PBMares Accounting Blog

Tax Reform May Negatively Impact Charitable Contributions

Posted by Edward T. Yoder, CPA, MSA on Feb 9, 2018 10:52:41 AM

The 2017 Tax Cuts and Jobs Act (the Act) passed by Congress on December 22, 2017 marks the most significant tax law changes in over 30 years.  Most taxpayers will see their tax liability decrease.  The Congressional Budget Office estimates the Act will reduce tax revenues by $1.455 trillion over the next 10 years.  But all is not good for non-profit organizations as there are changes in the Act that may negatively impact charitable contributions.  The Tax Policy Center predicts that charitable giving will decrease in 2018 by 4 percent to 6.5 percent, or between $12.3billion and $19.7billion.  An Indiana University Lilly Family School of Philanthropy study estimates that charitable giving will decrease 4.6 percent or $13.1billion because of the Act.

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Topics: Not-for-Profits

Increase Donor Funding and Loyalty by Building Relationships

Posted by Rachael M. Kosmyna on Feb 5, 2018 4:06:57 PM

One problem that every not-for-profit organization encounters is the need to raise money to fulfill the organization’s purpose. Some not-for-profits have an established circle of major donors who regularly make large charitable contributions, while other organizations seem to plead with anyone for a contribution in any monetary amount.

A great way to motivate donors and reduce fundraising pressures on your staff is through building and strengthening relationships with individual donors.  This is especially true with major donors, or those donors who make a major investment in your organization.

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Topics: Not-for-Profits

Maximize Your Organization’s Public Support: How to Use the Updated Form 990 Schedule A to Your Advantage

Posted by Jonny Rosch, CPA on Jan 30, 2018 3:06:17 PM

Will the public change the way it makes donations as a result of the Job Cuts and Jobs Act? And will your non-profit be impacted by those behavioral changes?

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Topics: Not-for-Profits

How Will Your Pass-Through Income be Taxed in 2018?

Posted by Kasey Pittman on Jan 24, 2018 4:36:57 PM

Pass-through and self-employed business owners stand to gain from a key provision in the recently enacted Tax Cuts and Jobs Act. The Act creates a new deduction of Qualified Business Income (or “QBI”), under IRC Section 199A, effective for tax years beginning after December 31, 2017 and before January 1, 2026.

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Topics: Tax Planning

 Here’s What You, as the Employer, Need to Know About SOC1 Reports

Posted by Christine Flaker, CPA on Jan 17, 2018 9:33:32 AM

 

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Topics: Employee Benefit Plans

Understanding Your Indirect Rates

Posted by Neena Shukla, CPA, CFE, CGMA, FCPA on Jan 4, 2018 11:56:59 AM

Whether you are new to government contracting and are just setting up your accounting system or are more established and not sure costs are being recorded properly on a consistent basis,  you will need to document your indirect rate structure.  You need to define, in writing, what indirect rates you need (i.e. fringe benefits, operating/overhead, material handling, major subcontract administration, general and administrative, etc.) and their method of allocation.

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Topics: Government Contracts

Tax Reform’s Impact on Payroll. What You Need to Know.

Posted by Joanne R. Wolfley on Jan 3, 2018 10:00:49 AM

 

Soon after passage of the new tax reform law, the IRS announced that it is developing salary and wage tax withholding guidance to be issued sometime in January, 2018.  The IRS said that use of the new 2018 withholding guidelines will allow taxpayers to begin seeing the changes in their paychecks as early as February 2018. Until then, employers and payroll service providers should continue to use the existing 2017 withholding tables and systems.  The new withholding guidance will be designed to work with existing W-4 forms that workers have already filed. No further action by employees is necessary at this time.

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Topics: Tax Updates

What You Need to Know About the Tax Cuts and Jobs Act

Posted by Kasey Pittman on Dec 22, 2017 11:16:25 AM

 

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Topics: Tax Planning

Are Your Holiday Party Expenses Allowable? Maybe!

Posted by Neena Shukla, CPA, CFE, CGMA, FCPA on Dec 21, 2017 8:10:29 AM

The holidays are here. Is your company getting ready to have its annual holiday party? If so, you may be asking, “Are the costs of the company holiday party allowable or unallowable?” The answer is maybe.

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Topics: Government Contracts

Again, There is a Potential for a Government Shutdown. Are You Ready?

Posted by Neena Shukla, CPA, CFE, CGMA, FCPA on Dec 20, 2017 1:29:24 PM

This is a follow-up to previous discussions about a potential Federal government shutdown that was avoided through a continuing resolution restricting expenditures.   The threat hinges on Congress being able to establish a 2018 budget that contains funding for the wall between the U.S. and Mexico, one that defunds Obamacare and a resolution of the DACA issue. All within spending caps that still need to be defined before the Government runs out of money to pay its bills on or around December 22nd

As a government contractor, whether large or small, NOW is the time to take actions to be prepared for these events and to minimize their impact on your organization!

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Topics: Government Contracts