DeFreitas & Minsky Accounting Blog

Last month, New York and three other states filed a federal lawsuit to prevent a reduction in the State and Local Tax (SALT) deduction, which was included in last year’s tax reform package. The new SALT cap, which is part of the 2017 tax reform law, could cost Long Island homeowners thousands of dollars at tax time.

Rapid business growth is the goal of many owners, but it can come with its own set of problems. Whether you overextend your budget or fail to keep up with demand, the consequences of missteps at this stage can be fatal. If your company is expanding and you would like to keep it that way, try these five simple strategies for business leaders.

Are you new to budgeting or searching for a money management solution to fit your lifestyle? Maybe, you should try the 50 30 20 budget. It’s a great way to develop a balance between the money you spend on obligations, goals and splurges.

Small business owners don’t have it easy. Within the first 18 months, eight out of 10 new companies close their doors for good. One major reason is an inability to balance the books. If you are an aspiring entrepreneur, your company will have a much better shot at success if you learn how to manage finances the right way.

No matter how much you earn, managing money is not easy. It requires much more than self-discipline. You must develop a plan and follow through with it. Thankfully, there’s help available today. You can quickly and easily download a daily budget app on your phone that can guide you through personal financial planning.

As a small business owner, you are probably very focused on growing your business. But, are you neglecting your personal financial health at its expense? These five financial tips will help you understand whether you are placing enough resources into individual money management.

Your credit score is an important indicator of your individual financial health. It can be used to determine everything from an auto loan rate to a home equity line of credit. Since a good score will increase your options and may even save you money, you should invest some time today in learning how to raise your credit score.

The recent Federal tax reform package could significantly cut into your tax refund next year. The Tax Cuts and Jobs Act greatly reduces the amount of property tax a homeowner is eligible to deduct in 2018.

If you run a business, you know expenses pile up quickly. But, the good news is that you can get some of that money back. Companies that turn a profit are eligible to claim many deductible business expenses come tax time.

A business’ taxable income is the portion of its profits that are subject to Federal and State income tax. This can be calculated by subtracting permissible tax deductions from gross sales. It’s an important figure to know, because it helps you determine how much of your business’ profits you will ultimately be able to keep.