#Online 1099-Div Form Generator

[paystubusa]

Payslip Generator Online: A Simple Solution For Payroll Management

Do you have an idea to use Payslip Generator Online? Then you are in the right corner where you can grab many details. First of all, managing payroll is a critical yet time-consuming task for businesses. No matter whether you run a small or large business of any size, a payslip generator is the right idea.

[christophergill8]

7 tax record keeping FAQ

Tax season is over for another year. Now all that's left cleaning up after the filing crunch.

I know many of y'all are tempted to simply toss everything in the trash. Don't.

You don't have to the tax version of television's Hoarders, but there are some tax-related documents you need to hang onto, at least for a while.

These 7 frequently asked questions and answers can help you get a better handle on your tax record keeping.

1. Why should I keep records? Well-organized records make it easier to prepare your tax return. Documentation, both the amount and in good order, also can help you provide answers if the Internal Revenue Service has any questions about your return.

2. What kinds of records should I keep? The quick answer is everything, but again, we're trying not to be too obsessive-compulsive. So let's break it down into key material in specific categories.

It is an income tax, so to verify your earnings you need to keep copies of W-2 forms, all types of 1099 forms (MISC, DIV, INT, G and R), gambling and prize winnings not reported on a 1099, bank statements, brokerage statements and K-1 forms.

If you're getting retirement money, hang onto the official statements detailing retirement distributions. This will help you and the IRS know how much, if any, of a cut due the federal government. In addition, Form 5498, Roth and traditional IRA contributions, and Form 8606, nondeductible IRA contributions, can help you differentiate taxable and nontaxable retirement money.

When it comes to expenses and deductions, hang onto receipts, sales slips, invoices, canceled checks, credit card statements, gambling losses and written statements from charities.

Your home is likely your biggest investment, so keep all your residential records, not just those related to your taxes. These include closing statements, purchase and sales invoices, proof of payment, insurance records, property tax assessments and payments, receipts and documents related to disaster losses and receipts for improvement costs. These could affect not only your annual filings, but also any potential tax bill when you sell.

The same is true for investment documentation. Hold your transaction data, including individual purchase or sale receipts as well as annual statements.

In some cases, photos also are helpful, such as when you claim property losses after going through a disaster.

And, of course, you'll want to keep a copy of each year's tax return that you file. This includes not just the 1040 itself, but also any associated schedules that sent to the IRS that year. You'll be glad you have them at your fingertips when you apply for a loan or other financial assistance, such as college money.

3. How long should I keep records? This is the question that flummoxes pack rats and well-adjusted taxpayers alike. As is the case with most tax questions, the answer is "it depends."

Generally, you must keep your tax records as long as they may be needed to prove the income or deductions you entered on a tax return. But the length of time you should keep certain tax documents is based on the action, expense or event the documents record.

The IRS also has a statute of limitations framework it follows.

For basic annual return filing, the tax man has three years to review your return.

When IRS examiners believe you've shorted your income entry on a return by 25 percent or more, they can come asking questions up to six years later.

The period of limitations goes to seven years if you file a claim for a loss from worthless securities.

When it comes to real property, keep relevant records until the period of limitations expires for the year in which you dispose of the property. These records help figure your basis for computing gain or loss when you sell or otherwise dispose of the property.

Then there's fraud.

When Uncle Sam suspects you've intentionally tried to escape your rightful tax liability, his tax collecting agents get a lot of leeway. A whole lot. Like forever.

There is no statute of limitations for folks who commit tax fraud. IRS agents can investigate you at any time it suspects you entered illegal information on your return. So if you tend to be a bit aggressive with your Form 1040 entries, keep your records for those claims in perpetuity. Just in case.

There's also no limitation on the time the IRS can ask you questions if you don't file a tax return. That's why you should keep documentation of why you didn't file a return in a particular year or two or more.

Don't freak out. It's not as difficult as trying to prove a negative. Say, for example, you spent a year taking care of sick relative and didn't earn any or enough income to require that you file. Proof of how you spent your non-income-producing time will short-circuit a detailed IRS examination of your missing tax year.

And about those copies of the 1040s you filed, hang onto those forever, too. You never know when an old tax return might be necessary or at least handy. They also can be a fun time capsule. When I'm feeling nostalgic, I go back and peruse the first joint tax return the hubby and I ever sent the IRS.

4. How do I fill in tax record gaps?  When you start getting your records in order, either in real paper form or electronically, you might discover you're missing some documentation.

The IRS can help you fill in the gaps. You can order transcripts of your filing history.

You have two options.

Complete Form 4506-T or Form 4506T-EZ to order a tax return transcript. This document shows most line items on your return as it was originally filed, plus information on any accompanying forms and schedules. It will cost you $50 for each tax return transcript you need.

Or request a tax account transcript. This shows your return's basic data, including marital status, type of return filed, adjusted gross income, taxable income, payments and adjustments made on your account. An account transcript is free and it arrives in about 10 days.

You can request either a tax return or tax account transcript online from the IRS.

5. What kind of record keeping system should I use?  Except in a few cases, which generally are related to business operation, the law doesn't require you to use any special kind of record keeping system. You may choose any method as long as it clearly shows your income and expenses.

If you're happy still using paper documentation and have the space, fill up as many filing cabinets with tax records as you need.

Or you can maintain your records on a flash drive or in the cloud. The IRS has been accepting digital records for 22 years. Back in 1997, the IRS referenced optical disks as the storage option, but as Uncle Sam has gotten more tech savvy, it recognizes today's wide variety of options.

All the IRS requires is that your electronic record storage meet the same standards as apply to hard copy books and records. That means when you replace the paper versions, you must maintain the electronic storage systems for as long as they might be needed under the tax statutes of limitation.  

You also want the records' format to be one that makes it easy for you to produce the material if the IRS asks.

And be sure you back up your electronic tax records and keep a separate copy in a safe place in case something happens to the original.

6. What is the burden of proof during an audit? Let's be real here. The main reason you hang onto your tax records is in case you're ever audited.

And here's the really disconcerting part of such an encounter. Unlike the U.S. legal system, where you're presumed innocent until proved guilty, it's the opposite when you're facing the federal tax collector.

During an audit, you are considered tax guilty until proven otherwise.

The burden of proving your tax innocence, or at least showing that the information on your Form 1040 is correct, falls squarely on you.

Good thorough and well-organized tax records can help you do that.

7. When I do discard tax records, what's the best way?   OK, you've sorted through all your documents and have decided which ones you need to keep, at least for now, and which you can toss.

Let me repeat what I said at the start of this post. Don't just toss them into the nearest trash can.

Most tax-related documents are full of personally identifying information. That's exactly what identity thieves want. If someone digs through your garbage and finds your Social Security number or bank account of credit card numbers, they've got what they need to take over your life in the most destructive of ways.

True, literal dumpster diving for financial data isn't that common as it once was. But don't take any chances.

Shredding the documents is still the best route here. It is time-consuming, so consider hanging onto to your tax and personal records until a bulk shredding option arrives. Many office supply stores periodically hold these events, often around the end of tax time, allowing you to bring in your documents to be securely scrapped for free.

If you keep your records digitally, make sure they also are properly destroyed. You can find more on various options for erasing electronic records options in this article from the Records Management Assistance unit of the State and Local Records Management division of the Texas State Library and Archives Commission (there's a mouthful for you!).

The bottom line is that you need to keep some records connected to your taxes. Some you need to keep forever.

Knowing which documents, why they are important and how long you need to keep them can, at the very least, help you establish a manageable record keeping system.

You also might find these items of interest:

Save space and trees: Digitize your tax records

The importance of good, and separate, business records

Reconstructing tax & other records after a natural disaster

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from Tax News By Christopher https://www.dontmesswithtaxes.com/2019/04/tax-record-keeping-questions-and-answers.html

[kuwaiti-kid]

3 Things You Need to Do to Protect Your Side Hustles

Does it seem to you like everyone's talking about side hustles these days?

Side hustles 2020. How to make money in a side hustle. Side hustles you can do from home. These are some of the headlines I've seen.

We've jumped into the fray here at Your Money Geek the writing is about how to start a side hustle, the different types of side hustles, side hustles that generate passive income, and many other versions of the story.

I'm not suggesting that's a bad thing. Creating multiple streams of income from side hustles is the ticket to financial freedom for those willing to jump into the action.

What concerns me about the side hustle discussion is what's left out of it. I've not seen a single post about how to protect the income generated from the side hustle.

How does the IRS tax it?

How should I claim it? Should I set up a separate entity?

Do a sole proprietorship?

What are the liabilities associated with the side hustle?

Can I be sued? If so, how can I limit my liability?

In this post, we're going to dive into some of these questions. We'll offer some thoughts on how to keep more of what you earn through your side business.

What is a Side Hustle?

Let's start with a definition of what a side hustle is. For the record, I dislike the term side hustle. I'm not sure where it started. Perhaps it's been around for decades. I don't know.

To me, the term side hustle sounds a bit shady. When you think of a hustler, what's the first thing that comes to your mind? Is it someone who works hard and hustles to get ahead? Or does it represent someone a bit shady? You know, like, “that dude hustled me out of a hundred bucks.” For me, it's the ladder definition. Getting hustled is not something anyone wants to admit has happened to them. Perhaps I'm showing my age or my cynical side.

In its most basic form, it's any income produced outside of your regular job. It may be a part-time job. It may be owning rental properties. Maybe it means being an Uber driver or a Wall-Mart greeter. Whatever the means to produce additional income the popular (and accepted) term for it is the side hustle.

Even busy people get into side hustles.

Side Hustles 2020

As you might expect, side hustles come in many shapes and sizes. Below is a list of ten ideas that may offer some help if you're considering a side hustle. These are in no particular order, and there are dozens of others we could list.

Blogging – Probably the number one way that Millennials start their side businesses. With over 2,000 blogs on personal finance out there, you'll find course after course on how to make money blogging. Be careful. Blogging is hard. Making money at it is even harder. That doesn't stop bloggers from peddling their courses, eBooks, and such to generate some income.

Selling on eBay – Many people make decent money selling items on eBay. It takes some work, but those who stick with it make good money.

Driving for Uber –  If you own a car, you can make some extra money driving for Uber. Getting started is pretty straightforward. Like any side gig, there are pros and cons.

Airbnb – Do you own a home? If so, it's a potential asset to get some side income by renting it out via Airbnb. You can rent the entire house or a room — your choice.

Mystery shopping – Many companies will pay you to go into the store or shop online and share your experience.

Dog walking –  Pretty self-explanatory.

House-sitting –  Staying at someone's house while they travel. That can be a week's vacation, several months, or even longer.

Get a part-time job – Going old school here. Plain and simple, go find a part-time job doing something you like.

Passive income

Real estate – One of the more popular side hustles and one that's written about the most. Investors buy single-family homes or condos and rent them out to tenants. Another popular option is crowdfunded real estate. DiversyFund and Fundrise are two we've written about.

Dividend investing  – Another topic that's written about a lot is using high dividend-paying stocks to generate passive, tax-favored income. Qualified dividends have favorable tax rates from the IRS. A lot of blogs focus their writing on teaching people how to do invest in dividend-paying stocks.

Whether income is active or passive depends on many factors. My advice is to investigate those things very carefully before starting.

Side hustles 2020 –  Protecting Your Income

Alright. You've selected your side hustle, and you're generating some income. From what does that income need protected? For one thing, taxes. Another oft-overlooked risk is being sued. Making sure you understand how both of these things place risk on your income is essential before starting your side hustle.

We'll look at each one separately.

Taxes

The IRS taxes income. Period. Whether it's passive or active determines the tax rate. Here's how the income works in most cases. The entity from which the income comes issues a 1099 tax form to the recipient of that income. There are numerous types of 1099's issued depending on the source of the income. If the income comes from dividends, you'll receive a 1099-DIV. When the income is from interest income, you receive a 1099-INT. If it doesn't fall into any specific category, the catch-all form is the  1099-MISC. The majority of the income generated from side hustles comes in the form of a 1099-MISC.

In contrast, income from an employer comes in the form of a W2. What's the difference? A big one. In a W2 income, the employer withholds taxes from your paycheck and sends it to the IRS on your behalf. How much they withhold depends on your income.

In addition to Federal taxes, they withhold taxes for your state as well. Finally, there are FICA (Federal Insurance Contribution Act) taxes. That's tax withheld for Social Security and Medicare. In W2 income, employers withhold 6.20% of the first 132,900. The employer pays the other 6.20%. Additionally, there is a tax for Medicare. The Medicare tax has no upper-income limit. You will pay a tax of 1.45% of all income. Incomes over $200,000 ($250,000 if married) pay an additional 0.9% tax.

Self-Employment Tax

Guess who's responsible for these taxes if you get 1099 income? You guessed it, you are. It's critical to understand this when thinking about generating additional income. If you expect your total tax bill for 2019 to be over $1,000, the IRS requires you to pay estimated quarterly taxes.

FICA taxes are killer when self-employed. Remember, on W2 income, The employer withholds 6.20% and pays the other 6.20% of the FICA tax. They also withhold the Medicare tax. Total that up, and that's 15.3%! If you fail to pay your estimated taxes, the penalties and interest are killers.

Suffice it to say neglecting the taxes on side income can cost you a lot of money.

Liability

The second major issue that can derail your side hustles is getting sued. Liability can ruin your day in a hurry. Why would someone want to sue you? It doesn't take much. Here are some examples.

Let's say you own rental properties. You have a sidewalk in need of repair that you haven't gotten around to fixing. Someone comes to the house, trips on the raised concrete, and breaks their arm. Or worse. At the very least, you will be responsible for the medical bills for the individual. Assuming you have a decent homeowners insurance policy, you should be okay. Then an attorney from Dewey Cheatem and How finds the injured party. They convince them they should sue.

Rest assured, they want much more than your medical bills paid. They want damages over and above that. Homeowners policies have a maximum liability for these lawsuits. Being underinsured could be very costly. Almost any of the side hustles listed above come with liability.

Blogging risks

Blogging seems like a low-risk venture at first glance. For the most part, it is. In the personal finance space, it may not be. Why?

Most personal finance bloggers write about investing, saving money, spending, and other of these types of topics. Most of them give investment advice to their readers. The vast majority have no formal training in investment management, financial planning, or many other topics they write about. Most of them have a disclaimer saying they aren't giving investment or professional advice. Fair enough.

Let's say you have an article (one of the hundreds of them) about investing in the three-fund portfolio from Vanguard. You read that this is one of the most straightforward, least expensive portfolios that cover the entire market. For the most part, that's true. So you invest in the three fund cure-all portfolio during this one of the longest-running bull markets and go about your business. Then it happens. A 2008 type of financial crisis rears its ugly head again. This time it's worse. The U.S. and international stock markets drop more than 50%.

Hold on! No one told you about the risk? You thought this portfolio was the be all do all of investing. You feel cheated. Another partner from Dewey Cheatem and How calls you. He gets you fired up about the dereliction of duty of that untrained, opinionated, mouthy blogger who convinced you that portfolio was the best thing ever created. And now you've lost more than 50% of your money. Yes, you actually did lose that money because, in the heat of the crisis, you sold everything. YIKES! That's an attorney's dream scenario.

Far fetched? Maybe. Do you want to risk it? Probably not. There are ways to mitigate these risks.

Lowering Liability Risk

I'll give you three things to consider to help protect your side hustle income.

Pay attention to taxes – If you're a do it yourself tax person, be sure to dive into your software or the IRS website to understand how your side income will be taxed. It's best to do this BEFORE you start. Waiting until the year is over and taxes are due is not a good plan. You can manage taxes. But you have to understand how your income gets taxed to deal with it.

Choose the right business entity – Setting up your side business as a Limited Liability Corporation (LLC) can limit your personal liability. They're relatively inexpensive to start. An LLC shelters your personal assets from lawsuits. Though nothing is foolproof, this layer of protection makes it much harder. You can have a one-person LLC. No need to overcomplicate it.

Have adequate and the right kind of liability insurance  – Back to the rental property example, if someone gets hurt on one of your properties, having an umbrella liability policy provides an extra layer of financial protection. Umbrellas policies add additional insurance over and above the home owner's policy. They are usually relatively inexpensive and well worth the money. If you're a blogger, consider a business insurance policy that includes liability coverage. There is even coverage available specific to bloggers. Though relatively new, it speaks to the proliferation of bloggers and the potential liabilities they face.

Final thoughts

Does all of this talk about lawsuits, taxes, and liability make you want never to start a side hustle? It shouldn't. And I'll grant you that the examples I used would fall into the category of extreme. But isn't that always the case with lawsuits? Attorney's live for situations where they can set a precedent and get the big payout. 

The steps I've outlined here to protect yourself are pretty simple. An LLC is relatively inexpensive to start. Liability insurance is cheap too.

I'd say the biggest and most complicated issue to deal with for side hustles 2019 is taxes. It's essential to understand the type of income you will receive in your side business. Understanding and planning for that in advance will save you potentially big money and hassles in the future.

So, by all means, start your favorite side hustle. Find something you like and have at it. Throw caution to the wind to get it started. That is except when it comes to taxes. Protect yourself and your income from liability. Do the three things suggestion – pay attention to taxes, think about your business entity and get liability protection – and you'll be on your way.

Success is right around the corner.

The post 3 Things You Need to Do to Protect Your Side Hustles appeared first on Your Money Geek.

from Your Money Geek https://ift.tt/3dT8YsO via IFTTT

[anna-2807]

Imagine if, sadly, Dad dies or becomes incapacitated. You’re in charge of handling all his financial affairs, from managing his investments to putting income sources in place for Mom.

There’s just one problem: He was an old-school guy who never consolidated his assets or set up online accounts. Also, it appears he worked with different brokers and you don’t even know who they are.

What now?

Go talk to your neighbor next door, or the harried woman at work or even your millennial dog walker. Why? Because this is a common problem, and more people are working through it than you might think.

But more importantly, share your challenge with your own financial advisor. No one has a more vested interest in helping you manage assets to your best advantage. You may also learn various ways to track down and help manage your parents’ assets, and, the best part is, you don’t have to go it alone. Give us a call — we can help.

You know your dad as well as anyone. Hopefully, he kept organized financial records that are easy to find. However, because prior generations didn’t have easy access to today’s financial software and cool apps, he may not have a conveniently centralized record of his accounts, policies and important legal documents.

Naturally, you’ll want to start with his desk or a file cabinet. From there, consider these tips:

Review all the mail for statements and bills.

Look for any record of a safe deposit box — such as a bill for the rental or a key — as many people retain a safe deposit box at their local bank.

Contact your dad’s past employers to find out if they know of any pensions or retirement plans your dad held, or employer-purchased life insurance.

Check unclaimed property lists in every state where your father lived; states collect and hold unclaimed deposits and accounts.

Look for bank accounts, bonds, stocks, mutual funds, certificates of deposit, dividend or payroll checks, life insurance policies, retirement accounts, safe deposit box contents, and securities and utility deposits held by financial institutions or holding companies.

Assets are considered dormant or abandoned if there’s no activity in the account for a year or more. Bear in mind that if you miss out on claiming well-hidden assets, those assets may eventually become property of the state where those accounts are domiciled in a process known as escheat.

For state searches, start at www.unclaimed.org, sponsored by the National Association of Unclaimed Property Administrators. It’s a free website that allows you to search for unclaimed property held by each state.3 You also might want to check out www.MissingMoney.com to conduct a national search.

If you need additional help, you may consider hiring a forensic accountant. Television shows often depict forensic accountants as people who uncover offshore accounts, shell companies and other shady financial accounting practices. They are, but they also can use those clever skills to find, for example, whatever mining oil stock Dad invested in 20 years ago and conveniently forgot to tell Mom.

Forensic accountants have the experience and knowledge necessary for conducting a thorough investigation to find accounts no one in the family knows about — not because Dad intentionally hid assets but because he was a private guy. For instance, a forensic accountant might pull an IRS transcript that shows 1099-DIVs and 1099-INTs issued to your dad at some point. These are forms that banks issue for account activity involving amounts of $10 or more. The point is, forensic accountants know all sorts of methods that you may not have considered.

Standard Disclaimer.

Advisory services offered through Lake Point Wealth Management, LLC, an SEC Registered Investment Adviser. Insurance products and services offered through Lake Point Advisory Group, LLC. It is important that you do not use e-mail to request, authorize or effect the purchase or sale of any security or to effect any other transactions. The information transmitted herein and any attachments or files transmitted herewith may contain proprietary, confidential and/or protected, non-public information, are covered by applicable state and federal laws and are intended solely for the use of the individual or entity named above as the intended recipient. If the reader of this message is not the above-named intended recipient, or his/her/its agent, be advised that any review, disclosure, dissemination, distribution or copying of this communication is strictly prohibited. If you have received this communication in error, please immediately notify the sender by telephone or e-mail and destroy the material forwarded in error. Nothing in this communication shall constitute an offer to sell or solicit any offer to buy a security or any insurance product. Recipients should be aware that all emails exchanged with the sender may be archived and may be accessed at any time by duly authorized persons and may be produced to other parties, including public authorities, in compliance with applicable laws.

Learn more — https://lakepointadvisorygroup.com/

[goldstonefinancialgroupil]

Where is Dad’s Money?

Where is Dad’s Money? is courtesy of: www.goldstonefinancialgroup.com Goldstone Financial Group

Imagine if, sadly, Dad dies or becomes incapacitated. You’re in charge of handling all his financial affairs, from managing his investments to putting income sources in place for Mom.

There’s just one problem: He was an old-school guy who never consolidated his assets or set up online accounts. Also, it appears he worked with different brokers and you don’t even know who they are.

What now?

Go talk to your neighbor next door, or the harried woman at work or even your millennial dog walker. Why? Because this is a common problem, and more people are working through it than you might think.

But more importantly, share your challenge with your own financial advisor. No one has a more vested interest in helping you manage assets to your best advantage. You may also learn various ways to track down and help manage your parents’ assets, and, the best part is, you don’t have to go it alone. Give us a call — we can help.

You know your dad as well as anyone. Hopefully, he kept organized financial records that are easy to find. However, because prior generations didn’t have easy access to today’s financial software and cool apps, he may not have a conveniently centralized record of his accounts, policies and important legal documents.

Naturally, you’ll want to start with his desk or a file cabinet. From there, consider these tips:

Review all the mail for statements and bills.

Look for any record of a safe deposit box — such as a bill for the rental or a key — as many people retain a safe deposit box at their local bank.

Contact your dad’s past employers to find out if they know of any pensions or retirement plans your dad held, or employer-purchased life insurance.

Check unclaimed property lists in every state where your father lived; states collect and hold unclaimed deposits and accounts.

Look for bank accounts, bonds, stocks, mutual funds, certificates of deposit, dividend or payroll checks, life insurance policies, retirement accounts, safe deposit box contents, and securities and utility deposits held by financial institutions or holding companies. 1

Assets are considered dormant or abandoned if there’s no activity in the account for a year or more. Bear in mind that if you miss out on claiming well-hidden assets, those assets may eventually become property of the state where those accounts are domiciled in a process known as escheat.2

For state searches, start at www.unclaimed.org, sponsored by the National Association of Unclaimed Property Administrators. It’s a free website that allows you to search for unclaimed property held by each state.3 You also might want to check out www.MissingMoney.com to conduct a national search.4

If you need additional help, you may consider hiring a forensic accountant. Television shows often depict forensic accountants as people who uncover offshore accounts, shell companies and other shady financial accounting practices. They are, but they also can use those clever skills to find, for example, whatever mining oil stock Dad invested in 20 years ago and conveniently forgot to tell Mom.5

Forensic accountants have the experience and knowledge necessary for conducting a thorough investigation to find accounts no one in the family knows about — not because Dad intentionally hid assets but because he was a private guy. For instance, a forensic accountant might pull an IRS transcript that shows 1099-DIVs and 1099-INTs issued to your dad at some point. These are forms that banks issue for account activity involving amounts of $10 or more. The point is, forensic accountants know all sorts of methods that you may not have considered.6

Content prepared by Kara Stefan Communications.

1 Roberta Codemo. Legal Zoom. “How to Recover Unclaimed Inheritance Money.” https://www.legalzoom.com/articles/how-to-recover-unclaimed-inheritance-money. Accessed June 24, 2019.

2 Ibid.

3 National Association of Unclaimed Property Administrators. “Start your free search for money that might be due you.” https://www.unclaimed.org. Accessed June 24, 2019.

4  MissingMoney.com. “What to expect.” http://www.MissingMoney.com. Accessed June 24, 2019.

5  Investopedia. April 25, 2019. “Forensic Accounting.” https://www.investopedia.com/terms/f/forensicaccounting.asp. Accessed June 24, 2019.

6  The Wealthy Accountant. Aug. 16, 2017. “Forensic Accounting: The High-Paying Part-Time Business.” https://wealthyaccountant.com/2017/08/16/forensic-accounting-the-high-paying-part-time-business/. Accessed June 24, 2019.

Neither our firm nor its agents or representatives may give tax or legal advice. Be sure to speak with qualified professionals about your unique situation.

We are an independent firm helping individuals create retirement strategies using a variety of insurance and investment products to custom suit their needs and objectives. This material is intended to provide general information to help you understand basic financial planning strategies and should not be construed as financial advice. All investments are subject to risk including the potential loss of principal. No investment strategy can guarantee a profit or protect against loss in periods of declining values.

The information contained in this material is believed to be reliable, but accuracy and completeness cannot be guaranteed; it is not intended to be used as the sole basis for financial decisions. If you are unable to access any of the news articles and sources through the links provided in this text, please contact us to request a copy of the desired reference.

890896C

[johndkinder]

Form 1096: What it Is, Filing Instructions, and More

Sometimes, you need to hire workers who aren’t employees to complete certain tasks at your business. When you hire independent contractors, you must prepare Forms 1099-MISC so they can accurately file their personal tax returns. You also need to submit Form 1096 with the Forms 1099-MISC you send to the IRS.

Learn what IRS Form 1096 is. And, get the information you need to know about filing it, like how to get copies, where to send Form 1096, and the 1096 deadline.

What is Form 1096?

Form 1096, Annual Summary and Transmittal of U.S. Information Returns, is a document that summarizes information returns you file with the IRS, such as Forms 1099-MISC.

In business, Form 1096 is most commonly used to summarize nonemployee compensation (payments made to independent contractors) reported on Forms 1099-MISC. But, Form 1099-MISC is also used to report other miscellaneous income, such as payments made to an attorney.

When it comes to reporting nonemployee compensation, you might think of Form 1096 as the independent contractor version of Form W-3, Transmittal of Wage and Tax Statement. Like Form W-2, Form 1099-MISC shows workers how much they were paid. And like Form W-3, Form 1096 summarizes the payments you made to independent contractors.

Form 1096 is also used to summarize other returns, like Forms 1099-DIV and 1099-INT. You must complete a separate Form 1096 for each kind of return you file. For example, if you need to give a Form 1099-MISC to 20 people and a Form 1099-DIV to one person, you must prepare two separate Forms 1096 to send to the IRS.

Filing Form 1096

Do not file Form 1096 on its own. You will only prepare it if you need to file one of its corresponding information returns. And, you must send it with its corresponding returns to the IRS.

Unlike Form 1099-MISC, you will not send Form 1096 to independent contractors or applicable state tax agencies. Only send Form 1096 to the IRS.

You do not file Form 1096 if you file information returns electronically. And if you need to file 250 or more of a certain type of return, filing electronically is mandatory.

How to fill out Form 1096

You will need to include certain information on Form 1096, including personal information like your name, address, phone and fax numbers, and email address. And, you must record your business’s Federal Employer Identification Number (FEIN) or your Social Security number.

Record the total number of forms you are sending with Form 1096. You also need to enter in the total amount of money you recorded on the corresponding information returns.

Finally, you will need to mark an X next to the type of form you are filing. If you are filing Forms 1099-MISC, mark the box.

Where to get 1096 forms

You can order Form 1096 from the IRS. Do not print and use a Form 1096 from the IRS’s website. This is not a printable Form 1096. If you use it, you may be penalized.

Although forms are free from the IRS, there are quantity limits. Check with the IRS for more information.

You can place your order using the IRS’s website or by calling 1-800-829-3676. After placing your order, your documents should arrive within 10 business days.

Some accounting software providers, like Patriot Software, let you create and print unlimited Forms 1096 and 1099.

Where to file Form 1096

You must file Form 1096 with the IRS. The address you use to mail the information returns and Form 1096 depends on where your principal business is located.

Contact the IRS for more information.

Form 1096 deadline

The deadline for Form 1096 depends on the deadline for the corresponding information returns you are sending.

Possible due dates include January 31, February 28, and May 31, depending on what you’re summarizing.

If you are reporting nonemployee compensation, Form 1099-MISC is due to independent contractors, the IRS, and applicable state tax agencies by January 31. The due date for filing Form 1096 is also January 31.

However, if you are using Form 1099-MISC to report a different type of payment (one not made to independent contractors), or if you are filing certain other information returns (e.g., Form 1097), the due date is not until February 28. Further, other information returns, such as Form 5498, are not due until May 31.

Ready to hire independent contractors? Patriot’s online 1099 software lets you create and print unlimited Forms 1099 and 1096, make unlimited payments, and generate reports. Get your free trial today!

This is not intended as legal advice; for more information, please click here.

The post Form 1096: What it Is, Filing Instructions, and More appeared first on Accounting Tips, Training, and News.

from Accounting Tips https://www.patriotsoftware.com/accounting/training/blog/form-1096-filing-instructions/

[paystubusa]

How Is an Online Payslip Generator Right ToolFor Company?

You know one thing, using Online Payslip Generator actually helps to automate many tasks that are associated with payroll management. By using this tool, you can calculate salaries and note the taxes and deductions.

[jamesyzeitz]

Form 1096: What it Is, Filing Instructions, and More

Sometimes, you need to hire workers who aren’t employees to complete certain tasks at your business. When you hire independent contractors, you must prepare Forms 1099-MISC so they can accurately file their personal tax returns. You also need to submit Form 1096 with the Forms 1099-MISC you send to the IRS.

Learn what IRS Form 1096 is. And, get the information you need to know about filing it, like how to get copies, where to send Form 1096, and the 1096 deadline.

What is Form 1096?

Form 1096, Annual Summary and Transmittal of U.S. Information Returns, is a document that summarizes information returns you file with the IRS, such as Forms 1099-MISC.

In business, Form 1096 is most commonly used to summarize nonemployee compensation (payments made to independent contractors) reported on Forms 1099-MISC. But, Form 1099-MISC is also used to report other miscellaneous income, such as payments made to an attorney.

When it comes to reporting nonemployee compensation, you might think of Form 1096 as the independent contractor version of Form W-3, Transmittal of Wage and Tax Statement. Like Form W-2, Form 1099-MISC shows workers how much they were paid. And like Form W-3, Form 1096 summarizes the payments you made to independent contractors.

Form 1096 is also used to summarize other returns, like Forms 1099-DIV and 1099-INT. You must complete a separate Form 1096 for each kind of return you file. For example, if you need to give a Form 1099-MISC to 20 people and a Form 1099-DIV to one person, you must prepare two separate Forms 1096 to send to the IRS.

Filing Form 1096

Do not file Form 1096 on its own. You will only prepare it if you need to file one of its corresponding information returns. And, you must send it with its corresponding returns to the IRS.

Unlike Form 1099-MISC, you will not send Form 1096 to independent contractors or applicable state tax agencies. Only send Form 1096 to the IRS.

You do not file Form 1096 if you file information returns electronically. And if you need to file 250 or more of a certain type of return, filing electronically is mandatory.

How to fill out Form 1096

You will need to include certain information on Form 1096, including personal information like your name, address, phone and fax numbers, and email address. And, you must record your business’s Federal Employer Identification Number (FEIN) or your Social Security number.

Record the total number of forms you are sending with Form 1096. You also need to enter in the total amount of money you recorded on the corresponding information returns.

Finally, you will need to mark an X next to the type of form you are filing. If you are filing Forms 1099-MISC, mark the box.

Where to get 1096 forms

You can order Form 1096 from the IRS. Do not print and use a Form 1096 from the IRS’s website. This is not a printable Form 1096. If you use it, you may be penalized.

Although forms are free from the IRS, there are quantity limits. Check with the IRS for more information.

You can place your order using the IRS’s website or by calling 1-800-829-3676. After placing your order, your documents should arrive within 10 business days.

Some accounting software providers, like Patriot Software, let you create and print unlimited Forms 1096 and 1099.

Where to file Form 1096

You must file Form 1096 with the IRS. The address you use to mail the information returns and Form 1096 depends on where your principal business is located.

Contact the IRS for more information.

Form 1096 deadline

The deadline for Form 1096 depends on the deadline for the corresponding information returns you are sending.

Possible due dates include January 31, February 28, and May 31, depending on what you’re summarizing.

If you are reporting nonemployee compensation, Form 1099-MISC is due to independent contractors, the IRS, and applicable state tax agencies by January 31. The due date for filing Form 1096 is also January 31.

However, if you are using Form 1099-MISC to report a different type of payment (one not made to independent contractors), or if you are filing certain other information returns (e.g., Form 1097), the due date is not until February 28. Further, other information returns, such as Form 5498, are not due until May 31.

Ready to hire independent contractors? Patriot’s online 1099 software lets you create and print unlimited Forms 1099 and 1096, make unlimited payments, and generate reports. Get your free trial today!

This is not intended as legal advice; for more information, please click here.

The post Form 1096: What it Is, Filing Instructions, and More appeared first on Accounting Tips, Training, and News.

from Accounting Tips https://www.patriotsoftware.com/accounting/training/blog/form-1096-filing-instructions/

[christophergill8]

10 things that will trigger a tax audit

It's official. House Democrats have formally requested copies of the last six years of Donald J. Trump's personal and business federal tax returns.

Trump has steadfastly refused to make public his taxes, breaking a modern-day tradition set by presidential candidates — and in-office presidents (and vice presidents) — of letting the public have a glimpse of White House 1040s.

The main reason Trump has given for keeping his taxes private is that his personal and business filings are under audit.

Tax experts throughout the media agree that no sane person would give their tax returns during an audit. After the audit, no problem!

— Donald J. Trump (@realDonaldTrump) February 27, 2016

But that's precisely why Rep. Richard Neal (D-Mass.), chairman of the House Ways and Means Committee, says his Congressional panel should see them.

"The IRS has a policy of auditing the tax returns of all sitting presidents and vice-presidents, yet little is known about the effectiveness of this program," Neal said in a statement announcing the letter he sent Wednesday, April 3, to Internal Revenue Service Commissioner Charles Rettig seeking Trump's returns.

"On behalf of the American people, the Ways and Means Committee must determine if that policy is being followed, and, if so, whether these audits are conducted fully and appropriately," said Neal.

"In order to fairly make that determination, we must obtain President Trump's tax returns and review whether the IRS is carrying out its responsibilities," added Neal. "The Committee has a duty to examine whether Congressional action may be needed to require such audits, and to oversee that they are conducted properly."

After hearing of Neal's request, Trump reiterated that he was "not inclined" to release his tax return until he no longer was under audit.

Yeah, stock up on popcorn and settle in folks. This is going to take a while.

Audits decreasing: This next phase of the great Trump Tax Return Quest, however, does make me think about what prompts the IRS to take an extra-long look at anyone's taxes.

Granted, the tax audit rate has been minuscule in recent years, in large part because of the IRS hasn't had a lot of money to spend on examining returns.

According to the IRS' Data Book for 2017, released in March 2018, the percentage of individual tax audits that year fell to its lowest level since 2002. It also was the sixth consecutive year that audits have declined.

Just 1 in about 160 individual tax returns were audited in 2017. The biggest drop in audits was of those aimed at high-income household filings, although those returns still were examined (that's the word the IRS likes to use instead of audited) at a higher rate than filers in other income levels.

That trend has continued into fiscal year 2018, according to research by TRAC, a nonpartisan, nonprofit data research center affiliated with the Newhouse School of Public Communications and the Whitman School of Management, both at Syracuse University.

Avoid tax audit triggers: So if there are fewer audits examinations, should we non-wealthy quit worrying whether we'll hear from the IRS after we file?

I'm not. I'm worrier by nature and I'm always rethinking what I put on my 1040 and wondering if it will cause the IRS pause.

No, I don't push the tax envelope. But part of the reason for my concern is that I once got an IRS notice, also known as a correspondence audit, about one of my returns. I've saved the document, which started out:

Dear Taxpayer, Some of the information that you provided to us does not agree with the information we received from other sources.                                                          — The Internal Revenue Service

So I still flinch a bit when I get anything from the IRS, like the transcript that arrived last week. I forgot I ordered it online to check out the system for an article.

If you're there with me in stressing at least a little over whether you'll get audited, here some tax issues we should avoid, if all possible.

These 10 things are what typically tempt the IRS to take another look at tax returns.

1. You earned a lot of money. As noted earlier, the IRS tends to focus on high earners when it conducts audits. That's not a bad plan for an agency that has, thanks to Congressional budget cuts, limited resources. Going after wealthy taxpayers provides a bigger bang for the audit buck.

2. You are self-employed. Being your own boss has a lot of benefits. It's also easier to cheat on your taxes because many transactions aren't documented in a way that helps the IRS. Unlike when you work for a company where your salary is set and taxes are withheld and sent to the IRS throughout the year, self-employment gives filers, shall we say, wiggle room in reporting income and the taxes due on it. The IRS essentially has to trust a self-employed filer to honestly report income and expenses. Since we know that doesn't happen 100 percent of the time, the IRS tends to take a greater interest in the returns of self-employed workers.

3. You are part of the gig economy. The self-employment tax reporting has been complicated by the explosive growth in gig workers. Often these are folks who freelance in addition to holding down full-time wage paying jobs. And often, they are unaccustomed to dealing with 1099 income. Since 1099s are copied to the IRS, when a contractor forgets to include this money on his or her tax return, that filer is guaranteed to get an IRS notice about the unreported income.

This so-called correspondence audit (like the one I got, mentioned earlier in this post) is much less invasive than a full-scale audit, but it's an audit nonetheless. You need to clear up the discrepancy ASAP since Uncle Sam has been tallying interest and penalty charges for your oversight.

4. You overlooked other income. Investment earnings are a big part of many folks' income, especially those in or near retirement. As with contract payments, unearned income from stocks and bonds and other investments generate 1099 forms, usually in the INT, DIV and B versions. These, too, are copied to the IRS. If you have investments, keep track of them not just for portfolio tweaking purposes, but also to note your earnings. And make sure you get all your 1099s before you file.

5. You have overseas accounts. If you own an account in a foreign country, you must report it. Failure to comply with the Foreign Account Tax Compliance Act, or FATCA, will cost you. A lot. Then there's Foreign Bank and Financial Accounts, or FBAR, reporting that is filed with the Financial Crimes Enforcement Network (FinCEN). If you're thinking that secret Swiss bank account will protect your privacy, think again. As with other earnings, the IRS has a way to find out about your offshore money. Foreign financial institutions are required to tell Uncle Sam of U.S. citizens' account holdings.

6. You claim large itemized or business deductions. Thanks to the dramatically increased standard deduction amounts under the Tax Cuts and Jobs Act (TCJA), fewer taxpayers are expected to itemize. But those who do will be looking to maximize the amounts the TCJA still allows to be claimed on Schedule A. That's fine. You always should use the deduction method that gives you the best tax result, even under the new tax law.

But do so legally. Don't go padding the remaining itemized expenses you can claim. Unusually large write-offs, which are those that seem to be excessive in relation to your income, will attract IRS scrutiny thanks to its computer scoring system, aka DIF, the acronym for discriminant information function.

The same deduction issue comes into play for the self-employed, mentioned in tax trigger #2. Don't try to fudge your business' expenses on your Schedule C. Unusually high amounts on that form draw added attention from an IRS that already skeptical of many independent contractor claims.

7. You made a mistake on your Obamacare reporting. Despite campaign promises and some chipping away at it, the Affordable Care Act (ACA), still popularly called Obamacare, remains the law. That means you still must let the IRS know when you file that you had the required minimum coverage.

If you signed up for medical coverage through a health care marketplace, you might be eligible for the federal subsidy, aka the premium tax credit, to help pay some of the insurance policy's costs. This also will get you a 1095-A form, which you'll need to help reconcile your credit, either advance or claimed at filing, or determine whether you owe an ACA-related penalty.

Although folks have been dealing with Obamacare for years, it still can be confusing. If you mess up any part of it, the IRS will let you know.

8. You have rental real estate activity. Real estate is an attractive investment, in part because rental properties offer real property owners some advantageous tax treatment. Under the TCJA, rental owners generally will enjoy lower ordinary income tax rates that apply to more inclusive income brackets. Plus, the new tax law retains the long-term capital gains tax rates for when you get around to selling your property. However, if your rental property generates a tax loss, and most do at least early in their rental lives, things get complicated. And complicated is where IRS examinations thrive. If you have rental property, you also should have a tax professional who can help you maneuver the intricacies and answer any questions the IRS might have about your real estate tax claims.

9. You filed the old-fashioned paper way. Yes, this still happens. Although most of us or our tax preparers now e-file, there still is a die-hard group of old-fashioned pen-and-paper tax filers. Hey, to each his or her own. But by using software to complete your returns, many common mathematical errors are eliminated (as long as you enter the correct info to start with), along with fewer transposed digits or missing of required entries. But filing by hand means your data has to be entered by IRS employees, providing another chance for human error in connection with those entries. Plus, there's the added chance that the IRS worker may notice one of your mistakes.

10. You fell for one of the Dirty Dozen tax scams. The IRS' annual Dirty Dozen tax scam list tracks the schemes that regularly appear as crooks try to steal identities and file for fraudulent tax refunds. But even when an honest taxpayer falls prey to one of these scams, it's the taxpayer who ends up holding the bag. If you used filing methods associated with one of the terrible 12 scams, such as letting a paid tax preparer enter false claims on your 1040 to boost your refund, filing for bogus tax credits or making donations to fake charities, the IRS will spot it. And you, the taxpayer who signed the 1040, will face an IRS examiner and a bigger tax bill.

Are you scared now? Don't be. I know most of the ol' blogs readers are honest taxpayers. And ever if you do make an innocent error, that won't spark a full-blown audit.

As long as you have good records for everything you enter on your tax return — and hire a tax pro who's experienced in the audit process — you should come through any IRS examination unscathed.

And you'll definitely escape the IRS' additional prying eyes when you don't wave any of these 12 audit red flags.

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from Tax News By Christopher https://www.dontmesswithtaxes.com/2019/04/tax-audit-triggers-red-flags.html

[mrmarknewman]

Everything physicians should know about REITs

Once upon a time I wrote an article about private real estate investment trusts (REITs). These are some of the favorite tools of salesmen masquerading as financial advisors (there’s a reason they’re called “brokers”). They would sell these investments with a promise of high income. 8% yields were not uncommon. The value of these REITs were not marked to market. For years. So although you knew you were getting that juicy 8% yield, you had no idea what the actual value of the investment was, and thus no idea of what your total return was. They were the perfect product for a salesman to sell to a financially unsophisticated client. They set up shop in retirement communities and sold their wares over steak dinners. These “investments” (scams would probably be a better description) had heavy front-loads (as high as 15%) and heavy ongoing fees. Primarily due to those fees as well as similar abuses by management, the long-term returns were often terrible. Sometimes investors found out that shares that were illustrated as “never dropping below $10 a share and likely worth twice that at some vague future liquidity period” were found to be worth $6 a share. Or $3 a share. Or even less. It turned out a great deal of that juicy yield was really just returning principle to investors.

The publicly traded REITs

In contrast are the publicly traded REITS which are marked to market thousands of times per day on days the market is open. Not only do these “real estate flavored stocks” provide ready liquidity and transparency, but you can buy them without paying a load. You can also readily diversify at very low cost by using a mutual fund such as the Vanguard REIT Index Fund (0.12% ER). That fund has a moderately high correlation (0.61 last I checked, but it varies over time) with the overall stock market. Sometimes it zigs when the market zags, but sometimes it zags when the market zags. In fact, sometimes it zags really dramatically, like in the Global Financial Crisis when it lost 78% of its value from peak to trough. Since the purpose of diversifying into real estate is to get solid returns and low correlation with the other assets in the portfolio like stocks and bonds, that moderately high correlation turned off a lot of potential real estate investors.

In addition, REITs by their very structure are not particularly tax-efficient. By law, they are required to pay out 90% of their return every year to investors. And those distributions are generally fully taxable at your ordinary income tax rates. The investors don’t get to benefit from depreciation and 1031 exchanges and the other benefits that direct real estate investors enjoy. High returns plus low tax efficiency meant that these assets really belonged only in the limited tax-protected investment space available to investors.

Why some investors hate REIT index funds

Lack of retirement account “space,” lack of control of the asset, tax inefficiency, and that moderately high correlation, prompted a lot of investors to give up the liquidity, diversification, and convenience of a low-cost index fund of publicly traded REITs in favor of owning the real estate investments directly. Many investors have retired primarily on portfolios composed of a handful of rental properties. However, buying anything but single family homes, a few duplexes, and maybe a small apartment building was beyond the reach of most real estate investors. So they got together with other interested investors and began “syndicating” properties, so that, like a mutual fund, they pooled the resources of multiple investors in order to buy more and larger real estate properties, such as large apartment complexes. They hired professional managers and then sat back and collected the checks for 5-10 years before selling off the property. Or perhaps they used a private real estate fund, again with a manager, so they didn’t have to pick each investment individually.

Rise of the crowdfunders

In the last five years, technology has provided a way for many more investors to get involved in syndicated real estate through “crowdfunded” websites such as RealtyShares, Equity Multiple, Fundrise, Realty Mogul, Peer Street (all affiliate links) and over a hundred others. They all have a different focus. Some invest on the equity side, and others on the debt side, and still others do both. However, most of these sites, like most of the syndicated deals available before the existence of these sites, required investors to be accredited. That is, rich enough (and theoretically then also sophisticated enough) that the Securities and Exchange Commission (SEC) didn’t have to babysit their investing activities. In general, this meant liquid investments of more than a million or an income of over $200,000 ($300,000 married).

The real estate crowdfunding space became very crowded, very quickly and so firms tried all kinds of ways to distinguish themselves from their competitors. One of the obvious ways to do that is to go after the non-accredited investors. Since an income of $200,000 gets you into the top 2 or 3%, and an investable net worth of over $1 Million gets you into the top 10% or so, it was obvious that the group of non-accredited investors was far larger than the accredited investors. Even if their average investment was smaller, the total amount of money to manage was still substantial. So as they dissected the regulations, they realized one way they could bring crowdfunded investments to the masses was to form the investments into what are really privately traded REITs, but which are different from your grandma’s broker’s REIT.

There are currently two main companies out there offering this product, both of whom have advertised on this site. In the remainder of this post, I’ll discuss their particular products and compare them to both publicly traded, and the old broker-focused privately traded REITs.

FundRise

FundRise used to be similar to most of the other crowdfunded sites, offering individual properties to groups of accredited investors. However, they have transitioned to primarily offering their “eREIT” products, available to everyone. They’ve addressed many of the issues that were seen with the broker focused REITs. For example:

Low minimum ($1000)

No load

Lower ongoing fees (0.85%)

Quarterly liquidity

Fundrise actually offers 5 of these eREITS- focused on Growth, Income, West Coast, Heartland, and East Coast. Fundrise also offers “eFunds” (currently one in Washington, DC and one in Los Angeles.) These are similar to private real estate investment funds available only to accredited investors, but with a much lower minimum (again $1,000). Instead of getting a 1099-DIV form each year like with the eREIT, you get a K-1. There is no guaranteed quarterly distribution and you should expect to leave your money there for five years.

Realty Mogul

The primary competition in this space is with Realty Mogul and their “MogulREIT” product. MogulREIT I and II (presumably there will be more down the line) offer the following:

$10,000 minimum

No load

1% management fee

Quarterly liquidity (after the first year)

Realty Mogul, unlike Fundrise, continues to offer “regular” (single property) investments to its pool of accredited investors, but the MogulREIT managers get first pick of the larger deals. There are slight differences between the two MogulREITs. For instance, MogulREIT II has a $5,000 minimum and invests just in apartment buildings (MogulREIT I had a broader mission).

Others

Although Fundrise and Realty Mogul seem to be the biggest players here, there are a few more of these out there (and probably more coming) including one from Blackstone, two from CrowdStreet, one from Rich Uncles, and one from stREITwise. Ian Appolito does a nice job reviewing them.

Should you invest?

Now for the big question–Should you invest in these new, more investor-friendly REITs? Well, it depends.

While these properties are more diversified than just buying a few crowdfunded, syndicated properties directly from crowdfunded sites, they are dramatically less diversified than buying the Vanguard REIT Index Fund. The Vanguard fund holds 155 companies. The largest of those 155 companies, Simon Properties, owns 325 properties. With one purchase, you will own a piece of tens of thousands of properties. You also give up significant liquidity with these online private REITs. You can sell that Vanguard REIT Index Fund in seconds any day the market is open. It would take you a full year to liquidate your MogulREIT holding, and that’s after the mandatory one-year holding period and possibly two more years where a 1-2% fee is assessed to early liquidators, which adds up to four years.  The management fees of the Vanguard fund are also 1/10th as large as those in these private REITs. Given those downsides, why would anyone buy into these online private REITs?

The main reason is because these online private REITs aren’t buying the same properties that the larger, publicly traded REITs are buying. You’re not going to find a big mall. More like some strip malls, a restaurant, and some single-family homes. The investments come from the same place as their other crowdfunded offerings, which are far more Main Street than Wall Street. So it is a diversification play into a different aspect of the real estate market with smaller properties.

Accredited investors may turn up their nose at these online private REITs, but they are also eligible to invest directly with syndicators or through funds due to their ability to cough up the minimum investments of $50-200,000. Non-accredited investors not only can’t come up with those sums, but are specifically excluded from those investments. It makes you wonder if Robert Kiyosaki was right when he said the wealthy get to invest in different investments than everyone else.

Critics say that only inexperienced or desperate real estate developers would go to a crowdfunded syndicator for funding, and thus their investments, whether in a REIT form or not, are inferior to those available to a more established syndicator. I suspect there is some truth to that, although both companies screen out the vast majority of projects they are brought.

All of these options can be attractive to busy high-income professionals (like me) who are not interested in purchasing, owning, managing, and selling properties themselves. For the non-accredited investors, the online private REITs are your only option to invest in these smaller properties that don’t make it into the REITs traded on the stock market and found in the Vanguard REIT Index Fund. For accredited investors, there are some who will be willing to pay the 0.85-1% management fee for the increased convenience, increased diversification, and decreased tax hassle compared to buying individual syndicated properties either directly or through the crowdfunded sites. Other accredited investors who either want to avoid the additional layer of fees, prefer to select their properties themselves, or simply prefer the benefits of a private fund structure will want to avoid the online private REITs. Either way, they’ve come a long way from the private REITs that were used to swindle your grandma.

In my recent post about my real estate investments, I talked about what I’m doing with the 20% of my portfolio that I dedicate to real estate, but for now, you should know that I don’t have any money invested in online private REITs. However, I have invested directly into properties both with Fundrise and RealtyMogul and enjoyed positive returns.

James M. Dahle is the author of The White Coat Investor: A Doctor’s Guide To Personal Finance And Investing and blogs at the White Coat Investor. He is the creator of Fire Your Financial Advisor!, a high-quality 12 module course with a little over 7 hours of videos and screencasts, a pre-test, section quizzes with answer explanations, and a final exam. The goal is to take a high income professional from square one, teach them financial literacy and help them write their own financial plan.

Image credit: Shutterstock.com

Your patients are rating you online: How to respond. Manage your online reputation: A social media guide. Find out how.

from KevinMD.com http://ift.tt/2Gg7gTf

[jjohnpritchett]

Buy it on Amazon - http://ift.tt/2mz8vEs - Cheap TurboTax Business 2017 (Fed + Efile) PC Download -- Click the link to buy now or to read the 8 4 & 5 Star Reviews.Subscribe to our Channel: https://www.youtube.com/channel/UC851UGS1VnyrszGXDs6xChw?sub_confirmation=1 Like us on Facebook for videos, pictures, coupons, prizes and more - http://ift.tt/2wCDdi2 Cheap TurboTax Business 2017 (Fed + Efile) PC Download This is my second yer using this product. The price is fine. It seems to do the trick. Maybe a bit more work than I'd like on the balance sheet, but workable. The one thing that is not really forgivable is that the online tool for generating W-2s doesn't reflect the 2017 social security cap. It still has 2-16 as of very late December. I'd like to use this to get everything in order ahead of time. Instead the tool says my numbers are off. Bummer. ... Reviewer : Carol LaFrantz You know what you get when you don't read the description properly? The Turbo Tax for Business and not for Individuals. It is a shame too, because this has 5 free e-files. This version allows you to import your previous year's data and works with Partnerships, S Corporations, C Corporations, multi-member LLC's, trusts and estates. The program gives you step by step guidance and double checks. You also get integrated online help. You can prepare unlimited W-2, 1099-MISC, 1099-INT and 1099-DIV for... Reviewer : TurboTax Support Click http://ift.tt/2mz8vEs to buy now on Amazon or to read more reviews. Get guidance in reporting income and expenses Boost your bottom line with industry-specific tax deductions Take care of partnership, S Corp, C Corp, multi-member LLC or trust forms Free expert product support by phone I saw some other reviews that this product didn't install on Windows 10, that they had to install using Windows 8 compatibility mode, or that the install took a very long time. I'm using Windows 10, and I purchased, downloaded, and installed this product within 30 minutes, including all of the updates. So the Windows 10 problem may be resolved or isolated to certain users. Everything else has gone great so far too, but we haven't filled yet. We are waiting on the IRS, according to Intuit, to rel... Reviewer : J. Braun Click http://ift.tt/2mz8vEs to buy now on Amazon or to read more reviews. ***Let Us Know What You Think… Comment Below!!*** Watch my other review Videos – https://www.youtube.com/channel/UC851UGS1VnyrszGXDs6xChw Subscribe to our Channel: https://www.youtube.com/channel/UC851UGS1VnyrszGXDs6xChw?sub_confirmation=1 Like us on Facebook for videos, pictures, coupons, prizes and more - http://ift.tt/2wCDdi2 #Intuit, Inc., #TurboTax Business 2017 (Fed + Efile) PC Download This is a review video for : B077BZF46X Manufacture : Intuit, Inc. Related Videos in Channel

[ahdariamzajolmhom]

Buy it on Amazon - http://ift.tt/2mz8vEs - TurboTax Business 2017 (Fed + Efile) PC Download Review -- Click the link to buy now or to read the 8 4 & 5 Star Reviews.Subscribe to our Channel: https://www.youtube.com/channel/UC8utrChM3lE8_X0ic4rNbgw?sub_confirmation=1 Like us on Facebook for videos, pictures, coupons, prizes and more - http://ift.tt/2wCDdi2 TurboTax Business 2017 (Fed + Efile) PC Download Review This is my second yer using this product. The price is fine. It seems to do the trick. Maybe a bit more work than I'd like on the balance sheet, but workable. The one thing that is not really forgivable is that the online tool for generating W-2s doesn't reflect the 2017 social security cap. It still has 2-16 as of very late December. I'd like to use this to get everything in order ahead of time. Instead the tool says my numbers are off. Bummer. ... Reviewer : Carol LaFrantz You know what you get when you don't read the description properly? The Turbo Tax for Business and not for Individuals. It is a shame too, because this has 5 free e-files. This version allows you to import your previous year's data and works with Partnerships, S Corporations, C Corporations, multi-member LLC's, trusts and estates. The program gives you step by step guidance and double checks. You also get integrated online help. You can prepare unlimited W-2, 1099-MISC, 1099-INT and 1099-DIV for... Reviewer : TurboTax Support Click http://ift.tt/2mz8vEs to buy now on Amazon or to read more reviews. Get guidance in reporting income and expenses Boost your bottom line with industry-specific tax deductions Take care of partnership, S Corp, C Corp, multi-member LLC or trust forms Free expert product support by phone I saw some other reviews that this product didn't install on Windows 10, that they had to install using Windows 8 compatibility mode, or that the install took a very long time. I'm using Windows 10, and I purchased, downloaded, and installed this product within 30 minutes, including all of the updates. So the Windows 10 problem may be resolved or isolated to certain users. Everything else has gone great so far too, but we haven't filled yet. We are waiting on the IRS, according to Intuit, to rel... Reviewer : J. Braun Click http://ift.tt/2mz8vEs to buy now on Amazon or to read more reviews. ***Let Us Know What You Think… Comment Below!!*** Watch my other review Videos – https://www.youtube.com/channel/UC8utrChM3lE8_X0ic4rNbgw Subscribe to our Channel: https://www.youtube.com/channel/UC8utrChM3lE8_X0ic4rNbgw?sub_confirmation=1 Like us on Facebook for videos, pictures, coupons, prizes and more - http://ift.tt/2wCDdi2 #Intuit, Inc., #TurboTax Business 2017 (Fed + Efile) PC Download This is a review video for : B077BZF46X Manufacture : Intuit, Inc. Related Videos in Channel

[tataxrelief-blog]

Important tax filing dates - updated

Here’s a list of important tax filing and reporting deadlines for the traditional tax season: 

January 15, 2018 - estimated tax payments for fourth quarter, 2017 due.

January 29, 2018 - 2018 tax filing season begins. This is the first day that the IRS will start accepting tax returns.

January 31, 2018 - most information returns must be sent to taxpayers. This year, nearly all information returns have been moved up to the January 31 deadline due to the Equifax data breach. Examples of information returns include W-2s, 1099-MISC, as well as other 1099s (INT, DIV, e.g.), 1099-S (timber royalties), 1098 (mortgage interest), 1098-E (tuition statements), 1095-B and -C (health coverage), and 940 (FUTA taxes).

** Correction ** Right after we published this post (isn’t that always the way?), the IRS issued Notice 2018-06 extending the deadline for providing forms 1095-B and 1095-C to individuals to March 2, 2018, which is a 30-day extension. Please note that they did NOT change the February 28 deadline for reporting to the IRS.  

February 15, 2018 - 1099-B (brokerage statements) and 1099-S (real estate transactions) information returns must be sent to tax payers. 

Update 2: Per Notice 1036, employers should be using the new withholding tables for the Tax Cuts and Jobs Act by February 15, 2018. 

Mid-February, 2018 - the IRS will start issuing EITC (earned income tax credit) and ACTC (additional child tax credit) refunds. 

February 28, 2018 - All information returns due to taxpayers on January 31, 2018 or February 15, 2018 due to the IRS on this day. 

March 2, 2018 - per notice 2018-06, the deadline to provide 1095-B and 1095-C information filings to individuals has been extended to this day. 

March 15, 2018 - 1065 (partnership) returns and 1120 (C corporation) returns due for calendar year businesses. Extensions of time to file these returns is also due on this date. 

April 17, 2018 - 1040, 1040A, 1040-EZ, and 1040NR (individual tax returns) and 1120-S (S Corporation tax returns) for calendar year businesses and individuals due. Estimated tax payments are also due on this date. Extensions of time to file these returns is also due on this date.

April 30, 2018 - 941 and 944 (Social Security, Medicare, and income tax withholding) due. 

The IRS has a handy PDF chart of filing and reporting dates generally. They also offer an online and a downloadable Outlook or iCal calendar file. 

We do not recommend filing extensions this year due to the Equifax breach. 

If you need tax returns prepared, we do that! Contact us today!

[heliosfinance]

Why Millennials Might Have More Complicated Taxes Than Ever Before

This post is brought to you by CJ Affiliate’s VIP Content Service. Thank you H&R Block for sponsoring this post. While this was a sponsored opportunity from H&R Block, all content and opinions expressed here are my own.

Long gone are the days of just a W-2 and filling out a simple 1040EZ. Today’s tax situations are usually a little more complicated – especially for those working side gigs and investing that hard earned cash.

But just because your tax situation is a little more complicated doesn’t mean you can’t still file your taxes yourself. In fact, if you know what to look out for, filing your own taxes can help you map out a plan for reducing the taxes you owe next year and keep your on top of your personal finances.

Before you file here are some things you should be aware of, and how H&R Block can help.

What Your Side Hustle Means for Your Taxes

Having a side hustle is great. A good side hustle can help you reach your financial goals faster and could even lead to a full-time career down the road.

The problem this can present with taxes is that most side hustles are done on an independent contractor basis and if you’re a new side hustler, this can be an unexpected shock!

If you’ve only ever been an employee (and receiving a W-2 at the beginning of each year), then receiving your first 1099-MISC as an independent contractor may throw you for a loop. As an independent contractor, taxes are not withheld from your pay and you are responsible for paying those taxes yourself when you file your taxes.

There is an upside to receiving 1099s though. For starters, you’re able to deduct more of your business expenses than you would be able to as an employee. For instance, if you had to buy office equipment or pay for work/business related expenses or, these may qualify as tax-deductible expenses.

Receiving 1099s and claiming deductions isn’t extremely hard to do but might be confusing, especially if it’s your first year dealing with this type of situation.

Some common situations where this might arise is driving for Uber or Lyft, being a Postmate, selling items on Amazon, and more.

This could be confusing, but using online tax software like H&R Block can make filing simple. It will walk you through all of the necessary forms and ask you simple questions to make sure you don’t miss anything.

More Investment Options Can Equal More Investment Tax Forms

Another set of tax forms millennials may run into comes with investments.

There are a ton of great ways to invest and nowadays many of them come with very small minimums. For example, maybe you’ve taken advantage of Robinhood and $0 commissions, or Stash or Acorns, where you can get started investing for just $5. These mobile investing options are great, but if you’re new to investing, you can’t forget about taxes!

If you’ve taken advantage of the low barriers to entry and have money spread over many different types of investments, you can expect to get many different tax forms.

Some common tax forms to be on the lookout for are:

1099 – INT (Reports interest paid to investor.)

1099 – DIV (Shows total amount of dividends paid to investor.)

1099 – B (Shows capital gain or loss for the year.)

Once again, even if this is your first time filing taxes, it’s not hard to file with easy to follow directions. H&R Block will walk you through each of these events, and help make sure you account for everything.

Let’s Not Forget About Student Loans

Last but not least, we can’t forget about student loans.

While student loans can be a huge burden, they can actually “help” you during income tax time. If you paid interest on your student loans last year, you may be able to take a deduction of up to $2,500 or the amount of interest you paid – whichever is the lesser amount.

The amount of deduction you qualify for will be based upon your modified adjusted gross income. You can receive full deduction on your 2016 tax return if you’re filing single and earn $65,000 or less, or if you’re married and file jointly with your spouse and your combined income is $135,000 or less. Once you reach those levels your deductible student loan interest begins to be phased-out.

A tax deduction is great because it will lower your taxable income – which saves you on taxes! Don’t worry, your online tax software can help you figure this out – no math is needed on your part.

But You Can Still File Taxes Yourself

Does having a more complicated tax situation scare you? It doesn’t have to! Just because you’re receiving more tax forms doesn’t mean that you need to be intimidated or that you can’t still file taxes yourself. In fact, depending on the complexity of your situation, you might even be able to do your taxes for free.

This year H&R Block rolled out More Zero which allows filers to file both federal and state 1040EZ, 1040A, and 1040 with Schedule A, completely free. This is great for those who itemize deductions, homeowners and those with medical and childcare expenses.

H&R Block also has a Deluxe edition which is great for getting the most deductions and a Premium edition which is ideal for small business owners and investors. We like H&R Block for its ease of use and helpful resource center and think that it’s a great online tax product for any situation.

If you want to get started with H&R Block you can do so here or you can play around with their tax calculator to get a general idea of your tax outcome before you get started on your return.

Ready to give it a try? Get started with H&R Block for free.

The post Why Millennials Might Have More Complicated Taxes Than Ever Before appeared first on The College Investor.

Why Millennials Might Have More Complicated Taxes Than Ever Before published first on http://ift.tt/2ljLF4B

[paystubusa]

Why Use an Online SS 4 Generator for Taxes?

An Online SS 4 Generator is a virtual tool designed to help organizations in completing the SS 4 Form fast and appropriately. The SS four Form is required with the aid of the IRS to use for an EIN, that’s crucial for tax reporting, hiring employees, and establishing commercial enterprise financial institution debts.

[paystubusa]

Direct Deposit Check Stub: Everything You Need To Know

A Direct Deposit Check Stub is called a pay stub or earning statement. It is a document that summarizes an employee’s pay for a specific period. Yup, your funds are deposited directly into a bank account, but using this stub provides a breakdown.