IS THIS INSURANCE MISSING FROM YOUR FINANCIAL PLAN?

What springs to mind when you hear "insurance?" Most likely, you think about auto, health, home, and life. But what if an illness or accident were to deprive you of your income? Even a temporary setback could create havoc with your finances.

DON'T LOSE PART OF YOUR IRA INHERITANCE TO PENALTIES

If you inherit an Individual Retirement Account from someone other than your spouse, you may be surprised to learn you have to take distributions. That's generally the case whether the IRA is a traditional or a Roth account. If you fail to take the distributions as required, you may owe a penalty of as much as 50% of the amount you should have taken. Distributions from inherited IRAs have specific deadlines. Contact us at (518) 798-3330 for help managing these key dates.

COUNT EMPLOYEES TO AVOID ACA PENALTIES

The IRS recently updated a web page explaining how to figure out if you're an "applicable large employer," or ALE. If you are, you may have to pay a penalty for not providing health insurance to your employees. For 2016, your business will generally meet the definition of an ALE if you employed an average of at least 50 full-time employees (including full-time equivalent employees) during 2015. A full-time employee for any calendar month is one who averages at least 30 hours of service per week or at least 130 hours of service during the month.

 

LUXURY AUTO DEPRECIATION LIMITS ANNOUNCED FOR 2016

The IRS recently issued the depreciation limits for business vehicles you buy and place into service this year. For cars, if 50% bonus depreciation does not apply, the first year limit is $3,160. If bonus depreciation applies to a business car, the first year limit is $11,160. For light trucks and vans first placed into service in 2016, the limit is $3,560 if bonus depreciation does not apply and $11,560 if bonus depreciation does apply. Heavy SUVs (vehicles built on a truck chassis and rated at more than 6,000 pounds gross weight) are exempt from "luxury auto" depreciation limits.

BE SCAM-SMART!

If the IRS has questions, you'll get a notice in the mail, not via telephone, email, or social media.

DID YOU INHERIT AN INDIVIDUAL RETIREMENT ACCOUNT?

Distribution rules are different for beneficiaries than for account owners.  Contact us at (518) 798-3330 for more information.

PENALTIES FOR NOT MAINTAINING REQUIRED HEALTH COVERAGE

As of March 3, 2016, more than 2.7 million taxpayers paid $1 billion in penalties for not maintaining required health coverage in 2015.