Accounting Tips for Engineering & Architecture

National Public Data Breach – What Happened and What Should You Do?

The background check company National Public Data recently had a data breach that could have exposed billions of personal financial records. The news of this data breach has left many Americans worried, questioning if they were affected and searching for the best response. The linked article explains more about the breach and what actions you…
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IRS Advances Employee Retention Credit Claims: More Payments Move to Processing

On August 8th, 2024, the Internal Revenue Service announced it is accelerating more payments and continuing compliance work on outstanding ERC claims. It’s estimated between that 10% and 20% of the unprocessed ERC claims show a low risk of noncompliance. For those with no eligibility warning signs that were received prior to last fall’s moratorium,…
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CrowdStrike – What Happened?

On Monday, CPA Practice Advisor shared a great overview of the CrowdStrike glitch that shutdown airlines and many companies. According to CrowdStrike’s website, it has 29,000 customers around the world, including some of the biggest companies in the US. Microsoft has estimated that the incident, which is being described as one of the worst IT…
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Roth 401(k) vs. 401(k) – Which is Better?

The retirement plan landscape has changed dramatically in the last few years, with most plans now offering a Roth option. The Secure Act 2.0 passed in 2022 accelerated those changes by adjusting existing retirement plan rules. Among these is a feature that allows participants to treat employer-matching contributions as designated Roth contributions if the plan…
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2024 Tax Deduction for Meals and Entertainment

The meals and entertainment deduction has gone through several revisions in recent years. Before 2018, meals and entertainment were eligible for a 50% tax deduction.  Beginning with the 2018 tax year, the Tax Cuts and Jobs Act eliminated the deduction for entertainment expenses altogether, while most meals remained 50% deductible. In 2021 and 2022, the Consolidated…
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Roth for Kids and Young Adults

Setting up a Roth IRA for your child can be a smart financial move with long-term benefits. It can also help them get started saving for retirement or other life events early. For 2024, the maximum contribution is $7,000 for those under age 50.  Time is a powerful ally when it comes to investing. Even…
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IRS Update on ERC Claims

IRS Commissioner Danny Werfel reported to the Senate Finance Committee that even with the moratorium since September 2023 on processing previous and new claims for the ERC, the IRS averages 20,000 new applications weekly. The IRS recently announced ERC that claims processing could resume by late spring depending on whether Congress extends the statute of…
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Biden’s Budget and Potential 2nd Term Tax Legislation

Soon after The President’s State of the Union Address, the proposed fiscal year 2025 budget was released. This outlines how the administration would implement the President’s tax policy, indicating a gross tax hike of approximately $5.3 trillion from 2024 to 2034. Notable Provisions: Increased Taxes on High Earners: Increase income taxes for individuals earning more…
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The Safest & Easiest Way to Make Tax Payments 

We’re past the April 15th deadline, which means many of you just paid balances due and first-quarter estimates. If you are still writing checks to make tax payments, there is a much better (and safer) alternative. Both the IRS and the State of Alabama have excellent platforms for making payments electronically via bank draft. A process…
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How to Assist A Child Buying a Home

As housing prices and mortgage rates continue to escalate, many young people struggle to purchase their first home or upgrade. One option is for parents or family to finance the purchase of the house and hold a mortgage. The transaction is documented like a regular mortgage with monthly payments. Let’s look at the advantages: Favorable…
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