Spotlight on M&A: Why Buyers Love Asset Purchase Deals
In general, buyers prefer to structure business acquisitions as asset purchases rather than as purchases of stock or other ownership interests. The Tax Cuts and Jobs Act (TCJA) makes business asset purchases even more appealing. But the tax benefits might not last, depending on the results of the 2020 elections. Here's what potential buyers should know.
Estate Planning Isnt Just for the Rich and Famous
Many people forgo estate planning if their net worth is below the unified federal estate and gift tax exemption. That amount has been significantly increased through 2025 under the Tax Cuts and Jobs Act. But changes could be coming even sooner than 2026, depending on the results of next year's elections. For this reason and many others you may want to take steps before year end to protect your assets and your loved ones.
FAQs About Self-Employment Tax
The 15.3% self-employment (SE) tax applies to individuals who engage in a trade or business. That refers to activities conducted with continuity and regularity and with a profit motive. Income from activities that don't meet this standard may be SE-tax-exempt but there are some gray areas. Here's what you need to know to possibly avoid the SE tax hit.
The Gender Pay Gap: How Does Your Company Measure Up?
Unfortunately, women are often paid less than men for performing similar work. Discrimination isn't always the reason sometimes, women have less training or experience. This article explains how to evaluate your company's pay structure, as well as its hiring and professional development practices, to prevent discrimination claims and create a positive work environment for all workers.
What Employers Should Know about HSAs
Health Savings Accounts (HSAs) have become a popular employee benefits option. Are they right for your business? HSAs offer tax advantages to employers and employees and they allow employees to build up a tax-favored medical expense reserve for when they're older. Here's information to help you decide whether to jump on the HSA bandwagon.
Get Real: New ID Requirements for U.S. Travel
Federal requirements for "Real IDs" kick in on October 1, 2020. Is your driver's license or state-issued identification card up to date? Only a quarter of U.S. citizens currently have IDs that will pass muster, according to the U.S. Department of Homeland Security. As a result, many people will be unable to pass through airport security checkpoints, which is expected to cause delays, frustration and lost revenues in the travel industry. Here's what you need to know.
Take Time to Review Your Retirement Savings Strategy
Open enrollment season is one of the few times that employees can update their health care benefits options. It's also is a good time to review whether you're saving enough for retirement. Rather than guess how much to contribute to your 401(k) each month, you should methodically defer income based on your retirement plans. Here's how to help accumulate a retirement nest egg that will meet your future spending needs.
How to Reduce the Tax Hit on Soon-to-Be-Developed Land
Do you own land that's ripe for development? Earning a large profit on a development deal may trigger a large tax hit. To lessen the blow, consider establishing an S corporation to act as the real estate developer entity. This strategy can shelter predevelopment appreciation from being taxed as ordinary income. Instead, that portion will be taxed at lower long-term capital gains tax rates. Here are the details.
Relaxed Rules for Joint Employers: Proceed with Caution
Many companies tap staffing agencies, use subcontractors or contract with franchisees to conduct business. They've long lived under the cloud of possibly being considered "joint employers." Earlier this year, the U.S. Department of Labor issued proposed regulations to remove that cloud. Here's how the new regulatory regime will work if the regulations are finalized as proposed.
Open Enrollment: Make the Most of Your Health Care Benefits Options
Open enrollment for health care benefits has begun at many companies. If your employer company lets you choose from a menu of health care plans, it's important to review your options carefully. Here's some common jargon to review, along with an overview of potential opportunities and trends in health care plans that could save you time and money.
Year-End Tax Planning Moves for Small Businesses
Thanks to political gridlock, federal tax law hasn't changed much since the Tax Cuts and Jobs Act was enacted. Most of the provisions affecting businesses went into effect last year. So, the year-end tax planning strategies that worked for 2018 may still be valid for the current tax year. But your specific tax situation might be different. Here are some possible moves to help business owners reduce their 2019 tax bill.
New Bankruptcy Relief Coming Soon
Filing for reorganization under Chapter 11 of the bankruptcy code can help distressed debtors recover from a downward spiral. Unfortunately, under current law, this option is often too cumbersome and expensive for smaller businesses to realistically consider. Starting next year, however, a new subchapter of Chapter 11 may offer struggling small businesses some welcome relief. Here are the details.