Certain expenses can only be deducted as itemized deductions on your personal tax return if they exceed a threshold percentage of your AGI. For medical expenses, this is 10% if you’re under 65, 7.5% if you’re over 65. If you’ve got some expensive but non-urgent medical procedures planned, consider bumping them into next year if you don’t have enough expenses this year to qualify. Or if you already had medical… Read more
A Simplified Employee Pension (SEP) is a great vehicle for self-employed solo professionals to save for retirement. A SEP lets you bank up to 25% of your net income, up to a max of $53,000 for 2016, and $54,000 for 2017, in your own individual retirement account. These plans are easy to set up at a bank or with your investment advisor. They can be set up as late as… Read more
Even if your planned retirement is years or decades away, it’s never too early to start thinking about succession planning for your business. This is especially true for a sole proprietorship or a closely-held family business. Is there a family member or key employee who may be interested in taking over? They may need time and your help to learn the skills needed for the job. Do you have a… Read more
A challenge of doing business in the U.S. is the crazy quilt of tax laws we find ourselves dealing with. Each of the 50 states plus Washington, D.C. has its own unique ways of taxing businesses. An activity that’s subject to sales tax in one state may be completely tax-free in another state. Sales of tangible goods are subject to sales tax in 45 states, and each state has different… Read more