Nothing screams “summer” like a cold brew or cocktail and…

Finish that sentence with the right marketing plan, events, and special touches to make the most of the 2024 summer season.

Here are some ideas to help get you started:

• If you’re bringing on the summer brew – typically a lighter 4% to 5% AC for easy drinking, pale ales, and fruit beers – have a naming contest, tasting, and launch party.
• Create an outdoor seating area. Take advantage of the local view or landscape or build a space with a summer theme where people want to come, relax, and have fun.
• Add music and entertainment. Feature local bands or create a summer playlist. Get guests moving with line dancing lessons. Have a weekly summer movie night – think Jaws, Caddyshack, and Dirty Dancing. Invite the local ice cream or hot dog truck to stop by periodically.
• Don’t forget the games – trivia, cornhole, volleyball, and more.
• Summer-up your menu. Get creative with drinks and their names. Have fun with charcuterie boards and grazing tables. Incorporate local produce into your menu. Serve drinks in small coolers and snacks in mini picnic baskets.
• Update your décor to make it feel like summer. Find what works with your brand. Explore flowers, scented candles, lighting, fun seating, misting fans, tabletop firepits with smores kits, and anything Hawaiian.
• Support local businesses. Incorporate local business products into your menu and décor. If you’re hosting contests, offer prizes from local businesses to build goodwill and a sense of community.
• Hold a fundraiser. Pick a local cause or, even better, a couple of different ones.
• Invite the dog! Whether you make it an everyday thing or a special event, allow paying customers to bring their furry friend and treat them to something on a dog-friendly menu item.
• Create a club, with free tastings, a birthday drink, and even a personalized glass that can be used for discounted drinks.
• Host a tour, pub crawl, brew festival, or scavenger hunt. Join together with other local brewers and restaurants to create an “experience” or “event.”
• Put your feelers out for local farmers markets, community tag sales, county fairs, and other summer events that may need sponsors and vendors.

As you focus on making the most of the upcoming busy season, remember, RBT CPAs can help lighten your load by handling all of your accounting, audit, advising, and tax needs. Find out how we can be Remarkably Better Together. Give us a call or drop us a line.

RBT CPAs is proud to say 100% of its work is prepared in America. Our company does not offshore work, so you always know who is handling your confidential financial information.

Under the Corporate Transparency Act (CTA), certain businesses formed or operating in the U.S. must report information about their beneficial owners – the people who own or control them – to the Department of Treasury’s Financial Crimes Enforcement Network (FinCEN). This applies to most companies, including small businesses.

While it sounds like the stuff spy movies are made of, FinCEN Beneficial Ownership Information (BOI) reporting is real and is something businesses need to take seriously.

The U.S. adopted the law to protect against money laundering and related crimes while promoting national security. The willful failure to comply or the willful attempt to provide fraudulent information can result in fines of up to $591 each day a violation continues and criminal prosecution (imprisonment for up to 2 years and/or up to a $10,000 fine).

Earlier this year, the law was challenged in the Northern District of Alabama. The court ruled it exceeds Congress’ power and can’t be enforced against the plaintiffs (Isaac Winkles and companies for which he is the beneficial owner; the National Small Business Association, and its members. This is currently under appeal. For now, any covered entity other than those named in the suit are required to comply.

So, what is beneficial ownership information (BOI)? BOI is information about individuals who directly or indirectly own or control a company.

What companies are required to report BOI? According to the U.S. Chamber of Commerce, a reporting company is any privately held company – domestic or foreign – registered to conduct business in the U.S.

There is a list of 23 entity types that are exempt from reporting, including nonprofits, government authorities, publicly traded companies, banks/credit unions, and such. If your business is not considered exempt and it is a domestic or foreign reporting company, filing requirements and deadlines apply.

A business created or registered before January 1, 2024, has until January 1, 2025, to file. Otherwise, the business must file within 90 calendar days of receipt of the company’s creation or registration if it’s before January 1, 2025. Thereafter, the filing must occur within 30 days of creation/registration.

Full details and resources are available on the FinCEN website.  Go there to file BOI information, see Frequently Asked Questions, and access resources for small businesses including a Compliance Guide.

As you take care of the many aspects of running a business – including BOI filings (if required), please remember RBT CPAs is available to meet all of your accounting, tax, audit, and advisory needs. We’ve been proudly serving municipalities, businesses, non-profits, and individuals in the Hudson Valley for over 50 years. Please don’t hesitate to give us a call and find out how we can be Remarkably Better Together.

RBT CPAs is proud to say 100% of its work is prepared in America. Our company does not offshore work, so you always know who is handling your confidential financial data.

Note: RBT CPAs is not a law firm and the information provided herein should not be taken as advice. Any questions should be directed to your legal counsel.

Artificial Intelligence – a.k.a. AI – has taken the world by storm, especially with certain apps making their way to the mainstream in the last year. World leaders are trying to figure out how to govern it. Large companies are looking for ways to maximize it. Discussions about the impact on jobs and industries – from law and accounting to teaching, medicine, marketing, and everything in between – continue. This leads to the question: What role will AI play in the brewing industry?

While images of robots serving customers may come to mind, most of the potential uses aren’t that obvious. As we began researching the topic, numerous technical terms kept coming up, prompting us to take a step back and start with some basics. AI is technology that performs cognitive functions typically associated with human intelligence. It can incorporate visual perception, speech recognition, learning, language processing, decision-making and more, and bases its output on an abundance of data. All of this comes together in smart machines and computer programs.

When it comes to brewing, I came across many stories about brewers at locations across the globe playing with AI to create new recipes; brainstorm and tweak existing recipes; and explore which brews are most likely to be a hit based on taste and consumer data. Some brewers are extending their venture into AI beyond recipes and using it for package and bottle designs, labeling, press releases, social media content, and marketing.

In numerous cases, brewers are engaging customers in the novelty of the potential role of AI in brewing by holding contests where customers get to vote on whether they like a non-AI or an AI-generated brew better; where they can give product feedback, and more. No doubt the trend of exploring the role of AI in creating brews and marketing to engage customers in the process will continue to grow.

Beyond recipes, there are AI solutions that are helping brewers with multiple locations adjust for variables like water or altitude so the final brew tastes the same no matter where it is produced. There’s a robot in Australia producing consistent foam with each pour. Systems and sensors are being used to promote quality; identify leaks and reduce waste; monitor variables that can impact quality (i.e., temperature of a shipping container and transit time); and conduct predictive maintenance to keep production moving.

Predictive analytics powered by AI help analyze data about market trends, consumer preferences, buying, and more to help brewers make informed decisions about everything from product development and pricing to marketing and sales.

When it comes to supply chain management, AI algorithms are being used to forecast demand, improve inventory management and production schedules, and cut costs. There are even AI-based tools that use data about production costs, competitors, consumer demand, and buying to create pricing strategies that can be adjusted in real-time to promote sales.

Whether you’re looking to shorten development time, hasten go-to-market time, reduce costs, increase output, promote compliance, standardize quality, boost sustainability, or strengthen marketing and sales, based on what other brewers are doing, it appears there’s a role for AI. Still, there is another side to the story…I’ll use my mom’s banana bread to illustrate the point I want to make.

Personally, if I had to choose a banana bread baked by my mother or one from a robot, I’d choose my mom’s every time. There’s just something about it being made by mom, using my grandmother’s recipe, that makes it taste better than any other banana bread out there. I don’t think this will ever change and I hope this isn’t completely lost as the role of AI in our daily lives evolves.

If you need time to learn more about AI in brewing, you can count on RBT CPAs for your accounting, tax, audit, and advisory needs. We’ve been proudly serving municipalities, businesses, non-profits, and individuals in the Hudson Valley for over 50 years. Please don’t hesitate to give us a call and find out how we can be Remarkably Better Together.

RBT CPAs is proud to say 100% of its work is prepared in America. Our company does not offshore work, so you always know who is handling your confidential financial data.

You’ve worked hard to build your wealth. Protect it by resolving to make gift and estate tax planning a priority in the New Year.

This is especially important in 2024 and 2025 since, without legislative action, the valuable Tax Cuts and Jobs Act’s (TCJA’s) gift and estate tax exemption is set to revert to pre-2018 levels starting in 2026, significantly increasing the amount of an estate subject to Federal taxes. Add to that New York’s estate tax rules and planning becomes paramount.

When the TCJA took effect on January 1, 2018, certain provisions increased the amount of assets individuals and married couples may gift annually and over a lifetime (as well as leave as part of an estate), with no federal taxes owed. Each year, exemption amounts are adjusted for inflation. For 2024:

• The annual gift exclusion limit is $18,000 (or $36,000 for a married couple) per person. You do not have to pay taxes on gifts up to the limit. Also, amounts up to the annual limit do not count toward the gift and estate tax lifetime exemption. So, let’s say you are married and have two children. You and your spouse may each gift $18,000 to each child, for a total combined gift of $36,000/child in 2024. You won’t have to pay taxes on the gift and the gift won’t apply toward your lifetime gift and estate tax exemption. (There is an exception: if you are married and your spouse is a U.S. citizen, you can gift an unlimited amount to your spouse tax-free. If your spouse is not a U.S. citizen, there is an annually adjusted limit on tax-free gifts. For 2024, that amount is $185,000.) To qualify for the annual gift exclusion, the gift must be a present interest gift.
• The gift and estate tax lifetime exemption is $13.61 million (or $27.22 million/married couple). Amounts above the lifetime exemption are taxable. Even though the exemption is scheduled to decrease starting January 1, 2026, any exemptions for 2018 through 2025 will be honored at the higher exemption amounts in effect at the time. The Federal tax law has a portability provision that provides for the unused exemption of the first spouse to die to be available to the surviving spouse if an estate tax return is filed when the first spouse passes away and the surviving spouse is a U.S. citizen.

Both the annual limit and lifetime exemption will be adjusted for inflation again at the start of 2025. Then, on January 1, 2026, the gift and estate lifetime exemption goes back to its pre-2018 level of $5 million, adjusted for inflation (so it’s expected to be in the $7 million to $8 million range). This will significantly reduce the amount of assets that can be gifted over a lifetime and passed on as part of an estate tax-free. In New York, it’s a bit more complicated.

New York does not have a gift tax; however, it does have different rules for estate taxes. Key differences include:

• An estate tax exclusion is tied to federal tax laws from 2014 and gradually indexed for inflation. For 2024, the New York estate tax exclusion amount is $6,940,000.
• However, there is a “cliff” built into the calculation. If a decedent’s taxable estate is between 100% and 105% of the exclusion amount as of the date of death, exclusion benefits phase out. There is no exclusion benefit if a taxable estate is more than 105% of the exclusion amount as of the date of death. This means New York State estate taxes are due starting with the first dollar of assets.
• Gifts made within three years of death are not excluded and are “clawed back” to be included in the calculation of New York estate taxes.
• New York does not have a portability provision and, thus, does not allow an unused exclusion amount to transfer to a surviving spouse.

There are actions New Yorkers can take to stay within the state’s exclusion amount while avoiding the “cliff” and maximize opportunities under Federal estate tax laws. If you’re interested in learning about your options, contact RBT CPA Trust, Estate and Gift Practice professionals by emailing Ita Rahilly, CPA, at irahilly@rbtcpas.com. Your RBT CPA client manager is also available to help start the discussion, in addition to handling your accounting, tax, audit, and business advisory needs. Give us a call today.

RBT CPAs is proud to say 100% of its work is prepared in America. Our company does not offshore work, so you always know who is handling your confidential financial data.

In the blink of an eye, we’re in the last quarter of 2023. Don’t blink again or you’ll miss the three months remaining in 2023 to make decisions that can impact how much you’ll pay in taxes come April. Here are a few questions to consider and possible tax deductions and credits that may help you reach your goals.

What goals did you set at the start of 2023 and how close are you to reaching them? Are there tax moves that can help you cross the finish line?

Did you have a goal to increase the number of customers you serve?

Whether you want to build awareness of the value your business delivers or offer special deals and incentives at year-end, marketing is key, and related costs are deductible. Expenses can include digital or traditional marketing, website work, professional conference attendance, business cards, marketing professionals and services, and more.

Are you trying to upgrade operations for the future?

Under Internal Revenue Code Section 179, if you buy or lease (with qualified financing) appreciable business equipment, you can deduct the full purchase price (or lease amount) from your gross income. Equipment can include office machinery, furniture, vehicles, computers, and more. The item must be new to your business, used for business purposes, and put in service the year that you take the deduction. The most you can deduct under Section 179 for 2023 is $1,160,000. There’s also an 80% first-year bonus depreciation for 2023, so you can reduce your tax liability even more.

Are you looking to operate more effectively and efficiently? Do you have or do you need any project management software, cloud storage, accounting software, or other software subscriptions?

Depending on a number of variables, you may be able to amortize the cost over three years or expense the cost under Section 179 and 168k provisions. (On a side note: Whether you’re implementing for the first time or changing software providers, it can take several weeks to get things up and running. Now is the perfect time to get started if you are looking for a January 1 go-live date. Plus, transitioning January 1 makes your accounting a lot easier.)

Are you struggling to attract or keep talent?

Bonuses and pay are 100% deductible. As for healthcare, if you pay at least 50% of the cost of coverage (a.k.a. premiums) for employees, you can deduct the cost. If you are self-employed and buy health insurance for yourself and your family, 100% of the cost is deductible. Also, If eligible, you can claim a tax credit of up to $5,000 for three years for the costs to start and administer a SEP, Simple IRA, or other qualified plan. Finally, if you plan an employee celebration, it’s 100% deductible. Plus you can claim up to $25 per employee for a gift.

Are you looking to reduce your carbon footprint and increase sustainability?

Receive a tax credit for 30% of the cost of switching to solar power. For energy efficiency improvements (i.e., install interior lighting, a new building envelope, or an HVAC or hot water system that reduce energy and power costs by at least 50%), receive a tax credit up to $5/square foot. When it comes to commercial clean vehicles, the credit can be up to $40,000 under IRC 45W.

That’s just a sampling of the questions you should be asking now. There are a lot more: Should you take a class to learn something new to help your business? Should you start that research and development project? Is it time to evaluate insurance and bank costs? Should you consider a new business structure? How can you reduce your tax liability? Is it time to update your home office? The list goes on…

If you’re interested in discussing year-end tax planning with an RBT CPAs professional, send an email to Marketing@rbtcpas.com or give us a call.

RBT CPAs is proud to say all our work is prepared in the U.S.A. – we never offshore. As a result, you get peace of mind that your operation’s financial and confidential information is handled by full-time, local staff who have met our high standards for quality, ethics, and professionalism.

NOTE! Tax laws and codes are very complex. While we’ve tried to ensure the accuracy of all the information presented herein, the actual tax laws and codes as presented on IRS.gov govern. What’s more, this article provides highlights about tax deductions and credits and should not be considered advice. Your best bet to ensure accuracy and completeness is to talk directly to a CPA.

What is it that makes a driver choose to apply to and work at one employer over another?

Find the right answers and you’ll be better to compete for and win this highly sought-after talent despite the shrinking talent pool and tight labor market.

1. Create a culture people want to be part of. Whether you have 1 driver or 100, creating a work environment that shows you value input; care about safety; respect individuals; uphold high ethical standards; recognize employees; and more can earn your business a reputation as a place people want to work for.
2. Offer competitive wages. Go onto any job board and search for driver positions to see how much others are willing to pay for the same talent you’re trying to attract. Search for other hourly positions (i.e., warehouse or restaurant worker) in your area to see how your pay scale compares, as you may be competing with these employers as well. Remember, the pay scale you adopt will send a message. If you can’t afford to sweeten hourly pay, consider exploring periodic payroll incentives, whether that’s in the form of a sign-on bonus or based on meeting quarterly or annual performance expectations.
3. Offer benefits that matter. Medical, dental, vision, and mental health coverage are commonplace, as are plans to build income for retirement and even tuition reimbursement. In addition, to look at how you can build flexibility into scheduling (i.e., home daily or four days on/three days off) and consider including paid time off, especially if you’re looking to hire female drivers (a valuable talent pool worth considering).
4. Formalize training and career development. Younger generations want more than a job – they want opportunities to grow and make a difference. Meet these needs by formalizing driver training and career development If you don’t have the bandwidth in-house, consider partnering with a local driving school or providing online training (by doing this, you may also be able to access new talent pools like students graduating from these schools).
5. Be honest and transparent in your job description and posting. How much does the job pay? What benefits are offered? What does the job involve (i.e., activities and hours)? Even if you don’t get many responses, at least you’ll know the ones that applied are genuinely interested in moving forward.
6. Keep the recruiting and hiring process moving. If you take too long, someone else may beat you to the finish line, and you will have to start all over again.
7. Put equal effort into Once you find and hire the right employee, keep the momentum going. Maintain open and frequent communications. Ask for employee feedback, input, and ideas. Look for opportunities to recognize and reward stellar performance. Give professional growth assignments (i.e., driver representation on a task force or at important meetings). Check in periodically to make sure all is good. Go back to the first point on this list.

One last tip: know when to ask for help. RBT CPAs affiliate, Visions Human Resource Services, helps clients fill open positions or enhance their internal recruiting, hiring and retention processes. Give them a call. At the same time, remember, RBT CPAs is here to handle your accounting, tax, audit, and business advisory needs. Let us know what we can do to help your business succeed.

RBT CPAs is proud to say all of its work is prepared in the U.S.A.  We never outsource outside the U.S.A.  To learn more about the accounting, tax, audit, and business advisory services our local team members can provide for your business, give us a call.