IRS Grants Breaks on FSAs and DCAPs
The IRS is providing some leeway to employee benefit plans offering health flexible spending accounts (FSAs) and dependent care assistance plans (DCAPs). Under the COVID-19-related Taxpayer Certainty and Disaster Tax Relief Act of 2020, these plans now have additional discretion in 2021 and 2022 to adjust their programs to help employees better meet the unanticipated […]
401(k) Plans: Know the Rules
If you offer a 401(k) plan — in any of its various flavors — to your employees, everyone should know the tax rules that govern them. Although the details can get very technical, you can learn the basics. To start with, many companies find that since a 401(k) plan is much prized by employees, it’s […]
What’s in the New 2021 Stimulus Bill?
After much debate, the Senate and House reached various compromises on the latest relief bill, the American Rescue Plan Act, which President Biden signed into law on March 11. The 600 pages contain many provisions and additional guidance is likely to follow in the coming weeks. Meanwhile, here are the key benefits. The $1,400 relief check […]
Will You Be Subject to a Penalty for Not Filing Your 2020 Estimated Taxes?
This has been a difficult year for everyone, and the last thing anyone wants to think about is owing an unexpected tax penalty. Unfortunately, self-employed individuals and small-business owners who are required to pay estimated taxes may find themselves in that position if they did not pay their estimated tax for 2020. The IRS requires […]
Aid Package Signed Into Law
The much discussed aid package has been signed into law after significant delay and controversy. We’ll be revisiting this topic in the coming days as the details become clearer. Meanwhile, here are the key takeaways: A $600 check to many Americans. (The phase-out for individuals begins for those earning $75,000.) The amount is reduced by […]
Are Annuities Right for You?
Annuities are financial products sold by insurance companies that allow you to put aside money, have it increase each year without paying taxes and then trigger a stream of future payments on a timetable you can control. Unlike IRAs, there’s no income limit on how much you can place in an annuity. By being in […]
