After a summer spent getting an earful from vocal constituents, Congress is back in session and grappling with comprehensive health care reform legislation. If President Obama has a bill to sign by the end of the year, it will almost certainly include these three elements that will affect HR pros.
Congress is considering legislation that would require employers with 15 or more workers to provide seven days of paid sick leave per employee per year, an expansion of the FMLA that a coalition of HR and business groups immediately decried.
Training programs are among the first areas to take a hit when the economy falters. If you haven’t scaled back training expenses yet, your boss may soon ask. To examine training programs and avoid eliminating those that do work, ask the following questions:
The tax law contains a break for investing in qualified small business stock (QSBS). If certain requirements are met (e.g., the stock must be held five years), you can exclude (pay no tax on) up to 50% of the gain. The capital gains tax rate for QSBS is 28%, so the effective tax rate is 14% (50% of 28%). And the new economic stimulus law sweetened the deal.
Adjust your withholding allowances on Form W-4 if you overestimated the amount of tax you needed to have withheld this year or if you didn't pay enough tax during the year through quarterly installments or income tax withholding.
Older employees who are demoted, not promoted or fired sometimes assume they can win ADEA lawsuits simply by proving they were the oldest employee to suffer their fate. That’s not the case.
Steve Poizner, the California Insurance Commissioner and Republican candidate for governor, recently filed a lawsuit seeking to stop the sale of assets in the State Compensation Insurance Fund (SCIF). He contends efforts by the Legislature and Gov. Arnold Schwarzenegger to use the funds to balance the state budget are unconstitutional.
Don’t depend on comprehensive health care reform to significantly cut the cost of the health insurance benefits you provide to employees. Many of America’s best companies have found that a few best practices do a remarkably good job of improving employee health and controlling health care expenses. Here are some of the best practices in health benefits used by America’s best employers.
The IRS now requires many small business owners to use its Electronic Federal Tax Payment System to deposit employment taxes. Your business must use the electronic method if it has aggregate tax deposits of more than $200,000 ... If your company doesn’t comply, it may be assessed a 10% excise tax for failing to deposit taxes on time—even if the taxes are deposited in a timely manner by other means.
A recent government study showed that the average small business overpaid its taxes by $11,638. That’s sad enough. But sadder still is the fact that the tax code is actually written to favor small businesses like yours.
The EEOC has filed a lawsuit against Greenville-based Carter Behavior Health Services, claiming the owner continually harassed female employees.
A new Tax Court decision could produce a better tax result for many owners of LLCs and partners in LLPs. Strategy: Use a loss from an LLC or LLP to offset other highly taxed income. Previously, it was presumed that such losses usually could be used only to offset income from other “passive” activities. But the new case has opened the door to bigger tax savings.
Have you checked your company’s bulletin boards lately? Do they show the correct, updated federal- and state-law posters? As this week’s new court ruling shows, poster mistakes can actually breathe new life into supposedly dead employment lawsuits …
After a summer spent getting an earful from vocal constituents, Congress is trying to muster support for—or stop—competing versions of what President Obama now calls health insurance reform. There’s no guarantee that Obama will have a bill to sign before the end of the year. But if he does, it will almost certainly include three elements that will affect comp and benefits pros:
The United States is facing a swine flu outbreak that has caused the government to declare a public health emergency. Recently, the U.S. Centers for Disease Control and Prevention (CDC) published new guidelines to help employers prepare for flu season and prevent the rapid spread of the H1N1 influenza. Here are the CDC's suggestions, plus insight on your risks and obligations as an employer ...
Like most
industries, the business loan alternative industry has continued to mature and
offer different financing potions that are less expensive and have different
requirements for the borrower.
Are you collecting your maximum tax breaks from the massive economic stimulus law passed earlier this year? The IRS has issued a fact sheet touting the tax perks available to small business owners under the new American Recovery and Reinvestment Act of 2009. Here are eight key provisions:
Say you’re contemplating an investment in a new business venture. It’s somewhat risky, given the current economic conditions, but you may want to help a relative or friend get the business off the ground. Unfortunately, if things don’t pan out, the loss would have limited tax value. Strategy: Invest in Section 1244 stock. That way, as long as certain requirements are met, you can write off up to $100,000 if the business fails.
A survey of small business leaders performed by California-based TriNet Group says employee morale at small businesses was up or holding steady in the second quarter of 2009, according to 75% of respondents.
Have you looked into starting a retirement plan for your small business operation? You’d probably like to help employees salt away some money for the future, but you may have decided most options are too expensive to set up and administer. Strategy: Use a payroll deduction IRA. This is the easiest IRS-approved option available to employers. What’s more, you can set up the program and run it at virtually no cost.
The enhanced Sec. 179 deduction is a tax bonanza for small business owners. You can write off up to $250,000 of new business assets placed in service in tax years beginning in 2009. But remember: The Sec. 179 deduction is limited to the amount of annual taxable income from the business. Strategy: Buy new assets soon and place them in service before Oct. 1. Here's why.
Web sites don’t last forever. Some changes can be accomplished with simple maintenance, but patching can take you only so far. Here are five signs that it’s time to revamp your site.
Ohio ranked among the nation’s most business-friendly states in the Small Business and Entrepreneurship Council’s (SBEC) Business Tax Index for 2009. The SBEC annually assesses the tax climates for business and entrepreneurs in the 50 states and the District of Columbia.
Florida ranked as one of the nation’s business-friendliest states in the Small Business and Entrepreneurship Council’s (SBEC) Business Tax Index for 2009. The SBEC annually assesses the tax climates for business and entrepreneurs in the 50 states and the District of Columbia.
The price of admission to today’s marketplace is continual reinvention. Organizations regularly hit “refresh,” or “restart,” so they can develop contingencies before the next crisis hits. But this organizational reinvention can happen only if leaders reinvent themselves. How?
The Keystone State ranked 29th out of 51 jurisdictions in the Small Business and Entrepreneurship Council’s (SBEC) Business Tax Index for 2009, a score that would have been better if it didn’t have the nation’s highest state corporate tax rate.
Q. My small business went under earlier this year. Can I deduct the cost of finding a regular job?
New York finished better than just four states in the Small Business and Entrepreneurship Council’s (SBEC) Business Tax Index for 2009. The SBEC annually assesses the tax climates for business and entrepreneurs in the 50 states and the District of Columbia.
Illinois came out better than average in the Small Business and Entrepreneurship Council’s Business Tax Index for 2009, an annual assessment of the tax climate businesses and entrepreneurs face in the 50 states and the District of Columbia. Overall, Illinois ranked 18th on a scale of 1 (least taxed) to 51 (most taxed).
Minnesota finished near the bottom in the Small Business and Entrepreneurship Council’s (SBEC) Business Tax Index for 2009. The only ones ranking lower than Minnesota: New Jersey and the District of Columbia.
California finished better than just three states in the Small Business and Entrepreneurship Council’s (SBEC) Business Tax Index for 2009. The only ones ranking lower than California: Maine, Minnesota, New Jersey and the District of Columbia.
North Carolina finished in the bottom third of states ranked in the Small Business and Entrepreneurship Council’s (SBEC) Business Tax Index for 2009. The Tar Heel State placed 38th overall, well below neighboring South Carolina (11th), Tennessee (13th), Virginia (16th) and Georgia (19th).
New Jersey finished next to last in the Small Business and Entrepreneurship Council’s (SBEC) Business Tax Index for 2009. The SBEC annually assesses the tax climates for business and entrepreneurs in the 50 states and the District of Columbia.
Cutting training willy-nilly just to save money can create more problems than it solves. During economic downturns, companies need efficient, targeted training programs to improve productivity. And effective training positions companies to prosper as the economy recovers. To examine training programs and avoid eliminating those that do work, ask the following questions:
All of a sudden, the retirement nest egg you’ve been building all these years might not be enough. And you probably have less time left to make up for lost ground than most of your other employees. That’s especially true if you haven’t been able to max out on plan contributions in the past. Strategy: Add an “age-weighted” feature to a profit-sharing plan.
Treasury has formally released its explanations of President Obama’s tax proposals for the 2010 fiscal year. The long-awaited “Green Book” provides vital in-depth information for both individual and business taxpayers. The proposed tax changes hit hard: Revenue-raisers aimed at individuals total more than $736 billion over 10 years while business tax cuts amount to $71 billion over the same period.
If you operate a business that is open to the general public, you’re legally obligated to make the premises accessible to disabled people. Similarly, you might update the facilities for disabled employees in your office. At least you can salvage some tax benefits when you modify the building: Build your renovation plans around the “disabled access credit.”
Although summer is officially right around the corner, there’s no vacation from tax planning. If you’re dedicated, you’ll be able to bask in tax savings as the weather heats up. Here are seven prime examples:
According to a recent report by Accounting Today magazine, small businesses are being targeted for tougher scrutiny from the IRS. Federal tax audits of small businesses with between $10 million and $50 million in assets increased 29% from 2005 to 2007.
If you’re still grumbling about joining Facebook, LinkedIn or Twitter, know this: Social networks are good for business. “It’s very well documented that businesses that focus on marketing during tough financial times can actually improve,” says Karen Quintos, a vice president at Dell.
Congress is considering legislation that would require employers with 15 or more workers to provide seven days of paid sick leave per employee per year, an expansion of the FMLA that a coalition of HR and business groups immediately decried.
You now have a new tax incentive to invest in fledgling corporations, thanks to the new economic stimulus law. You might even want to plow some money into your own company. Strategy: Buy new “qualified small business stock” (QSBS).
Digging your company out of this recession will probably require some unconventional thinking. Most small businesses can’t simply play it safe and expect to thrive, let alone survive. Ira Blumenthal, author of Ready, Blame, Fire: Myths and Misses in Marketing, points out 10 common business myths that small business owners are too quick to believe in.
Question: “My boss recently confessed that he has “feelings” for me. I am happily married and definitely do not share these feelings. The situation is uncomfortable, because he is the owner of this very small business. Although I have handwritten notes documenting his "emotional attachment,” I have been told this is not sexual harassment. I began looking for a new job, but so far have had no luck. My boss says his feelings haven’t changed, and he wants to know whether I am still planning to leave. What should I do?” — Pursued
The American Recovery and Reinvestment Act of 2009 gives small business owners a second chance at a “one-time” tax-saving opportunity. It revives the enhanced Section 179 deduction and “bonus depreciation” tax breaks that officially expired after 2008. These two tax goodies can be combined so that your small business can write off most, if not all, of the cost of new assets placed in service this year.
On April 15, President Obama acknowledged the complexity of the tax code in a speech commemorating the new economic stimulus law. He vowed to make it "easier, faster and less costly" to file income tax returns.
Q. We are a small business, with only 12 full-time employees and a smattering of on-again, off-again part-timers. When an employee leaves, do we have to provide a COBRA notice?
Q. An employee just asked for a week off to attend jury duty. Do I have to grant the request for leave? If I do, can I require the employee to use accrued vacation time during the jury duty leave?
Q. We’re a small business (just eight employees) and haven’t laid anyone off. But business is slow and we need to restructure. We have an employee who has worked here part time (12 hours per week) for 25 years. She is 65 years old. We have one other part-timer (10 hours per week) who has worked here just one year. We’d like to lay off both part-time employees and keep the full-time employees. Can we do that?
The financial crisis means managers and executives, now more than ever, need to hone their leadership skills. Here are the top qualities of a leader, no matter what field you're in, your size or the condition of your balance sheet.
It’s not enough if you pay your income tax to Uncle Sam, it’s also a question of when the tax is paid. You could be assessed an “estimated tax” interest charge penalty if you don’t fork over the required tax in a timely fashion. Fortunately, you can avoid any penalties if you qualify under one of three safe-harbor methods. The new economic stimulus law eases one of these safe harbors for qualified small business owners.
Odds are your desk is a hub of organization. If that’s the case, you’re in the ideal position to create more value for your company by coaching others on ROO, or Return on Organization. Your task: Identify a few valuable tips, then share your expertise with others by offering a Lunch ‘n’ Learn on the topic, writing an article in the company newsletter or posting tips through e-mail.
Q. In your article on the new stimulus law, you said that the Making Work Pay credit phases out beginning at an AGI of $150,000. Doesn’t it depend on modified AGI?
Attention, filing procrastinators: The IRS is opening up free e-filing to all individual taxpayers on 2008 returns. Should you do it? Our advice: Weigh the pros and cons. While filing electronically certainly has advantages, there are drawbacks, too. It’s not for everyone.
The American Recovery and Reinvestment Act of 2009 contains several tax breaks for energy improvements. Among other modifications, the new law raises the nonbusiness energy credit for improvements to a residence from 10% to 30% and increases the maximum dollar cap to $1,500 (eliminating the $500 lifetime cap).
The IRS has announced that it is extending its "fast-track" resolution program for small businesses for two more years. It enables employers with assets of less than $10 million to quickly resolve disputes with the IRS.
The new economic stimulus law provides special relief for some small business owners. It allows you to carry back net operating losses (NOLs) for up to five years instead of just two. This tax break applies to NOLs in tax years beginning or ending in 2008. File the necessary form now to recover taxes paid for prior years when your business was more prosperous.
Few employers win ADA cases by using a business-necessity defense. That’s probably because few employers take the time to really lay out why their business cannot accommodate a particular disability. Now the 11th Circuit has decided a business-necessity case that can serve as a blueprint for employers that want to use it effectively.
While employee handbooks are not required by law, they can prove essential — especially for small business owners that can't afford to lose a harassment or discrimination lawsuit. The employee handbook has become an essential tool in the employer’s arsenal to defend against liability for employment decisions.
“Penny Pincher’s Almanac” columnist Gene Marks tells BusinessWeek that for many small businesses, a web page can work just fine: that is, a page with basic, important information, such as contact information and maybe a photo or two.
The massive new “American Recovery and Reinvestment Act of 2009” signed by President Obama on Feb. 17 is bursting at the seams with tax breaks designed to help both individuals and small businesses. Here’s a roundup of 14 tax strategies under the new law.
The politics of the economic recovery and stimulus bill President Obama signed on Feb. 17 have been the talk of Washington for weeks. Now get ready to figure out what it really means for business. Tip for HR pros: Plan on spending lots of time in the accounting department.
In these uncertain economic times, small business owners may think about outsourcing certain payroll duties to third-party service providers. Alert: The IRS is cautioning taxpayers about tax traps in this area. Outsourcing payroll duties doesn’t relieve your company of its obligations to make timely employment tax deposits.
Emily Morgan works 60 to 70 hours a week and doesn’t even get a steady paycheck. You would think she’d loathe her boss, but you’d be wrong. Morgan is a virtual assistant (VA) and chooses how much work she takes on and how many hours she works. Ever wonder whether a VA career might be right for you?
Small business owners usually aren't HR professionals. Figuring out how to effectively — and legally — manage your personnel records is often a daunting task. But, developing a records retention schedule will ensure that a small business keeps the records it needs for operational, legal, fiscal or historical reasons, and then destroys them when they're no longer useful.
These days, most small businesses rely—either somewhat or heavily—on software applications. According to a new report by PC World magazine, here are 15 of the best free and low-cost software tools for powering any small or midsize business.
Would your small business benefit from a change to S corporation status? If so, switch to the S corporation format for 2009 by March 16, 2009.
President Obama has said his plan for universal health coverage would reduce health care costs and save American businesses $140 billion a year. It would do so largely by requiring big businesses to provide health insurance for their workers or else pay into a federal fund that would provide coverage. Here are the details ...
If your web site loads onto a customer’s screen slower than the speed of instant gratification, you run a serious risk of losing that customer forever. Here are seven simple ways to make your web pages load faster, according to the experts at the Mequoda consulting firm.
Change. America voted for it, and small businesses will certainly receive their fair share in 2009. Here are the five most important workplace issues on President Barack Obama’s agenda.
Even in a good economy, about one-third of new small businesses don’t survive the first year. The No. 1 reason: poor financial management, which is often preventable. So how can a business survive in a bad economy? Smart cash-flow management is vital.
It’s always a challenging task to complete your federal tax return. But wading through this year’s version is even tougher than usual. Reason: A slew of new law changes and adjustments are reflected on Form 1040 for the first time.
Small business owners can quickly become buried under paperwork and “to-do” lists if they’re not organized. Technology can help … if you know how to use it.
HR pros should look at more than price when they’re shopping for a workers’ compensation insurance carrier. Here's a checklist to cover with your insurance broker before selecting a carrier ...
If your business pays nonemployees for services, you have only until Jan. 31 to give copies of Form 1099 to recipients of certain payments. That includes independent-contractor compensation, dividends, interest, real estate transactions, attorney fees and retirement plan distributions.
What do the nation’s top 25 small business employers (those with 50 to 250 employees) have in common? Great communication. The top 25 put into play an “open communication” concept, says Deb Cohen, chief knowledge officer at the Society for Human Resource Management.
Several states, including Illinois, California, Massachusetts and New York, are cracking down on sales tax cheats to fill state coffers drained by the tanking economy, the Associated Press recently reported.
Here are the key tax-filing deadlines for 2009. Keep this tax calendar handy for reference throughout the year.
Federal agencies were embarrassed by a national newspaper report last month that revealed at least $5 billion worth of federal contracts intended for small businesses actually went to large companies.
Several states, including New York, Massachusetts, California and Illinois, are cracking down on sales tax cheats to help fill state coffers drained by the tanking economy, the Associated Press recently reported.
There’s no way to paint a rosy picture about the recent nosedive in the stock market. But at least you can find a silver tax lining if you own a small business where the stock has declined in value. Strategy: Give gifts of stock to family members such as children and grandchildren.
Even when the economy hits the skids, it doesn’t mean everyone has stopped buying. People still need products and services; the challenge is attracting them to your doorstep. To help goose your sales before year-end, go back to some of these traditional tactics.
Now that President-elect Obama’s administration is taking shape, what can taxpayers expect in the next year? Here are a few key proposals made by Obama late in his campaign.
The small biz tax law enacted last year imposed tougher standards on professional tax return preparers. It also increased the penalties that paid preparers face for tax understatements. So what does this have to do with you? Plenty.
Gov. Bill Ritter recently signed into law the 2008 Professional Employer Organizations Modernization Act, which promises greater security for small businesses that rely on PEOs to provide outsourced HR management, employee benefits, payroll and workers’ compensation services ...
The most significant provision in the Emergency Economic Stabilization Act of 2008 for small businesses as well as individuals is the one-year alternative minimum tax (AMT) “patch,” which will have very important budget impacts for small businesses.
Keeping in touch with clients—especially VIPs—requires more than the occasional Hallmark card. That’s why many businesses use custom cards as marketing tools.
If you’re unable to provide your employees with health insurance, you can still help them cover their medical bills by offering Health Savings Accounts (HSAs). A new government web site walks small business owners through the benefits and set-up process.
Several states, including New York, Massachusetts, California and Illinois, are cracking down on sales tax cheats to help fill state coffers drained by the tanking economy, the AP recently reported. Small businesses tend to be the biggest tax evaders, according to researchers at The Tax Foundation ...
Even though most business property must be depreciated over a period of time, you can still speed up write-offs if you’re armed with tax knowledge. That’s because your not-so-secret weapon—the Section 179 expensing allowance—lets you write off most or all of the cost of most business assets in the very first year of ownership! Here are the ground rules.
Rapid growth often incites the minds of entrepreneurs, but for businesses that lack the capital, staff or infrastructure, the outcome is financial distress and failure.
More than 60% of employees are counting on a defined-benefit pension plan to fund retirement, even though they acknowledge that the system is moving away from that traditional savings system. Among workers whose employers have reduced their retirement benefits, nearly 40% say they haven’t done anything to pick up the slack. Your organization can help employees build their nest eggs. Here are six ways ...
In the past, Small Business Tax Strategies has advised you about a tax technique for certain families. It may be used when aging parents live in a home that has appreciated in value, but they’re no longer reaping the full tax benefits of home ownership.
After weeks of negotiations, Congress passed, and the president signed into law, the $152 billion Economic Stimulus Act of 2008. The legislation’s centerpiece is a one-shot tax rebate for individuals, but there’s much more to the new law.
HR Law 101: One of the toughest problems for employers is figuring out which law applies to a particular condition: the FMLA, workers' comp or the ADA. The relationship between the FMLA and other federal and state statutes is clear: The law that provides the greatest benefits to the employee applies ...
The IRS Small Business/Self-Employed (SB/SE) Division’s Fast Track Settlement plan, an initiative designed to expedite case resolution, is expanding to five new areas: two on the East Coast and three on the West Coast.
Despite the slow “death” of the federal estate tax in 2010, this onerous tax is scheduled to be revived in 2011—with a vengeance—after only a one-year repeal. At this time, congressional efforts to eliminate the estate tax for good appear to be dead in the water. So estate planning remains on the critical list for wealthy families.
When many business people and HR pros think of offering employees flexibility in balancing work and life issues, they think in terms of providing scheduling options. But in small businesses, that’s often a deal breaker. Instead, think of flexibility as a broad strategy for business success ...
If you operate a small business, you may make special accommodations for disabled individuals. In some cases, you’re required to do so by law. For example, you might install ramps for easier access to a store or improve the facilities in employee restrooms.
Q. I own a small business with 27 employees. Last month I was forced to terminate one of my employees who had been caught stealing. Because I knew he was having some trouble at home, I agreed not to contest unemployment. However, I just received an e-mail from this former employee asking me tell to him, in writing, why I fired him. I cannot shake the feeling that I am being set up for something. After all, I told him during his termination meeting that he was being fired for stealing. Do I have to respond to this request? ...
Florida is second in the nation in encouraging start-up businesses, a study by the Fraser Institute has found ...
The S corporation has become, by far, the most popular type of business entity for small business owners. According to the latest reports, about 4 million businesses have elected S corp status.
In the fall of 2007, the Ohio Civil Rights Commission’s proposed revisions to the rules governing pregnancy discrimination became a hot political topic. Due to some unusual political wrangling, the future of the proposed rule revision is very much in question ...
Gov. Jon Corzine and State Sen. Stephen Sweeney, D-Gloucester, are pushing a bill that would make New Jersey the third state to offer mandatory paid leave to employees to care for a new child or sick relative. Sweeney originally proposed 10 weeks of leave, but said in November he would consider cutting that to six weeks if it would get the proposed plan passed ...
The IRS has announced it’s stepping up audit efforts with a renewed emphasis on examining returns of small business entities. Watch out for these five danger signs that could lead to IRS inquiries.
Bonus-depreciation deductions are a thing of the past. But that doesn’t mean you can’t pump up deductions for business assets this year. Take advantage of enhanced Section 179 provisions.
Some managers turn every problem into a three-alarm fire, which can be stressful and ineffective. How do you know if a manager (or you) is a “management pyromaniac”? Fortune Small Business offers this quiz ...
Employers can raise deductibles and co-pays only so much before employees begin to doubt the value of their health benefits. So, organizations are looking for other ways to get meaningful savings as health costs continue to rise. Enter the employee wellness program ...
Over the past few years, large companies such as Microsoft, Abercrombie and Fitch, Intel, Federal Express, UPS, IKEA and Burger King have been involved in multimillion dollar class-action lawsuits for violating state and federal wage-and-hour laws. Now add Wal-Mart to that list ...
At Los Gatos, CA-based Netflix, employees can take as much vacation time as they want. No kidding ...
Here are some of the key changes in the new “small biz” tax law, the Small Business and Work Opportunity Tax Act of 2007.
Congress passed the Iraq funding bill, which includes an increase in the minimum wage and related small business tax breaks. Key provisions include:
The Pennsylvania legislature is considering an important bill that would create a special tax credit for Pennsylvania small businesses ...
Gov. Ed Rendell has been traveling the state selling his plan to make health care available and affordable for all Pennsylvanians. The plan—introduced in the House of Representatives as House Bill 700—proposes a program called Cover All Pennsylvanians (CAP) ...
On March 22, three workers’ compensation bills sponsored by state Rep. Helen Giddings passed the full House ...
The New Jersey Department of Banking and Insurance has fined Cigna HealthCare of New Jersey and Connecticut General Life $2.1 million for deceiving employers, and ordered Cigna to restore better coverage to 2,123 small businesses ...
On-site clinics are less common than they were a few decades ago, when the company doctor was as much a fixture as the school nurse. But the high cost of health care—and the trend toward focusing on prevention and wellness as ways to lower those costs—is bringing them back into vogue ...
Employers and consumers alike have been wrestling with skyrocketing health care costs, with no end in sight. And while Congress has talked much about reforming the system, it's been spinning its wheels for years. The same can't be said for state legislatures, where lawmakers are actively passing laws to make coverage more affordable ...
A CollegeGrad.com survey of 500 recent college graduates asked, "Which size company you'd most like to work for?" The response: 70 percent favored small to midsize companies ...
Pennsylvanians are more likely than the average American to go to the emergency room for treatment, a problem targeted by Gov. Ed Rendell’s proposed “Prescription for Pennsylvania” reform plan ...
Shortly before leaving office, Gov. Pataki signed New York’s Mental Health Parity Law, which requires insurers to provide mental health benefits in all health insurance policies issued in the state ...
Lt. Gov. David Dewhurst recently announced that the state legislature is looking for ways to amend Texas’ new business tax to enable more employers to provide health benefits for their employees ...
As the year-end approaches, take an inventory of employees who haven't taken their vacations yet, and suggest they book a getaway. Vacation skipping has become an epidemic ...
HR Law 101: Under the ADA, a "reasonable accommodation" enables a qualified individual with a disability to perform the job's essential functions. But an accommodation is considered unreasonable when it causes the employer an undue hardship ...
HR Law 101: The National Labor Relations Board (NLRB) applies strict rules of conduct to employers during union-organizing campaigns. But whether you choose to accept the union or resist it, you can still exercise your rights effectively. Or, if a union has already won a representation election in your organization, you need to know how to prevent the union from encroaching on your management rights ...
HR Law 101: Employee theft costs U.S. businesses $40 billion every year, according to estimates by the U.S. Chamber of Commerce. And internal theft contributes to the failure of one in 10 U.S. businesses annually. That’s why it’s imperative for your organization to have a clearly defined anti-theft policy...
HR Law 101: Several sources of financial assistance are available to help businesses make reasonable accommodations and comply with ADA requirements.
Q. Our business has 14 employees, and we pay 100 percent of their health insurance costs. One employee is out on workers' comp. Are we required to continue paying his health insurance, or can we offer him COBRA? —P.F., Delaware
Q. We’re a small business with eight employees. One employee frequently takes off for six to eight weeks with medical problems. She’s done this each year for the past three years. It’s a huge burden because very few people have her training, so we can’t hire a temp. How long do we have to allow her to disappear for months at a time? —M.S., Ohio
Gov. Rendell signed legislation last month that increases Pennsylvania's minimum wage by $2 per hour phased in over the next two years, but smaller businesses will have more time before having to pay the higher rates ...
Q. We're a small business (just eight employees) and haven't laid anyone off. But business is slow and we need to restructure. We have an employee who has worked here part time (12 hours per week) for 25 years. She is 65 years old. We have one other part-timer (10 hours per week) who has worked here just one year. We'd like to lay off both part-time employees and keep the full-time employees. Can we do that? —P.U., Georgia
Q. Can we require employees to be on our health insurance plan? We’re a small business and to meet the requirements for group insurance, we require all employees that aren’t covered by a spouse’s policy to enroll. We pay 75 percent of the premium. —G.P., Oklahoma
If you’ve been filing paper tax returns for years or you simply let your accountant handle the whole thing, preparing and filing your return online this year may intrigue you. Should you do it?
HR Law 101: The Employee Retirement Income Security Act (ERISA) governs the administration of employee retirement plans. Pension plans fall into two major categories: qualified and nonqualified plans ...
HR Law 101: The IRS has the burden of proof when it interrogates an employer about its worker classifications. Before the Small Business Job Protection Act of 1996, the onus was on the employer to prove that an individual didn't qualify as an employee ...
As of Jan. 1, 2007, the minimum wage in Ohio is $6.85 per hour. Employers with gross sales of less than $250,000 may continue to pay the federal minimum wage ($5.85 per hour effective July 24, 2007) ...
Crash! That was the sound of the IRS coming down hard on private annuities. In the form of proposed regulations, the IRS wants to eliminate some of the income-tax advantages of selling appreciated property, such as real estate, in exchange for a private annuity.
The IRS has implemented several key changes in the tax-reporting rules for small businesses.
Question: I have a question: What is a virtual administrative assistant? -- Sandy
With prices falling, you should pay less for telecom costs these days. But you might actually be spending more than your competitors and not know it. To find out, benchmark your telecom costs against other small businesses in your industry.
Question: "I have two daughters in college and am looking for ways to use my skills at home to earn some extra income. I have gathered information from the Internet on virtual assistants. It looks like a possibility for me, but was wondering if anyone is a virtual assistant and if they would give me some advice (pros, cons, pay, reputable organizations to join, etc.). Thank you." -- Connie
As a small business owner, your company's 401(k) plan is one of the best deals around. You can salt away part of your salary tax-free within generous limits, while the company matches all or part of your deferral.
For too many people, the tax season is a February-to-April affair. But trying to plan your tax strategies after Dec. 31 is as futile as a football team drawing up its game plan with two minutes left in the fourth quarter: You can't do much to affect the score.
Question: It doesn't happen often, but whenever an employee is terminated, we struggle with how - or if - to announce it to the rest of the employees. It's such a sensitive issue. How do you let people know without affecting morale? -- Kristin, Seattle
A new Tax Court ruling that allowed an employee to deduct education-related expenses opens the door for small business owners to do the same.
Health insurance costs continue to skyrocket without any end in sight. As a result, companies both large and small are exploring alternate means to cover their employees.
As you thumb through the mail one day, an unassuming letter catches your eye. Return address: The IRS. You nervously tear open the envelope and your worst fears are confirmed: The IRS has chosen your return for a correspondence audit.
If you operate a business that's open to the public, you're legally required to make the premises accessible to disabled customers. That may include creating wheelchair ramps, wider aisles or reconfiguring your restrooms.
The push to audit S corporations (described above) is part of a larger IRS initiative to examine more returns, particularly of small business owners. Don't think you're immune just because you've been able to fly under the radar so far.
This finally may be the year Congress authorizes association health plans, a move that could lower health insurance premium costs for small business owners.
Are you ready for a computer upgrade? If the answer is "yes," don't just toss out your old equipment.
Congress often tinkers with the tax code, but rarely does it throw business owners a brand-new deduction. That's why last year's tax law—the American Jobs Creation Act— created such a stir. Starting in 2005, the law authorizes a new write-off for qualified manufacturers that could eventually amount to a 3 percent rate cut.
When you started your small business, you poured most of your earnings back into the operation. Unfortunately, that didn't leave much cash for retirement savings. Now that your business is running smoothly, you may hope to make up for lost ground—and fast.
Nobody's getting any younger. But if you own a small business and you're older than most of your employees, you may be able to max out on your retirement plan and jump-start your nest egg. That's especially true if your company doesn't have a retirement plan in place or you haven't been able to max out on plan contributions.
In a recent article, we discussed several ways to chop down the rising property taxes on your personal residence. (5/30/05 issue) But escalating property taxes aren't limited to homeowners. Small business owners are getting socked lately as the value of their business property has gone up, too.
The IRS just released a new CD titled "Individual Retirement Arrangement (IRA) Resource Guide for Small Business Owners and Individuals."
Heads up: The IRS plans to ratchet up the audit pressure on small businesses in the coming months.
If you're like most people, you finally put your 2004 tax return to bed a few short weeks ago. But then comes a sinking realization that you missed a tax deduction or credit opportunity on your return. Or maybe you accidentally failed to report income, miscalculated a capital gain or forgot a business deduction. Should you file an amended return or not? That is the question.
If you're like most small business owners, your spouse does odds and ends around the office and pitches in when you need help. This is particularly true in the summer months when other employees take vacation leave.
Are you and your employees adequately protected in the event of a long-term illness? Despite the potential for dire consequences—such as exhausting their lifetime savings—few people secure long-term care insurance on their own.
Medical costs continue to skyrocket. What's a small business owner to do?
In most cases, fringe benefits provided to company bigwigs are exempt from tax only if they are offered to everyone.
If you run a small company, it's hard to squeeze in enough exercise time during the week.
Chances are you've used the float—the time it takes banks to process checks—at least once during difficult cash-flow moments. But take note: A new law will eliminate this age-old practice, possibly forcing you to change your cash-flow practices.
You may have read that legislation sailed through the House last month that would give employers more time to challenge OSHA citations and allow small businesses to recoup legal fees when they defeat an OSHA lawsuit.
Now that tax-filing season is over, ask yourself one simple question: How satisfied are you with your tax adviser?
Small business owners like you often face diversification and liquidity problems because most of your wealth is tied up in the company. If your business experiences a serious reversal, your personal assets could be depleted.
As the owner or sole proprietor of a small business, you reap most of the rewards. But you also run most, if not all, of the risks. So you might be hesitant to sponsor a qualified retirement plan for yourself and your employees. One reason: Creditors could gain access to your plan assets if the business ever goes under.
Democratic presidential candidate Sen. John Kerry unveiled his plan this month to offer small business owners a mix of tax breaks and government help in exchange for lowering health insurance costs for employees.
If your small business is carrying excess inventory, unused equipment or other idle assets that could be sold, check out eBay's Selling Manager.
Quick: Who are your company's three best clients?
If you instinctively thought of your three biggest clients, you may be making a mistake that's common among small businesses: focusing on less profitable larger accounts at the expense of smaller, more profitable ones.
Small businesses think they need every customer they can get. Not true.
You're better off applying the "PIN," or pain-in-the-neck, test to identify customers who actually
damage
your bottom line.
President Bush signed legislation last month that removes the temporary $750,000 cap on small business loans made through the U.S. Small Business Administration's flagship 7(a) loan program.
If you're shopping for cheaper phone service, include companies that sell Voice over Internet Protocol, or VoIP, services to small businesses.
Like most small business owners, you probably work with a tight advertising budget—if you have one at all. One way to stretch your ad dollars: Use customer testimonials, a powerful and inexpensive form of advertising.
If you've been frustrated with your bank's service, 2004 is the year to shop around for a replacement, or, at the very least, to press your current institution for more services, especially if you do business with a large bank or community bank.
Is your company a "small" business? That depends on whom you're asking.
The U.S. government is funneling more money than ever to small businesses.
With PC sales and profit margins shrinking, big computer companies are rolling out a wider variety of small business networking hardware. Prices are lower than ever.
You never want your tax return to stick out like a sore thumb at the IRS. That's why it's good to know whether your deductions fall within the national averages.
President Bush is once again pushing Congress to radically reshape America's savings plan system, creating three new tax-preferred investment accounts.
"Web rings" are basically a linked collection of Web sites with a common theme, industry or product business. The idea behind them: Banding together an assortment of smaller merchants or services can help the entire group compete more effectively online and build Web traffic.
Q: I operate a small relocation company with 10 full-time employees and a few part-timers. We don't have a retirement plan. I remember reading something recently about a tax break for setting up a plan. Is there such a break? E.R.M., Chicago, Ill.
Thanks to the recent Bush tax acts, you can deduct on your 2003 tax return either 30 percent or 50 percent of the cost of qualifying new assets that you bought and placed in service last year. The remaining amount is then depreciated using standard tax rules.
Millions of taxpayers now file their tax returns via the Web, and the number is likely to grow. Should you join the crowd?
When meeting with your accountant this tax season, don't be surprised if he or she tries to sell you on a new benefit-
management program or other service.
Starting this year, the federal government offers a single Internet portal for small businesses that want to do business with the government. The result: You'll have an easier time registering as a contractor and marketing your goods and services to the government.
Small businesses spend a lot of time and money on employee training, but they rarely measure their return on investment (ROI). And while it's not easy to measure your training ROI, it's important to make sure the money you're spending actually boosts the bottom line.
With the economic upsurge generating more hiring, it may become a "buyer's market" again. So you'll need to show your best cards to win the star applicants.
It will soon be springtime in Washington, and for the past three years, that has meant tax breaks spilling forth across the land. But not this year.
Now that the busiest shipping season is over, take time to evaluate your mailing methods. You may be overlooking some relatively easy ways to save money.
Surveys show that more small businesses are using e-mail as a marketing and advertising tool. The obvious reasons: no printing or mailing costs, and customers can click on an embedded Web address and buy instantly.
Reports about the demise of family limited partnerships (FLPs) are greatly exaggerated.
Most states operate on a fiscal year that ends June 30, so state agency buyers typically crank up their spending in the late winter and spring. In many cases, they'll spend unused funds in their budget to justify the same or higher funding for next year.
Take advantage of free energy audits from utilities and government groups, which are more plentiful for small businesses these days.
If your small business offers generous benefits, promote that point hard in your want-ads.
You probably saw all the fanfare this month surrounding President Bush's signing of the Medicare reform law, the biggest rewrite of Medicare in its nearly 40 year history.
But, unless you're on Medicare, you probably thought the Medicare Prescription Drug and Modernization Act of 2003 contained nothing for you. Well, you were wrong.
To the cheers of small business owners, Congress this month created Health Savings Accounts (HSAs), as described on page 1. That adds a new acronym to the already confusing tangle of tax-advantaged health care spending, which includes FSAs, MSAs, HRAs and more.
If you're still handling payroll yourself, you know it's time consuming and prone to errors. So here's some good news: A new crop of online payroll services are popping up and—no coincidence—the costs are dropping fast.
Staying one step ahead of the IRS isn't easy for most small businesses. One wrong step—a forgotten form, a lost receipt—could invite Uncle Sam's wrath.
I am one of three owners in a small business. We're concerned about the impact of a disability on one of us. What are the possible tax ramifications if we buy disability insurance on the lives of all three business owners to fund a disability buyout? How do we structure the arrangement to benefit from lower capital gains taxes?
Small businesses often trade referrals among each other. It's a smart and easy way to attract new business.
More small businesses are leasing technology equipment to cut costs and increase efficiency. But it could mean scant savings if you choose the wrong lease agreement.
Children of business owners are two to three times more likely than others to become business owners themselves, according to a new study promoted in the U.S. Small Business Administration's newsletter.
Making a sale is worthless if you never receive payment. Many companies make the fatal mistake in their collection process of either letting debtors off too easily or turning them off for good.

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