Tax Documents

It’s that time of year again. USPS will be delivering all of your tax documents – Forms 1098, 1099, W-2, and maybe others. Set up a folder and put them in it as soon as they come in. Check last year’s return to see what you should be receiving.

Did you have more than one job?
Do you have a mortgage?
Did you collect unemployment?
Did you earn interest on your bank account?
Did you get Social Security or a payment from a retirement fund/pension?

After all your documents come in, you can schedule your appointment with your tax preparer. If something arrives after your taxes are prepared and filed, be sure to let your tax preparer know as you may have to amend your tax return. Don’t ignore the additional document – the IRS knows you’ve received it and will be expecting it to be reported on your tax return.

If all of this is overwhelming, I can help you. Call or email me anytime!

Leave a Comment

Filed under Taxes

Retaining the Unsung Office Champs

Regardless of your field of business, all organizations have key personnel without whom they cannot function. The mistake most business owners make is assuming those client-facing stars are the only key personnel. Of course, the employees who directly achieve the business’ mission statement attract the most attention from the boss, in the form of bonuses, raises, and company-wide recognition. Those employees get the kudos, the pats on the back, the hearty handshakes, and most of the time, they deserve it. After all, where would the company be without those experts?

These superstars are solely responsible for the success of their firms, right? After all, they keep the clients happy. But what about the day-to-day operation of the office? For the most part, these key players have no idea what goes on behind the scenes. Those crucial tasks are performed by the office support staff. The titles vary from company to company, but may include secretary, receptionist, administrative assistant, bookkeeper, human resources administrator and so forth. They know the ins and outs of nearly everything that goes on with clients, vendors and employees. They know who to call when something goes wrong and who can deliver a fancy dinner for an unplanned client meeting in 45 minutes.

The support staff often goes completely unrecognized. When the time comes for raises, they get the bare minimum and bonuses are nearly non-existent. They are generally included in office parties, but usually only because they have planned it all and need to clean up when it’s over. They take the brunt of the frustration from the team stars and always end up running around to compensate for someone else’s lack of planning. If they take a day off, things quite often go to hell in a handbasket; a week off, and chaos erupts.

So why the glaring disparities between the superstars and support staff? The first reason seems to be an age-old cliché: You don’t know what you’ve got ’til it’s gone. If everything is done everyday, meetings planned, office cleaned, appointments set, clients greeted, mail retrieved, fridge stocked, coffee brewed, people come to expect it. If the person responsible for performing all those tasks (and hundreds more) is suddenly not there, then his/her absence is noticed because it affects others. Then there’s a flurry of activity (panic) in trying to perform all the tasks that were not done. When the support person returns and everything goes back to normal, the rest of the office forgets because they no longer have to worry about it. And there is reason number two – we all forget. When you were a child and your mom put dinner on the table, you didn’t truly appreciate it. If your mom was sick and dad had to order take out or fix dinner himself, you noticed the change and were concerned. As soon as mom was better and the routine returned, you stopped noticing.

This analogy holds true for the support staff, and so they are the most under-appreciated, unrecognized folks in the office. Thanking them regularly, offering bonuses when they go above and beyond, providing regular raises and competitive wages will show how much they are valued and how critical their roles are to the success of the company. Recruiting and training are more expensive in the long run than reasonably compensating those on whom your company relies so heavily.

Leave a Comment

Filed under Small Business

Organizing Your Records

With tax season just around the corner, are you ready? Are your books and records organized and up to date? A few simple filing tips can make this easier both this year and going forward.

1. Save your receipts and categorize them. It sounds simple, of course, but saving your receipts and keeping them organized by type of expense will ensure you are able to take all deductions to which you are entitled and providing necessary documentation in the event of an audit.

2. Know what paperwork you need at the end of the year and how to get it if it doesn’t arrive in the mail. From W-2s to 1099s, interest statements and tuition statements, keep track of what you are supposed to receive. Contact information (employer/payroll provider, your mortgage company, your child’s university) is crucial if you don’t receive necessary documents in a timely manner, usually by the end of January.

3. Keep prior years’ tax returns handy. Even if you are using the same tax preparer, providing your returns from prior years can help ensure that your return is accurate. Remember that you the taxpayer are ultimately responsible for the content of your return whether your prepare it or not. Knowing what information should be in your return is extremely important.

For more tips on organizing, check back on our blog or call Paragon Small Business Solutions anytime. In addition to bookkeeping and tax preparation, we also provide QuickBooks training by a QuickBooks ProAdvisor, as well as setting up a paper filing system and digital filing.

1 Comment

Filed under Taxes

Documents You’ll Need for Pain-Free Tax Preparation

If you itemize, this list includes documents you’ll need to make the most of your Schedule A & B deductions (and claim your interest/dividends earned). This list is not all-inclusive. For more information, please contact Paragon Small Business Solutions for a consultation anytime.

Income Documents

- W-2s, 1099-Misc and all records of income and expenses from self-employment, 1099-SSA (Social Security statement), 1099-DIV and 1099-INT (Dividend and interest statements), alimony received, 1099-R (Retirement distribution), 1099-B (Brokerage statement, income and expenses for your rental properties, K-1 statements reporting earnings from small business, partnerships and trusts.

Tax Deduction Documents

- Real estate/property taxes, 1098 (Mortgage Interest Paid), Medical expenses including doctors’ fees, health insurance costs, medications, and deductibles paid), Charitable donations (with receipts!), Gambling losses, Tax prep fee for last year, Job-related expenses not reimbursed by your employer (union dues, uniforms), loss of property due to theft or casualty, Moving Expenses, Educational Expenses, Child/Adult Day Care expenses, IRA contributions, 1098-E (interest on your student loan).

Most documents are required to be sent by January 31st. Check the list and if you don’t receive your documents in a timely manner, be sure to contact the issuer for a replacement copy. Having everything in one place will make your tax preparation as pain-free as possible!

Leave a Comment

Filed under Taxes

Amending Tax Returns from Prior Years

You’ve seen the commercials. Those other guys will review your return and get you more money back. It sounds tempting and who couldn’t use more money, especially with economic conditions the way they are. Wouldn’t you rather have the same tax preparer who knows you, your business, and your individual situation correctly prepare your tax return each year?

Paragon always reviews the most recent tax return you’ve had prepared to ensure it was done correctly and you received the refund to which you were entitled. We meet with you, get to know you, and advise you throughout the year of tax law changes. You can call us anytime with questions – bought a house? Had a baby? Changed jobs? Got married? Many circumstances in your life can affect your tax situation, and we feel it’s better for you to know as soon as possible instead of waiting until April 15th. Reviewing your prior year’s return is important and always included at no charge.

Call or email us and let us give you peace of mind about your tax return.

Leave a Comment

Filed under Taxes

Happy New Year!

…and welcome to our new site.  More coming soon!

Leave a Comment

Filed under Welcome