Our Financial Blog
The Smart Money Moves that Gig Workers Need
“Gig work” is the new “bankers’ hours.” Anyone who isn’t doing it wishes that they were, and those who are lucky enough to be freelancing know just how good it really is. But being a successful freelancer means more than making your own hours and having as much work...
Child Tax Credit
For 2021 only, the child tax credit (CTC) increased from $2,000 to $3,000 for each child under age 18, or $3,600 for each child under age 6. Unfortunately, the extra amount ($1,000 or $1,600, respectively) is reduced when income exceeds $150,000 for married taxpayers...
IRS Sends Notices to Taxpayers Who Deferred Tax
The IRS is now sending informational-only CP256V Notices to self-employed individuals and household employers who chose to defer paying the employer’s share of Social Security taxes under the CARES Act. The new notice reminds them that the first installment of...
Advance Child Tax Credit Notice & FAQ
If you have received an Advance Child Tax Credit in 2021, watch your mail in January 2022 when the IRS will begin sending Letter 6419, which details the total amount of advance CTC payments that were disbursed. This letter will be sent to the address the IRS has on...
Employers Hiring New Employees May Be Able to Claim a Work Opportunity Tax Credit
The Covid-19 pandemic has had a significant impact on the labor market – mandated government lockdowns and workers’ and customers’ fears of contracting the illness resulted in businesses closing or temporarily cutting back and laying off or furloughing millions of...
How Understanding the ‘Rule of 72’ Helps You Make Personal Finance Decisions
Though everybody wants their money to grow, few people understand the best way to make that happen. It’s all about where you choose to put your money and the rate of growth you’re able to achieve over a period of time. When you’re trying to figure out how compound...
Fall Tax Planning May Be Wise
Taxes are like vehicles in that they sometimes need a periodic check-up to make sure they are performing as expected, and if ignored, can cost you money. That is true of taxes as well, especially for 2021, as the pandemic benefits begin to wane and President Biden’s...
As the Pandemic Continues, Managing Restaurant Cash Flow Becomes Critical
Cash flow has always been a challenge for restaurants, and before COVID-19 changed everything there were thousands of articles written about the importance of forecasting, streamlining overhead, and controlling inventory. But more than a year-and-a-half into the...
Complications to the IRS-to-Charity Distribution Provision
Individuals are required to begin taking distributions from their IRA when they reach a certain age. That age was 70½ until Congress passed the SECURE Act in late 2019 which made significant changes to the retirement plan provisions of the tax code, one of which was...
The IRS Backlog is Causing Taxpayer Heartburn
Before the COVID-19 pandemic, the IRS was getting refunds out swiftly and responded to calls and correspondence in a reasonable amount of time. However, COVID-19 brought about a perfect storm of delays, initially caused by employees having to stay home because...
Filing as Married Separate? Better Read This!
Married taxpayers have two options when filing their 1040 or 1040-SR tax returns. The first and most frequently used filing status is married filing joint (MFJ), where the incomes and allowable expenses of both spouses are combined and reported on one tax return. The...
Virginia’s New Electronic Payment Requirement for Some Individual Income Taxpayers
Following an amendment to legislation approved by the Virginia General Assembly, some taxpayers may now be affected by a new requirement for certain tax payments. Effective for taxable years beginning on or after January 1, 2021, taxpayers who make estimated tax...
Minimizing Tax on Social Security Benefits
Whether your Social Security benefits are taxable (and, if so, the amount that is taxed) depends on a number of issues. The following facts will help you understand the taxability of your Social Security benefits. For this discussion, the term “Social Security...
Small Businesses: Here’s How the U.S. Supreme Court Wayfair Decision Affects You
If you are a small business owner, chances are good you’re paying more attention to your accounts receivables and deliverables than to a three-year-old Supreme Court decision. But knowing what happened in the Wayfair decision on June 21st of 2018 is important if you...
What You Need to Know About the IRS & Tax Audits
The IRS has long been a bogeyman for the American public, and there’s good reason for that. They have the unique ability to do what few other creditors can: taking your home and selling it out from under you. Still, despite its remarkable powers, fear has created...
The Story Behind Method CPA
Learn how a passion for business at an early age resulted in a thriving accounting & consulting firm that is eager to help small businesses move forward with making smart financial and business decisions. https://www.youtube.com/watch?v=Fk91KosDiQA
Higher Income Individuals Beware
The House Ways and Means Committee has released an extensive list of proposed tax changes that impact individual, retirement, international and corporate tax law. We have been selective and have only included a portion of the proposed changes. A full list of proposed...
Should You Get an IRS Identity Protection PIN?
An Identity Protection PIN (IP PIN) is a six-digit number assigned to eligible taxpayers by the IRS to help prevent the misuse of their Social Security number by ID thieves to file fraudulent federal income tax returns. The IP PIN aids IRS in verifying a taxpayer's...
Employment Opportunities
Method CPA is currently seeking to add top notch individuals to their Accounting team! If you are an experienced Bookkeeper or Certified Public Accountant and are looking for a new employment opportunity, please check out our job postings for additional details. CPA:...
Day Care Providers Enjoy Special Tax Benefits
A taxpayer who is in the business of providing family day care in their home may deduct the ordinary and necessary expenses of their business. The two primary deductions include the business use of their home and the cost of providing meals and snacks to children in...