As we are deep in the holiday season, I hope you are getting the chance to spend some extra time with friends and family and getting a chance to recharge.  It also means we are approaching the moment when it comes time to declare any New Year’s Resolutions.

Now, not everyone does this, and even those who do are not always successful. I think we all appreciate that on some level, but it may be alarming just how many fail. Now the science behind how to measure this can be tricky (just how much weight does one need to lose before claiming triumph?), but I have seen numbers that go as low as claiming only eight percent of those who make resolutions carry them out to success.

And sure, if you are looking to enter the new year with the typical but admirable goals of either losing weight or quitting smoking, I wish you only the best of luck. That is not where my expertise lies, however. But if you are entering the new year with hopes to be better with money and make better moves to improve your financial situation, it’s possible I could offer help there, and would love to do so.

In the interests of being a generally helpful person, let me also help guide you through the end of this season. For it is not only resolutions that come about with the turning of the calendar. At some point you are also going to hear that standard Auld Lang Syne and everyone is going to sing the first two lines, then mumble their way through the rest.

So here are the real lyrics, tuck them away in your mind (or in your pocket) and impress everyone at your New Year’s Eve gathering. Note, this is the English translation, for no one is in a state to muscle through Robert Burns’ original Scottish by the time the song begins:

Should old acquaintance be forgot,
and never brought to mind?
Should old acquaintance be forgot,
and old lang syne ?

CHORUS:
For auld lang syne, my dear,
for auld lang syne,
we'll take a cup of kindness yet,
for auld lang syne.

And surely you will buy your cup
and surely I’ll buy mine
And we'll take a cup of kindness yet,
for auld lang syne.

CHORUS

We two have run about the slopes,
and picked the daisies fine,
But we’ve wandered many a weary foot,
since auld lang syne.

CHORUS

We two have paddled in the stream,
from morning sun till night,
But seas between us broad have roared
from auld lang syne.

CHORUS

And there’s a hand my trusty friend,
And give us a hand of thine,
And well take a right good-will draught,
for auld lang syne.

CHORUS

But please don’t ask me exactly what the lyrics mean.

Happy New Year!

I understand that this is a week where many people start to check out (at least mentally) from the work world. Although it is clear that I cannot completely lay claim to that as I type out this message, but I am looking forward to that wonderful holiday break, as well.

For those of us in the tax world, however, this time of year symbolizes the rapid advance toward our busy season. And the dates of it are even starting to get concrete.

Earlier this month, the IRS put out a notice to get everyone prepped for tax season. The agency let it be known that its tax season begins on January 23, meaning that is the first day it will begin accepting electronic returns and processing paper returns. That does not mean that you cannot have your work done before that date, but the IRS will not look at it until then.

In the same notice, taxpayers were reminded that anyone claiming an Earned Income Tax Credit and/or the Additional Child Tax Credit could experience a delay on their refunds. Any early returns claiming those will have their refund held until at least February 15. This is because a high number of fraudulent returns try to take advantage of those credits.

Okay, we can all agree that is enough real work now, right?

So to close, I just wanted to wish everyone Happy Holidays for whatever ones you observe, or just a welcome respite from life’s fast pace if you don’t celebrate.

And either way, there is always good holiday entertainment out there, so since we have agreed that we have done enough work, let me provide some:

First, those of us of a certain age remember how we used to only be able to watch A Charlie Brown Christmas once a year, and this opening still makes me feel good:

https://www.youtube.com/watch?v=GPG3zSgm_Qo

I also tried to make all the classic Rankin & Bass specials appointment viewing:

https://www.youtube.com/watch?v=nu8UCrqMtwg

If you like to still get some Christmas cheer from regular TV, you won’t miss a scene even if you sporadically take in some of the 24-hour A Christmas Story marathon that TBS/TNT has provided for years, and there are some scenes that still make me giggle:

https://www.youtube.com/watch?v=jp-BN9skTP0

And finally, Will Ferrell’s Elf has rapidly made its way onto my must-see list this time of year, and it deserves to be seen if you have not yet, and seen again if you have:

https://www.youtube.com/watch?v=9jyCfRHumHU

Enjoy!

Many times in this space, I have mentioned how it is important for businesses to remain open to changes to ensure they don’t get left behind as new models and practices emerge. Much of the time this involves being open to embracing the ever-evolving changes of our technological world.

The idea of that world ruled by technology may feel new to those of us who can still remember a time without the internet, but it is still a world that had undergone a lot of change in that relatively short period of time. To showcase just how many huge changes we have already seen, PC Magazine recently ran an article looking at the top websites of the last 20 years.

Like, remember when AOL ruled the world? And know how you already get a feeling of nostalgia when you write to someone who has an @aol.com email address now?

Then there were Geocities, Tripod and Angelfire that were some of the first companies trying to help people have their own websites.

Yahoo! used to rule the world of internet search engines, and made some auxiliary deals to try to drive lots of traffic to its site, but Google emerged as the company that has now become a verb. And remember how you also used to be able to Ask Jeeves questions?

Currently, one cannot deny the ubiquity of YouTube and Facebook. And just how much will mobile technology continue to change the landscape of what places we visit electronically and how often?

The moral of this story is that it is not enough to say “I know technology.” That world has trends that come and go faster than we can appreciate in real time, and this dynamic highlights how important it is to move along with those waves. The businesses that listen to, and heed, the changes will be the ones who don’t disappear when the next sea change comes through.

***

Last week, I wrote about the IRS and its efforts to make taxpayers aware of security concerns. In its continuing efforts to get everyone ready for the upcoming tax season, the agency has also released a notice about keeping tax records.

So since this is a question that comes into our office from time to time, here a couple of paragraphs straight from the IRS:

Generally, the IRS recommends keeping copies of tax returns and supporting documents at least three years. Some documents should be kept up to seven years in case a taxpayer needs to file an amended return or if questions arise. Keep records relating to real estate up to seven years after disposing of the property.

Health care information statements should be kept with other tax records. Taxpayers do not need to send these forms to IRS as proof of health coverage. The records taxpayers should keep include records of any employer-provided coverage, premiums paid, advance payments of the premium tax credit received and type of coverage. Taxpayers should keep these — as they do other tax records — generally for three years after they file their tax returns.

Also in this release, the IRS put out a more urgent call for people to keep their most recent tax returns handy as the agency tries to institute new protocols for authenticating and protecting taxpayers’ identities. So for those of you who never keep anything, the time to change that has arrived, as you may need to know last year’s adjusted gross income to prove you are who you say you are.

I am sure all of you are well aware that stress increases during the holiday season. At the risk of making it feel even more overwhelming than it already does, did you know there is another celebration going on, one you may not know about, but probably should be taking part in?

Alright, It is not really that exciting, but National Tax Security Awareness Week did start on Monday, December 5. In fact, I am not even sure how I feel about the way that the IRS is framing its efforts surrounding the week.

Now, on the whole, the IRS often feels like an antagonistic force, so little that it says ever sounds that fantastic. I do, however, believe that it deserves credit for trying to be proactive about preventing tax fraud and identity theft in many forms. In fact, I even agree with some of their recent rhetoric about how it is a difficult task. No matter what safeguards are put up to keep out cybercriminals, it is difficult to defend against a tactic before it has been used. By its nature, the evolution of that battle is pushed along by criminals figuring things out.

In a recent news release about this celebratory week, the IRS said:

The IRS, state tax agencies and the tax community came together in 2015 to combat tax-related identity theft as a coordinated partnership. But they realized one partner was missing:  taxpayers.

That makes it sound like taxpayers are doing something wrong, and one should never blame the victim.

This is really a semantics battle, though, for there are actions that everyone should be taking to try to keep their personal information secure. This may be especially true this time of year when you are likely making more transactions, online and otherwise, than at any other point on the calendar.

So even if I don’t like their wording, the tips given by the IRS are solid ones and deserve to be noted. To that end, here are their recommendations:

• Use security software and make sure it updates automatically; essential tools include:

 • Firewall

 • Virus/malware protection

• File encryption for sensitive data

• Treat your personal information like cash, don’t leave it lying around

• Check out companies to find out who you’re really dealing with

• Give personal information only over encrypted websites – look for “https” addresses.

• Use strong passwords and protect them

• Back up your files

The IRS also took it another step, giving extra ideas about avoiding phishing and malware:

• Avoid phishing emails, texts or calls that appear to be from the IRS and companies you know and trust, go directly to their websites instead

• Don’t open attachments in emails unless you know who sent it and what it is

• Download and install software only from websites you know and trust

• Use a pop-up blocker

• Talk to your family about safe computing

To sum up, although I do not feel taxpayers should feel any personal obligation to help the IRS with its security efforts, there are common-sense measures that we everyone should take in an attempt to keep our personal information safe. Do it for you, so that you can avoid the pain, frustration and time that could come with your information falling into the wrong hands. 

Now that Thanksgiving has passed, you can no longer deny the coming approach of the end of the year. Even if you are one of those who find it ridiculous when stores get stocked with Christmas goodies before Halloween, they are now appropriate.

That also means there is not much time to make some moves to affect your final 2016 tax picture. Even though it may feel late, there are some things you can do to make a significant difference. Of course, in the spirit of the season it should be noted that one of these is making charitable contributions. There are others, though, and if you would like to discuss them, please don’t hesitate to contact us for an end-of-year tax planning session.

I know that most of you who read that are making a mental calculation to the middle of April and figure this is something you do not have to worry about yet. I get that, and it is certainly possible that not worrying until a few months into the new year has not hurt you in the past. As a tax preparer, though, I assure you that those who pay attention to these matters before the calendar (and government) deems it necessary do better with their finances.

This is not strictly a tax issue, either, and may be even more of a bookkeeping and record-retaining one. Even if you are an individual who has most of your tax matters taken care of through your paychecks and W2, there are still some things you will want to know, and some documents you will want to have handy, come tax time. Some simple due diligence will keep you on top of such things so that there is NO worry come tax time.

If you have been keeping on top of things along the way, there can be little extra work in having your taxes prepared. And sure, there again are many people who feel no time crunch when gathering a few documents when tax time comes, even if they paid no attention to their financial picture during the year. Yes, this results in a legal tax return, but I can almost guarantee that some tax benefit is being missed with that strategy. It is simply unavoidable when you let financial transactions (and their documentation) become an afterthought.

This can be minor for that type of individual mentioned above, but every year I see businesses that run in the same manner. I completely understand how this happens - business owners do not go into business to keep close track of their finances, they start because their interests lie elsewhere. And if I am pretty sure most individuals are missing out on something by being lax with their finances, what is being missed out on is MUCH higher when it comes to running a business.

Again, I know these are things that very few want to keep in the front of their minds. More mindfulness, though, only leads to positive outcomes. So if implementing some new bookkeeping or record-retention strategies is something else that this time of year is making you think about, please contact us about that, as well. 

I am sitting down to write this on the week of Thanksgiving, one of those weeks when no one is all that intent on working that much. And although I can guarantee that there will be multiple times this week when I am thinking more about pie than finances, my work never travels too far from my mind.

In the spirit of this week, that is something for which I am thankful. I realize how lucky I am to love my job, and a huge part of that is YOU.

I am thankful for the clients with whom I work. Sure, this is obvious in the fact that having these clients allows me to run my business and pay my bills. My job would not be nearly as fulfilling if this was all you were to me, though.

I have been lucky to have the clients I have because of who they are. After all, most people who use my services do it because they do not want to spend their time doing their bookkeeping, payroll, taxes, finances, what have you. They put their efforts elsewhere, and that is what makes their businesses great – they are linking their passion to their profession.

That means that I get to learn from my clients. Since my passions lie elsewhere, every new client offers an opportunity to teach me something, gives me a chance to enrich my world. For that I am thankful and I thank you for it. 

Beyond that, I have even been lucky enough to have clients that I call friends. 

Our work can dominate our lives too much (ask anyone who knows me about that come March and April). Our work can also thrill us, though, sometimes to the point where it doesn’t feel like work. Unfortunately, as with everything in life, the negative bits can feel heavier and outweigh the positive even if the count of good things vastly outnumbers the bad.

This is a time of year to remember such things, and I hope you will forgive my reflections. If you are so keen on reading my words that you miss the tax and finance talk, I promise I will return with more next week. (Also forgive me then for insisting earlier that your passions must lie outside the accounting realm, you clearly have some love there, too).

Finally, here is a simple wish that you have things in your life to be thankful for beyond the workplace and that you have some time with friends and family to reflect upon them this week. Happy Thanksgiving!

One may still question just how tax returns got linked with health care, but they did and that means that I occasionally have to talk about it. That occasion is now as Open Enrollment started at healthcare.gov on November 1.

By now, most are aware that the Affordable Care Act/Obamacare requires United States residents to have health care coverage or face financial penalties. One may also question whether the government should be involved in such areas, but they are and we occasionally have to talk about it.

The enrollment period is open until December 15, but you should not wait that long to make a move if you need to sign up for insurance. Giving yourself time to fill out all the information that is required and figure out what your potential plan(s) will involve can only be a positive.

Then again, being in the tax industry, I know that many people like to procrastinate until the absolute last moments (and beyond), so I would assume the web traffic on December 15 to still be rather heavy.

The tax implications of the ACA still are not completely understood by everyone as they remain fairly new in the grand scheme of tax law. This can be especially true for those who worked for companies that offered health insurance, but then moved on and had to seek coverage elsewhere.

So if you have some of these questions (and actually want to address them before it is too late), then do not hesitate to give us a call. We can help you see how your health coverage decisions will affect your financial picture through 2017.

And if you have any final questions (for it is starting to get late to address these as well) about your picture for 2016, then please also feel free to contact us with those, as well.

****

I would really prefer to leave much of the political talk surrounding the recent presidential election behind, but it is important. Thankfully, some of the social media furor has quieted since last week and many are starting to gain perspective on the situation.

I also do not like to bank too much on future predictions, but it is clear that once Donald Trump assumes the presidency there are going to some tax code changes for 2017. We cannot know exactly what new rules are going to be enacted, but some educated guesses can be made.

If this is something you are concerned about, this Forbes article by Tony Nitti gives an extensive look into what Trump’s proposed tax plan would mean. So although I will not propose any strategy here that I feel everyone should follow (for there is rarely anything that universal), there are some theories one could posit about future tax years that could lead to moves you want to make by the end of the year.

So if this is something else you would like to discuss, again please do not hesitate to contact us, for we are always here to help you with all tax decisions.   

So Election Day has passed, we are all still here and I do not want to tempt fate, but as far as I know no asteroids (named Trump or Clinton) have reached Earth and wiped out life as we know it.

It was a contentious time, arguably the most divisive presidential election any of us remember. The battles continued through the final day, unsurprisingly really considering the drama the entire election season brought.

A lawsuit filed in Nevada, attempts to keep polls open late in North Carolina, early voting, calling states, and back-and-forth Florida all led to an eventual concession.

That means that many people woke today who are not happy with the result and worried about the future. First, I would like to say this is at least better than having a drawn-out contested battle. If that is you, though, and if some of your worries are financial- and tax-based, remember that we are here to help you through it all.

I am by no means laying claim to any psychic abilities (if I had them, this probably wouldn’t be my chosen profession), but I do lay claim to enough tax knowledge to help you strategize for the future and hopefully leave you feeling better about it.

The election cycle was a time when many of us were pushed farther apart from others. Hopefully now we can start moving back together. For keep in mind that many people woke today pleased with the outcome, and I cannot believe their pleasure derives from the evil they are eager to unleash.

****

With all that being said, I wanted to offer a little bit of a humorous diversion. Granted, it is still in the tax realm (and its Halloween subject matter is slightly dated), but maybe there is still enough candy kicking around your home that you still need help figuring out what to do with it.

So let Forbes writer Kelly Phillips Erb give you “13 Uses for Leftover Halloween Candy & the Resulting Tax Consequences.”

Or maybe just eat some of that candy yourself and let the sugar rush carry you through the day.  Just don’t use the same tactic for the next four years.

****

Or maybe you are such huge fans of my tax and financial commentary that you do not want me to go an entire article without mentioning something from that world. So here is a quick note for you business owners out there:

Be aware that deadlines for filing W2s has moved up for 2017 (the 2016 reporting year). You were already required to provide them to employees by January 31, but this year you are also required to submit them to the Social Security Administration and IRS by that date.

This new deadline will also apply to 1099-MISC forms if you are reporting amounts in Box 7 (Nonemployee Compensation), which are the majority of these forms. If you aren’t reporting amounts in Box 7, then the deadline is still February 28 for paper filing and March 31 if you are doing so electronically.

Of course, this all assumes the world still exists on those dates. I would place my bet on us still hanging around, though. 

The number of actual CFOs we work with in our day-to-day tasks here is minimal. So I would not usually pay the strictest attention to many articles that come my way concerning their day-to-day tasks. My attention was caught, however, by a recent headline that asked “What Keeps CFOs Up at Night?”

Assuming that I am not the only one drawn in by the questioning title, here is the list of answers that the article offers:

·        The U.S. election and economic uncertainty

·        Executing growth plans

·        Business model changes

·        Elevating your role

·        Building finance talent pipeline

·        Harnessing technology

·        Cybersecurity risks

·        Capital allocation

·        Activist shareholders

What struck me about the list is how similar it is to concerns I hear from my clients. Granted, my clients tend to come from smaller companies that do not have as many (or any) shareholder concerns, but the rest are issues that scale across businesses no matter their size.

Starting right at the top of the list, I have written enough in this space over the last month or two that I cannot deny how campaign rhetoric has pushed tax, finance and economic talk to the forefront of many minds. At the same time, however, I also counsel everyone to not put too much fear into those thoughts. There are definite differences between the candidates, but nothing so drastic as to create the apocalypse that some are foretelling.

At the same time, however, this is not to say that it does no good to pay some attention to what certain outcomes could mean for your business. One should never only be reactive, after all, and being proactive will keep you ahead of changes before it is too late to take action.

In fact, much of the rest of the list speaks to this point. Having an executable growth plan and being open to changing your business model will keep you from becoming irrelevant – and this should include being ready to embrace new technologies. Even trying to ensure that you have a pipeline of talent behind you is just another form of ensuring future success.

Maybe then this isn’t so much what keeps CFOs up at night, but what keeps all business people up at night. But wait, why is everyone being kept awake anyway?

All of these concerns are valid, but as long as they are being addressed, they should not be lingering issues that feel dire and dangerous. As a CFO, there should be people working with you who can help you address these issues proactively. You should also be willing to change in ways to maintain relevance. As a small business owner, one should strive to carve out some time every day to address these larger business concerns and also look toward maintaining relevance.

Granted, for some people there is simply not the time to handle all these things by yourself (there is a reason that the CFOs have those underlings after all, and it is not just for the pleasure of power). That does not, however, mean they should be ignored. Seeking help to ensure profitability and long-term success simply makes sense. And one of the best parts of our job here is providing services to businesses to help them allay some of those concerns. Granted, we cannot help with all of them (we are certainly not employee-hiring specialists, for example), but we are always happy to do what we can and refer you to others if we know they can do what we cannot.

Remember that you are not alone in your concerns and worries and that you should not tackle them alone. Accepting some help to do so may even help you sleep at night. Who knew that was yet another service we could offer?

There are many hot phrases coming out of this presidential campaign cycle, but it is not all crooked locker room talk. Taxes have also been getting lots of attention, and not just when it comes to which candidate’s plan you prefer. For if you go to Google and type in “are political” the first suggestion is “are political contributions tax deductible?”

And sometimes the best part of my job is when it is really easy.

The answer is simply “no.” And the IRS’ wording on the subject doesn’t leave any room for debate:

You can't deduct contributions made to a political candidate, a campaign committee, or a newsletter fund. Advertisements in convention bulletins and admissions to dinners or programs that benefit a political party or political candidate aren't deductible.

For anyone wondering then, there is your answer. Although I have to note the irony that you can deduct donations to many organizations whose goal is to do good. That may say something about the quality of work that our political system does.

Really, it is just more that the IRS does not see political action as a deductible expense. After all, you generally also cannot deduct expenses incurred for trying to influence legislation, participating in political campaigns or communicating with executive branch officials to influence their actions.

Looking at these political maneuverings got me to thinking that it might be worth looking at other things that are not tax-deductible. So to that end, you should not be counting on the positive tax ramifications of the following:

-Wristwatches. For in the IRS’ wisdom-filled words, “You can’t deduct the cost of a wristwatch, even if there is a job requirement that you know the correct time to properly perform your duties.” Although this does make me wonder if pocket watches then would be allowable.

-Health Spa Expense. And if your job also requires that you be in good physical condition to perform your duties, you still do not get to deduct any spa expenses.

-Travel Expense for Other Individuals. There are plenty of legitimate reasons for deducting expenses when traveling for business. There are many fewer legitimate reasons for why you had to pay for your wife and family to accompany you.

-Lunches with Co-Workers. In a similar vein, if you have traveled away from home for business, those meals can be deductible. When it just hits noon at the office, however, hitting a restaurant with the girl from the next cubicle is not a deductible expense.

-Commuting Expenses. Similarly, the cost of traveling away from home on business is likely deductible. That car ride to and from the regular office every day, though, is not – no matter how long you spent in traffic.

There are obviously many more that I could get into here. There are also some categories of deduction where I could just pick one and write an entire article pulling apart the nuances of what is and what is not deductible. What this highlights is the usefulness (or dare I say, need) of having someone who understands the rules on your side. So if you are curious about what expenses you have incurred this year are actually deductible, this is a good time to start getting answers to those questions and making some moves before the end of the year if your tax situation needs help. 

Against all odds (and you can be certain that we computed them), Ben Affleck’s film “The Accountant” topped the weekend box office. I will take some enjoyment in that, but have to leave it in the past and again turn to the real world.

Accountants do play a role in that world, after all, and recently our world has received a brighter spotlight with the refusal of presidential candidate to release his tax returns.

Every major party candidate has released their tax returns since 1972. Mitt Romney caused some talk in 2012 when he did not do so as early as is usual (around the typical April deadline), but he eventually graced the world with a 203-page return from 2010 and a 379-page opus from 2011. Ross Perot, though, refused to release his returns when he ran for president in 1992 (and with all the Gary Johnson talk on the edges of this election, it is impressive to note that Perot garnered almost 19 percent of the popular vote then), because it seems to be what billionaires do.

I feel I first have to state that Trump’s claim that he cannot release his return while it is under audit is not valid. Yes, the audit may result in a couple of changes, but they promise not to be that substantial, And as Forbes’ Kelly Phillips Erb astutely pointed out months ago, there is value in Trump releasing what he actually filed, no matter what the final result is. 

On one hand, it seems understandable that people with the level of wealth of Trump and Perot would not want those numbers publicly known. At the same time, however, it is not like those who normally run for president are destitute. So it raises the question, just what information is included when one releases a tax return?

First, the return would give only a rough look at how much Trump is actually worth. He claims it is billions of dollars at times, while his detractors claims it is a much smaller number. My bet would be that the truth lies – like it does with almost everything – somewhere in the middle. A tax return, though, deals in taxable income, not overall worth, even when it runs to hundreds of pages.

The returns do actually show some things, though, and a big one is just how much someone pays in taxes. And I think this is the piece that could come to light and be the most divisive. When debates rage over how much taxes one should pay – especially among the extremely wealthy – it would be ammunition for opponents if they were to find that Trump paid no or minimal taxes.

That situation seems to be Trump’s reality, as we saw from the leaked returns that recently came to light.  Back in May, Trump also told ABC’s George Stephanopoulos that “I fight very hard to pay as little tax as possible.” As I stated when I wrote of the leaked returns a couple of weeks ago, this does not mean that Trump has done anything illegal, shady or underhanded. If the fact that he could pay next to nothing bothers someone, then the correct place to put the blame is on the system, not on someone working within that system.

The returns would also show how much money Trump gives to charity. This is another of those polarizing issues. Trump claims he is charitable, while his detractors say he the money he claims to donate are done through other organizations, where even if he is involved, it is not actually his money going to the charity. Again, you know where I believe the truth usually lies.

Some other things we could learn from a return are real estate holdings and taxes, the possible existence of offshore accounts, businesses in which one is involved and the presence of household employees.

Would there be anything in a return so shocking as to shift votes? That depends upon the importance and value one places on certain issues. There is information there, though, and more than one might realize if you only think of simpler tax returns. At this point, we have to accept that we are not going to see this information. That is unless Ben Affleck infiltrates Trump Tower and absconds with it. 

It is not often that those of us in the accounting industry get to bust outside our bland stereotype. Not that the stereotypes are bland, but people believe accountants are bland. It is OK, you can silently admit it, I can take it.

I mean just picture an accountant in your mind. Really, do it.

Seriously? When is the last time you actually saw either a pocket protector or calculator before crafting that image.

That is not all we are as accountants, though, and even Hollywood is catching on. After all, this weekend brings “The Accountant” to movie theaters, complete with criminal intrigue, large weapons and a hashtag.

And that hashtag? #WhoIsTheAccountant

Who is the Accountant? Ben Affleck.  That’s right Batman is an accountant. And you thought we were lame. I can now only hope that Affleck can do for accountants what Clark Kent has done for mild-mannered newspaper reporters.

Even as one who works in the accounting industry, I am not sure exactly how this movie is going to play out. Will an anomaly on a balance sheet lead to the location of a terrorist cell? Will a secret code on a profit-and-loss statement contain nuclear secrets? Will the lead character discover some secret machinations that would allow one to take proclaim business losses of over $900 million in one year?

No way, not even Affleck could make those things plausible.

But it also makes one wonder what other occupations could be slated for a Hollywood reboot of their staid professions –

#WhoIsTheActuary – After years of studying tables that attempted to make mathematical sense of risk and uncertainty, Dale Hawkins (played by Casey Affleck, because nepotism reigns in profession-based movie storytelling) discovers a secret plot to control the weather of Fair Play, New Jersey (a real place). He questions why all the sudden it costs a lot of money there to protect one’s home from mountain rockslides, tropical cyclones and locust infestation. Something must be up and Hawkins is determined to find the answers.

#WhoIsTheTravelAgent – No, really, go out and tell all the young people in your life who these people were. They are about to be forgotten.

#WhoIsTheITProfessional – 97.43 percent of the problems Rusty McGuire (played by Matt Damon, because, well, you know …) runs into at work are solved by restarting someone’s computer. 78.76 percent of the time, though, people can’t even figure out how to do that.  He knows, because he runs the numbers. That is how much time he has to sit around at work with nothing to do. One day, however, while continuing to pluck away at his tasks at McCorp Corporation in Good Intent, New Jersey (another real place, the state apparently has a deep-seated need to be seen as ‘middling to good’) things take a dark and sordid turn. This time, when a computer was turned off in an attempt to solve an issue – IT THEN DIDN’T TURN BACK ON!

I hope you all can forgive me this week’s humorous digression (especially you IT professionals, I am sure you do good work at whatever it is you do). I promise to return next week with more on taxes, elections and whatever odd news comes from that world in the next seven days. In the meantime, if you need to talk to an accountant, remember we are not that bad – Batman says so. 

And I thought the presidential campaign tax talk was heating up when I wrote last week’s blog …

The temperature soared over the weekend, though, when the New York Times reported that Republican nominee Donald Trump took a $916 million loss on his 1995 tax returns. I deal with taxes all the time, and that number makes even me shake my head.  I shook my head even more, however, when the Trump campaign issued a statement saying that, “Mr. Trump knows the tax code far better than anyone who has ever run for President and he is the only one that knows how to fix it.”

My shock was not because I think someone should not be allowed to leverage the tax system to the greatest advantage allowed by law (heck, one of the best parts of my job is helping clients find money in that system that they did not know they were entitled to), but I think it’s naïve to imagine that Trump himself and his personal knowledge of the tax code was the driving force that helped him arrive at those numbers.

I don’t know how large an army of tax advisors/accountants were needed to fill out such a tax return – and this was a 1995 return, when technology was not as robust and helpful as it is now – but it was sizeable. This isn’t a political statement, just a statement from someone who thinks tax preparers do good work that should be noted.

Even if, yes, it is also a self-serving statement from a tax preparer.

In the vice presidential debate Tuesday night, it took only about five minutes for taxes to be first mentioned. Then it was only about 10 minutes more before taxes heated up again, including some pointed discussion about Trump’s paying of taxes, or lack thereof.

Leaving the political issues aside from these recent events, however, can help illumine a lesson for everyone. Even if the numbers on Trump’s tax return induce head shaking, they appear legitimate as the campaign has not denied the report. And even if the amount is mind-bending, there do not appear to be reasons to believe it was arrived at through underhanded or illegal means.

So although I will fight back and question how much Trump’s personal knowledge of the tax code led to this outcome, knowledge of the tax code still served him well. This is not a number that someone(s) without an extreme level of tax knowledge could have arrived at, after all. Therefore, it is also not a number that one would not want to deal with alone, or with limited knowledge of the rules (or with over-the-counter tax software). Getting help from someone who has expertise in the area is necessary to successfully deal with such a situation.

But then is there any number that should make one comfortable in a go-it-alone situations? Could professional assistance not help everyone and also offer an increased level of confidence and support? This story shows how complicated tax pictures can be, but it also highlights how understanding all the workings of that situation could benefit someone. A qualified and knowledgeable tax preparer can be worth more than their fee in the money they can save you.

Even if, yes, that is a self-serving statement from a tax preparer.

The intense presidential election season that seems to never end got turned up a notch this week with the first debate between Donald Trump and Hillary Clinton. No matter how you feel about the candidates or their policies, there is no debating (see what I did there) that their verbal clash came with a greater feeling of importance than any other debate in recent memory.

It did not take long before the candidates got to discussing their tax plans – giving the issue an important slot amongst that general feeling of importance.

It is clear that no matter who wins the election, there will be some tax law changes. This may feel disconcerting, but those changes are not a rare event. There are tax law changes all the time, they just rarely generate the level of notice they currently enjoy.

I feel like lately I have been saying this often (and it promises to continue for the next few weeks), but this is not the spot for me to lay out on which side of the issues I fall. In fact, what I feel more than anything is that no matter how things shake out, we will find adapting to that situation much easier than fearmongers would have us believe. This is not intended to demean the differences between the Trump and Clinton plans, just to say that we will survive, and doing so won’t be as harrowing as that word may seem to imply.

But yes, depending upon who you are and what policies get passed in the next administration, it is possible that your tax picture could undergo a noticeable shift. Just rest assured that we will remain on top of the situation and, as always, are happy to help guide you through it.

This seems a good time to put out a reminder, too, in our never-ending quest to remain helpful. This one goes out to those of you who got an extension to file their tax return this year. Those extra six months that you gained back in April may have seemed like it pushed your deadline far into the future, but that time is now rapidly approaching.

At least you do get a couple of extra days this year, though. A regular extension gets you until October 15^th to file, a date that happens to fall on a Saturday this year. That means you get until the following Monday, October 17, to finish your part.

That still is less than three weeks away, though, so the time for procrastinating has passed.

This also seems like a good place to give a general note about filing extensions. I am certainly not against the act, and do it for multiple clients every year. It also seems that multiples times a year, though, this act comes with a little misunderstanding. Please understand that extending your time to file does not also extend your time to pay. If you haven’t paid taxes owed by the regular April deadline, you immediately are open to penalty and interest charges even after legally filing for an extension.

And the IRS is not one to entertain any debate about that fact.

Taxes are weird.

I know, I am not the person you expect to say this, but it is true.

Taxes are also complicated.

Again, you probably did not expect to read that here either, but it is actually one of the reasons I love doing what I do.

I mean, the different areas that taxes reach into are probably impossible to count. Just think about the Affordable Care Act/Obamacare. Apart from however one feels about its political implications, the fact that much of its reporting and implementation occurs through a tax return is at least mind-stretching and probably mind-boggling.

These weird moments don’t always happen at the federal level, though, for that would be too easy in this complicated world. Only last week, after all, the city of Chicago passed a new tax on water and sewer usage to fund pensions for municipal employees. Again, we will have to leave politics aside – a situation where people are being charged a little extra for water so some people can retire leads to a debate where the arguments of just one side would not even fit in this space.

This new tax is only expected to cost an average household $53 in 2017, not a wild amount, but tracing the where and why of such money movement still helps highlight tax complications.

From the city to the state level, we come to New Jersey governor Chris Christie, who ended a tax reciprocity agreement with Pennsylvania earlier this month.

For those who are affected by this, you probably know too much about this situation already. For those who are not, though, let me go on just a little bit. Essentially, New Jersey and Pennsylvania residents who worked in the other state only had income taxes collected by their home state. Now those in this situation must file two different state tax returns.

New Jersey did not have such an agreement with any other state, most notably New York, so again there are clearly arguments on both side of this issue, but it all comes out again as just further complication.

Before I go, I have one more interesting piece I want to mention that can again make one question just how weird taxes and the way that we think of them can be.

CNN reports that Roberton Williams, a senior fellow at the Tax Policy Center has found that a majority of U.S. tax filers pay less in income taxes than they do in payroll taxes, including Social Security and Medicare.

These findings involve a little bit of mathematical gymnastics, as Williams assumes that employees effectively carry the burden of what they AND their employer pay for these taxes, saying their actual wages would be higher if there was no employer burden in those areas. How that would work out in a real-world situation most likely would vary from employer to employer, but that’s another bit best left aside for now.

Regardless, the piece gives an interesting look at where those mysterious numbers on your paychecks come from and what they mean.

All the situations, though, show that those numbers, how the government comes to them, and how it collects them never come with easy answers. Aren’t you glad then that you have someone you can come to when they just cause more questions?

Now that Labor Day has passed, the big national tax preparation chains are starting to amp up for tax season.

(Well we are, too. But our marketing budget is much lower, so you may not notice nearly as much.)

Those large companies are not yet casting their large nets as they fish for schools of new clients. They remain active, though, and are now looking for their next batch of tax professionals to prepare tax returns.

That’s right, someone who is only now starting to learn about tax law could be preparing your taxes in four months. And I even came across a program where they can learn all they need in a single week!

I do not want to degrade these companies or their workers, as I never begrudge anyone how they make their living. I do, however, believe that this system should not engender the most customer confidence.

In my opinion, taxes (and maybe all businesses) are best done with a bit of a personal connection. We have clients who come back to us year after year and this allows us to understand their situations and appreciate who they are beyond the numbers on their tax returns. We want to help them, and we want to help them so much that we see them again next year (and with the best clients, that next meeting won’t even take a year).

I believe there is a level of comfort and confidence bred in those types of relationships that cannot be matched in a situation where you walk in and wait for the next available representative. And to imagine that that representative may only be a few months into the job, well, we can also provide more experience than that. Our commitment to taxes is yearlong and has run for many years.

All of these thoughts come with a clear bias. When it comes to my finances, though, I know which situation I would rather embrace. And when clients make the same decision, we are committed to making them realize they made the right choice.

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As a little bit of an addendum to the above, here is a slight story about how confusing the IRS can be, and how navigating their rules can be difficult:

News came out last week that the IRS was going to make information about Offers in Compromise available online. You know, that newfangled place where information is starting to be put a lot.

A little background may be necessary for those who are not familiar with the subject. Offer in Compromise is a program through which those with outstanding tax bills can work out a deal to settle the debt for a lower amount.

Those OICs that were accepted have been public record for decades, but were only accessible to those who were willing to put in some effort. This is because the IRS would create a hard copy and then ship it to one of seven locations around the country. If someone then wants to view the file, they still have to make an advance appointment.

Yes, this is not an agency that makes things easy. We, however, like to make things easy for you when it comes to your dealings with it.

Quite often - or maybe it is just quite often to those of us in the accounting profession - one hears jokes about the tax incentives behind marriage. And yes, like all good humor, there is some truth behind it.

Never - and this is because it’s rarely a joking matter - does one hear about the tax ramifications of a divorce, though. I do not want to be a downer (contrary to how other stereotypical jokes portray accountants), but wanted to spend a little time giving a few things to think about it if you or anyone you know find yourselves in this situation.

SOCIAL SECURITY NUMBER

This is crucial even beyond your tax picture. When any life event leads to you changing your name, be sure to notify the Social Security Administration. If the name on your tax return doesn’t match the name that the SSA has for you, there could be problems processing your return.

HEALTH CARE CONSIDERATIONS

As most are already aware, the Affordable Care Act (Obamacare) requires people to have health insurance coverage or face tax penalties. Most people have taken care of this, but most people also don’t foresee situations where they will lose that coverage. This can happen during a divorce. That situation, though, qualifies as a life event that allows one to get coverage during a special enrollment period without waiting until the end of the year.

Apart from the potential losing of coverage, keeping your health insurer notified of name changes, life events, social security number changes, etc., is also something that should be done.

CHILD SUPPORT

Any child-support payments are not deductible and any child support received is not taxable.

ALIMONY

Alimony, however, works in the opposite manner. If you are paying alimony, that money can be deductible whether or not you itemize deductions. Not surprisingly then, alimony received is taxable.

IRA CONTRIBUTIONS

Here things start to get a little more complicated. If a divorce is completed by the end of a year, you will not be able to deduct contributions that you made to your former spouse’s traditional IRA. If you have your own, though, then you still may be able to deduct those contributions.

That final bit is not the only potential difficulty, though. I do not think this is the place to get too deep into too many of those issues, but just be aware they exist. As quick examples, any tax credits that were involved with a shared qualified health plan will have to be allocated between both you and your former spouse’s returns. And since alimony received is taxable, that might mean that the tax you paid during the year may no longer cover you obligations.

Overall, a divorce may result in the most complicated tax return you have ever submit. Yes, I know it is already a disconcerting, life-altering experience and no one wants to be reminded of it or continue to feel its ramifications. You also don’t want to ignore it, however, for if you do the effects will just linger longer. That means it is best to put someone on your side who knows how to handle these situations, makes sure they are correctly addressed, and can help you move beyond them.

As always, we would be very happy to be the helpers who assist you in getting there. 

I sometimes feel funny when I post these blogs. By their nature, they involve me talking myself up a bit and I try to keep that to a minimum.

This one, however, is not going to look like it is anywhere near that minimum level. I swear it’s not my fault, though, for most of the words are coming from others.

I mean, first there is this recent article from al.com that speaks to how every business, no matter their size, needs to know they will need legal and accounting help. These are areas where if you go at them yourself, you may succeed and have everything go along fine, but if you make a mistake it could prove a very costly one.

Then I came across a piece from Accounting Today that goes through five of its reasons why a small business needs an accountant. These are both short pieces, but both do a good job of showing some of the potential benefits of working with an accountant.

They both are also written with an eye toward a business that could use an accountant’s services. At the risk of letting you see behind the curtain, I want to mention one more piece that is aimed more toward the accountants themselves.

That article comes from theprogressiveaccountant.com, and speaks more of how accountants can serve clients with whom they are already working. It discusses how accountants need to not just be crunching numbers, but letting clients know what those numbers mean.

This is a viewpoint I agree with, for I believe my clients are not getting enough value out of my fee if they do not understand what I am doing. I should not only be giving numbers, I want to help clients see what actions they should be taking because of those numbers.

Now let me try to synthesize these ideas a bit ….

Although that last article I spoke about was urging accountants to be a trusted advisor, I think some of the reason this relationship does not always blossom comes from the client end as well. This is not to say that clients would not like this type of service, but they often do not even know it exists.

Take a look at the other two articles, too. They speak of situations where a business owner could benefit from working together with an accountant. But would one’s first response in those situations be “Let me discuss this matter with my accountant?”

So this then is my plea for you to realize that, yes, you can AND SHOULD bring such matters to your accountant. We do want to help. I trust that if you are already one of our clients, you feel we are providing you with solid service. Do not ever think we cannot do more, though. We never have to be only bookkeeping, payroll, taxes or advisors, we can be all those things depending upon what is called for by your finances.

Think of these articles then, and then think about how your business runs and how it could run better. Then know that we would love to help you get there.

Moreover, if you know other business owners or individuals who could benefit from services, do not be afraid to point them toward professional help. One thing these articles show is that there is a need to not be afraid to accept the service and guidance of those that can provide it. So we would love to help those people get to their goals, as well.

No matter how self-serving that is. 

Last week, I wrote about some of the tax issues surrounding education. Little did I know that at the same time, taxes and education were again mixing together into the latest tax scam.

The IRS recently released a warning about telephone scammers calling and making demands for the payment of non-existent taxes, like the “Federal Student Tax.” This isn’t a new tactic, but seems to play a little stronger this time of year (and the scammers apparently know this).

I can’t believe how often I get to write about the latest potential tax scam. Because of that I don’t want to get too in depth here, but remember the biggest key in every attempted scam:

The IRS will NEVER contact you via phone first. You will first receive a notice in the mail of taxes owed before the agency chooses to contact you in another manner. If the first you hear of a tax bill owed is over the phone, hang up, it is not real.

This does give me a little chance to talk about survey results released earlier this month by the Journal of Accountancy and The Tax Adviser about tax-related identity theft.

In a potentially scary number, 59 percent of CPAs reported that they had a client who experienced tax identity theft. The more one gets into those numbers, though, the less frightening they are.

First, most respondents said that only a small amount of clients were affected. There were also a significant portion of clients who were aware of the problem before they filed, so it was not necessarily an issue with tax filing itself, but their information being obtained elsewhere and then used in a scam.

Finally, the amount of people who found it very difficult to deal with this problem through the IRS was very small. 

So let this be a warning that a bit of caution is always good when it comes to protecting your personal information. Don’t think that you can just be lazy when it comes to such measures.

Let it also be a warning about how it could pay to be vigilant about your finances. By staying on top of things, you can know when problems arise, end them quickly, and be in the group that finds it easy to move on. No one wants to be that constant when it comes to mundane tasks like bookkeeping, but there are clear benefits to it.

And if it is REALLY something you can’t imagine doing, well you know who would love to help. Contact us today if there is anything we could do to help ease this burden.

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Also from the recent IRS file, comes news that user fees taxpayers must pay to enter installment agreements to pay off tax bills could be going up starting in the new year.

First, if you have an old tax bill that needs to be paid, it is ALWAYS better to get to work on paying it off than putting it off. The less penalties and interest you are charged, the less you have to pay overall and the sooner the stress of it starts to wane.

But if you do have a bill lingering over you, let this be serve as an even greater impetus to get to work on taking care of it. Nothing good comes from ignoring it and a (legitimate) bill from the IRS WILL NOT go away. 

You see it in every department store and upon the countdown calendars gracing the walls of every parent – it is back-to-school time.

From a personal standpoint, whether your kids are already back in the classroom or are dreading their return there, I hope you had a good summer and made some lasting memories with that extra time together. From a professional standpoint, there are always tax questions that arise during this time.

This is far from a complete breakdown of some of the things you may now be thinking about, but consider it a primer and a push to think about some of these issues. To get a better feel for your personal situation, though, please contact us and let this be one of the ways we can point your finances in the right direction over the last few months of the year.

But until then, some general notes:

TUITION

Many are aware that college tuition can be a deduction on your tax return. Be aware, however, that private and parochial school tuition for those not yet in college is not deductible. For those with children under 13, though, there could be some tax credit involved with private school and its child care component cost.

Also remember that deductible tuition is not only for those in their teens and early 20s. Graduate, post-graduate and other continuing education at eligible institutions could also qualify.

BEFORE- AND AFTER-SCHOOL CARE

If you have any of those under-13 children (no matter what type of school they attend) those tax credits may again be involved if the child receives this type of care on either end of the school day.

These only apply, however, if the child is there so a parent can go to work, look for work or attend school themselves.

DONATIONS

This is a tricky area, but worth keeping in mind. For example, if you make a donation to a public school, it could qualify as a charitable donation if it is the benefit of all the students; if it is only for your child, however, then it would not be.

Throughout the year, you are bound to take place in many fundraisers and raffles, too. A raffle is never tax-deductible, but a fundraister could be if you receive nothing in return. Again, please talk with us to help better determine where things lie in your personal situation.

TAX-DEFFERED ACCOUNTS

There are some accounts that are slated for educational expenses and are tax-deferred. Money in those accounts could be used for different expenses over different ages - let’s say a computer for your son in high school – and avoid extra taxes.

STUDENT LOAN INTEREST

Much of this takes place after (and sometimes MANY years after) our schooling ends, but don’t forget that the interest paid on those seemingly ubiquitous student loans is deductible.

DON’T FORGET THE TEACHERS

Going back to school doesn’t only involve students, as teachers also get back to work. For those of you who spend time at the front of the classroom, keep your receipts when you buy materials for your classroom. There is an Educator’s Expense deduction that allows a deduction of up to $250 without itemizing deductions.

Beyond that, more can be deducted with itemizations. There are also considerations to be made for charitable contribution if you purchase something for the classroom that is more than general supplies and will remain with the school into the future.

Again, we will be happy to consider anyone’s personal situation, just contact us!

I have been thinking a lot about technology lately.  We feel like we are in a world that is changing in ways one cannot possibly keep up with, and wonder if it is going to get away from us. This can feel worse in the business world, where you do not want to get left behind and find yourself sympathizing with Kodak and Blockbuster.

Perspective can help one from being too overwhelmed by these feelings, so take a quick look at this article from MacLean’s (a weekly Canadian news magazine) that mentions how writing and the printing press also represented changes that some felt challenged the world’s natural order. We should not cower from technology, but a little fear of how it will play out is natural.

So, yes, there are changes in the business world that you cannot avoid. The advent of email, websites and cell phones are all in recent memory, but have already become indispensable to keeping just about any business current. Now the way that those new ways of communication and how we access information is still evolving at a rapid level.

Again, some perspective may help. Here is a quote from HBO executive Michael Fuchs from (all the way back in) 1982:

“We were sensitive to what was around the corner-that explosion of television channels and other forms of entertainment. We knew we would have to be unique. We wanted our programs to be different, even to look different. We wanted people to glance at our shows and say, ‘That looks like HBO.’”

Even something that now feels as normal as cable television is only a bit more than a generation removed from being new. HBO was at the head of many of those changes, and the way that they handled it is key to how to continue navigating through similar waters.

Note that the company did not find their place in that explosion and ride it out. Fuchs urged that they had to be different in that world. It is one thing to be in emerging technologies, but it is another to stand out within it.

Most good businesses should start with the conviction that you can offer something better than anyone else. After all, it is difficult to envision long-term success if you are offering something indistinguishable from your competitors. That is a setup for entering price wars where you are competing for bad clients who aren’t paying enough.

If you can be different, though, you can thrive. Think of HBO, which continues to offer a quality of programming that has a certain cachet and feels different than similar offerings. It embraced technology, then stood out within that world.

So stand by what it is you know you can do better than anyone else. Remaining true to the vision that gave you the passion to start a business is key to any endeavor and extracting happiness from it. At the same time, though, be aware that there can be new ways to do it and remain open to embracing them.

That is much of we strive for here. We believe that we offer services that will suit your needs better than our competitors, and are willing to embrace new ways to steadily improve them.  Hopefully, as our client, you share that perspective. 

Filing taxes is one of the most daunting and potentially fear-inducing tasks when it comes to handling your finances. A recent study, though, found that fear to be even stronger in the younger generation.

In a piece published by nerdwallet.com, it was found that 80 percent of millennial tax payers (people 18-34 years old) have tax concerns, be it making a mistake or not getting their full refund. That number may seem really high, but when doing such a big task with minimal experience, some trepidation and anxiety should be expected.

And let’s give the youth a break, the same study found that 60 percent of taxpayers over 55 years old have some of the same concerns. With age then comes some increased confidence, but it is far from complete.

What I found more surprising in these findings is the fact that millennials filed their taxes by mailing paper returns at a higher rate than those over 35. The more I thought about it, however, the more those two forces seemed to play together.

First, I wonder if there is something to be said for the concrete nature of a paper return. It allows you to see all the numbers at once, giving a fuller picture at a glance. This may feel more real than inputting numbers into boxes on a computer screen. If you are at an age where taxes are new and causing some extra worry, there might be some comfort (even if subliminal and unacknowledged) that comes with the paper return.

Beyond that, however, I bet that many of those numbers are explained by having a tax professional at your side. This is not something one tends to use (and it may not be needed) when you are young, making a minimal salary and do not have much happening in your financial world beyond that salary. It is easy to understand how someone in that position figures they can handle a tax filing – even if not with complete confidence.

(Hey, I will even admit to having been there at some point …. Some point longer ago than I may care to think about or admit.)

As you get older, your financial picture hopefully gets more robust, but that also means it is getting more complicated. At that point, seeking the help of a professional makes more sense, and once you use one, your confidence level should rise … and you will no longer be scratching your numbers out on a paper return.

In response to nerdwallet’s findings, CPA Practice Advisor, put together a quick three-point list to help millennials start to gain some traction and confidence when it comes to thinking about taxes. They are simple steps, but ones that do not always get passed on.

Tax awareness is something that is not commonly thought about as part of a general education, and this is unfortunate. I would lump that in with knowing just how a credit card works and how one goes about getting a mortgage as knowledge gaps that should be addressed in some way before they are encountered in real life.

So if you have a child, keep their financial education in mind, even the parts that do not yet seem very pertinent. And if you are no longer a kid and still feel the need for some guidance, we are always here to help. 

Last week in this space, I included a passing reference to Pokemon GO, because how could one not? One can argue about the game’s merits (and pretending to come to any definite conclusion isn’t necessary here), but either way it makes for an easy joke.

Imagine my surprise then when shortly after writing that, an article showed up that actually spoke of the financial and tax aspects of the phenomenon.

The financial picture occupies an odd place because the game is nominally free. If you have a compatible device, you can play. Purchasing add-ons are key to how the game will make money, though, and if you are a parent with a kid who is obsessed with Pokeballs, this is a good time to have a talk about money; it can be difficult for children to grasp the concept of a financial transaction taking place when they never see the actual money involved.

I recommend reading the above-mentioned article for a discussion how sales tax can be collected on those purchases. The digital world, after all, opens up lots of questions about exactly where transactions take place and who can collect taxes on them.

I also want to mention another recent report. As a warning, clicking through will lead you to an article about how utilizing accounting professionals is linked to better business performance. And sure, you can then understand that my linking to it is a little self-serving, but it speaks to things in which I fervently believe.

Just as how the current technological world allows access to a wild fad of gameplay taking place in the real world, that same world allows more opportunities for business owners to tackle a greater amount of their accounting load.

This is already taking a firm hold in the tax industry, as affordable over-the-counter options look like great financial deals when compared to the price of a professionally prepared tax return. Tax professionals, however, are aware of more deductions (and any software probably will not lead you to, well, catch them all) and that knowledge could more than pay for the price difference.

Now there are ever-growing bookkeeping and accounting options, too, especially with the increasing prevalence of cloud-based systems. We use many of them ourselves and they do contain great power and possibility.

That is they do if you are confident that all the numbers inputted into them are placed in the right places.

Beyond needing that level of competence to trust that what you have done is correct, there can still be a large time element involved, and that is an area I think many business owners need to make a key concern.

Yes, I can’t deny that do-it-yourself options are cheaper than professional accounting services. But did you start your business because you really wanted to spend a lot of time with your books and bank account statements?

No, that’s what we did.

You started a business because you had some other service that you wanted to offer. And if you are spending hours a week on your finances, then your efforts are being taken away from where you wanted to put them when you started. By putting those efforts back in that primary spot, you can reap greater profits and make it worth paying someone else to handle the accounting aspects of your endeavor.

And it could open enough free time to catch yourself a Pikachu.

Working with finances, we get to see people in many different states of the business life cycle. Some are just starting with wide-eyed optimism, some are trying to gain traction, some are ready to go to the next level and some are thriving and enjoying the success they envisioned in the beginning.

Just as we see people on different spots along that path, we see many different paths. Our clients are engaged in various enterprises; some where we have previous experience, and some that are new ideas we never before contemplated. It is part of the wonder of what we do, having good clients open us up to parts of the world of which we otherwise may have remained unaware.

Because of this varied nature, I get excited when I come across some words that I think carry wisdom for all of our clients. Amazingly, the latest batch of ideas I came across also arrived from a space I had previously been unaware – late 19^th century Indian Hindu monk/philosopher Swami Vivekananda. I came across the ideas first from a throwaway comment in a book that did not even properly attribute the concept to Vivekananda.  It stuck with me, though, sent me looking, and then I found even more wisdom.

So here are some words from that unexpected place that I hope say something to you:

Take up one idea. Make that one idea your life - think of it, dream of it, live on that idea. Let the brain, muscles, nerves, every part of your body, be full of that idea, and just leave every other idea alone. This is the way to success.

When we see those business clients who are thriving, they usually are doing something unique. They had a vision of what they could do that others were not doing. They stuck to that idea and didn’t give up on it because they believed in its worth.

Are great things ever done smoothly? Time, patience and indomitable will must show. … Great work requires great and persistent effort for a long time. Character has to be established through a thousand stumbles.

Even when you put yourself upon that path, though, there will be obstacles. There is no idea that immediately appeals to everyone so that you can then just sit back and reap the riches.

(OK, maybe Pokemon Go.)

That stubborn single-mindedness is most difficult to keep up when things are not going your way. Perseverance, however, will get you to the goal and the trip will appear smoother when you look back upon it

Even the greatest fool can accomplish a task if it were after his or her heart. But the intelligent ones are those who can convert every work into one that suits their taste.

Things can turn even more positive if those stumbling blocks are not seen as impediments, but possibilities. Solving a problem on your path gives you power. It means you will not have to fight that battle again.

And if you overcame that obstacle, you then have the power to lead others to defeat similar difficulties. Successfully addressing problems means you became better at what you do.

Finally …

Arise! Awake! And stop not until the goal is reached.