Frequently Asked Questions
A collection of FAQs about Iannuzzi Manetta, our professionals and our business. Disclaimer: this advice may not serve your exact situation, so reach out to your financial professional for personalized guidance.
A business strategic plan defines goals, objectives, and success measurements for a company. Assigns resources and budgets to clearly understand how to achieve each. When a strategic plan is active, it guides generations on a course for the company. A strategic plan is long-term (though changes need to be addressed at least every two years) and focuses on where you want the business to be at a future date.
Iannuzzi Manetta asks clients, “if you don’t have a plan, how do you know how you’ll grow, prosper, and succeed?” So, yes, every company should have a strategic plan.
Keeping enough cash on hand to cover three-month’s expenses is a great security measurement. Excess cash should be invested.
First, decide what you want to achieve financially. Financial goals might include early retirement, travel, a vacation home, securing your family’s financial comfort upon a death, planning for elderly care or building a family business.
Rules for slightly different for individuals versus businesses. For example, individuals should keep bank statements for one (1) year; businesses, at least three (3) years. If you have loans, keep these documents until you have paid off the loan (and we’d even suggest for a year past that date, just to be safe). Tax records should be kept for seven (7) years. Other record keeping questions, just ask.
A plan identifying the key individuals who will take over the business when the time comes. It outlines how succession will occur and evaluation metrics to know when the successor is prepared to lead. Companies must have a succession plan in place if they plan to ease the founding or current generation’s concerns about transitioning the company to others in the future.
Quick answer, it depends on your needs. Accountants monitor the finances of an individual or a business, prepare financial statements, and help with record keeping. A CPA has had to go through rigorous testing and learning to pass a Uniform Examination. CPAs must complete annual continuing education to keep up with all the trends and ever changing developments in our industry. We’d suggest talking to one of our professionals to determine your level of need.
No worries, yet! The type of mistake you made will determine the path we need to take to correct it. Let’s say you forgot to include some information. Odds are the IRS will be in touch with you, then you can correct it. A calculation error? Again, the IRS will be in touch if it’s significant. Still not clear, further concerns? Reach out we’ll help you.
The IRS is flexible and offers short-term extensions, as well as, installation payments. Watch out though, interest and penalties can add up, so we’d suggest filing and paying a small amount by the due date, if possible to avoid any additional expenses.
It depends. Generally, the “pass-through” type of entity saves tax overall by eliminating tax at the entity level. Pass-through entity owners are taxed directly on their share of entity profits. Another pass-through advantage is that owners can take tax deductions for startup or operating losses, against their income from investments or other businesses.
For federal tax purposes the leading pass-through forms are general partnerships, limited partnerships, LLPs, LLCs, S-Corps, and sole proprietorships.
If you form a partnership (any type) or limited liability company, you may choose whether its treated for tax purposes as a corporation or a partnership (or, if you’re the only one in the LLC, as a corporation or disregarded for tax purposes). If incorporated, or you choose to have it treated as a corporation, you may qualify to have it treated as a pass-through by electing S-Corp status.
Get a personal consultation.
Call us today at (248) 641.0005
Upon request, an IMC tax professional will reach out to you.