In order to tell the difference between a part or full time employee and independent contractor, it is important to consider the three main factors listed below. These factors will determine the responsibilities a business has towards a person who may be providing a service to the business, as well as the rights of both parties involved.
Back in 2009, a little accounting interpretation called FIN 46 struck fear in the hearts of many a small business and the accountants that serve them. FIN 46 (FASB Interpretation No. 46(R)) required companies with variable interest entities (VIE) to consolidate their financial statements. Oftentimes related party lease arrangements were considered to be VIE’s and thus were required to be consolidated or not comply with Generally Accepted Accounting Standards.
The Administration announced recently that it will provide an additional year before the ACA mandatory employer and insurer reporting requirements begin. Scheduled to become effective January 1, 2014, the new effective date is January 1, 2015. Formal transition guidance will be published in the coming weeks. The Administration intends to strongly encourage employers and insurers to voluntarily implement the information reporting in 2014.
Because of the delay in reporting requirements, the Administration has also delayed the “shared responsibility payments” until 2015. Under ACA’s “Employer Mandate,” employers with more than 50 full time employees would have to begin to offer affordable health insurance as defined by the Act or face substantial penalties or “shared responsibility payments.” The delay means these penalties will not apply to 2014.
At some point, you are going to want to walk away from the company that you built. Many small business owners have no exit strategy in the event of their disability, retirement, or death. Most are focused on business survival and/or growth. However, you want to make sure that your company is going to be successful and family interests are secure in your absence. This is where business succession planning and exit strategies become important.
What exactly is business succession planning? What exit strategies can be utilized?
There are several accounting software programs on the market that can help businesses with bookkeeping and taxes. However, none of them can provide the expertise and peace of mind that an accounting firm can offer. NC CPA firms like Langdon & Company LLP employ certified public accountants with experience in tax, bookkeeping, audit and business consulting that use their expertise to help businesses succeed.
Accurate bookkeeping and accounting are not optional for successful businesses, but hiring a full time accounting staff to keep your company’s books can be expensive.
While every business needs the financial data that accountants and bookkeepers prepare in order to fulfill regulatory obligations and make solid business decisions, incurring the cost of a full time staff to prepare that data may not be a very good business decision at all.
Outsourcing this work to a Raleigh CPA firm can mean having the expert financial services that you need anytime while enjoying significant savings.
The Patient Protection and Affordable Care Act [“PPACA”] (also sometimes referred as “The Affordable Care Act” or “ObamaCare”) was originally enacted in 2010 but essentially became significant legislation this past summer when in a landmark decision, the Supreme Court by a margin of 5-4 upheld the law as constitutional. We at Langdon & Company LLP, a Raleigh CPA firm have tax professionals available to help guide you and your business through planning for the Act.