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Top bookkeeping services New Jersey firm: A wage garnishment is any legal or equitable procedure where some portion of a person’s earnings is withheld by an employer for the payment of a debt. This is typically initiated through a court order or government agency action (such as an IRS levy) that requires an employer to withhold a percentage of an employee’s compensation. When notified of an order to garnish wages, an employer is legally obligated to make the appropriate deductions from an employee’s salary and direct payments to a designated agency or creditor.
File and pay on time! If you can’t finish your return on time, make sure you file Form 4868 by April 15, 2020. Form 4868 gives you a six-month extension of the filing deadline until October 15, 2020. On the form, you need to make a reasonable estimate of your tax liability for 2019 and pay any balance due with your request. Requesting an extension in a timely manner is especially important if you end up owing tax to the IRS. If you file and pay late, the IRS can slap you with a late-filing penalty of 4.5% per month of the tax owed and a late-payment penalty of 0.5% a month of the tax due. The maximum late filing penalty is 22.5% and the late-payment penalty tops out at 25%. By filing Form 4868, you stop the clock running on the costly late-filing penalty.
Meet With Your Tax Advisor: November is a good month to meet with a tax advisor, Powell says. They have finished their October tax filings and may have time in their schedule before the busy tax season starts after the first of the year. “If you sit down and do some math between now and the end of the year, you can make sure you are in a favorable tax bracket,” Barlin says. An advisor can help pinpoint strategies to reduce taxable income through retirement contributions or itemized deductions. That, in turn, may be key to ensuring households remain eligible for some income-based tax incentives such as student loan interest deductions. If you don’t regularly use a tax professional, Barlin says running numbers through tax software can be just as beneficial.
There’s no question that a bookkeeping service saves your business both time and money, but the processes and consistency introduced by one can increase the longevity and efficiency of your business, making you more profitable for decades to come. Hiring a bookkeeping service is about more than just finding someone who can use a calculator and understand QuickBooks. You want a full-fledged team that has the professional background, training and experience to really benefit your business. People whose expertise you can rely on. Ideally, you want to focus on those who have QuickBooks Pro Advisors certification, additional professional certifications in specific accounting software or and those that employ AIPB Certified bookkeepers. Discover extra details at Accounting services New York.
Just as with hiring an internal bookkeeper and defining their role, you’ll have to decide which pieces of your financial management make sense to outsource including the bookkeeping function. The average price of outsourcing your bookkeeping needs ranges from $500 to $2,500 a month depending on the number of transactions and complexity of services required. A key benefit of Outsourcing is it gives you the ability to customize the services you receive to your bookkeeping needs.
Caring for your accounting and bookkeeping shouldn’t come at the expense of running your business. If you’re a small business owner who’s overwhelmed or just need Professional help in managing your finances, consider outsourced accounting and bookkeeping services from Merge Bookkeeping. We share your burdens : We take the load of preparing your company books and other related necessary yet menial tasks off your shoulders. You can keep working towards making your profile bigger and better. Read additional info on mergebookkeeping.com.
Tax preparation services in US
Tax advisors solutions? This is a trendy topic in 2020. Money are a big problem, as everyone knows. We will talk about a few audit protection tricks finishing with the introduction of a top professional company in US.
Review Tax Filings From Previous Years: For most people, the changes from one tax year to the next are relatively slight. Previous tax returns are excellent reminders of areas you can easily overlook, such as interest or dividends, capital loss carry-forward balances, and infrequently used deductions. I keep paper copies as well as scanned copies of past years’ returns, in addition to four spreadsheets detailing my income and expenses for each year. One spreadsheet contains the information from Form 1040, while the others have previously filed data for Schedules A, C, and D. This allows me to quickly check whether I’ve overlooked an income or expense item, as well as the year-to-year changes in amounts. For example, if I received dividends from one security holding or interest from a particular bank in prior years, but the amount is missing or substantially changed for the current year, I know to check for the reason behind the omission, increase, or decrease before completing my tax filing.
What are my obligations as an employer? Upon being notified of a wage garnishment court order, an employer should immediately alert the employee to the situation in writing. Depending on the garnishment, there may be a form provided for this (i.e., Form 668 for a federal levy). An employer can also draft a letter detailing the specifics of the wage garnishment order, the amount to be taken from each payment, and the length of time the wages will be garnished. Concurrently, an employer should notify their HR and/or payroll departments so they can start the wage garnishment process and ensure that payments are sent to the appropriate agency or creditor (whether the employee wishes to comply or not). Taking these actions protects the business from any legal repercussions for failing to respond to the order.
Out-of-pocket charitable contributions: It’s hard to overlook the big charitable gifts you made during the year by check or payroll deduction. But the little things add up, too, and you can write off out-of-pocket costs you incur while doing good deeds. Ingredients for casseroles you regularly prepare for a qualified nonprofit organization’s soup kitchen, for example, or the cost of stamps you buy for your school’s fundraiser count as a charitable contribution. If you drove your car for charity in 2019, remember to deduct 14 cents per mile. Jury pay paid to employer: Some employers continue to pay employees’ full salary while they are doing their civic duty, but ask that they turn over their jury fees to the company. The only problem is that the IRS demands that you report those fees as taxable income. If you give the money to your employer you have a right to deduct the amount so you aren’t taxed on money that simply passes through your hands. See extra details on Tax Cash Advance.
Avoid Taxes on an RMD with a Charitable Donation: Seniors who have a traditional 401(k) or IRA must take a required minimum distribution each year once they reach age 70 1/2. Those who don’t need this money for living expenses may want to consider having it sent directly to a charity as a qualified charitable distribution. “It’s basically a check issued from the IRA and made out to the charity,” Zollars says. This prevents the money from becoming taxable income and could help reduce the amount of Social Security retirement benefits that are deemed taxable, too.
Familiarize yourself with new tax rules: The Tax Cuts and Jobs Act that took effect in December 2017 made big changes to the U.S. tax code. The tax reform means two things for you. Some of the tax breaks you might have taken advantage of in the past are gone. There may be some new tax breaks you can use when preparing your taxes. Check out our tax reform review to see the biggest changes and start thinking about things you can do to take advantage of them. Details : https://getquickcashtoday.com.