Are you concerned about rising costs and diminishing profit margins for your business?
Is this keeping you up at night?
What if I told you that there 3 major areas of savings that Fortune 500 companies take advantage every year (because they can afford to hire a Deloitte or Ernst & Young as their accounting firm) and so can you…without the significant cash outlay it takes to hire the top consultants all while keeping your CPA firm?
What if you could identify a 6 or even 7 figure savings and not pay a single dime out of your pocket…would you be willing to spend a little bit of your time to find out what your savings could be?
If so then I encourage you to watch my short introduction video below and then register for one of my upcoming live webinars where I will go into greater detail about the 3 areas of savings that you could be taking advantage of!
Having now watched my introduction video and if you are ready to learn more simply follow the link below to register for a free Live Webinar:
In my live webinar you will get the answers to the following questions:
- What are the 3 areas of savings in greater detail?
- What are other businesses and industries averaging in savings working with us?
- How you can identify your savings number at no cost to you?
Now I know some of you are not going to watch the video and would prefer to skim through the rest of this blog before registering for an upcoming Live Webinar so the rest of this blog is for you. However, at any point if you’d like to benefit from some real examples of companies like yours and what savings they are seeing register for a Live Webinar OR just watch my most recent webinar recording by clicking below:
So what are the 3 areas of savings that most small and even medium sized business fail to maximize or miss out completely on?
- Tax Incentives
- Expense Reduction
- Retirement Plans
Now let’s look at each of these a little closer…
Now I know one of the first things that might pop in your head could be, “My CPA does a good job and takes care of all this” and I would tend to agree that they do a great job and are helping with tax incentives that a CPA is qualified to handle.
What’s the problem then, right? Well, the reality is that tax incentives that major corporations take advantage of go beyond the qualifications of a small, medium and even large CPA firm in many cases. Why? Because most of the very lucrative tax incentives require expertise that has nothing to do with accounting like engineering and IP attorneys…people that are not at most CPA firms. This is one reason why Deloitte and Ernst & Young can charge the fees that they do…they have these people on staff.
Here are 3 tax incentives where money is left on the table because the incentive isn’t maximized or completely missed:
- Cost Segregation
- Property Taxes
- Research and Development
Let’s take a quick look at each of these tax incentives a little closer and discuss why you might want your CPA to partner with outside expertise…
What is this? Well, it is an engineering study that allows a business owner who owns commercial property to reclassify the property to maximize depreciation and therefore decrease a businesses taxable income.
Now I have met many CPA’s (all very talented) and some of them have claimed they do this and many others have said we refer this out. Why would a CPA refer this out? Simple…did the above line say “accounting study” OR “engineering study?” It says engineering study and that is a big reason why they farm it out because they know a CPA doing engineering work is not going to be as effective as an engineer doing engineering work.
This is why most businesses are not fully taking advantage of a Cost Segregation study to minimize their taxes. Now you could work with a CPA that refers to an engineering firm to do this study, however, that is going to cost you some money before you know what savings is even available and before it is realized.
This is why most small and medium sized businesses fail to realize all the benefits of a Cost Segregation study and you should care because it is common for this one tax incentive to be in the 6 figures in tax savings!
In my Live Webinar I go into more detail on the Cost Segregation tax incentive including some industry examples based on companies we’ve worked with so if you haven’t already you can register below or watch the last webinar replay:
What about property taxes? Can you fight the government and win?
YES!!! However, when it comes to fighting commercial property taxes the challenge is a bit stiffer, but the payoff could be considerable also.
This is a little more complex than simply filling out a form and claiming that your property taxes are higher than they should be which should come as no surprise when you consider at the very low end you’re looking at at least $5,000 in reduced property taxes. On the higher end you could be looking at 25% or more of your total real and personal property taxes you’re paying and that can really take away from the IRS’s coffers.
This means that the IRS puts more of the responsibility to prove that you are being taxed too much based on your properties value. To effectively reduce your property taxes to the level they should be reduced to will require expertise in not only accounting, but also valuation and tax law to conform to the Property Tax Mitigation process.
Again this is not something for just your CPA and why the Government continues to keep more of your money than they are entitled to. So if you would like to end that trend check out my next live webinar below OR watch my most recent replay:
Research and Development:
Of all the tax incentives this is the one that could provide the biggest return OR be the biggest miss of them all! More and more CPA firms are taking this on themselves to perform and while your CPA would be a integral part of our process the truth is without ALL of the necessary experts this could end up 1 of 2 ways…
- Your CPA knows what they don’t know so they stay within their areas of comfort leaving a lot of money on the table OR
- They go beyond their level of expertise to try and make this number as big as it should be, but regrettably trigger an audit that they may or may not be able to justify
The 2nd outcome is what keeps most CPA’s from making this tax incentive as large as it could be and it could be huge. It is not unrealistic for this to not only exceed 6 figures, but could be the largest tax incentive your business has…even bigger than your Cost Segregation study.
Now I know you might be thinking to yourself, “I don’t create prototypes and I’m not a defense contractor so would I even qualify?”
And the answer is “You’d be surprised” because this has changed a lot over the years and for a closer look at some of the qualifying events for this tax credit (that have nothing to do with developing prototypes) register for the live webinar below where I’ll go through some of the surprising examples:
The moral of the story with tax incentives is that just relying on your CPA alone could be a very costly mistake. On the other hand finding top talent in the areas you need above and beyond your CPA firm could be very cost prohibitive…the good news is (and you’ll hear more about this in the live webinar) there is an alternative solution where you can continue to work with your CPA along with industry experts AND it won’t cost you money up front to get started! In fact you only pay a fee from the actualized savings you receive!
More on that in a minute, but let’s discuss our next area of savings…Expense Reduction.
Expense Reduction Savings:
Okay so what is this…well, let’s start with what it is not.
This is NOT about you going through a series of interviews for new vendors to save a few pennies. In fact, you can reduce your expenses without ever switching any of your current vendors and the savings can be a lot more than a few pennies!
We help our clients save a serious amount of money without switching vendors in 4 key areas:
- Credit Card Merchant Services
- Waste and Recycling
- Work Comp Insurance
- Parcel Shipping Expense
As before, let’s look at each of these a little closer…
Credit Card Merchant Services
These days just about every business needs to be able to accept credit cards and more and more of these credit card transactions are happening online or without ever actually swiping a card. So what should that matter to you?
Simply stated, your credit card processor maximizes your plan to their advantage. Have you ever wondered how every time a merchant services rep reviews your bill they always save you money? Yet the very next month the vendor you left could show the same savings?
Seems like at some point this cat and mouse game would come to an end, but it doesn’t and it doesn’t because after they have you as a client they know that you are not likely to audit their plan design and the interchange rates they use…but we do!
Best of all we do this while you keep your vendor because truth is just about every vendor is going to try and get away with charging you more than they need to so we save you the hassle of constantly changing while keeping your rate low.
To learn more about whether or not you would qualify for a significant savings attend one of my live webinars where I reveal typical qualifications. You can register below:
Waste and Recycling
Now I know what you might be thinking, “Is there really money in waste and recycling” and surprisingly…Yes there is potentially!
Once again like the Credit Card Merchant Services your current vendor could be simply over billing you or not have you on the most efficient plan based on your level of need. Also like the Credit Card Merchant Services you won’t have to change your vendor to retain the savings and the savings could be more than what you would think AND the qualifications are pretty low as well.
If you’re curious how much savings are in your garbage then register for the below webinar if you haven’t already and find out:
Work Comp Insurance
Work Comp also known as Worker’s Compensation insurance is another example of where there a ton of errors and they always seem to be in favor of the insurance company. Probably because the insurance company does a couple of things that you could do as well.
Things like audit the report to make sure the modification rates or employee class codes are “accurate” as in favorable to the insurance company. This gets particularly lucrative for the insurance company if you have employees working in different states or multiple job functions.
This is why an independent audit could save you considerable money just by keeping your insurance company honest because if you’ve ever felt like your insurance provider is keeping more of your money than they are entitled to…You might be right!
To see whether or not this would be something worth pursuing register for the below webinar where I’ll reveal typical qualifications and sample savings:
Parcel Shipping Expense
This one for most people is a little surprising like the Waste and Recycling because most people assume that the shipping price is the shipping price and to some degree that is true…however, there are a couple of ways to save money on the cost of shipping and any company who ships anything could benefit from this expense reduction.
In fact, there are 2 strategies we help our clients deploy that will save them money on their shipping cost and typically our clients save as much as 10% without once again changing vendors. So if you would like to know what these 2 strategies are simply register again for the Live Webinar if you haven’t already and all will be revealed:
This brings me to the 3rd and final area of savings that seems to be the most perplexing to business owners as to “how” a retirement plan can save your business money outside of the obvious and that is what we are going to wrap up with now.
Retirement Plan Savings:
Obviously you save money when you invest in a retirement plan (or at least that is the hope, right?) The question is, “Is your business maximizing your business savings with how your plan is structured?”
Now we are not talking about rate of return here because that is very subjective and is based on speculation…what we are talking about has everything to do with the structure of your plan and is tangible and predictable.
What do I mean when I say “structure” you might be wondering? Well, I am referring to a simple idea of something every business owner is interested in and that is TAXES…and how to pay as little as possible.
Of course there are a wide variety of “government sponsored” retirement plans that dangle 2 out of the 3 areas you can get taxed…today, while it grows or when you take it out being the 3 potential areas. Also referred as tax deductible, tax deferred and tax free.
I could go into a lot of detail on the pros and cons for retirement plans that take advantage of each of the 3 areas where you can be taxed, however, for today’s conversation I’m going to keep this very high level.
As mentioned before the government will let you pick 2 of the 3 to save on taxes OR at least that is what 99.99% of the financial advisors out there will tell you…is that what you are told by your advisor? Better yet do you have a traditional or Roth 401(k) or some similar type of retirement plan that provides tax deferred growth and either a tax deduction OR tax free income in retirement?
The bottom line is IF you have to choose then you are missing possibly the biggest opportunity for savings…period!
So here’s what I’ll tell you…we have a proprietary retirement solution that allows you to take advantage of all 3 areas the government wants to tax you and while I could try and describe this via this blog the reality is it would be better to (if you still haven’t) register for my upcoming live webinar because it doesn’t cost you any money to attend, but it could cost you a lot of money if you don’t!
Now that you have registered for an upcoming Live Webinar (or you simply watched one of my replays from a previous webinar) a couple things will happen.
- You can expect some follow up emails from myself or a member of my VitalityWerks team based on whether or not you made it to the Live Webinar
- You will be extended a free offer to evaluate your current potential overall savings with one of my expert members AND
- You will have an opportunity solidify the estimate into a hard number all before making any kind of commitment SO…
My question to you is, “What do you have to lose?”
In fact, if you want to get started with you free consultation you can do so by filling out the form below to tell us a little about your business and then myself or someone on my team will reach out to identify your estimated savings in 15 minutes or less!
Until next time, make it a great day by taking massive action so you can make it a great day for someone else who might need your help!
Founding Board Member of Stellar Impact Foundation
Founding CEO of VitalityWerks