Dear Dealer Members:

The MADA Annual Meeting and Legislative Reception will be held on Tuesday, January 17 from 5:30 to 8:30. Business meeting (5:30-6:30) agenda items include:

• Briefing on industry tax issues and MADA lobbying strategy
• Briefing on regulatory issues involving vehicle sale disclosures
• Briefing on the licensing requirements of broker services in Maryland
• Popular business friendly political journalist, Blair Lee, will present his take on the current political climate in Maryland.

Considering that our industry faces potential tax increases and/or other relevant changes, it is important that each dealership send a representative.   

The legislative reception will follow the annual meeting.  Please send a personal invite to your legislators to show you are eager to meet with them on the 17th by clicking on this link.

MADA Chairperson, Marisa Shockley, honored Joshua P. Parker, Maryland's 2012 Teacher of the Year, with the gift of a new car on Tuesday, January 11, 2012. The new car, a 2012 Honda Civic is provided by MADA on behalf of all Maryland's franchised new car and truck dealers.

Mr. Parker, of Windsor Mill Middle School, was announced the statewide winner of the prestigious competition from among 24 finalists selected from each county and the city of Baltimore. In addition to the state honor, Mr. Parker will represent Maryland at the White House in April as a candidate for National Teacher of the Year.    

Joshua Parker receiving the keys to his new car from Marisa Shockley.

"We are fortunate to have so many great teachers here in Maryland, and especially want to congratulate Mr. Parker on this honor," said Marisa Shockley. "It is our privilege to present this car in appreciation for his hard work and commitment to Maryland's children."

The gift of a new car is especially fitting for Mr. Parker who noted that when he first began teaching at Dundalk Middle School he did not have a private vehicle and had to take two different buses to get to work each day. He said having the new car is a great feeling.

"Teaching kids is the most important thing we can do, and if you affect one child, you can affect an entire community, country and world. So, if that is my responsibility every day, I run to that. I embrace that because I have the ability to shape the world positively," Parker said.  

Congratulations Joshua on this remarkable achievement!

Invitations will be mailed shortly, but please mark your calendars and join your fellow members for a fabulous night in Las Vegas!

MADA announces the next live webinars coming to you from DealersEdge... 

#1: Variable Operations- Get Prepared for a Watershed Year in 2012! 

Date/Time: Thursday, January 12, 2012 at 1:00 p.m.

Presenter: Jeff Sacks of Jeff Sacks Auto

Cost: $149.00 Per Person

New and Used Vehicle Departments are poised for a watershed year in 2012.  The poor business conditions brought on by the severe financial problems of 2008 have started to correct and should help spell "good times" for North American car dealers in the coming year!

2011 was actually hampered by natural disasters, but all of this seems to finally be behind us.  In addition, the aging of all the vehicles now on the road, and the pent up demand that resulted, is finally being satisfied by customers with vehicles that simply "must be replaced."  When you examine all the tea leaves this helps project a huge year in 2012! December sales have already signaled a strong 2012.

The webinar will focus on:

• The special needs and demands of the 2012 sales customer
• How your sales staff needs to change in the face of this new customer and a shifting marketplace
• How new technologies are impacting the sales departments and what further changes to expect in the coming year!

#2: How to get to 30% Net-to-Gross... A Plan Based on Dealership Case Studies

Date/Time: Thursday, January 19 at 1:00 p.m.

Presenter: : Steve Nickelsen, of Nickelsen Partners

Cost: $149.00 Per Person

The long established profit performance benchmark of "30% Net-to-Gross Profit" remains elusive to many, if not most dealerships.

Gross Profit pays the bills, but it doesn't take a financial wizard to understand that the ultimate goal is a healthy bottom line - Net Profit!

Nickelsen Partners has been studying this benchmark and goal to see just how some dealerships and dealer groups are hitting the mark consistently.

On January 19th, Steve Nickelsen will present an action plan that you can employ in your store right now to elevate your performance to "30% Net-to-Gross."  It's you chance to find out how others are getting it done. 

 CLICK HERE TO REGISTER TODAY! 

We remind all of our members that the 2012 Motor Trend International Auto Show comes to Baltimore February 9-12. Encourage your customers to attend this great event. Other than being in your showroom, this is the next best thing to trying out that new car they've been admiring.

Dealers will receive a packet in the mail with coupons and tickets; if you need more, please contact Katie Jones at 410.269.1710.

Social Security Rate and Wage Base
The Social Security Old Age Survivor's and Disability Insurance (OASDI) taxable wage base for 2012 increases to $110,100 from $106,800. The rate for the employee portion of Social Security is 4.2% for the first two months of 2012 as a result of ongoing payroll tax relief signed into law on December 23.      

Retirement and Pension Plans - 401(k), 403(b) & 457(e) Type Plans
The 2012 limit on the exclusion for elective deferrals in Section 401(k)-type plans, Sec. 403(b) plans, and Sec. 457(e) (15) plan will be $17,000, up from $16,500 in 2011. The "catch-up" contribution limit for those aged 50 and over remains unchanged at $5,500.      

Federal Unemployment Tax Act (FUTA) Rate and Wage Base
The FUTA wage base is staying at the $7,000 for 2012 and the rate is staying at the 6.0% with the credit of 5.4% for a net tax rate of .6%.      

Mileage Rates
The 2012 business deduction mileage rate remains 55.5 cents for business miles driven, the same as the adjusted mid-year rate, the Internal Revenue Service said December 9th. Starting January 1, 2012, the rate for medical or moving expenses and deductions will be 23 cents and the rate for miles driven in service of charities will be 14 cents per mile.

Dealers, please be sure that your technicians are current on the latest ASE Certification courses. The 2012 calendar has been announced and dates for testing are coming up soon...

Jan/Feb 2012 testing runs from January 17 - February 29. Registration opened on January 10 and closes on February 21.

April/May 2012 testing runs from April 1 - May 31. Registration will open on March 1 and closes on May 21.

July/Aug 2012 testing will run from July 1 - August 31. Registration will open on June 1 and will close on August 21.

Oct/Nov 2012 testing will run from October 1 - November 30. Registration will open on September 1 and will close on November 21.

For more information, please visit the ASE website.