Changes To Your Credit Score Coming
A new credit scoring method is being rolled out this spring from FICO. It is called the UltaFICO score. Up until now the main factor in calculating your FICO score was your payment history (as well as the amount owed, length of credit history, new credit and the type of credit used). After the change, […]
Changes to Church Financial Statements
If your church is required to have outside prepared financial statements (ie: for a grant or a lending institution), you need to be aware of changes to the statements for fiscal years beginning after December 15, 2017. The results of these changes may result in additional time and cost needed this year for the completion […]
Tax Law Changes
The Tax Cuts and Jobs Act of 2017 includes many changes, including reducing the tax rates of seven different tax brackets. Here are some other changes that may impact you: The standard deduction increases to $12,000 for an individual and $24,000 for a family. This change is expected to decrease the number of people who […]
2019 Mileage Rates and Tax Law Changes
The IRS has released the new mileage reimbursement rates for 2019. For business related travel, the new rate is $0.58 per mile (up from $0.545 last year). Driving for medical may be deducted at $0.20/mile and mileage for service to a charitable organization is unchanged at $0.14/mile. Mileage for moving expenses is no longer deductible. […]
Retirement Contributions
The IRS has issued new 401(k) and 403(b) contribution limits for 2019. The new limit for 2019 is $19,000 (an increase of $500). For those over 50, an additional $6,000 can be contributed, for a total of $25,000. The combined annual limit for employee and employer contributions is $56,000. The limit for traditional and Roth […]
Year-End Contribution Reports
This is a good time to review the rules for issuing year-end charitable contribution statements. Charitable contributions must be reported and claimed in the year in which they are delivered to the charity. If you receive cash or a check after December 31st, it should not be included on the donor’s 2018 contribution statement. This […]
Credit Freeze Update
Last November, we reported on the need to protect your identity by putting a freeze on your credit. Beginning September 21, 2018, there is no longer a fee to do so. A freeze stops someone from getting a loan or opening a credit card in your name (it does not restrict your ability to use […]
Cash Flow Statement
While most accounting software for business use includes financial reports such as the balance sheet and the income statement, many do not include the cash flow statement. For many churches this is not a report that is needed for internal reporting purposes. However, if you are preparing financials with the intent of using them to […]
Cost Savings (Continued)
Churches can save a significant amount on the cost of computer hardware and software. Many companies provide a discount to nonprofits. TechSoup is a company that provides discounts on everything from Microsoft Office 365, QuickBooks desktop and on-line version, Adobe and many more. For a complete list, visit their website: www.techsoup.org. They also have discounts […]
Cost Savings (Continued)
Most businesses lease a copier, upgrading every 3-5 years. There are two types of leases: Fair market value lease (FMV), where if you choose to buy the copier at the end of the lease, you pay the fair market value. With a Dollar buyout lease, you own the copier at the end of the lease […]