Employers must implement a number of 2016 payroll tax changes to accurately process payroll. Provided below is a list of scheduled changes that will affect employers beginning next year.
- Social Security Wage Base. The 2016 wage base will be $118,500. The employee and employer match will be 6.2%. The maximum deduction will be $7,347 ($118,500 x 6.2%).
- Medicare Tax. As in prior years, there is no limit to the wages subject to the Medicare Tax; therefore, all covered wages are still subject to the 1.45% tax. Wages paid in excess of $200,000 will be subject to...
QuickBooks Desktop 2016 is now available for purchase or download. Many new and minor improvements to the program's interface and features were implemented with this new release.
The key features of QuickBooks 2016 are easily tailored to your industry.
- "Bill Tracker" provides a dedicated dashboard to view data for purchase orders and bills.
- Instant view of the money-out in "Bill Tracker" without having to run reports.
- Bulk clear is now available to delete or void multiple transactions.
- New reporting features that allow for advance filtering...
Starting in 2016, applicable large employers (ALEs) under the Affordable Care Act (ACA) will have to file Forms 1094-C and 1095-C to provide information to the IRS and plan participants regarding their health care benefits for the previous year. Both the forms and their instructions are now available for ALEs to study and begin preparations for required filings. In addition, organizations that expect to file Forms 1094 and 1095 electronically can peruse two final IRS publications setting out specifications for using the new ACA Information Returns system.
Keep in mind that ALEs are employers with 50 or more full-time employees or the equivalent. And even ALEs exempt from the ACA’s shared-responsibility ...
Yeo & Yeo CPAs & Business Consultants is pleased to announce that Eric J. Sowatsky, CPA, CGMA, and Tara L. Stensrud, CPA, have achieved the National Social Security Advisor certification from the National Social Security Association LLC in Cincinnati.
The certification allows Sowatsky and Stensrud to counsel clients on the best way to claim Social Security benefits in order to optimize lifetime Social Security income.
Sowatsky specializes internal control reviews, business consulting, financial reporting and tax planning issues, with an emphasis in agribusiness. He is the leader of Yeo & Yeo’s Agribusiness Services Group, and a member of the firm’s State and Local Tax Group and Health Care Reform Group....
Medical expenses that aren’t reimbursable by insurance or paid through a tax-advantaged account (such as a Health Savings Account or Flexible Spending Account) may be deductible — but generally only to the extent that they exceed 10% of your adjusted gross income.
Taxpayers age 65 and older can enjoy a 7.5% floor through 2016. The floor for alternative minimum tax purposes, however, is 10% for all taxpayers.
By “bunching” nonurgent medical procedures and other controllable expenses into alternating years, you may increase your ability to exceed the applicable floor. Controllable expenses might include prescription drugs, eyeglasses and contact lenses, hearing aids, dental work, and elective surgery....
Yeo & Yeo CPAs & Business Consultants received the Association of Fundraising Professionals – Mid-Michigan Chapter’s Outstanding Corporation Award. The award recognizes outstanding commitment through financial support and through encouragement and motivation of others to take leadership roles toward philanthropy and community involvement.
On November 2, 2015, at a luncheon in Freeland, Michigan, the Mid-Michigan Chapter honored local individuals, foundations and businesses by presenting awards as part of National Philanthropy Day.