Premier Tax CFO

Your World, Simple Again

Premier Tax CFO through NCH Wealth Advisors

Most of our clients started their adult lives simply; all their financial information fit into one box. Life was good. Everything they owned was in one safe place. That made them feel secure. They knew which decisions were the right decisions. Time passed, they collected more things, and added more boxes. Life was still good, but became less simple.

When our clients come to us, their world is in many boxes and they cannot see their big picture anymore. They do not know if all the pieces of their financial world are working together for their unique situation. Their financial world is not simple anymore. They want a box big enough to hold everything in one place again. With our Premier Tax CFO program, they can.

Expat Living in Costa Rica: Welcome to Jaco Beach!

As the new owner of a condominium in Jaco Beach, Costa Rica, I am looking forward to sharing my experience abroad with others.  I’m not able to live there full time, so I have invited friends and family to come down and spend some time there.  My children are now in their teens and twenties, so they really don’t want to travel with dear ol’ dad.  They are planning to spend a few weeks at the condo while I am away.  I confess that I am a protective dad and felt I had to ‘explain’ a few things to them before they arrived.  What follows is my letter to them, I hope you enjoy it.

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My Dear Son and Daughter,

Welcome to Jaco Beach!
Since you’ve specifically asked me NOT to come with you, I can’t help but think of some of the differences you will find here.  While many things will look and seem just like the States, they can be very, very different from what you would expect!  For instance, the shower looks like a tiled shower in the States, but the hot water is generated by an electrical heater attached to the showerhead; if you touch it while it’s on or the water’s running, you will be shocked.  I have affectionately dubbed it the “Suicide Shower.”

Expat Living in Costa Rica: You Need Three Best Friends

The legal, tax, and social structures of other countries can be very, very different from those of the U.S.  Though many of the titles and words may seem familiar to us, costly mistakes can be made if incorrect action is taken.  This is where establishing these three best friends can make sure your expat dream does not become a nightmare.

EVERYONE NEEDS A SENOR BOB
After touring Costa Rica, I decided that I wanted a second home in Jaco Beach.  It is advisable to spend some extended time renting in your selected location, so I decided to take my son on a month-long surfing vacation there.  The first item on my list:  Find a place to stay.

Enter:  Bob Johnson (www.oceansiderealty-cr.com)
Talking with Bob Johnson, realtor with Oceanside Realty was a breath of fresh air after my conversations with other rental agencies in Jaco.  Everyone but Bob told me that a month’s rental in Jaco Beach would cost me around three thousand dollars.  Everyone but Bob just wanted to rent to me at the highest possible price.  In talking with Bob, I found out that he wanted more:  he wanted to find me the best deal for my dream to happen.

NCH Wealth Advisors January Newsletter

From the Desk of Nick Hodges, CPA/PFS, MBA, CFP

HAPPY NEW YEAR!

Most of you will have already received your income tax organizer from us. If you haven't, please be looking for it. And if you don't receive it within the next week, please give us a call.

All the best,
Nick Hodges, CPA/PFS, MBA, CFP

Expat Taxes: New IRS FATCA Rule is ANOTHER Way to Penalize You $10,000

The IRS continues to roll out new ways to identify Americans holding financial and investment accounts abroad. These disclosure reporting requirements all come loaded with the highest IRS penalties, starting at $10,000 per non-filing or incorrect filing incident.

Many of you are fully aware of the filing requirements of Form TD F 90-22.1, Report of Foreign Bank and Financial Accounts (FBAR). You know if the aggregate value of your foreign bank and financial accounts reach $10,000 in any one year, you must file this report with the Treasury Department (not the IRS) the following year. Non-filing or incorrect filing of this form bears a statutory $10,000 penalty.

The IRS has added ANOTHER required form, Form 8938, to be filed WITH your annual tax return. This form is also loaded with $10,000 non-filing or incorrect filing penalties. Additional penalties may be assessed, up to $50,000 for continued failure to file after IRS notification. A 40 percent penalty on any understatement of tax attributable to non-disclosed assets can also be imposed. A special statute of limitation also applies to the filing of Form 8938. Here are some other points to note:

NCH Wealth Advisors December Newsletter

A Note from the Desk of Nick Hodges, CPA/PFS, MBA, CFP

Very last chance for year end planning.

Merry Christmas,
Nick Hodges, CPA/PFS, MBA, CFP

Featured Articles For December, 2011

• Tax Changes for 2011
  Whether you file as an individual, a corporation, a small business owner, or are self-employed, as the end of the year draws near, you're probably thinking ahead to tax season and filing your taxes. From tax credits, exemptions and deductions for individuals and Section 179 expensing for small businesses, here's what you need to know about tax changes for 2011.
• How to Prepare for a Successful Retirement
  As you approach retirement, it's vital that you pay attention to certain key financial matters. Here's what you need to know.
• Ensure Your Family's Security with an Estate Plan
  Everyone, no matter their financial situation, should have an estate plan in place. But don't just "set it and forget it". Marriage, divorce, and the sale of your home are just some of the events that require an estate plan update. Keep reading to learn more.
• Financial Planning Dos & Don'ts
  During these uncertain economic times, planning for the future has become a challenge. These financial planning suggestions will give you peace of mind about financial matters and simplify your life.

Tax Tips

• Your Pension Plan - Inflation Adjustments for 2012
• Should You File a Tax Return?
• Filing Status - What You Need to Know

QuickBooks Tips

• QuickBooks Tips And Tricks: Make it Yours

Financial Planning Tips

• Make Charitable Contributions
• Buy a New Car
• Examine Investments
• Pay Tax-Deductible Expenses
• Evaluate Your Progress

Tax Due Dates

December 12

Employees who work for tips - If you received $20 or more in tips during November, report them to your employer. You can use Form 4070.

December 15

Corporations - Deposit the fourth installment of estimated income tax for 2011. A worksheet, Form 1120-W, is available to help you estimate your tax for the year. Employers Social Security, Medicare, and withheld income tax - If the monthly deposit rule applies, deposit the tax for payments in November. Employers Nonpayroll withholding - If the monthly deposit rule applies, deposit the tax for payments in November.

Click here to read the rest of the newsletter.

10 Symptoms You Have Chicken Little Syndrome, 3 Steps for Curing It

1. We talk with folks everyday who are deeply worried about the future.  As we listen, we hear fear on everyone’s lips.  As each question repeats, the level of fear rises, until the pitch drowns out all reasonable thought and historic memory.

What about America?  What about the dollar?  What about my freedoms and privacy?  What about Social Security?  What about my retirement?
    Is the sky really going to fall?

My neighbor says, “Grow your own food and stock up on ammunition.”
My barber says, “Gold is the ONLY standard, always has been – invest in Gold.”
I hear on the news, “The American dollar is on the verge of collapse.”
The political pundits say, “Your standard of living will soon be reduced to that of a third world country.  There will be rioting in the streets.”
Everyone that seems to care about this country is standing around wringing their hands with worry…  No one seems to know what to do.
    Is the sky going to fall soon?

I don’t have the nest egg for retirement I thought I would because of stock market declines.
I am upside down in my home mortgage.
I have investments that I don’t understand.
I have fears that everything I’ve worked for will collapse.
I worry that I will suffer additional financial ruin if things worsen.
    Is the sky already falling?

I can’t tell what I don’t know.
I don’t really know what I fear; I just know that I’m afraid.
I can’t tell the fiction from the facts.
I don’t know who to trust.
    I’m afraid the sky is falling, and I don’t know what to do!

NCH Wealth Advisors November Newsletter

From the Desk of Nick Hodges, CPA/PFS, MBA, CFP

Well, the holidays are fast approaching and we have received a great response from many of you for year-end planning.  Please remember to update us with any changes soon.

All the best,
Nick Hodges, CPA/PFS, MBA, CFP

Featured Articles For November, 2011

NCH Wealth Advisors October Newsletter

From the Desk of Nick Hodges, CPA/PFS, MBA, CFP

With summer over and the kids (and grandkids) back at school, we turn our thoughts to Halloween and the holidays.

But remember, now is the PERFECT time for year-end planning.  Call us soon to help you get this done and at no charge!

All the best,
Nick Hodges, CPA/PFS, MBA, CFP

Featured Articles For October, 2011

A New Look at Social Security and Medicare Taxes

The U.S. Social Security and Medicare systems are quite possibly the greatest financial investment available to every American.  Since its inception in 1934, when it was simply individual retirement and disability insurance for direct premium payments, it has grown to embrace the needs of dependent spouses and children, surviving spouses and dependents, and the unexpectedly disabled.  Additionally, it provides medical care AND cost of living adjustments for all beneficiaries.  One in six Americans receives a Social Security benefit of some kind today.  It is one of the most misunderstood, misaligned, and valuable benefits available to Americans.

The Truth about Social Security / Medicare
The current financial statistics published in 2009 Social Security and Medicare Trustees Report (www.socialsecurity.gov) shows our current funding dilemma:

2009 Unfunded Social Security & Medicare Liabilities
(Trillions of Dollars)

NCH Wealth Advisors September Newsletter

From the Desk of Nick Hodges, CPA/PFS, MBA, CFP

Concerned about stock market volatility? Call us for an evaluation and a much smoother ride.

All the best,
Nick Hodges, CPA/PFS, MBA, CFP

Featured Articles For September, 2011

• 3 Tips for Getting an Accurate Business Valuation
  Whether you're selling a business, need new financing, or planning your estate, find out how to get an accurate picture of what your business is worth.
• Should You Invest in Life Insurance?
  The purpose of life insurance is to provide a source of income, in case of death, for your children, dependents, or other beneficiaries. Learn more about what kind of life insurance you need. Take a look to see if it makes sense for you.
• Employee Relocation in a Down Market
  Many companies have questions about what to do with an employee's home when he or she is moved to a new job location, especially with the real estate market in a downturn throughout much of the country. Whether you're an employee or an employer, here's what you need to know about taxes and relocating.
• A SIMPLE Retirement Plan for the Self-Employed
  Of all the retirement plans available to small business owners, the SIMPLE plan is the easiest to set up and least expensive to manage. Learn more about SIMPLE plans for your business.