New Rules on Part-Time Employee 401(k) Plan Participation Starting January 1, 2024
The IRS issued proposed regulations on long-term, part-time employees' eligibility to participate in 401(k) plans.
2024 Inflation Adjustments
On November 9, 2023, the IRS issued Revenue Procedure 2023-34, announcing the 2024 inflation-adjusted amounts for various tax items.
Social Security Changes
The Social Security Administration (SSA) announced that the maximum earnings subject to Social Security tax will increase from $160,200 to $168,600 in 2024 (an increase of $8,400). The maximum Social Security employer contribution will increase by $520.80 in 2024.
IRS suspends processing of ERTC claims
In the face of a flood of illegitimate claims for the Employee Retention Tax Credit (ERTC), the IRS has imposed an immediate moratorium through at least the end of 2023 on processing new claims for the credit.
Before Your Nonprofit Celebrates That New Grant ...
Most not-for-profits believe they cannot afford to turn down offers of financial support. At the same time, such organizations should not blindly accept funding simply because it is offered. Some grants may come with excessive administrative burdens, cost inefficiencies and lost opportunities.
IRS Announces Transition Period for Mandatory Roth Catch Up Contributions
On August 25, 2023, the IRS announced in Notice 2023-62 that higher-income participants in 401(k) and similar retirement plans have been given a two-year delay on the new requirement that they must designate their catch-up contributions to those plans as after-tax Roth contributions.
IRS Provides Transitional Relief for RMDs and Inherited IRAs
The IRS has issued new guidance providing transitional relief related to recent legislative changes to the age at which taxpayers must begin taking required minimum distributions (RMDs) from retirement accounts.
FASB Issues Guidance on Common Control Leases
The Financial Accounting Standards Board has issued Accounting Standards Update 2023-01 - Leases (Topic 842).
Operating Reserves Can Help Cushion Financial Blows
First the COVID-19 pandemic wreaked havoc on nonprofit organizations' finances and operations. Now, many organizations are worried about how high inflation and a possible recession might interfere with plans.
Warning: Going concern opinions reach all-time high
After trending downward prior to the pandemic, going concern opinions increased substantially in fiscal year 2021. This article reviews the going concern assumption and the responsibility to identify "substantial doubt" about a company's ability to operate as a going concern over the next year.
A Financial Dashboard Can Take Your Nonprofit Where It Wants to Go
Does your board have a quick and easy way to assess your nonprofit's financial performance? It does if it has a dashboard with carefully chosen and up-to-date key performance indicators ("KPIs").
SECURE Act 2.0 Increases Age for Required Minimum Distributions
The SECURE 2.0 Act of 2022 is designed to build upon the provisions of the original SECURE Act to expand participation and boost retirement savings.
2023 Tax Calendar
To help you make sure you do not miss any important 2023 deadlines, here is a summary of when various tax-related forms, payments and other actions are due.
IRS Releases PCORI Fees
he IRS released the new Affordable Care Act's (ACA) Patient-Centered Outcomes Research Institute (PCORI) fee for plan years that end on or after October 1, 2022, and before October 1, 2023 (see IRS Notice 2022-59).
New Determination Letter Program for 403(b) Plans
In November 2022, the IRS announced, in Revenue Procedure 2022-40, the expansion of one of their programs for approving retirement plans.
IRS Reminds Employers and Self-Employed Individuals About Deferred Social Security Tax Payment Deadline
The IRS reminded employers and self-employed individuals who chose to defer paying part of their 2020 Social Security tax liability that their second annual installment of the deferred amount is due on December 31, 2022.
401(k) limit increases to $22,500 for 2023 IRA limit rises to $6,500
The Internal Revenue Service announced today that the amount individuals can contribute to their 401(k) plans in 2023 has increased to $22,500, up from $20,500 for 2022.
IRS Announces Inflation Adjustments for 2023
On October 18, 2022, the IRS released various inflation adjusted amounts for 2023.
2023 Social Security Wage Cap Jumps
On October 13, 2022, the Social Security Administration announced the 2023 wage cap for purposes of the Social Security tax.