A Pack Rat’s Guide to Shredding

Is your home a pack rat’s paradise? You’re not alone. As you start spring cleaning, are you wondering what to keep and what to shred? We’ve looked at experts’ advice and compiled this summary of how long they recommend keeping certain documents. 

Save forever

Keep documents related to major life events – birth, marriage, divorce, and death. Lock securely:

·         Birth certificates or adoption papers

·         Social Security cards

·         Citizenship papers or passports

·         Marriage or divorce decrees

·         Death certificates of family members

Also, keep auto titles and home deeds stored safely for as long as you own the property.

Tax records

This time of year, the big question is: what tax records can you shred, and when can you shred them?

·         Tax returns – Our conservative advice? It’s best to keep these forever.

·         Pay stubs – Shred ’em after checking them against your W-2.

·         Home improvement receipts – Keep these receipts until you sell your home, since certain expenses may reduce your capital gains tax.

·         Other tax records – like tax-related receipts and cancelled checks – Wait seven years before shredding. Why? While the IRS usually has three years to audit you, it has up to seven years under certain circumstances. (If you file a fraudulent return, then the IRS can audit at any time – but for the average honest taxpayer, seven years works.)

If you’re unsure what tax records to keep, consult an accountant or call IRS Taxpayer Assistance at 800-829-1040.

Other records

Most experts suggest that you can shred many other documents sooner than seven years. After paying credit card or utility bills, shred them immediately. Also, shred sales receipts, unless related to warranties, taxes, or insurance. After one year, shred bank statements, pay stubs, and medical bills (unless you have an unresolved insurance dispute).   

For those who are thinking, maybe I should keep everything, just in case. . . remember that identity thieves can’t find documents you have destroyed. Destroying documents with your personal information reduces the likelihood of becoming an identity theft victim.

Shredding is just one way to reduce the risk of identity theft. For other tips on preventing identity theft, visit ftc.gov/idtheft.

http://www.consumer.ftc.gov/blog/pack-rats-guide-shredding?utm_source=govdelivery

Report Changes in Circumstances that could Affect Your 2015 Premium Tax Credit

If you have enrolled for health coverage through the Health Insurance Marketplace and receive advance payments of the premium tax credit in 2015, it is important that you report changes in circumstances, such as changes in your income or family size, to your Marketplace.

Advance payments of the premium tax credit provide financial assistance to help you pay for the insurance you buy through the Marketplace. Having at least some of your credit paid in advance directly to your insurance company will reduce the out-of-pocket cost of the health insurance premiums you’ll pay each month.

However, it is important to notify the Marketplace about changes in circumstances to allow the Marketplace to adjust your advance payment amount. This adjustment will decrease the likelihood of a significant difference between your advance credit payments and your actual premium tax credit. Changes in circumstances that you should report to the Marketplace include, but are not limited to:

• An increase or decrease in your income
• Marriage or divorce
• The birth or adoption of a child
• Starting a job with health insurance
• Gaining or losing your eligibility for other health care coverage
• Changing your residence

For the full list of changes you should report, visit HealthCare.gov/how-do-i-report-life-changes-to-the-marketplace.

If you report changes in your income or family size to the Marketplace when they happen in 2015, the advance payments will more closely match the credit amount on your 2015 federal tax return.  This will help you avoid getting a smaller refund than you expected, or even owing money that you did not expect to owe.

Maximize Your 20 Percent

You’ve no doubt heard of the 80/20 rule. It’s the old adage that says 80 percent of your business comes from 20 percent of sales. What you might not know is that this philosophy can be applied all across your business—especially when it comes to time management.

A small business owner’s work is never done, but how often have you spent hours laboring with things that don’t add to the bottom line? Running errands, cleaning the office or filing; it’s all important, but probably not the best use of your time. Try to focus on the 20 percent that will have the most impact on your business.
What’s your 20 percent?

·        Weed out the non-important tasks and evaluate what you can successfully delegate, and hire someone to handle or outsource.

·        Surface daily activities that can make or break your business.

·        Find the most productive time of the day—this will depend on your personal life and the nature of your business—and use it to focus exclusively on your top priorities.

Time management for the small business owner can be a secret weapon. Use it wisely.

http://www.manta.com/resources/tip-of-the-day/maximize-your-20-percent/?su=hq344mgu9vl41l&utm_medium=Email_Marketing&utm_source=Newsletter&utm_campaign=TOTD&utm_content=TOTD_ReDesign_Targeted&utm_term=15142

What to Watch Out for when Donating to Charity

The devastation caused by a massive earthquake in Nepal and the Katmandu Valley region has left many people asking how they can help.

If you’re looking for a way to give, the Federal Trade Commission urges you to do some research to ensure that your donation will go to a reputable organization that will use the money as promised.

Urgent appeals for aid that you get in person, by phone or mail, by e-mail, on websites, or on social networking sites may not be on the up-and-up.  Unfortunately, legitimate charities face competition from fraudsters who either solicit for bogus charities or aren't entirely honest about how a so-called charity will use your contribution.

If you’re asked to make a charitable donation, consider these tips: 

• Donate to charities you know and trust. You want to find a charity with a proven track record with dealing with disasters.

• Be alert for charities that seem to have sprung up overnight in connection with current events. “Look alike” websites resembling legitimate charitable organizations and international aid efforts may be popping up. Check out the charity with the Better Business Bureau's (BBB) Wise Giving Alliance, Charity Navigator, Charity Watch, or GuideStar.

• Designate the disaster. Charities may give the option to designate your giving to a specific disaster. That way, you can ensure your funds are going to disaster relief, rather than a general fund.

• Never click on links or open attachments in e-mails unless you know who sent it and what it is. Opening attachments — even in e-mails that seem to be from friends or family — can install malware on your computer.

• Don’t assume that charity messages posted on social media are legitimate or have been vetted. Research the charitable organization yourself.

• When texting to donate, first confirm the number with the source. The charge will show up on your mobile phone bill, but be aware that text donations are not immediate. Depending on the text message service used by the charity, it can take as much as 90 days for the charity to receive the funds.

• Find out if the charity or fundraiser must be registered in your state by contacting the National Association of State Charity Officials.

http://www.consumer.ftc.gov/blog/how-help-earthquake-victims-nepal?utm_source=govdelivery

Think Before You Post

Opinions—everybody’s got them. They’re an inherent part of being human. And the Internet has the pull of mythological sirens, luring us to tell the world how we feel about everything from celebrity fashion choices to politics and religion—the big no-nos your mom steered you away from. The digital world makes it easy for us to share our thoughts, so as a business owner (and human with opinions), where do you set the boundary when posting online? Or do you?

·        Remember: The Internet is a public space where potential customers roam. If you wouldn’t want a customer hearing you say it in the real world, don’t do it in a virtual one.

·        Things you write can often be traced back to your business—and depending upon what you say and how you say, it could muddy your reputation.

Keyboard, computer screen and miles between the person typing and the person or story being commented on can create a false sense of security, and a quick bit of research can often uncover the author. So, tread lightly when someone shares something you don’t agree with. Words can come back to bite you and tarnish the business status you’ve worked so hard to build. Digital footprints, unlike the ones left in the snow, don’t melt away. They’re everlasting. Use good judgment before posting.

http://www.manta.com/resources/tip-of-the-day/think-before-you-post/?su=hq344mgu9vl41l&utm_medium=Email_Marketing&utm_source=Newsletter&utm_campaign=TOTD&utm_content=TOTD_ReDesign&utm_term=15125