If you think you can avoid the federal estate tax, you're probably right. The federal estate tax applies to Americans only if their estates total more than $11.7 million for individuals and $23.4 million for couples. For these very wealthy families, the rate can go as high as 40%.
Homeowners insurance covers serious damage or destruction of your house, but what else is covered? Generally, clothing, furniture, appliances and most other contents of your home are covered if they're destroyed in an insured disaster. You can also get off-premises coverage to file a claim for lost jewelry, no matter where in the world you lost it, although there are typically limits. If you own a lot of high-priced possessions — fine art or antiques, fine jewelry or designer clothes — you may want to purchase a rider or buy a separate policy to cover them. Liability coverage protects you from lawsuits filed by others, so that if your dog bites your neighbor, your insurer will pay her medical expenses.
If your payroll provider handles your payroll-processing responsibilities, you might not see the need to learn the ins and outs of calculating net pay. But imagine an employee seeking clarification on his or her take-home pay — do you know all the details?
You have lots of expenses when running a business. Are any of them deductible? To begin with, a deductible business expense must be both ordinary and necessary. An ordinary business expense is one that is common and accepted in your trade or business. A necessary expense is one that is helpful and appropriate for your trade or business. An expense doesn't have to be indispensable to be considered necessary.
"When will the COVID-19 pandemic finally end?" Many business owners are asking themselves that question. Unfortunately, the answer is not yet clear, and business owners must remain vigilant to the threats to their industry. For many, this means managing the internal and external risks is a top priority.
Caterer? Cupcake baker? Craft jeweler? Maybe even a glassblower? Your passion may have led to income. You should know about the special rules and limits for deductions.
Making a will is the primary way to transfer ownership of your belongings after your death. You’ll often hear that a will should be a comprehensive list of your assets so that they can be found quickly and easily without your estate undergoing probate. But there are some things you can’t or shouldn’t include in your will. For example, certain types of property can best be transferred without one.
If you're 62 years of age or older and want money to supplement your income, you might consider a reverse mortgage. You'll be able to convert part of your home equity into cash without having to sell your home or keep paying your mortgage.
Every day that passes marks less time for private companies to get ready for ASC 842, the new lease accounting standard. Private companies will have to comply with this standard in fiscal years beginning after December 15, 2021, and interim periods within fiscal years beginning after December 15, 2022.
Taxpayers who have to write big checks for higher education can see tax savings when filing tax returns next year. If you, your spouse or your dependents are taking postsecondary coursework, there's a strong chance a tax benefit may be in your future.
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