has done nothing for you and hasn't called you in years (except to remind you that you need to pay a fee to update your account each year!)
Anyway - enough with the rant. I just want people to think about it. I know everyone says think about it, but do you really want to be the transient walking on the streets at 70 who no one helps and you were earning 100k+ in your 30's?
Just a thought,
Always,
Your Tax Goddess!
PS - if you need a referral, I've got a few Great Financial planners that I trust immensely!
Economic Stimulus Package -
So, everyone is very excited about receiving their stimulus checks ($600 per person - depending on income and $300 for a dependent)
Of course, the government is giving this to us to help booster the economy. Most of the people I've spoken to are using it to pay their mortgages, now isn't that a big suprise!
Anyway - I have been getting a lot of questions as to "where is my stimulus payment?" The best place to check for it is here on the IRS's website (they really are a wealth of knowledge! Go IRS!)
Anyway - Leave me a comment- what are you doing with your $?
Always yours,
Your Tax Goddess!
Foreign Income Exclusion Rules -
There are 3 kinds of foreign income exclusions that the IRS allows for income earned in a foreign country:
The foreign earned income exclusion, the foreign housing exclusion, or the foreign housing deduction.
In order to claim any of these deductions you must have:
-foreign earned income
-your tax home must be in a foreign country
-and you must be one of the following:
- A U.S. citizen who is a bona fide resident of a foreign country or countries for an uninterrupted period that includes an entire tax year,
- A U.S. resident alien who is a citizen or national of a country with which the United States has an income tax treaty with a nondiscrimination article in effect and who is a bona fide resident of a foreign country or countries for an uninterrupted period that includes an entire tax year, or
- A U.S. citizen or a U.S. resident alien who is physically present in a foreign country or countries for at least 330 full days during any period of 12 consecutive months.
The last one is the one most people qualify for (or under). Normally this allows you to exclude up to $85,700 (in 2007).
Remember, you also have a foreign tax credit (which can be equally as helpful!) This allows for a dollar for dollar credit back to your taxes for any taxes paid to a foreign country (converted to U.S. Dollars).
This is not an easy subject - so if you have any questions, please don't hesitate to ask!
Always Yours,
Your Tax Goddess!
Getting a New EIN # - When do I need one?
According to the IRS you need a NEW EIN if:
Sole Proprietors
You will be required to obtain a new EIN if any of the following statements are true.
- You are subject to a bankruptcy proceeding.
- You incorporate.
- You take in partners and operate as a partnership.
- You purchase or inherit an existing business that you operate as a sole proprietorship.
You will not be required to obtain a new EIN if any of the following statements are true.
- You change the name of your business.
- You change your location and/or add other locations.
- You operate multiple businesses.
Corporations
You will be required to obtain a new EIN if any of the following statements are true.
- A corporation receives a new charter from the secretary of state.
- You are a subsidiary of a corporation using the parent's EIN or you become a subsidiary of a corporation.
- You change to a partnership or a sole proprietorship.
- A new corporation is created after a statutory merger.
You will not be required to obtain a new EIN if any of the following statements are true.
- You are a division of a corporation.
- The surviving corporation uses the existing EIN after a corporate merger.
- A corporation declares bankruptcy.
- The corporate name or location changes.
- A corporation chooses to be taxed as an S corporation.
- Reorganization of a corporation changes only the identity or place.
Partnerships
You will be required to obtain a new EIN if any of the following statements are true.
- You incorporate.
- Your partnership is taken over by one of the partners and is operated as a sole proprietorship.
- You end an old partnership and begin a new one.
You will not be required to obtain a new EIN if any of the following statements are true.
- The partnership declares bankruptcy.
- The partnership name changes.
- You change the location of the partnership or add other locations.
- A new partnership is formed as a result of the termination of a partnership under IRC section 708(b)(1)(B).
- 50 percent or more of the ownership of the partnership (measured by interests in capital and profits) changes hands within a twelve-month period (terminated partnerships under Reg. 301.6109-1).
Limited Liability Company (LLC)
An LLC is a new entity created by state statute. The IRS did not create a new tax classification for the LLC when it was created by the states; instead IRS uses the tax entity classifications it has always had for business taxpayers: corporation, partnership, or sole proprietor. An LLC is always classified by the IRS as one of these types of taxable entities. - So ASK YOUR TAX GODDESS!!!
Entity Formation and Changes can be one of the most confusing tasks when dealing with the IRS -
So, if you have any questions - Don't hesitate to ask!
As Always,
Your Tax Goddess!
Our First Video! How exciting!
Now you get to see the tax goddess in Person!
Just an opening video to say hello!
Just an opening video to say hello!
What is the debt forgiveness act?
OK - I've been asked too many times on this, so I wanted to get you all the information on the debt forgiveness act according to the IRS:
Here are the basics from the IRS website and what it means for you:
Update Feb. 4, 2008 — The Mortgage Forgiveness Debt Relief Act
of 2007
allows taxpayers to exclude income [ MEANING - YOU DON'T HAVE TO PAY TAX ON THE DEBT RELIEF]
from the discharge of debt (Debt reduced through mortgage restructuring, as well as mortgage debt forgiven in connection with a foreclosure, qualify for this relief) [MEANING ON DEBT THAT TIES TO ANY KIND OF RESTRUCTURING OR FORECLOSURE]
on their principal residence.
This provision applies to debt forgiven in 2007, 2008 or
2009.
Up to $2 million of forgiven debt is eligible for this exclusion
($1 million if married filing separately).
The exclusion doesn’t apply if the discharge is due to services performed for the lender or any other reason not directly related to a decline in the home’s value or the taxpayer’s financial condition. [MEANING YOUR HOMES VALUE OR YOUR FINANCIAL LIFE NEED TO HAVE BEEN HURT]
==========================
NOTE: FORECLOSURES ARE TREATED AS A SALE OF THE PROPERTY -
MEANING: If you have debt cancellation, and that decreases your basis in the property (ask your CPA) and then you have a gain of more than the $250/$500k limits allowed for non-taxation (title §121) you WILL pay tax on the property - BE CAREFUL!!!
also note: NO, YOU CANNOT DEDUCT A LOSS TAKEN ON YOUR HOME - don't we all wish!
=============================
There are a lot of tough things happening in the economy right now, but you need to make sure that you aren't going to get caught in a trap.
As far as the information is provided, this new debt relief act DOES NOT apply to investments or rental properties,.. solely to your primary home.
Keeping you on top the tax world!
Always,
Your Tax Goddess.
PS - I just got a video camera - so I will try and do more youtube videos relating to these subjects and post them to our Blog!
Networking, and the power Thereof -
Yesterday I attended the WLE conference in Phoenix, AZ. I met tons of very interesting women, with various types of businesses. I heard fabulous speakers such as Poppy King (The Lipstick Queen), and met some fabulous connections with regards to helping not only my own business but theirs as well.
The one thing that always amazes me about networking: If you start out a conversation by helping someone else, they are instantly a huge fan of yours. No doubt, no fail, as BNI's Ivan Meisner always says "Givers Gain."
Just a thought next time you are out and about - HELP OTHERS! You never know where it might take you!
As always,
Your Tax Goddess
Do you want to repay the banking industries failures?
I received an email from someone I trust this morning with the following text:
--------------------
Once again I ask you to indulge me in my belief that as Americans
we can get good government, we can have a say in how our tax dollars
are spent, and we can if we act get representation that works for us,
not just a connected few. I truly believe we are on the precipice of a
financial melt down, caused by reckless lending (look at the stock
price of any bank and the proof is there) and lack of leadership.
Please
read the attachment, if you agree, please sign it and pass it on to
others that will tell our representatives that we have had enough of
their lies and incompetence.
--------------------
We'll put it this way, I signed the petition.
I don't really feel that it is fair that the U.S. people repay the bad decisions of the government and the banks.
This is one of the few times I will speak up, but I thought I should at least share the petition, if anyone else cares to read it.
And down the spiral we go,.. $300,000,000,000 package passed
Well, and so begins the bail out.
Here are some fabulous links to a Mortgage Guru that I trust and have a deep respect for his opinions:
http://www.azmortgageguru.com/30000000000000-rescue-package-passed/
http://www.azmortgageguru.com/indymac-goes-down/
http://www.azmortgageguru.com/am-i-crazy-or-are-we-headed-for-a-catastrophic-financial-meltdown/
The scary part is - we've seen this coming for MONTHS! (the last article link was written in Feb 08) and only now do we see any action?
Just wanted to link my readers to even more detail,.. I am flat out amazed that this bill passed this morning, and no one put up a fuss (big surprise, no one knew,....)
