IRS Announces 2014 Standard Mileage Rates

The cost of fueling up has gone down and with it so are the standard mileage rates for 2014.  This past weekend the IRS announced that the standard mileage rates for business, charitable, medical, or moving expenses will decrease 0.5 cents per mile.  The new mileage is as follows:

56 cents per mile for business miles driven

23.5 cents per mile driven for medical or moving purposes

14 cents per mile driven in service of charitable organizations

The rate for charitable expenses remain the same as they were in 2013 – as they have been since the 90’s, while the rates for business, medical and moving expenses are adjusted each year, the rate for charitable expenses is fixed by statute and can only be changed by Congress.

The rates for business miles traveled are applicable on owned or leased vehicles (including vans, pickups, or panel trucks) and can also be used by employers to reimburse tax-free under an accountable plan employees who supply their own autos for business use, and to value personal use of certain low-cost employer-provided vehicles.

The standard mileage rates are used to easily calculate the amount of a deductible business, moving, medical or charitable expense.  Taxpayers also have the option of deducting their actual costs rather than using the standard mileage rates, but no matter which option you choose, be sure to keep good records.

The new rates begin to take effect on January 1st, 2014 and will be on your 2014 returns filed in 2015.


For more information about the professionals at BW James and professional tax and financial planning services visit http://www.bwjames.com

How to Save During the Holidays

The leaves are falling, the temperature dropping, and the people are shopping.  The holidays are nigh and Christmas is just around the corner.  Tis the season for giving, but with a little planning you can give and save at the same time.  Courtesy of the professionals at BW James, here are some money-saving Holiday tips.

Budget, Budget, and Budget

Since your holiday budget is likely to be similar to what you’ve spent in the past few years, it’s relatively easy to come up with a budget and have an idea of what you’re going to be spending.  Advanced planning will take away quite a bit of stress come December and if you list out everyone you need to buy for and how much you would like to spend now you’ll save money in the long run.  Waiting until the week or two before Christmas will make you more likely to spend more on a gift just to get it over with.

Bring a Lunch

If you’re in the habit of going out to lunch everyday now is the time to start packing a sandwich.  It may not seem like much at first, but if you take $8 a day and put it back instead of spending it on grub for the next 30 days, you’ll still have over two weeks until Christmas and a cool $240 to cross some names off the gift list.

Be Creative

Do you normally buy for co-workers, neighbors, or other non-relatives?  You can save money by simply being creative.  For the crafty people you can find out things they really enjoy and make a cross-stitch or a painting or something like that.  Or perhaps you can simply find out their favorite dessert and bake it for them.  These type of gifts are easier on the wallet and because they’re thoughtful, go a much longer way than an overpriced generic gift at the department store.

Be Prepared

Make a list of everything you’ll need during the holidays, whether it be plenty of napkins for that Christmas meal, batteries, drinks, etc.  Stock up on everything you’ll need.  This will save you more stress than money, but stocking up on supplies at the grocery store is a lot cheaper than realizing you need something Christmas day and buying it at a convenience store.

Hopefully these few tips will save you some stress and money during the holidays.  For more information about financial planning and the professionals at BW James visit http://www.bwjames.com

LLC or S-Corp? 4 Questions to Ask Your CPA

When registering a business as a corporation, you are faced with a tough choice: registering it as an LLC (Limited Liability Corporation) or as an S-corporation. These 2 options are great options for small businesses because registering as a traditional C corporation can be overkill for most businesses that are just getting started. Are you wondering which between the 2 options you should choose? The experts at BW James present 4 things you must ask your CPA to help with your decision-making.

Which system provides a more structured system? – A structured system is necessary for businesses that are on the rise. Generally speaking, an LLC has a more free-willing system when it comes to task delegations while an S-corporation has compliance requirements such as a board of directors, shareholder meetings, annual reports, and the like.

What are the limits when it comes to shareholder jurisdiction? – Each of these corporations holds particular rules when it comes to delegating power between shareholders. For example, one crucial restriction for S-corporations is that only US citizens can be shareholders in an S-corporation. On the other hand, LLC owners are not allowed to use their company or stocks for personal affairs.

How are income and wages allocated to stockholders and employees? – There are crucial differences between an LLC and an S-corporation when it comes to income. For example, the dividing of income shares between shareholders of an LLC is based on the pro-rated shares of each shareholder. How money is distributed is something you must ask your CPA about.

How are taxes paid?  - Understanding how taxes work for each arrangement can be a complicated task to handle. This is where your CPA can come into the picture. For example, stockholders of LLC corporations are required to pay self-employment tax as part of their income while stockholders of S-corporations are required to pay additional state taxes.

For more information about the professionals at BW James visit http://www.bwjames.com

Sales and Use Tax Deadline

This is a friendly reminder from the professionals at BW James LLP, that the Sales and Use Tax deadline is October 21, 2013 for everyone filing monthly or quarterly.

State Sales and Use Tax is imposed on all retail sales, leases, and rentals of most goods, as well as taxable services.

Texas cities, counties, transit authorities and special purpose districts have the option of imposing an additional local sales tax for a combined total of state and local taxes of 8 ¼% (.0825).

Due to a change in law effective September 1, 2013, snack foods are exempt from sales tax, unless they are sold through a vending machine or in individual-sized portions.

Be sure to have all Sales and Use Tax return forms filed by Monday, October 21st in order to avoid interest and penalty charges.  Even if you don’t owe any taxes because you have no sales or only nontaxable sales for this quarter you still must file your tax return form by Monday.

For more information contact BW James at 281-420-1040 or visit http://www.bwjames.com 

October 15 Tax Extension Deadline Stands

This is a friendly reminder from the professionals at BW James reminding you that the despite the government shutdown, the Internal Revenue Service still expects tax payments to come in on October 15, 2013, the agency recently announced.

Over 12 million individuals took advantage of an automatic six month extension earlier this year to file their Form 1040 for 2012.  The IRS offered several reminders for taxpayers during the current appropriations lapse:

Taxpayers are encouraged to file their returns electronically using IRS e-file or the Free File system to reduce the chance of errors. A CPA or Enrolled Agent (EA) can also assist any individual with filing tax returns.

Before filing, the IRS encourages taxpayers to see if they qualify for often-overlooked credits and deductions.  So if you’re one of the many Americans who have yet to file their Form 1040 for 2012, BW James can help you ensure you don’t miss any of these credits and deductions.

October 15, 2013 is the final day to submit your tax return.

For more information about the professionals at BW James visit http://www.bwjames.com

Top 5 Ways to Maximize Your Tax Benefits

Paying tax is an inevitable part of your adult life. Barry W James of BW James CPA’s shares some tips on how you can maximize your benefits and at the same time, minimize your taxes due. Here are some useful suggestions you can use for the tax season.

Make necessary adjustments for your withholding.

There are plenty of Americans with withheld taxes higher than what is required of them. If you are receiving a large refund, it is due time to review your withholding so you get of that money in your own paycheck.

Keep your records organized.

Make sure you have all the tax related documents prepared and organized. This simple tip can save you a lot of time and possibly help you further with minimizing your taxes.

Make contributions to your retirement accounts.

Your additional deductions can be increased by funding your retirement plan. One way to do this is to use a Traditional IRA. Your contribution becomes a deductible if you are an active participant or if your spouse is.

Sign up for a Flexible Spending Account.

According to BW James accountants, a Flexible Spending Account may be beneficial to your case, which is why it is worth considering. With this program, funds are deducted from your salary on a pretax basis. That automatically reduces your taxable income. The funds taken from your paycheck will then be refunded as soon as you present claim forms to your company's benefits department. The two kinds of FSAs worth considering include healthcare and dependent care.

Support a charity.

Making a charitable donation can also help minimize your taxes. And when you do, make sure you itemize these deductions properly so you can receive tax related benefits that is due you. Keep in mind however, that only the actual contributions are considered deductible. Check the guidelines regarding this matter for more information.

For more information about the professionals at BW James call 281-420-1040 or visit http://www.bwjames.com 

Year End Money Saving Tips

It is now October and 2013 is almost completely over, and now it is time to start doing some year-end planning to save money during the rapidly approaching tax season.  Courtesy of the professionals at BW James, here are a few tips to be better prepared.

Get Organized

Gathering your tax data as soon as possible can save you a lot of trouble and put you in a better position to save money during tax time.  Round up all receipts and canceled checks, check brokerage statements for year-to-date gains or losses and make a checklist of accounts to keep track of the 1099s.  Organizing your files now will avoid some of the stress that would be there later.

Fund Your Retirement

There’s a bounty of ways to benefit on your taxes when funding an IRA.  The professionals at BW James can advise you on which way is best for you.  Perhaps it’s time convert that traditional IRA to a Roth IRA.  Be sure to talk to us about your retirement options.

Pay Off Deductible Expenses

Paying your state income tax estimate before December 31 can accelerate your federal deduction.  You can also pay property taxes early, make an extra mortgage payment, or opt to have dental work or deductible elective surgery you planned on having before the year-end.

Give to Charity

Do you donate to charities each year?  Doing so before December 31st will allow you to deduct the amount from your taxes sooner.  Be sure to work with BW James to coordinate the best time possible for charitable gifts to ensure you’re benefitted on your taxes.

Properly preparing for tax season at the end of the year can put yourself in great position for the April deadline.  These are just a few ways you can explore to get ready.

For more information about Barry W James and the professionals at BW James visit http://www.bwjames.com 

Get a Head Start on Tax Season in Four Simple Steps

While the end of the year may seem like it’s a long time from now, it’s only three short months away. When you factor in the hectic weeks of the coming holiday season, that really only leaves a few weeks to pull your tax information together to avoid the stress that being unprepared for tax season can bring.

Now is the time to think about what information you will need for the 2013 tax filing season and the steps you can take in the next few months to minimize your tax burden. To help you get a jumpstart on your end-of-year planning and organization, here are a few tips courtesy of BW James Certified Public Accountants.

1) Take a look at last year’s income tax return and determine what documentation you will need to complete this year’s return.

2) Review the expenses, retirement contributions, and charitable giving that you have planned before year-end to determine if there are any additional deductions that you may still be able to capture for this tax year.

3) Organize your receipts and invoices by category and start scanning them so you are prepared for a paperless tax preparation process.

4) If you’re not already comfortable using your portal on our website, make sure to check how the process of uploading your tax documents works and how to review your return online so these tasks are quick and easy for you during tax season.

Getting a head start on your taxes now will benefit you come tax time. Providing us with your documentation as early as possible will allow us to process your return sooner so you can receive any tax refund you may be eligible for more quickly. In addition, preparing now will also help you avoid the stress of scrambling for information with a looming tax deadline before you. And remember, we are always here to help. If you have any questions, please give us a call at 281-420-1040 or visit www.bwjames.com 

Medicare Part D Notice

Courtesy of the professionals at BW James, we would like to remind all of our clients about the Medicare Part D Notice.

Medicare prescription drug coverage became available in 2006 to everyone with Medicare and you can receive this coverage if you join a Medicare Prescription Drug Plan or a Medicare Advantage Plan, such as an HMO or PPO, which offers prescription drug coverage.

You can join a Medicare drug plan when you first become eligible for Medicare and each year from October 15th through December 7th.  All business owners who offer health insurance to their employees must give the Medicare Part D Notice to employees by October 15.

For more information about Medicare prescription drug coverage you can visit www.medicare.gov

BW James Certified Public Accountants regards you and your business with the highest value and is available to help all clients with direct one-on-one service in areas such as tax advisory service and managing healthcare coverage.  For more information about the professionals at BW James visit www.bwjames.com

The American Institute of CPAs

When you are searching for an accountant it is in your best interest to ensure that you are receiving the highest level of quality possible.  You can put your mind at ease knowing you’re in the best of hands if your CPA is a member of The American Institute of CPAs (AICPA).

The AICPA is the world’s largest member association representing the accounting profession, with nearly 386,000 members in 128 countries.  The AICPA has been serving the public interest for 125 years and their members are comprised of many different areas of practice, including business and industry, public practice, government, and education and consulting.  The Institute sets ethical standards for the profession and U.S. auditing standards for audits of private companies, nonprofit organizations, federal, state and local governments.  It also develops and grades the Uniform CPA Examination and offers specialty credentials for CPAs who concentrate on personal financial planning; fraud and forensics; business valuation; and information technology.  Through a joint venture with the Chartered Institute of Management Accountants, it has established the Chartered Global Management Accountant designation.

Barry W James of BW James Certified Public Accountants is a proud member of the AICPA and takes full advantage of the education and assessment tools provided in order to better serve the public.  When you become a client of BW James you are setting yourself up for success.  

BW James LLP regards you and your business with the highest value and you receive direct one-on-one service giving your company the attention that it deserves.  

For more information about the professionals at BW James visit https://bwjames.com 

BW James Seeking Qualified Professional to fill Open Position

Full Charge Bookkeeper/Accounting Clerk   (Full Time)

Apply Here: Current Open Positions

One of Houston areas most progressive Next Generation Certified Public Accounting Firms that specializes in outsourced CFO, financial accounting, back office support system, advisory, and tax services is expanding and looking to add a Full Charge Bookkeeper to its exemplary team. 


Job Information:  Bookkeeping, Accounting, and Auditing Clerks


Job Location:  Baytown, TX 77520


Hours/Week:  40

Education and Experience

• Years of Experience:  5+

• Education:  High School/G.E.D

Starting Salary:  $ 35000-42000/Year


Tasks:

• Operate computers programmed with accounting software to record, store, and analyze information.
• Check figures, postings, and documents for correct entry, mathematical accuracy, and proper codes.
• Classify, record, and summarize numerical and financial data to compile and keep financial records, using journals and ledgers or computers.
• Debit, credit, and total accounts on computer spreadsheets and databases, using specialized accounting software.
• Operate 10-key calculators, typewriters, and copy machines to perform calculations and produce documents.
• Receive, record, and bank cash, checks, and vouchers.
• Comply with federal, state, and company policies, procedures, and regulations.
• Compile statistical, financial, accounting or auditing reports and tables pertaining to such matters as cash receipts, expenditures, accounts payable and receivable, and profits and losses.
• Code documents according to company procedures.
• Reconcile or note and report discrepancies found in records.
• Access computerized financial information to answer general questions as well as those related to specific accounts.
• Match order forms with invoices, and record the necessary information.
• Perform general office duties such as filing, answering telephones, and handling routine correspondence.

Work Context

Requires sitting, Requires using hands to handle, control, or feel objects, tools or controls,Requires repetitive movement, Requires contact with others (face-to-face, by telephone, or otherwise), Requires face-to-face discussions with individuals or teams, Requires writing letters and memos, Requires telephone conversations, Requires use of electronic mail,Includes conflict situations, Requires making decisions that affect other people, the financial resources, and/or the image and reputation of the organization, Opportunity to make decisions without supervision, Requires making decisions that impact the results of co-workers, clients or the company, Requires repeating the same physical activities or mental activities over and over, Freedom to determine tasks, priorities, and goals, Requires being exact or highly accurate, Requires meeting strict deadlines, Requires work with others in a group or team, Requires work with external customers or the public, Requires working indoors in environmentally controlled conditions

Work Activities:

• Evaluating Information to Determine Compliance with Standards
• Organizing, Planning, and Prioritizing Work
• Establishing and Maintaining Interpersonal Relationships
• Documenting/Recording Information
• Communicating with Supervisors, Peers, or Subordinates
• Updating and Using Relevant Knowledge
• Identifying Objects, Actions, and Events
• Performing Administrative Activities
• Processing Information
• Monitor Processes, Materials, or Surroundings
• Analyzing Data or Information
• Making Decisions and Solving Problems
• Getting Information
• Interacting With Computers
• use spreadsheet software
• enter timesheet information
• maintain inventory of office forms
• sort books, publications, or other items
• compute taxes
• prepare bank deposits
• prepare financial reports
• reconcile or balance financial records
• prepare reports
• use accounting or bookkeeping software
• prepare billing statements
• complete patient bills
• process invoices
• compute financial data
• use computers to enter, access or retrieve data
• perform clerical duties including typing, accepting orders, or sorting mail
• detect discrepancies on records or reports
• examine documents for completeness, accuracy, or conformance to standards
• maintain balance sheets
• compile data for financial reports
• process account invoices
• maintain records, reports, or files
• fill out business or government forms
• use word processing or desktop publishing software
• take messages
• fill out purchase requisitions
• process payroll documents, records, or checks
• prepare tax reports

Basic Skills:

• Active Learning
• Active Listening
• Critical Thinking
• Learning Strategies
• Mathematics
• Monitoring
• Reading Comprehension
• Science
• Speaking
• Writing

Social Skills:

• Coordination
• Instructing
• Negotiation
• Service Orientation
• Social Perceptiveness

Complex Problem Solving Skills:

• Complex Problem Solving

Technical Skills:

• Troubleshooting

Systems Skills:

• Judgment and Decision Making

Resource Management Skills:

• Management of Financial Resources
• Time Management

Desktop Computer Skills:

• Spreadsheets
• Internet
• Navigation
• Word Processing
• Databases

KnowledgeRequired:

• Clerical
• Computers and Electronics
• Customer and Personal Service
• Economics and Accounting
• English Language
• Mathematics

Tools:

• Calculators or accessories
• 10-key calculator
  financial calculators
  Desktop computers
  Ledger paper
• Ledger sheets
  Notebook computers
• Notebook computers
  Receipts or receipt books
• Receipt books

Technology:

• Accounting software
• Accounts payable software
• accounting software
  

Specific Tools & Technology:

• QuickBooks Mandatory

To Apply Online: http://www.alphaomegaws.com/current-job-opening.html

To Apply in Person:
911 S. 8th Street
La Porte, TX 77571
Google Map Directions:
http://goo.gl/maps/0N9Ow

BW James Certified Public Accountants founder chosen to attend RootWorks Academy

The exclusive premier membership-based education organization has chosen the founder of BW James Certified Public Accountants , Barry W. James, to attend the Spring Academy Conference held in Denver, Colorado June 19-20, 2013.  The Academy Level that Mr. James is a member of is limited to 100 firms throughout the United States and subject to territorial limits.

Rootworks Academy will hosts a full slate of exclusive events and forums throughout the year offering highly charged onsite forum for peer-to-peer information exchange and presentations by industry experts.  Attendees will be residing at the Cherry Creek Denver luxury hotel close to downtown Denver, Colorado. Qualifications to attend the conference is highly competitive based on firms ability to deliver new technologies, client accounting online, paperless tax processing, and practice management.  Academy members will participate in round table discussions coming away with best-practices to provide for their clients.

Barry W. James, CPA is a native of Baytown, Texas just outside of Houston.  He has practice financial planning, estate planning, and public accounting for over 30 years.  Beginning in 1982 when he earned his Bachelor of Science degree from the University of Houston at Clear Lake, Barry began his professional journey by joining a local Baytown accounting firm. After a few years and the recognition of attaining his Certified Public Accountant Certificate in 1987,  Barry transitioned to the next level by opening what has become one of the leading locally-owned and operated CPA firms in the Houston, Baytown,  and Clear Lake area; providing exceptional tax and accounting services to a diversified client base.   Today the firm has grown to include 2 other CPA’s and 3 support staff as they continue to offer leading edge accounting and tax service to a diversified client base throughout the United States in a small boutique  practice setting.

BW James Certified Public Accountants is located just outside of Houston at 721 E. Texas Ave. in Baytown, Texas.  Barry W. James and his team of tax and financial professionals can be reached by calling 281.420.1040 or visiting https://www.bwjames.com.