Saving tax on restricted stock awards

Today many employees, as part of their compensation and benefits package, receive stock-based payment from their employer. The tax consequences of such payment can be complicated — subject to employment, capital gains, ordinary income, and other taxes. Though, if you receive restricted stock awards, Section 83(b) election might give you a tax-saving opportunity. Convert ordinary … [Read more…]

Taxes and where to live in retirement

When retirement comes, many Americans relocate to another state. State and local taxes should factor into your decision if you’re contemplating such a move. Income, property and sales tax It might appear to be the best option to choose a state that has no personal income tax. However, once you think about property taxes and … [Read more…]

2018 Q3 tax calendar: Deadlines for businesses

Here are some of the essential tax-related deadlines for the third quarter of 2018 that are affecting businesses and employers. Keep in mind that this list isn’t all-exhaustive, so there might be other deadlines that apply to you. To make sure you’re meeting all relevant deadlines and to learn more about the filing requirements, contact … [Read more…]

The advantages of HSAs, FSAs and HRAs

There is still much uncertainty about the Affordable Care Act and how such a change will impact health care costs. So, to fund these expenses—including FSAs, HRAs, and HSAs—it’s important to leverage all tax-advantaged ways. Here’s how to clear up these confusing healthcare accounts. HSAs If you’re covered by a qualified high-deductible health plan (HDHP), … [Read more…]

You still have time to make 2017 IRA contributions

Tax-advantaged retirement plans like Individual Retirement Accounts (IRAs) allow your money to grow tax-deferred — or, in the case of Roth accounts, tax-free. April 17, 2018, is the 2017 deadline for IRA contributions. Deductible contributions will lower your 2017 tax bill, but even nondeductible contributions can be beneficial. Don’t lose the opportunity The 2017 limit … [Read more…]

Home green home: Save tax by saving energy

Depending on if it’s your second home or your principal residence — “going green” at home can reduce both your tax and energy bill, all while helping the environment. The trick to achieving all three benefits is that you need to buy and install specific kinds of renewable energy equipment in the home. Save your … [Read more…]

What you can deduct when volunteering

It makes sense that the donation of your time would be deductible because contributions to a charity of cash or property usually are tax deductible (if you itemize). Regrettably, that’s not the case. Donations of time or services are not deductible. It doesn’t matter if it’s work needing significant experience and expertise that would be … [Read more…]

The new QBI deduction’s wage restriction

The Tax Cuts and Jobs Act (TCJA) offers a generous tax break to noncorporate owners of pass-through entities: a deduction for a portion of qualified business income (QBI). The deduction usually applies to income from partnerships, sole proprietorships, limited liability companies (LLCs), and S corporations. It can equal at most 20% of QBI, but once … [Read more…]