Weekly Reminders

Housekeeping Tips as We Head Slowly into Autumn

And Miscellaneous Newsworthy Updates

We would like to remind you of several things now that you are back in your office and we are all adjusting to a new COVID 19 reality.

MISCELLANEOUS NEWSWORTHY UPDATES

Payroll Tax Deferral –

We aren’t sure what to say about this since there are many unanswered questions. Here is what we know.

The FICA portion of an employee’s can be deferred (not abated!) from September 1 – December 30 of 2020. This only applies to employees making less than (roughly) $104,000 annually. Presumably the amount deferred over the four months would need to be repaid in January 2021

The Executive Order does not address the employee’s share of the Medicare tax of 1.45%.

The Treasury is ordered to issue guidance implementing the deferrals.

Issues that we see –

What if an employee changes job? Will Employer A be required to repay the employee’s deferred payroll tax if the employee is now working for Employer B?

Can an employer opt out of deferring the payroll tax?

How does this affect state laws?

Stay tuned!

Student Loans

By Executive Order, student loan payments have now been deferred to the end of December.

Our understanding is this will be an automatic extension (same process as when it started) implemented from the student loan payment offices. However, if you have not received communications about your payments, you should contact them directly.

PPP-Forgiveness

PPP forgiveness is not set in stone yet. There is still lobbying to forgive loans under $150,000 (no application would be needed). In our conversations with bankers, they are not ready to accept applications yet. The earliest we are hearing is mid to late August. So, hang in there. We will update you as we hear more.

HOUSEKEEPING TIPS:

CUAK Payments:

Would you prefer to pay by credit card (rather than write a check)? Please click the link below for a copy of the Credit Card Authorization Form. Feel free to email or fax it to Dave or Alicia.

Click Here

Email Address:

If you or your spouse have changed or updated your email address, please let our office know so we can update your contact information in our system.

RETIREMENT PLANNING:

We know after this year, we have all been day dreaming of retirement!

401(k) Plans for your office:

Did you know we can help you set up a 401(k) plan for you and your team? If you currently use another company OR would like to set a plan up, please contact Dave Kaucher at our office for a free consultation.

We have attached an article here regarding retirement questions you may have:

Click Here

Again, any questions, please call or email Dave.

We will need to be vigilant in the next few weeks for new tax laws, clarifications to Executive Orders and the ever-changing updates to past legislation. Please continue to read our eblasts as we keep on rowing down the murky stream of US tax law.

Please be sure to visit our Website for past Eblasts, Webinars & Podcasts:

cu-cpa.com

As always, we hope you are staying safe and sane and positive.

We love and appreciate you!