Starting a new business is a huge risk. There are no guarantees that your business will be a success, no matter how much blood, sweat and tears you and your partners put into it. As a consequence, it is possible to be left with a lot of debt and bills, with no profits to pay for them. Choosing the right type of business organization can help minimize your personal liability and or risks. But it is just one tool in your belt for keeping costs down while your business is in its infancy. An article in Dayton Business Journal provides …
IRS Announces 2016 Pension Plan Limitations
On October 21 the IRS announced cost-of-living adjustments for 2016 retirement plan contributions. For 2016, the amounts that individuals will be able to contribute to retirement plans will remain unchanged at $18,000. The catch-up contribution limit for employees age 50 and over will also remain unchanged at $6,000. This chart summarizes the limitations for 2016: Contribution Limits 2016 2015 Elective Deferral Limit – 401(k), 403(b) and 457(b) Plans $18,000 $18,000 Catch-Up Contribution Limit $6,000 $6,000 Elective Deferral Limit – SIMPLE Retirement Plan $12,500 $12,500 Catch-Up Contribution Limit – SIMPLE Retirement Plan $3,000 $3,000 Contribution Limit – IRA $5,500 $5,500 Catch-Up …
Should I incorporate my solo Ohio business?
For many people starting a business, the decision of how to organize is relatively simple. For others, the answer is less clear, especially for people who are self-employed, like consultants and freelancers. Should someone setting up a fairly simple business with no employees incorporate? It may not seem like it, but incorporating a solo business may be worth your time in the long run, as the Small Business Administration notes on its website. One advantage of forming a corporation is limiting personal liability. It may seem less likely for a consultant to be sued than a big company, but there …
Ohio lawmakers working on business tax fix for state budget
The way you organize your business can have important tax implications. One structure may keep the tax bill low for some types of businesses, but are not the best strategy for others. One thing virtually every Ohio business owner has in common is a desire to pay as little in income taxes as possible. That is why many small business owners are closely following efforts in the Legislature to reform the two-year budget. A section of the budget that WOSU-FM implies was poorly written could inadvertently raise taxes on some businesses. Currently, the budget would allow small business owners to …