What Did and Did Not Work in 2014

As 2015 approaches, we often get caught up in the hustle and bustle (what is bustle anyways?) of the
holiday season and year end tax planning.  However, this is also a good time to take a step back from your business and assess what went well and not so well for this year.

Things to think about:

1. What was our best seller for 2014?  Did the customers like it and were we good at it?
2. What was the most profitable items and what were the least profitable items in 2014?
3. What are the cool kids in my industry planning for 2015?  Is there a trend that can affect my business and what technology is emerging?  For example, even though Kim Kardashian is still on Blackberry, it may not be the thing to stick with in your business. Or Aol.  Or that giant fax machine in the corner of your office.
4. What is your big goal for 2015?  Do you have a revenue goal, profit goal, or have a number of new customers that you would like to obtain?

It's cliche to say the definition of insanity is to do the same thing over and over and expect a different result, however, it is also correct.

Here's to a fantastic 2015!

One more reason to like Intuit (makers of QuickBooks)

Funding of cool commercials that are out to inspire the next generation of female engineers! Yes, we are accountants and this aired during the Super Bowl, but it is still cool.

Still Time to Act to Avoid Surprises at Tax-Time

IRS Special Edition Tax Tip 2014-21, October 23, 2014

Even though only a few months remain in 2014, you still have time to act so you aren’t surprised at tax-time next year. You should take steps now to avoid owing more taxes or getting a larger refund than you expect.  Here are some actions you can take to bring the taxes you pay in advance closer to what you’ll owe when you file your tax return:

• Adjust your withholding.  If you’re an employee and you think that your tax withholding will fall short of your total 2014 tax liability, you may be able to avoid an unexpected tax bill by increasing your withholding. If you are having too much tax withheld, you may get a larger refund than you expect. In either case, you can complete a new Form W-4, Employee's Withholding Allowance Certificate and give it to your employer. Enter the added amount you want withheld from each paycheck until the end of the year on Line 6 of the W-4 form. You usually can have less tax withheld by increasing your withholding allowances on line 5. Use the IRS Withholding Calculator tool on IRS.gov to help you fill out the form.
  
• Report changes in circumstances.  If you purchase health insurance coverage through the Health Insurance Marketplace, you may receive advance payments of the premium tax credit in 2014. It is important that you report changes in circumstances to your Marketplace so you get the proper type and amount of premium assistance. Some of the changes that you should report include changes in your income, employment, or family size. Advance credit payments help you pay for the insurance you buy through the Marketplace. Reporting changes will help you avoid getting too much or too little premium assistance in advance.
  
• Change taxes with life events.  You may need to change the taxes you pay when certain life events take place. A change in your marital status or the birth of a child can change the amount of taxes you owe. When they happen you can submit a new Form W–4 at work or change your estimated tax payment.
  
• Be accurate on your W-4.  When you start a new job you fill out a Form W-4. It’s important for you to accurately complete the form. For example, special rules apply if you work two jobs or you claim tax credits on your tax return. Your employer will use the form to figure the amount of federal income tax to withhold from your pay.
  
• Pay estimated tax if required.  If you get income that’s not subject to withholding you may need to pay estimated tax. This may include income such as self-employment, interest, or rent. If you expect to owe a thousand dollars or more in tax, and meet other conditions, you may need to pay this tax. You normally pay the tax four times a year. Use Form 1040-ES, Estimated Tax for Individuals, to figure and pay the tax.

For more see Publication 505, Tax Withholding and Estimated Tax. You can get it and IRS forms on IRS.gov, or call 800-TAX-FORM (800-829-3676) to get them by mail.

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