Are Cash Flow Issues Creating Unnecessary Stress For Your Company?

In the current banking environment, maintaining adequate cash flow may be a challenge. More contractors fail as a result of inadequate cash flow than from not obtaining profitable work. Cash flow management MUST be considered on every job obtained.

When evaluating projects, it is important to review these cash flow factors:

  • Retention
  • Advance Payments
  • Front-end loading of contracts
  • Processing of progress payments
  • Change order process
  • Materials stock billings
  • Escalation clause
  • Timing
  • Documentation issues

Quick tips to improve your cash flow:

Manufacturer Excise Taxes, Heavy Highway Use Vehicle Tax & Fuel Tax Credits

Highway Use Tax,  Fuel Tax Credits,  Minneapolis CPA Firm

Companies may be liable for manufacturer excise taxes as well as the federal highway vehicle use tax. These companies may also be eligible to claim a tax credit or in some cases a refund of taxes paid for gasoline, diesel fuel, or kerosene that is consumed for nontaxable uses.

Manufacturer Excise Taxes

Items that are subject to manufacturer excise taxes are:

  • Sport fishing equipment
  • Bows
  • Arrow components
  • Coal
  • Tires
  • Gas guzzler automobiles
  • Vaccine

If your company is involved in manufacturing of any of the items listed above, the specific details of the item should be reviewed for compliance requirements.

Retirement + Fear = An Unhealthy Equation

Retirement Planning, Planning Challenges, Minneapolis CPA

Retirement is a time in life that most Americans look forward to. This is the day when you are no longer need to go into work on a daily basis. Some have visions of sun kissed days in warmer climates, spending more time with family or pursuing interests such as travel. While it all sounds great the challenge is ensuring there is a solid financial foundation in place to permit this lifestyle. To successfully accomplish this task, one must begin planning for retirement years before the actual event happens. This allows you to gradually build a “war chest” of funding that can grow while you are in the workforce and sustain you past retirement. While this may seem like common sense the truth is that more and more Americans are concerned about whether they will have enough to retire.

Year-End Reporting

As the New Year begins, it can mean only one thing; tax time is here again. With the onset of a new year, all businesses must disclose employee wage and vendor payments for the prior year through W-2 and 1099-Misc. forms. As you look to prepare these forms there are a number of things to keep in mind.

W-2 Reporting

This year, W-2 forms will include the additional .9 percent Medicare surtax and possibly health insurance premium reporting. Employees who had wages over $200,000, which resulted in the additional .9 percent Medicare surtax being withheld from their paychecks, will have that amount reported with their normal Medicare withholding in box 6 of the W-2. 

Treasury Delays 2015 Employer Payments

Treasury Delays 2015 Employer Payments under Affordable Care Act for Certain Employers

On February 10, 2014, the Treasury Department issued final regulations on the Employer Shared Responsibility provisions of the Affordable Care Act. As part of these regulations, the Treasury provided certain employers with transition relief for the 2015 plan year. Under these rules, certain employers with less than 100 employees will not be subject to the Employer Shared Responsibility provisions for the 2015 plan year. In addition, other employers not excluded from the Employer Shared Responsibility provisions for 2015 will be eligible for reduced payments (penalties).