Month: June 2015
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How do you know who to trust for financial advice?
Tonight I finished a 13 hour continuing professional education course on the topic of ethics in the financial services industry for baby boomer and senior clients. The scope of scams perpetrated on seniors covered in the course leaves me dumbfounded. In each of these many cases, the victim made a critical mistake in trusting the wrong person. …
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Comment on “A Tale of Two Recoveries: Hurricanes Katrina and Sandy”
Researchers Susan L. Cutter and Christopher T. Emrich at the Hazards and Vulnerability Research Institute at the University of South Carolina published information about recovery from super storm Sandy as compared to Katrina. I think that I participated in submitting responses to their survey. I noticed that one area not mentioned in the article in Emergency Management “A Tale…
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First case of fraud in small business accounting
I’m dealing with my first case of likely fraud in a small business client’s bookkeeping. It apparently stems from the actions of an incompetent or inattentive bookkeeper and an overly trusting business owner. I should not be surprised knowing that $2 out of every $100 passing through the US economy is based on fraud of…
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NJ state workers need to revise their financial plans
(This post follows yesterday’s announcement that the state Supreme Court ruled that the state is not required to make negotiated pension plan contribution. More at NJ.com). “The future isn’t what it used to be.” New Jersey state workers and other participants in the state pension system (like teachers) who were promised solid pensions will receive less…
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Tax planning at the time of layoff
An accountant shared a sad story that reminds me of the need for tax planning by ordinary folks. A 40 year old middle income single guy was laid off from his corporate job last year but apparently did not seek professional financial help until now. He took money out his 401(k) for living expenses without doing…
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How much does payroll service cost for a very small business?
How much does payroll service cost for a very small business? This is a simple question without a simple answer. As we might suspect, the answer is wrapped up in the details. 1. Service contract – Who pays penalties for screw-ups and responding to an audit? How reliable is the provider’s assurance? Keep in mind that a…
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Facebook messenger as a divorce tool
A New York judge recently ruled that a divorce notice could be served by Facebook message. I suggest that Facebook can actually be be used for even more. There is no reason why Facebook messenger would not be a suitable communication platform for peaceful divorce discussions. I have two articles on alternative divorce: Controlling the…
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“CPA is too expensive” says this woman
but ignorance is priceless! A professional tax preparer shared this hilarious story: A single woman with a salaried position was looking for help with her “simple” tax return. She also has a side business as an artist. The art work generates minimal income but much larger tax deductions that resulted in losses of at least…
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Get ready for 4980D small business excise taxes
How to prepare for and avoid triggering severe excise tax penalties under the Affordable care Act