The end of October is here!
Now is the time to implement your tax plan or if you don't have a tax plan, now is the time to make one.
A tax plan can be very complicated depending on the type of business you have. Work with your financial professional to develop one
You have to have your books up to date with accurate data for this to work, but once you have it then its time to run your projections for the end of the year.
Estimate your net income for the end of the year
State tax - 8.84%
Federal - 21%
Non-Corporations - pass through entities
State Franchise Tax - 1.5% (minimum of $900.00)
State Personal Tax Rate - State Bracket
Federal Personal Tax Rate - Federal Bracket
Your tax advisor/ financial professional will understand how to read these brackets and develop that plan for reducing your tax liability and setting your business up for greater success in the following year.
--- Fail to Plan, Plan to Fail ---
You may be thinking, "I could figure this out for myself" STOP THAT! you are a business owner! Hire the team that can run things better than you. You do not need to be the jack of all trades, you job as the business owner is to find the right people for the job.
You need to utilize your time into running the business and developing more business. When you don't know how to make something for you business, you do not need to spend days learning how read complex data structures. You need to hire the professional who can read it like a children's book and then give you real information you need.
When you have the right people in the right job, your business is ready to sky rocket. As the owner you should be finding ways to grow your business and leave it to your team to maintain it.
Your job as the owner to is to work with the people and professionals who can help you develop your business.