How about the way you treat other people’s property? Take you employer’s property for example; do you handle it as if it were your own?

I also find today’s generations penchant for vulgarity to be nothing short of disgusting. When I grew up if I so much as uttered a vulgar word out came a bar of Ivory Soap which my Dad substituted in for a tooth brush; that of course was after I picked myself up off the floor.

As the saying goes “the pendulum swings”. One can only hope that when it does, it eliminates the bad behavior that has become so much a part of our society and brings with it a restoration of manners and gentleman like behavior.

The catalyst for my rant is an article entitled “Top 10 Etiquette Blunders” written by Mr. Steve Strauss (CLICK HERE TO READ THE ARTICLE). It should be as no surprise to the reader that we have “come so far” as a society that Mr. Strauss needs to remind us of “magic words.” Remember those???

I also love this time of the year as it forces me to look at personal relationships and make decisions as to which ones I should continue to invest in or not.

There is an old adage which goes “protect your thoughts.” The point is to be aware of the company you keep and more significantly how those relationships, business and personal, impact your personal well being.

While Jane Applegate’s article focuses on toxic business relationships my view is we have to take a more global view and purge on every front.

See the link below regarding the process she suggests for eliminating the toxic waste in your life.

Eliminate Toxic People from Your Life

This article was written by Gary Field, CPA at Numerico, PC. Click here to view Numerico’s website.

One of the areas where there will be some traction, which previously was unacceptable to the Obama administration, has to do with tax cuts to the “wealthy”.

Earlier this year I suggested that all of the Bush era tax cuts would be extended and according to The Hill’s Blog Briefing Room that is about to happen.

While the blog indicates that the administration is pressing for a decoupling of the rates on the wealthy, while permanently extending tax cuts on the middle class, it also suggests the Republicans will not allow this administration to simply defer a tax increase on their favorite target.

See Jordan Fabians blog at the link below.

Cantor, Republicans signal Obama tax proposal dead in the water

This article was written by Gary Field, CPA at Numerico, PC. Click here to view Numerico’s website.

The infamous TCMP audit was a grueling line-by-line examination of randomly selected tax returns audited to compile statistical data for the Discriminate Function System (DIF) database. This is a computer program that compares every line of your tax return with national and regional averages. If any line of your return is higher than average, the difference is scored. The IRS believes that the higher the score, the more likely it is that a tax deduction can be disallowed. Consequently, the higher the DIF score, the greater your chances of being audited.

Now it seems the IRS is turning its sights onto employment taxes with the new Employment Tax National Research Project (NRP). The agency will audit 2,000 businesses every year from now through 2012. Again statistical information will be compiled and software developed to test compliance. Ultimately this will drive the extent to which businesses will be audited. Since the IRS commissioner promised roughly a 30% increase in the number of tax audits, I think that it is safe to assume this is a first step in that direction.

Author Anita Campbell suggests that it’s time to tighten things up on the compliance front for those of you who haven’t. I agree completely.

See her article at How the new wave of IRS audits will affect your small business.

This article was written by Gary Field, CPA at Numerico, PC. Click here to view Numerico’s website.

“Given the choice to safeguard the future of your company or protect the needs of a problem employee, you’ll choose your business.”

The question is would you? Here are some reasons why you shouldn’t have to think twice about this.

Sub par performers can poison the entire office environment. The poison effect on the environment is directly related to what level the sub par performer is at. If the problem employee is at the upper levels of the company, then the employees below them are more likely to replicate the actions of the sub par performer, especially if the problem employee’s issues are not dealt with.

Problem employees also affect customer satisfaction. You may not notice it a first but you will eventually when your customers start to take their business elsewhere.

Can you really afford to keep problem employees, when customer satisfaction translates into cash flow which is the life blood of your business?

To read the entire article please clicks the following link. Dealing with problem employees the basics of progressive discipline by Julie Rains.

This article was written by Jay Kossen, CPA at Numerico, PC. Click here to view Numerico’s website.

“Ch-ch-ch-ch-Changes

Turn and face the strain

Ch-ch-Changes

Don’t want to be a richer man

Ch-ch-ch-ch-Changes

Turn and face the change

Ch-ch-Changes

Just gonna have to be a different man…”

The song comes to mind in light of the recent turmoil in Congress relative to the expiring Bush proposals you’ve undoubtedly read so much about.

Clearly if the Bush provisions are allowed to expire all of us will be less “rich” than we already are. Certainly the Obama Administration’s grab for more to pay for a failed $800 billion dollar “stimulus” package will further strain an already strained economy and in particular small business owners.

When I read the attached article from The Washington Post dated 9/13/10 “Tax proposals will dominate the work of the returning Congress” (see link below) I can’t help but feel the strain as a professional that has had a hand in directing many clients’ decisions regarding tax planning. Why? A month ago the Bush-era tax cuts were essentially set to expire and yet as of late it appears as though they could be extended at least to those with incomes of less than $250,000.

And talk about Ch-ch-ch-ch-Changes; the lead article of the Wall Street Journal dated 9/16/10, that’s right three days after the Post article entitled “Primaries Stoke Turmoil” in part, reads;

“In the House, 31 Democrats rebuffed their leadership on the expiring Bush-era tax cuts, signing a letter calling for temporary extension of all the breaks and signaling a possible impasse in Washington’s bid to deal with the thorny political problem.”

Ch-ch-ch-ch-Changes

Turn and face the strain

Ch-ch-Changes…

Unfortunately while I may not be able to guarantee outcome, my professional view is that all the Bush-era tax cuts will remain in play and we will all be better off as a result of it. This is not to imply that the country is better off or will ever be able to recover from the financial instability created by the existing administration but I do have faith that if we as small business owners are left to our own devices, with the least amount of governments intervention as possible, we can reverse the type of change the Obama administration has forced upon us.

Fate of tax cuts is key issue as Congress Returns

This article was written by Gary Field, CPA at Numerico, PC. Click here to view Numerico’s website.

Williams and Hartley became romantically involved and began to live together, under the assumption that they would marry in the future.  That assumption proved costly for Williams.   During their cohabitation, Williams and Hartley significantly improved the value of the property in which they lived, which was solely owned by Hartley and her father.  However, when things went sour they separated and Williams sued Hartley to recover the value of his labor and the amount he spent on resources improving the property.

The Court of Appeals determined that Williams was entitled to receive nothing for his efforts.   The law in Michigan provides that services rendered during a non-marital cohabitation relationship are presumed to be gratuitous.  Unless the plaintiff can show that he expected payment from the defendant at the time he rendered the services and, also that the defendant expected to pay for the services, the plaintiff will not be able to overcome this presumption.

Arguments made by Williams such as unjust enrichment, gifts made in contemplation of marriage and quantum meriut were all rejected by the Court of Appeals.  Courts will only enforce non-marital cohabitation agreements made with adequate and independent consideration.  The Court of Appeals held to hold otherwise would be to “resurrect common-law marriage.”  Unmarried co-habitants have no rights to property division in the absence of a specific contract.

This article was written by Matthew Ehrlich, Legal Clerk at Demorest Law Firm.

Typically, in the fall of each year, we will book a conference room at a neighborhood hotel for the day. Our retreat starts at 8 AM and ends at 5 PM with snacks and beverages provided throughout the day and of course we break for lunch. On some occasions we have closed the day with a firm provided dinner.

The primary goal of the retreat is to review how we did relative to the goals set at the prior year and to set goals for the upcoming calendar year. We set some very specific goals by function (Administrative, Marketing, Service and Housekeeping) and stay on track with a well thought out, written agenda.

Our retreats always include an outside facilitator who is responsible for leading us through the agenda. This individual is a professional who knows our firm and is a very astute and successful business person. The facilitator keeps things moving, on track and ensures everyone participates.

There is no question that an annual retreat, whether done locally or in another location that doesn’t max out your budget, is one of the best investments our firm and your businesses can make. Take a look at the link below for great suggestions on how to do get the most bang for the buck both locally and in other locations.

To read Shira’s Levine’s article “6 Tips for Planning A Corporate Retreat on a Budget” please click the following link 6 Tips For Planning A Retreat.

This article was written by Gary Field, CPA at Numerico, PC. Click here to view Numerico’s website.

President Obama’s goal of “spending this country’s way to wealth” has failed miserably and can only add to the “EU effect” here in the United States. Locally we can expect a similar effect as our soon to be Ex Governor’s management style has been equally irresponsible.

Taking this to the private sector for a minute, when a client of ours leverages by borrowing so that they can continue to invest in the business, if the return on investment which is driven by sales isn’t there, the client must cut costs, including payroll and related benefits, in order to survive. The client simply cannot “deficit spend its way to prosperity” forever. Its bank, at some point, will stop “papering over” the deficits with more money and the client will ultimately be bankrupt. When there is no longer an adequate return on investment and as a result positive cash flow, the private sector does what it must to survive; manage the expense side of the equation. Our clients understand “The only way they can take you out of the game is if you run out of cash.” State of Michigan under its current leadership has been more about taxing and spending versus cutting.

In addition to the federal government funding which has been used to feed the insatiable appetite of the unions in this state, the other source of funding which is drying up is debt sold by the State and its Municipalities. More and more, sophisticated investors are less and less inclined to buy what is quickly becoming regarded as junk bonds from either source. Case in point: Two months ago we were charged with investing one million dollars for a client in Michigan Municipals. However, the market has become so fragile that the money remains in cash as we look to a safer venue.

Morris points out, just as Athens has turned to Berlin, bankrupt states like Michigan will turn to the federal government to guarantee their debt. That my friends will be a pivotal point in this great country’s future in that it will determine whether we become financially responsible going forward by just saying NO or continue as we have recklessly “spending our way to wealth.”

Morris is literally on the money on his analysis and recommendations regarding what the next steps should be and what they mean to the United States of America. This is an excellent piece well worth the read.

To read the entire article please click the following link The Next Big Economic Crisis.

This article was written by Gary Field, CPA at Numerico, PC. Click here to view Numerico’s website.