New 1099 Filing: Are Your Clients Prepared?

With the newly enacted health care legislation, year end 1099 filing requirements for the 2012 calendar year have become a new challenge for companies large and small and even some nonprofit organizations . The new law may catch some companies off guard and most certainly will increase the year-end reporting burden. The new legislation changed the requirements for filing 1099's from entities doing business and paying out funds to non-incorporated entities such as individuals, sole proprietorship's and LLCs.

Under the new law, every business that pays more than $600 to ANY business, non-incorporated and even corporations, during the course of the year, must issue a 1099 to that entity. For example, do you spend more than $600 at Sam's Club or Costco? You're required to issue a 1099. Spend more than $600 through CDW or Dell?  Same thing - 1099.  As you can see, this filing requirement can be anywhere in the range of a headache to quite overwhelming! There have been recent calls to exempt small businesses from this requirement or to repeal this portion of the legislation altogether.  Until that happens though, companies should be prepared to file under the current law.  CFO Magazine has a good article on the new tax law changes at http://www.cfo.com/article.cfm/14518134/c.

There is still the continuing requirement to file 1099 information electronically if the business has more than 250 1099's to issue.  For small businesses, the new law may very well push them into the electronic filing requirement unprepared to do so.

If the new law is not changed, year end reporting will be very difficult for many businesses.  Make sure you take the time to discuss this issue with your clients and help them determine if their current software programs can handle the reporting requirements or, if you provide year-end information reporting, that your programs can handle the workload. Even is the law is repealed or changed, this topic makes for good conversation with your clients.

CRM and the Elusive Communications

Over my years of experience in the business world, the prevailing concern virtually every business I have had the honor to engage with has been the lack or poor communication streams within the business.

Why is that the case? Let's face it, we all like to talk, so why is communication an issue?

A thought I have is that although we like to talk, we rarely like to listen! When we listen, we are not in control...or so we think. In reality, when we sit back and listen, we control through the silence and contemplative nature of our listening. Try it sometime, you may come to realize, as I have, that listening is more powerful than talking.

As Abraham Lincoln once said, "It's better to not speak and be thought a fool than to open one's mouth and remove all doubt."

Try it for a week and see how much more you get out of a conversation.

Accpac Training

Do you find that training for your accounting and ERP system is difficult to find or not up to your expectations?

Finding a competant, certified trainer for Sage Accpac ERP is certainly not easy...but there is hope!

We have been training Sage Accpac ERP users for over 10 years. We can tailor training to suit your needs and we can offer our training in your town or offer to present the training at our location in the Chicago area.

Please contact us to discuss your training needs.

Keep a look out for training tips and tricks within this space!

Email us at: grenner23@gmail.com