• Twitter
  • Facebook
  • Instagram
  • Log In
  • Log Out
Call us now: (305) 424-2188
Magnitax.com
  • Home
  • Services
  • About
    • The Firm
    • Our Accountants
  • News
  • FAQ
  • Get in touch
  • Paycheck Protection Program
    • PPP – Document Requirements
    • PPP – Frequently Asked Questions
  • Search
  • Menu Menu
Tax and Accounting

What are some tax strategies for small businesses filing taxes in 2020?

Some tax strategies for small businesses filing taxes in 2020

Part three in this series, I break down some of the tax planning strategies that are available to you depend on so many factors. The few strategies I will cover in this post today include:

  • Retirement
  • Investments
  • Healthcare
  • Family (Children’s Education)

Retirement or should we call it something else?

Retirement is a tricky conversation for most leaders of small businesses. Myself included, sometimes I neglect to invest some time away from the month to do some proper planning. This information will not be all inclusive as there are hundreds of personal finance and or wealth management firms who can give you a more detailed approach. However the following investment tools work just fine for the time being. The three products I will recommend include  the small business 401k, IRA, and Roth IRA.

 

When I speak about investments, I am specifically talking stocks, mutual funds and some insurance products. Therefore, moving forward if you see a broad term titled “investments” you know what the term is referencing.

Retirement products for startup founders and small business owners alike

401k’s for small business owners, Individual Retirement Arrangements (IRA’s) and Roth IRA’s are a great choice for those who want to personally invest in their retirement and offer it to employees.

Retirement products for startup founders and small business owners alike

Investing is important for your overall retirement strategy.

The great benefit of investing in yourself in terms of taxes is that it reduces your taxable income. The amount it reduces varies by year and when you work with Magnitax.com or your tax professional they can properly plan a strategy that is suitable to your situation.

File Taxes Now

Investments can be for your retirement or a rainy day

The stock market is very tricky for many would be investors. Some may think it is analogous to the State lottery but that is far from the truth. During this post I will not go into the origins or the pros and cons but I will say look into finding an investment company that suits your needs. For simplicity sake, take $1,000 and invest it for one quarter and you’ll get a good idea of how it can affect your short-term and long term needs. Many online investing companies provide content and courses on trading strategies, which will move you further down the path of competency.

How should a CEO treat healthcare with the new tax cuts and job act

Luckily for all of us who have either cashed out our 401k to become entrepreneurs or who just didn’t think about paying for healthcare can avoid the penalty! Yes, now that $695 penalty will be avoided unless something changes from the time this post is published. However, if you are lucky to not only start a business but also put money away; a Health Savings Account is a good starting point. You can use this to pay for expenses such as fillings and more and it is perfect for those who do not have a large employee plan. Great news, the limits for Health Savings Account contributions have increased; see chart below.

 [visualizer id=”9810″] 

View more data on the IRS Website

Contact Our Accountants

Your family and investing in their future education

Face it, you would not want your children or grandchildren to bear the weight of a college or postgraduate studies alone. Therefore, there are many ways to save for their post-secondary education expenses without putting a burden on them. For instance one type of investment product is a 529 college savings plan. The plans vary state to state but a good place to start in terms of how they benefit you and your tax situation would be on the IRS website.

The series continues next with, What has the tax cuts and Jobs Act done for small business owners filing taxes in 2020? Be sure to continue reading so that you are all caught up this tax season.

March 12, 2020/0 Comments/by Jean-Desir
Tags: IRS, Magnitax.com, Tax Cuts and Jobs Act, Taxes, US Tax
Share this entry
  • Share on Facebook
  • Share on Twitter
  • Share on WhatsApp
  • Share on Pinterest
  • Share on Reddit
https://www.magnitax.com/wp-content/uploads/2020/03/What-are-some-tax-strategies-for-small-businesses-filing-taxes-in-2020.png 430 1500 Jean-Desir https://www.magnitax.com/wp-content/uploads/2019/04/Magnitax.com-Accounting-Bookkeeping-Advisory.png Jean-Desir2020-03-12 08:00:572020-03-24 01:44:57What are some tax strategies for small businesses filing taxes in 2020?
You might also like
What American taxpayers need to look out for when filing taxes in 2020?
What are the basic tax definitions when filing your tax return in 2020?
what tax related tasks do i need to complete with the irs for my new llc What tax-related tasks do I need to complete with the IRS for my new LLC?
0 replies

Leave a Reply

Want to join the discussion?
Feel free to contribute!

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Recent Posts

  • SBA COVID-19 Relief Ends on June 30th 2020
  • How we are helping small businesses during the COVID-19 pandemic
  • What are some tax strategies for small businesses filing taxes in 2020?
  • What American taxpayers need to look out for when filing taxes in 2020?
  • What are the basic tax definitions when filing your tax return in 2020?





Categories





Link to: Get in touch

Any more questions? Feel free to message our team!

We love being there for small business owners like you. Feel free to contact us about your accounting needs.

MAGNITAX

Magnitax.com | Accountants & Advisors | 1101 Brickell Avenue #800, Miami, Florida 33131
Phone: (305) 874-7864| Email: info@magnitax.com
MBE Number: FL06207 | Cage Code: R234567

Located in Florida, the accounting firm of Magnitax.com, represents clients throughout Florida, including, but not limited to the cities of Miami, Fort Lauderdale, West Palm Beach, Orange County, Duval County, Hillsborough County.

DISCLAIMER

The information contained on https://www.magnitax.com website (the “Service”) is for general information purposes only.

Magnitax.com | Accountant and Advisors – Local Services. Global Reach. assumes no responsibility for errors or omissions in the contents on the Service.

more…

About | Blog | Contact | Terms | Disclaimer

© 2010 – 2020 Magnitax.com by Digital Vurv Media

What American taxpayers need to look out for when filing taxes in 2020? How we are helping small businesses during the COVID-19 pandemic How we are helping small businesses during the COVID-19 pandemic
Scroll to top

This is a notification that can be used for cookie consent or other important news. It also got a modal window now! Click "learn more" to see it!

OKLearn More

Cookie and Privacy Settings



How we use cookies

We may request cookies to be set on your device. We use cookies to let us know when you visit our websites, how you interact with us, to enrich your user experience, and to customize your relationship with our website.

Click on the different category headings to find out more. You can also change some of your preferences. Note that blocking some types of cookies may impact your experience on our websites and the services we are able to offer.

Essential Website Cookies

These cookies are strictly necessary to provide you with services available through our website and to use some of its features.

Because these cookies are strictly necessary to deliver the website, refuseing them will have impact how our site functions. You always can block or delete cookies by changing your browser settings and force blocking all cookies on this website. But this will always prompt you to accept/refuse cookies when revisiting our site.

We fully respect if you want to refuse cookies but to avoid asking you again and again kindly allow us to store a cookie for that. You are free to opt out any time or opt in for other cookies to get a better experience. If you refuse cookies we will remove all set cookies in our domain.

We provide you with a list of stored cookies on your computer in our domain so you can check what we stored. Due to security reasons we are not able to show or modify cookies from other domains. You can check these in your browser security settings.

Google Analytics Cookies

These cookies collect information that is used either in aggregate form to help us understand how our website is being used or how effective our marketing campaigns are, or to help us customize our website and application for you in order to enhance your experience.

If you do not want that we track your visit to our site you can disable tracking in your browser here:

Other external services

We also use different external services like Google Webfonts, Google Maps, and external Video providers. Since these providers may collect personal data like your IP address we allow you to block them here. Please be aware that this might heavily reduce the functionality and appearance of our site. Changes will take effect once you reload the page.

Google Webfont Settings:

Google Map Settings:

Google reCaptcha Settings:

Vimeo and Youtube video embeds:

Other cookies

The following cookies are also needed - You can choose if you want to allow them: