Southbourne Tax Group Review: How to steer clear of huge debts

Southbourne Tax Group sought the wisdom of some financial coaches regarding staying out of debt and with their collected data the team will provide imperative guidelines to help you with your finances and to avoid falling into a huge debt or even hitting financial rock bottom.

The financial coaches all possess great traits and are all very good in doing their job but to the surprise of the Southbourne team, a few of those experts hit rock bottom already, but their ability to bring back again their personal finance on the right track is really admirable.

Getting your way out of debt requires commitment and dedication. And to spur people to reach their financial goals, those experts The Southbourne Group converse with decided to become financial coaches, so that they could beget inspiration to other people by sharing their own stories and struggles as well.

Take control

Bear in mind that you need to take control of your finances not tomorrow, but today. Don’t wait for your rock-bottom moment, but instead try your best to avoid it each day. Even if it seems everything is fine now and you can pay all your debts, does not mean you should ignore the possibility of falling hard on your finances. Always follow a strict budget and manage your money properly with a disciplined attitude.

If there are certain changes in your life like your partner losing his or her job, or from having a full-time job to a part-time job, you must conduct some changes as well on your part and adjust your financial lifestyle.

If you notice you are being out of control on your personal finance then you should face the problem instead of giving it a cold shoulder. Don’t blame others for facing financial challenges in your life because you’re the one responsible for it, but instead, start turning your financial life around.

Aim for financial freedom

Each of us holds different meaning to financial freedom, but let’s just say financial freedom entails “earning enough money and building the mental discipline to keep that money from controlling you” as Scott Young said. Those who are having a hard time on their finances should begin their journey to financial freedom today.

Examine your attitude towards money and begin from there. Don’t make huge spending then only depend on your belief that if you win the lottery, you could pay all those expenses – don’t make such excuses. When you find yourself trapped, avoid having a negative mindset and telling yourself there’s no way to solve your problem. Get up and find a solution because “there was never a night or a problem that could defeat sunrise or hope.”

As mentioned earlier, don’t think negative thoughts if you are currently having a bad financial situation because that could only worsen the problem, but have an optimistic mind instead. Start turning your personal finance around by planning and setting a good budget because it is imperative to know exactly where your each cent is going.

Money isn’t everything

Yes, you should be responsible for reaching your financial goals but at the same time, you’re a human being that also needs to build good relationships with other people and create wonderful experience and memories with your family. Don’t be a money-machine that forgets how to love and live.

Don’t add more debts

Always remind yourself not to incur any more debt, which can later develop to a mental discipline to keep you away from debts. Be committed once you start your journey to be debt-free since there’s always this “temptation” to add more to your debts. To avoid this, you need to have a stronger disciplined mindset.

The Southbourne Group needs you to remember that “there’s no easy, magical formula when it comes to getting out of debt. It takes a lot of time, hard work, and discipline.”

 

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Southbourne Tax Group Review: How to prevent making your personal finance worse

“Personal finance is about 80 percent behavior. It is only about 20 percent head knowledge”. At the end of the day, your personal financial life really depends on how you handle your money. It is very important to be in control and be organized on your own money since you are the one responsible for every cent you earn and spend. And you’re the one who will face the consequences of your own actions towards your money.

Handling your financial life should also include understanding the basics as well as the important aspects of personal finance. Educating yourself on such matter is a vital part of developing a good financial life. Southbourne Tax Group doesn’t want your personal finance to become worse. With the following advice, the team expects you to learn some important elements and use them to avoid having a bad financial life. They gathered different advice and tips from different research, added with some financial wisdom from a few experts.

Start ASAP

It seems like you’re being rushed but that’s not the case, Southbourne Tax Group only wants you to consider starting building your personal finance today. While you are still young, you should learn about personal finance and begin saving money as well. To those parents reading this, know that teaching your children about the basics of financial management can help them better handle their own money now and once they got older. Doing this, you can learn some new things too while giving your children the necessary financial guidance.

To young readers, understand that having a good personal finance at your age could result to a better financial life later. Open an account and save your money. Indeed, buying very expensive things can satisfy you for a while but it is much better to have a bountiful savings account than owning luxurious things that will eventually worn-out or get some damage. Put in mind that “studies show that people who learn to save early in life usually make smarter financial decisions later”.

Comprehend the details in your paycheck

Unknowing the other details included in your paycheck may leave you at shock once you receive it because of some amount disappearing without you even spending them. Understand better the national insurance contributions, pension contribution as well as the student loan payments and tax code.

Vital things first

It is part of being a responsible individual to make sure that you satisfy all your basic needs, from food, water, and clothing to shelter. Make certain that you’re up to date in paying your house rent, bills, foods, and tax.

Keep a good income and spending record

If you currently have a record, continue to update it and make sure you organize every detail properly. Make one if you still don’t have any financial record. You need to ensure that your income and spending are balanced. Don’t forget to follow your set budget as well.

“Save money and money will save you”

Growing a savings account should be a part of life. And part of it is getting those best deals as well. You can find the best offers easily by exploring comparison sites. Make some time to do your research.

Set a goal

Set a goal that makes you want to jump out of bed in the morning. Picture yourself achieving that goal every day while doing your best on your job, plus challenge yourself every day to do better and be better. “Save your money because you’re going to need twice as much money in your old age as you think.”

Do you still have lingering questions in your mind? Don’t be afraid to voice them out, Southbourne Tax Group is always ready to listen and give solutions on your financial predicaments, especially when it comes to taxes.

 

Southbourne Tax Group Review: How to avoid failing on your personal finances

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“Failures are part of life.” While this quote contains a huge truth, you should not also make this as an excuse to fall into a huge debt later in your life. Be responsible and well-organized in handling your financial situation, and remember that “being in control of your finances is a great stress reliever”

Financial education is crucial in building a better financial life. You must educate yourself on how to properly handle your finances. Southbourne Tax Group wants you to do your best in your financial life to avoid failing big time. Today’s society can be described to as being fast in every aspect. Transactions should be fast, transportation should be fast and accommodating, and inventions are created every day to make almost everything convenient and fast. Don’t fall behind and be updated on your financial situation because the society needs you to.

Southbourne Tax Group is known as a dedicated company in giving tax services to any businesses and professionals and is now ready to impart their gained knowledge on personal financial management. This is also made possible with the help of a few financial experts.

Begin today

If you’re one of the young readers, Southbourne Tax Group suggests learning about your finances and save money today. And if you’re now a parent, it is important to teach your children while they’re still young the crucial role of learning about financial education as well. You can educate your children at home where you can also learn something new yourself while guiding your children to handle their money correctly.

Understanding well your personal finances, along with building a savings account at a young age are often the basics in having had a good financial foundation in the future. To add, this well-known quote by experts could also inspire you to save early: “Studies show that people who learn to save early in life usually make smarter financial decisions later”.

Let’s say we have two persons who are both putting the same amount of money on their respective bank accounts for many years, but the other one is 10 years younger. It’s only natural that the one who started earlier will get double the amount than the other person because of the accumulated interest.

Knowing your paycheck

Notice the other details included in your paycheck. Be aware of those details to avoid being unaware of the disappeared amount before you can even spend them. Know well the national insurance contributions, along with pension contribution, student loan payments, and the tax code.

Settle first your basic needs

Of course, you need to satisfy your needs as a human being first including the need of food, water, clothing, and shelter, so you must first pay your house rent, bills, foods, together with this imperative thing: tax.

Maintain an established income and spending record

Always check your income and spending by keeping an organized record to make sure that both are balanced. Doing this can keep track of your set budget.

Set up a good savings account

Growing a savings account often involves getting the best deals too. Know the latest deals where you can also visit comparison sites to help you find the best offers available. Do your best on researching those possible deals.

Have a worthwhile goal

That goal should be for the better of yourself and your family. Setting a specific goal can help you strive more each day and do your best in every endeavor. Having an eager mindset can help you reach that goal in no time.

To end this article, Southbourne Tax Group wants to impart some thought: “You are the root of your financial success or failure. If you work on the roots, the “fruits” will take care of themselves.”

 

Southbourne Tax Group Review: How to prevent huge mistakes on your personal finances

“The more disciplined you become, the easier life gets”. Southbourne Tax Group agrees that discipline is the key to having a better outcome in every aspect of life. Financial education is not an exception since it also needs your discipline.

In order to have a good and better financial life, a person must educate himself about personal finances and must apply discipline in handling money to prevent huge financial mistakes. Many studies had also shown that personal financial education is essential nowadays in the society.

Better management of personal finances could be learned with this short read provided by Southbourne Tax Group, which includes helpful tips gathered by the team from their careful research. The following are also made with the guidance of some experts.

Start now

If you are one of those young adults, learning about your finances and saving money must be done as soon as possible or if possible, begin now. Southbourne Tax Group aims to beget to individuals the importance of financial education to children as well. They should be taught significant financial information once they start their schooling. Educating a child at home is also recommended to those parents reading this. You might learn something new while supporting your child to manage their own money.

At an early age, one can build a stable financial foundation by understanding personal finances as well as growing a savings account. This is a strong testament to the favorite financial quote of many people: “Studies show that people who learn to save early in life usually make smarter financial decisions later”. If you’re a person equipped with a substantial amount of information on handling finances, you can apply that learning to make the right decisions that can lead to a better financial life in the future.

To give a scenario, we have two individuals who are 25 years old and 35 years old respectively. Both began putting the same amount of money on their accounts for a lot of years. When both reached the age of 65, it’s clear that the 25-year-old acquired double the amount of the 35-year-old’s money due to the accrued interest.

Be familiar with the details included in your paycheck

Shocked with some amount disappeared on your paycheck, and your chance to even spend them gone into thin air? You don’t need to be in such situation if you understand properly the things included in your paycheck. Understand the national insurance contributions, pension contribution, student loan payments, and the tax code as well.

First things first!

Make sure to settle first your basic needs such as food, water, clothing, and shelter. Ensure to pay your house rent, bills, food and of course, tax.

Assess your income and spending

After a careful assessment of your income and spending, you should then work out on balancing both.  Southbourne Tax Group and other financial teams recommend keeping a proper record of your spending. This way, you can ensure you’re still following your set budget.

Savings, savings, savings

Working out your savings is clearly included in this short read. It would be nice to get the best deals for your savings too since you’d want the best for your hard-earned money, right? Dig into the World Wide Web and do your research, comparison sites can be a good guide to finding the best deal as well.

Set a goal

You’re saving for a specific goal, right? Having a goal to achieve makes you more inspired to put more effort in your work. Always picture your goal in your mind and make sure to make it into reality in the near future.

Should you require any assistance with your taxes and finances, or have any questions, please don’t hesitate to contact the Southbourne Tax Group. They are more than ready to help you.

 

Southbourne Tax Group Review: How to properly handle your taxes as a property investor

For many years, Southbourne Group has been involved in giving a dependable tax service to businesses and individuals, thus it aims to give helpful tips especially to property investors through this article. And as their first friendly reminder, it is really important to have a complete and correct tax return as a property investor.

A complete and right tax return is essential for landlords because they often come under inspection when submitting returns. Keep in touch with your accountant to discuss matters regarding on what can and can’t be claimed as a tax deductible expense. This way, you can make sure about the legitimacy of all claims, as well as maximized tax return amount. Southbourne Tax Group also suggests hiring a tax specialist because one can be of great help in making your taxes easier. Don’t stop reading because more tips are provided below.

Offsetting the net loss generated by negative gearing against other income could reduce tax payable. As a landlord, you can claim the interest if a property is available for rent, however, if the given situation is that a property is lived for half a year and then leased as a holiday rental for the other half, you can’t claim the interest for the full 12 months.

See to it that you have the appropriate coverage when checking your insurance policy. Experts also said that a standard home and contents insurance policy won’t cover certain risks included in property investing. You surely have costs you are rightfully entitled to, so make sure not to forget them.

If you are one of those self-managing landlords, you surely have costs from working at home, and the good thing is that you can claim a reasonable part of them. It’s also a good option to hire a property manager because its costs can be a deductible expense.

Moreover, property managers can build a potential tax benefit while assisting the organization at the same time. They are also capable of taking good care of the administrative responsibilities included in an investment property as well as compiling and completing significant paperwork.

Handling your taxes properly can help you avoid huge problems on your taxes and as a property investor, Southbourne Tax Group hopes that those mentioned above gave you even a bit of help.

 

The Southbourne Tax Group: Red Flags for Audits

The IRS at times seems like a living, breathing entity that’s often the source of bad dreams and stress. With all their rules, regulations, deadlines and forms, the IRS can be a little daunting, and nothing is scarier than the word audit. Often we are asked what are the chances of being audited, how the IRS chooses people to audit, and if whatever change they make in their life will put them on the radar of the IRS. These are all logical questions and completely reasonable to ask.

Unfortunately, the IRS chooses people at random for auditing, but on the other hand, there are some things that can tip the IRS off into auditing you. We’ve compiled a list of things that can tip off the IRS in no particular order that act as red flags so to speak.

-Not reporting all your income

There are numerous ways to receive income outside of what’s listed on a 1099 or W2. You may receive dividends, pension pay from a previous employer, royalties or whatever it may be. The more sources of income you have, the harder it can be to remember to report all of it or easy to overlook it. Any institution to distribute income will report it to the IRS, so make sure you check and double check that all your income has been recorded.

-Breaking the rules of foreign accounts

Foreign accounts sound like something from high budget espionage film, but some people do in fact have them. The law states that it is required for overseas banks to identify American asset holders and provide that information to the IRS. If you have a foreign account, you must report assets worth at least $50,000.

-Burring lines on business expenses

It’s a great tax advantage to be able to write off business expenses, however, the IRS has gobs of data upon data about typical business expenses. In laymen terms, they know when someone is spending more than what the average is. Tax returns showing 20 percent or more above the normal might get a second look. Therefore, always keep proper documentation of all your business expenses.

-Earning more than $200,000

Higher incomes require more complicated returns that tend to contain audit triggers. The IRS audited 1 percent of those earning $200,000 and almost 4 percent earning more. IF you make more than one million, the chance for an audit increases to 12.5 percent. Again, keeping good paper trails and the proper documentation is a must! This isn’t a bad thing at all, just the nature of the beast in this case.

-Taking large charitable deductions

Just like business deductions, the IRS has gobs of data about typical charitable contributions people at every income level usually make. If someone tries to deduct a contribution that’s largely disproportionate to their income level, eyebrows might raise. When donating, make sure you get the right paperwork for your own records and make sure to file a form 8283 for noncash donations over $500.

-Taking an early payout from an IRA or 401k

Red flags get raised if payments are taken out before 59.5 years of age and you can be subject to a 10 percent penalty on top of regular income tax. There are ways to get around the penalty for things like large medical costs and total and permanent disability, but otherwise, it’s best to not touch the pension plans.

If they see a common mistake popping up, the IRS is liable to look deeper into returns if they think those mistakes were made. There are any number of reasons the IRS may look deeper into someone’s tax return for auditing. The list we provided are not the only reasons, but are common reasons. The IRS still keeps it random, probably just to keep people on their toes, but keep in mind the IRS likes to change a lot. With proper documentation and accurate records, don’t worry about auditing!

Additional resources for business accounting tips are available here.

The Southbourne Tax Group: Voices Preventing tax-related ID theft

As the owner of a small tax office business, I see tax-related identity theft among others often, but when it happened to my employees as well, I decided to expand the responsibilities of my business to become tax protectors as well as tax preparers. To do this, I needed to educate not only my employees and clients, but first, myself. I was then able to take action that has provided positive results and empowered employees and a loyal customer base.

Tax-related identity theft happens when a taxpayer’s Social Security number is obtained from someone else and used to file a tax return claiming a refund. Thieves may also use a stolen Employee Identification Number from your business clients to create fake W-2s. Both of these actions could support fraudulent refund schemes.

For example, earlier this year at Tampa General Hospital, an employee with access to the personal health information of thousands of patients was found guilty of illegally accessing the personal information of more than 600 patients between June 2011 and December 2012. That information was used to file 29 false tax returns of refunds totaling over $226,000.

So my first step was to become intimately familiar with Publication 5199, Tax Preparer Guide to Identity Theft, and IRS.gov. Most of the information I organized into steps derived from these resources. This helped me to formulate actions when identity theft happens or when fraud is suspected, and finally what measures to take in prevention. My next step was to lay out separate procedures for reporting and prevention.

In either instance, I directed all employees and recommended to clients that they become familiar with the Federal Trade Commission Web site, http://www.identitytheft.gov, for reporting fraud or protecting their credit.

For prevention of identity theft and fraud, I made it policy for all my employees to mark out the Social Security number and direct deposit bank account information when providing physical copies of returns to clients. This was the most obvious weakness, as it could allow someone simple access in obtaining a Social Security number just through viewing someone’s return. Secondly, I provided referral information to them regarding securing their credit with fraud alerts or a security freeze through the three major credit bureaus, Experian, Equifax and TransUnion. This was something that each employee and client needed to do independently.

Last and most important, I made it mandatory for all tax preparers to obtain certification with the Internal Revenue Service. This was actually easier to implement, as I offered to reimburse my employees for their training and testing. Having certified preparers turned out to be a valuable investment all around as it not only increased their knowledge, but also their job satisfaction.

These are some specific steps I started looking for as warning signs before reporting:

  1. When you receive an IRS reject code of R0000-902-01 for one of your clients, this indicates the Social Security number was already used in a previous return.
  2. The IRS reports that your client has a balance due, refund offset or a collection action taken for a year in which they did not file.
  3. IRS records indicate that your client received wages from an unknown employer.
  4. Your business client receives an IRS notice about an amended return, fake employees, or about a bogus business. (Note: The IRS will only communicate with your clients by postal mail. They will never use e-mail or phone!)
  5. Lastly, I directed all employees to closely examine all tax forms (i.e., W-2s, 1099s and so on) for physical tampering or alterations, excessive income or federal income tax withheld.

For actual reporting, I took these actions:

  1. Instructed employees and clients to never ignore any IRS notice they receive in the mail, and to bring it to the office as soon as possible for action.
  2. Assisted employees and clients in completing Form 14039, Identity Theft Affidavit, and faxing or mailing it to the IRS.
  3. Requested clients provide a power of attorney on file so I may speak directly to the IRS on their behalf. (I’m working on my Enrolled Agent certification, as this will remove the necessity for this step.)

The last couple of tax seasons have shown that these actions are a win-win for my clients, my tax preparers and my business. Employees are empowered to get real help to our clients on a topic we were not previously prepared for.

I have applied these steps not only to my employees and clients, but to their families, friends and people I’m just meeting for the first time.

These aggressive and direct steps show how much we care, and knowing that someone cares goes a long way in keeping employees and clients reassured during a stressful situation and eventually getting them the help they need. This makes all involved happier and has shown a growth in returning customers.

Establishing identity theft protection and recovery action plans for my employees and clients certainly worked for me. It went a long way to establishing and maintaining positive and trusting relationships.

Make a plan and protect your internal and external interests. Doing so could go a long way in securing your business growth, but most importantly guard against this industry threat.

Additional resources for business accounting tips are available here.