Well-designed retirement plans can generate enormous wealth for a business owner at retirement. Unfortunately, complex rules, confusing terminology and mathematically driven formulas tend to scare off ...
Cash-basis accounting is a primary method that small businesses use to keep track of their income and expenses. Typically, if a small business has annual sales of less than $5 million, it may choose ...
A balance sheet indicates a company's financial position on a specific date. The balance sheet contains a listing of a company's assets, liabilities and shareholder's equity. Assets are resources ...
As farmers approach retirement, extra income taxes may be owed on the built-up grain holdings that they sell in their final year of farming without offsetting deductions. These deductions are incurred ...
The ending balance of a cash-flow statement will always equal the cash amount shown on the company's balance sheet. Cash flow is, by definition, the change in a company's cash from one period to the ...
The retirement reform legislation requires interest credits to be “reasonable” and no higher than 6%. The SECURE 2.0 Act, signed into law by President Joe Biden on December 30, 2022, contains a ...
Cash balance plans and 401(k)s are both employer-sponsored retirement options, but they work differently. A cash balance plan is a type of pension that promises a set payout at retirement based on a ...
Savvy investors look at a company's financial health before buying its stock. Some investors monitor a company's free cash flow and review its cash flow statements to gauge how well it manages its ...
Adam Hayes, Ph.D., CFA, is a financial writer with 15+ years Wall Street experience as a derivatives trader. Besides his extensive derivative trading expertise, Adam is an expert in economics and ...