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5 Moves to Make Now to Lower The Tax Liability for Your Business

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Finance expert Mike Periu on smart moves you can make before the end of the year to lower the tax liability for your business. There are less than two weeks left in 2012 but that is plenty of time to take steps to lower your small business tax liability. Given the uncertainty over what will or won't happen with regards to income taxes, it's best to take advantage of every opportunity now in case they disappear next year: Make planned asset purchases now. Equipment bought in 2012 qualifies … [Read more...]

Impress Investors and Lenders With Your Personal Credit Score

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Finance expert Mike Periu on how to get the best possible personal credit score before applying for funding for your business. For small-business owners seeking funds from investors or lenders, it's almost a certainty that your personal credit will be reviewed as part of the process. Since many small-business owners are intimately tied to their businesses, it's difficult to imagine someone investing in a business where the owner has terrible personal credit. Lenders expect owners to have a … [Read more...]

Fiscal Cliff Plan B Fails and Negotiations Effectively Halt

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The latest surprising developments regarding fiscal cliff negotiations. It now looks highly unlikely that a deal to avert the fiscal cliff will be passed before Christmas, if at all. In a stunning turn of events, the Speaker of the House John Boehner was unable to muster enough support from his own political party to pass the Plan B alternative that would raise income taxes on people earning over $1,000,000 annually and maintain existing lower tax rates for everyone else. Even if Plan B had … [Read more...]

The Alternative Minimum Tax May Hit 30 Million Families in 2013

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Finance expert Mike Periu on how the stalled fiscal cliff negotiations could impact how many Americans will need to pay the alternative minimum tax. The Alternative Minimum Tax was created in the 1960s to prevent a few very high-income earners to avoid income taxes all together through large deductions and credits. Taxpayers who earn over a certain amount must prepare their taxes in the standard way and they must also do so using the AMT method, which limits or eliminates certain deductions and … [Read more...]

Fiscal Cliff “Plan B” Is Met With Stiff Opposition From the White House

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Finance expert Mike Periu on the increasingly contentious fiscal cliff negotiations, "Plan B" Is Met With Stiff Opposition From the White House. Fiscal cliff negotiations between the Speaker of the House and the President have suddenly turned chilly and acrimonious. As both sides failed to reach an acceptable compromise yesterday, the House of Representatives will vote on a “Plan B” to partially avert the fiscal cliff. Plan B will increase marginal income taxes rates for those with incomes in … [Read more...]

Dynamic Pricing Strategy Doomed to Fail?

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Finance expert Mike Periu on how a dynamic pricing strategy can backfire for online retailers. According to pricing strategy consultant Rafi Mohammed, the dynamic pricing model implemented by online retailers this Christmas season is likely to fail in the long-term. Dynamic pricing, which is price changes in real time depending on demand, is what airlines use to set prices for tickets. In that industry, consumers are willing to accept fluctuations in price because they can understand that … [Read more...]

Mortgage Applications Fall Significantly Despite Low Rates

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Even though interest rates are at an all-time low, finance expert Mike Periu explains why that the number of Mortgage Applications Fall. Mortgage rates continue to be at extremely low levels. After taking inflation into account, the cost of borrowing money is almost zero, making it an opportune time to finance the purchase of a home or refinance a mortgage. Despite this situation, Mortgage Applications Fall were 12.8 percent down last week according to the Mortgage Bankers Association. Lenders … [Read more...]

Delaying Annuity Payments Significantly Increases Earnings

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Finance expert Mike Periu on how delaying annuity payments, even by just one year, can significantly increase your income during retirement. A key concern for many small-business owners is running out of money during retirement. The Society of Actuaries, the Urban Institute and the Women’s Institute for a Secure Retirement undertook a study that analyzed this issue. The study shows that making a few key decisions in time can help prevent the nightmare of running out of money when you can no … [Read more...]

Small Banks Face New Risks in 2013

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Finance expert Mike Periu on the upcoming profitability challenges small banks will face in 2013. Small banks—those with less than $10 billion in assets—tend to outperform larger banks when it comes to customer service and personal attention. But they also face greater risks in the current economic environment: Quality loan demand is weak; net interest margins - the difference between what a bank pays depositors and what it makes on loans—are low; new regulations increase costs and limit … [Read more...]