News & Tips - Augustedge, PLLC

Maximizing Benefits and Navigating Pitfalls: Understanding the Tax Implications of Inheriting or Receiving a Home as a Gift

Article Highlights Gifting Considerations Gift Tax Return Gift Basis Holding Period Home Sale Exclusion Capital Gains Special Considerations Inheritance Inherited Basis Depreciation Reset Comparison A frequent question, and a situation where taxpayers often make tax mistakes, is whether it is better to receive a home as a gift or as an inheritance. It is generally more advantageous tax-wise to inherit a home rather than [...]

By Augustedge Staff|2024-06-04T15:42:48+00:00June 6, 2024|Taxes|Comments Off

Weather the Storm: How Small Businesses Can Thrive in a Tough Economy Flow

The current American economy is characterized by inflation, rising credit card debt, and the looming threat of a recession. As a result, small to medium-sized business owners face many challenges. A recent report indicating a GDP growth of 1.6% in the first quarter of 2024 – well below the expected 2.5% – alongside predictions of a recession by mid-2024, indicates the urgency business owners [...]

By Augustedge Staff|2024-06-04T15:35:42+00:00June 5, 2024|Business|Comments Off

Does Your Employer Offer Emergency Savings Accounts?

Article Highlights: Understanding Emergency Savings Accounts Plan Contributions Automatic Enrollment Opting Out of Automatic Enrollment Roth-Like Basis and Employer Matching Contributions Withdrawals and Transition Options In a significant move to enhance the financial resilience of American workers, a delayed provision of the SECURE 2.0 Act, enacted in December of 2022, introduced a novel feature, the Pension-Linked Emergency Savings Account (PLESA) which became effective in [...]

By Augustedge Staff|2024-06-04T15:31:15+00:00June 4, 2024|Financial Planning|Comments Off

Navigating the Complex World of Your Child’s Tax Return

Article Highlights: Why Kiddie Tax Unearned Income Exceptions Understanding Kiddie Tax Rules Strategies for Children with Earned Income Parental Election to Include Child's Unearned Income Strategies to Avoid the Kiddie Tax In an effort to prevent high-income parents from exploiting tax benefits by shifting their investment income to their children, who typically fall into lower tax brackets, the U.S. Congress introduced the "Kiddie Tax" [...]

By Augustedge Staff|2024-06-04T15:25:42+00:00June 3, 2024|Taxes|Comments Off

5 Steps You Should Take Every Time You Open QuickBooks

When it comes to managing your small business finances, establishing a consistent routine is important. This is especially true when using QuickBooks, a powerful accounting software system that can help you stay organized and make informed decisions about your finances daily. Here are five key steps you should take every time you open QuickBooks: 1. Look at the Income Tracker Start each QuickBooks session [...]

By Augustedge Staff|2024-05-02T22:48:09+00:00May 11, 2024|Tools|Comments Off

How Coverdell and 529 Education Savings Plans Differ

Article Highlights Coverdell Education Savings Accounts Qualified State Tuition Programs (Sec 529 plans) Savings Contribution Limits Gift Tax Issues The tax code provides two primary advantageous ways of saving for your children's education. We frequently get questions about the differences between the programs and about which program is best suited for a family's particular needs. The Coverdell Education Savings Account and the Qualified Tuition [...]

By Augustedge Staff|2024-05-02T22:43:34+00:00May 10, 2024|Taxes|Comments Off

Drug & Alcohol Addiction Treatments May Be Tax Deductible

Article Highlights: Potential medical deductions Medical dependents Divorced parents Medical AGI limitations A taxpayer is allowed an itemized deduction for medical expenses paid during the taxable year and not compensated by insurance or otherwise for medical care of the taxpayer or the taxpayer’s spouse, dependent, or medical dependent. Alcoholism and drug addiction are treated as medical ailments for tax purposes. People with addictions often [...]

By Augustedge Staff|2024-05-02T22:38:24+00:00May 9, 2024|Taxes|Comments Off

Unlocking the Secrets of the SMB Business Life Cycle

Understanding your company's journey from inception to maturity is not optional if you want to have a successful career as a business owner. The business life cycle, a concept thoroughly explored by experts in corporate finance, serves as an essential roadmap for entrepreneurs and owners of small to medium-sized businesses (SMBs). This guide walks you through the stages of launch, growth, shake-out, maturity, and [...]

By Augustedge Staff|2024-05-02T22:31:50+00:00May 7, 2024|Business|Comments Off

The IRS Is Tackling Tax Evasion With AI

As the current tax season continues, the Internal Revenue Service (IRS) has ushered in a new era of tax enforcement thanks to the power of artificial intelligence (AI). AI tools have taken nearly every industry by storm recently, and even federal tax authorities have realized that these resources can be invaluable in catching tax evaders. Bolstered by funding from the Inflation Reduction Act of [...]

By Augustedge Staff|2024-05-02T22:25:39+00:00May 6, 2024|Taxes|Comments Off

Payroll Management: A Complete Guide for SMBs

Payroll taxes can be a significant headache for many small—to medium-sized business owners. Without proper education, entrepreneurs can find themselves in trouble with the IRS and state tax agencies. Fortunately, if you've been struggling with payroll taxes, you're in the right place. This guide will help you understand and manage payroll taxes effectively to ensure legal compliance. The temptation to cut corners, especially in [...]

By Augustedge Staff|2024-05-02T22:18:33+00:00May 3, 2024|Taxes|Comments Off

Augustedge, PLLC
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Augustedge, PLLC
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Augustedge, PLLC Wenatchee Satellite Office

Augustedge, PLLC Insurance Virtual Office

Augustedge, PLLC
Wenatchee Satellite Office

Augustedge, PLLC
Insurance Virtual Office