If you have sold items online this year and/or received money through an Ap such as Venmo or Cash Ap, you may receive a 1099-K form. The federal threshold for these types of sales in tax year 2024 is $5000 and will reduce each year until it reaches $600 in 2026. The income that these forms represent may be from online clothing sales, tickets sales, or even gig jobs. The IRS is making an effort to collect taxes from workers or online businesses who do not traditionally report their income. This article stresses that personal payments between friends and reimbursements are not taxable. If you feel you’ve received a 1099-K in error, there is a place on your 2024 tax forms to report the money as not income. Read more here: Did You Sell Concert Tickets or Clothes? You May Owe Taxes.
Small Things Add Up
Are you aware of the offers your bank gives for certain types of accounts? Do you know how much interest your regular or high-yield accounts pay? Have you ever felt confused by the information you bank sent about interest or ways to save?
These questions and more are currently at the forefront of the banking industry and have brought to light certain practices that institutions may be using to mislead their clients. Capital One was sued by the consumer bureau over advertising meant to deceive customers.
The article advises consumers to be diligent and pay close attention to “deals” when they come from their banks. These could help your money earn more. Read Here: Why Banks May Be Hoping You’re Not Paying Attention
Preparing to File Your Taxes
What are your tax prep best practices?
With the start of a new year, many begin thinking about filing taxes. The IRS offers simple tips and best practices for getting all of your paperwork in order to make the process go smoothly. This article is especially helpful for those who worry they may not be paying enough and want to take advantage of available deductibles. Read more here: Be ready to file taxes next year
New Ways To Save
As we enter the season of gift giving, it’s time to watch budgets even closer. Explore these sites recommended by ThePennyHoarder.com, The Dumbest Things We Keep Spending Too Much Money On, to save on your monthly bills and other needed household items such as:
Car Insurance
Amazon
Credit Card Interest
High Speed Internet
Movies and More
Leave yourself more money for the fun things in life during the holidays.
Commission Rules Have Changed
If you are entering the market for a home, some rules about realtor commissions have changed. Now sellers and buyers will both be responsible for these payments after the decision in a case brought against the National Association of Realtors. They will no longer be able to mandate the seller’s agent make an offer of monies to the buyer’s agent, or set any kind of industrywide standard commissions. Debra Kamin for the New York Times offers best practices for buyers and sellers as these new rules come into play. Buying or Selling a Home? The Rules Have Changed.
Too many calls and texts?
It’s a new era for homebuyers applying for a mortgage. In what’s known as a “trigger lead,” consumers may receive 60 to 100 phone calls and texts soon after their credit is pulled for mortgage approval. The idea behind credit bureaus selling this information to lenders was to give homebuyers options, but the market has become over burdened with disreputable and deceptive lenders. This deluge of contact has become such an issue with consumers that there is pending legislation to prevent trigger leads.
Read more here: The trigger effect: Homebuyers face another challenge when applying for a mortgage
Help For Women’s Retirement
Eighty-six percent of women hope to achieve security in retirement but the statistics show that only about 33% of them will. Poverty often hits women harder in retirement. In 2021, AARP and the Ad Council came together to create a new campaign, “We Say Save It,” to help women better plan for retirement living. The article, AARP, Ad Council Team Up to Boost Women’s Retirement Savings talks about the reasons why women suffer monetarily after quitting work and directs readers to the, WeSaySaveIt.org official site that offers women detailed information on retirement savings and ways to make your money work best for you.
Do You Still Use Paper Checks?
When was the last time you wrote a check? Paper checks may seem like a dated form of payment and can cost companies up to $1 to process, but there are still merchants and organizations who receive almost a quarter of their money via check. Ron Lieber for the New York Times explores our cultural relationship with checks and why they will most likely be around for some time to come in, Why Paper Checks Refuse to Die, click to read more.
Accountants vs Clients
Ever have trouble getting your clients to pay? Are they frustrated by the cost and what they perceive as your work for them? What value does your effort bring to your clients? Joe Woodward explores these questions for Account Today podcasts and thinks that maybe it’s the accountants who need to change their thinking and business model. Listen Here. (Photo courtesy of USplash.)
Six Day Work Week?
How would you feel about a six day work week? The six day work week is the latest corporate world idea to increase revenue. As many companies institute on-site requirements, some are considering added work hours and days per week. This may be a viable practice from a business financial standpoint but it leaves employees who are already feeling the stress of increased work demands following the pandemic, and struggling to find a work/life balance in a more precarious position.