|
"When you exhaust all possibilities, remember this:
You haven't.
~ Thomas Edison (1847-1931), Inventor and Entrepreneur
|
|
Everything You Wanted to Know About the Small Employer Health Insurance Credit
but Were Too Afraid to Ask
 Small businesses that pay at least half the cost of employee health coverage may qualify for a federal tax credit, called the small employer health insurance credit. The credit helps to reduce the companies' costs of this important employee benefit. However, according to the General Accountability Office (GAO), few eligible companies claimed the credit in 2010, the first year it was available. That year, 170,300 small employers claimed the credit, while government agencies estimate pool of qualifying small businesses ranges anywhere from 1.4 million to 4 million. Confusion about the credit accounts for part of the shortfall.
Now, proposed regulations issued in late August help to clarify many of the complex and confusing rules for claiming the credit. They are designed to be effective on January 1, 2014, but are also helpful with the credit for 2013. Here's what you need to know:
Credit overview
The small employer health insurance credit was created by the Affordable Care Act in 2010. There are really two credits: 1) a credit of up to 35% of premiums, which applies in 2010 through 2013, and 2) a credit of up to 50%, which runs only for 2014 and 2015. While many of the rules are the same for all years, there are important differences.
| |
|
Controlling Your Insurance Bills
|
It's no secret that the cost of most types of insurance is on the rise -- from liability coverage for your business to car or health insurance. But you can fight back by controlling your coverage. Here's how. BOPThe mainstay of your protection is your business owner's policy (BOP). It provides coverage to you for property losses resulting from theft, fire, or other occurrences as well as coverage to third parties for liability resulting from negligence (e.g., a customer slips and falls because you failed to wipe wet floors or post warning signs). Start by reviewing your existing coverage to see whether it still reflects your needs. For example, you may be carrying too much coverage for property if you've trimmed your inventory substantially or disposed of other property without replacement. Other cost-cutting suggestions: - Implement anti-theft policies, which may include new locks, cameras, and monitoring services.
- Reduce the premiums by increasing the policy's deductible.
- Review your safety policies to minimize claims. Nationwide publishes guides to help you.
Read More... |
|
FACTA 10 Years Later
| In 2003, the Fair and Accurate Credit Transaction Act of 2003 (commonly known as FACTA) was enacted to provide certain protections for consumers to thwart identity theft. Toward this end, it imposed some responsibilities on businesses.
Ten years later, identity theft continues to grow and is the number-one consumer complaint today (there were more than 12.6 million cases reported in 2012).
As a small business owner, what you are you supposed to do?
Overview of FACTA
Businesses, regardless of size, must adopt policies and procedures to ensure that sensitive financial data, such as credit cards and Social Security numbers, are not shared. This means proper ways to mask, share, and dispose of this information as well as ways to notify to individuals when their personal data has been breached.
Protecting customers
What have you done to ensure that sensitive financial information about your customers is protected? Here's a to-do list for your business:
- Write policies and procedures for your staff to follow. Include such points as banning the practice of leaving customer files in plain sight (whether paper files on a desk or on a computer screen), implementing good password protection, and securing paper documents waiting to be shredded.
|
|
Our Readers Ask
|
Q: I'm taking out a loan to buy an existing business. Is the interest tax deductible on my personal return?
A: The interest is deductible, but the way in which you deduct it depends on what you're buying. If you're buying a C corporation, all of the interest on the loan is treated as investment interest, a current deduction for which is limited to your net investment income (with a carryover for excess interest). What's more, you only get the deduction if you itemize deductions on Schedule A. If you're buying an interest in a partnership, limited liability company, or S corporation, it's more complicated. The interest is allocated to each asset acquired; some of the interest may be treated as business interest, which is fully deductible, while some may be investment interest.
|
|
Book Review
Guest reviewer: Isaac Tolpin, Founder, CEO Choose Growth,
and Co-founder, Throwing Boulders
Smooth Failing: Top Industry Leaders Share Their Secrets for Turning Pain into Profit
by Barbara Weltman ~ Indigo River Publishing
This eBook comes in two versions:
Standard Edition ($4.99), and
Living edition, with more chapters to come ($9.99)
 In an age with plenty of theory and idealistic tips, this book goes deeper.
Once an entrepreneur has gone through failure and turned it into success with their business, they can always distill it to a few fundamental ingredients that were crucial along the way.
Weltman's book brilliantly shares the powerful turnaround success stories of setbacks and lessons learned from accomplished business leaders, giving a rare inside look into the practical wisdom that matters most.
|
|
|
|
|
Honored to be named as one of the
~~~
|
|
~~~
|
|
|
It's a Fact!
Sole Proprietorships on the Rise
Recent IRS statistics show that the number of sole proprietorships filing 2011 tax returns rose by 1.8% to 23.4 million returns. Profits on these returns rose by 5.6%.
|
|
|
|
~~~
Build Your Business Radio and
Business Leader Radio
Remember,
you can hear live broadcasts every 3rd Tuesday, at
|
Did You Know? ... You can now get your Idea of the Day® and all the latest news and information from Big Ideas for Small Business® on your mobile devices.
Don't miss out -- get your
|
|
|
