Benefit Consultants Blog

If you have a small business, or are thinking of starting one, you need to think of the legal consequences of doing so. As a small business owner, you are possibly exposing yourself to much greater legal liability than you had before you owned a business.

One other issue that you have to think about when you are your own boss is taxes. Business taxes are handled differently than personal taxes, so you have to know of what is happening with your company taxes. This is a great time to consult with an accountant.

While you most likely can run your small business as a sole proprietor, this is not the best choice in most cases. There are several liability and tax reasons why you might not want to operate as a sole proprietor. Seeking professional advice in these issues is highly recommended.

So what can the average business owner do? Smart entrepreneurs create a business entity to shield themselves from personal liability and to take advantage of business tax laws.

A very common business structure, and probably the best choice for most entrepreneurs, is to consider starting an LLC. Set up and run properly, a limited liability company, or LLC can give you liability protection personally. And with an LLC, you can can pick how you should be taxed.

Setting up an LLC is incredibly easy. The more expensive option is paying a lawyer to set up your LLC. Another option is to use one of the less expensive online business creation companies for forming an LLC. With prices starting at $115, there is no excuse to not form a limited liability company for your small business.

Always meet with a professional to make sure LLC form is the right form for your company. It is important to make sure that you have your business structure set up properly to reduce personal liability and make the most of the tax benefits afforded to companies.

my retirement plan

CIBC estimates that approximately $1.2 trillion in Canadian business assets alone will change hands by 2010 as more baby boomers anticipate retirement. Imagine what that means for American businesses! Business owners not only have to worry about their own retirement planning, but will also need an exit strategy and a long-term plan for their employees. The same study found that 60% of small business owners haven’t even begun to discuss their retirement plans yet. Don’t leave yourself struggling to pay bills or your employees hanging high and dry. Develop a responsible plan for building business after you’ve retired and explore your options today.

Social security and pension plans should be the baseboard for your retirement planning, but you’ll have to think more creatively to continue making money once you’ve left your business. Many owners, while simultaneously building business, choose real estate investment properties or further their stock and mutual fund investments. In addition to expanding your business, you should be retirement planning and considering an exit or succession strategy. Recruiting the services of a financial planner can be an invaluable asset.

For many retirees, 31% of their business retirement plan will come from the sale of their business. An additional 28% will come from a registered government savings plan, such as an IRA or 401k, and 25% from stock market investments. The smallest income will be the 16% from social security or pension funds.

Offering an employee retirement plan is a good way of building business, retaining employees and garnering respect for your company. One in five small businesses offer retirement planning for employees. Some business owners fear that this could become a financial sinkhole; however, you may want to consider a Simplified Employer Pension IRA to get started. Like a 401k, the SEP-IRA is a savings plan for employees but with lower contribution limits, easier administration, no necessary IRS reporting and less restrictions on using saved earnings. SEP-IRAs aren’t recommended for companies with a lot of freelance or part-time workers, but for the average mid-to-small-sized business, it can be a real asset.

While it may seem like a daunting task to cover the retirement planning of yourself and your employees while building business, a simple trip to Fidelity Financial or a financial planner could get you on the right track. By learning more about your investment options and developing an exit strategy, you can ensure that your golden years will truly be the best.

Health Benefits Consulting will reveal that employee injuries can have a greater effect on immediate financial losses to your company than the future health care costs of heart disease and diabetes.

Studies are suggesting that overweight workers cost their employers more in injury claims than their lean associates.  Researchers have found that the heaviest workers had lost 13 times more workdays due to work related injuries while their medical claims for these injuries were shown to be seven times higher than their fit colleagues.  It appears that overweight workers are more likely to have claims involving injuries to the back, wrist, arms, neck, shoulders, hip, knee and feet than leaner employees.

Some attorneys are warning companies that treating overweight workers differently could lead to discrimination. Health Benefits Consulting will help your company to invest in programs to help obesity while ensuring the program is presented in a positive light and does not offend.  An organization’s success in lowering health care costs and curbing obesity could be highly dependent on how it’s presented.  While fitness programs will be a great benefit for helping overweight workers shed some weight they are also beneficial for overstressed working parents and others who want to be healthy.

Benefit Plans and insurers have responded, in several ways, to the rising costs in connection with the treatment of obesity.  Speak to your professional Health Benefits Consulting firm about the broad coverage now available for the treatment of obesity.  Some companies have implemented programs to assist their employees with reducing weight and improving health.  Employers can offer a weight management program that includes incentives for participation and increased physical activity, weight loss plan discounts together with nurse and weight loss counseling support services. 

Consider programs that provide incentives for participating in specified disease management programs including the use of online health risk assessment questionnaires that allow employees to evaluate their current health and receive suggestions on positive action that may be taken to improve their health.  Employees can accumulate credits that they can use as discounts when redeeming from a selection of health related items. Your HR team may also offer additional incentives in the form of enhanced Benefits or lower health insurance premiums or co-payments.  These programs can include web-based resources that assist employees in creating personalized exercise and fitness programs together with meal planning strategies.

Your expert Health Benefits Consulting group will help your management team meet this challenge with creativity and a commitment to building and maintaining employee satisfaction.  

This article courtesy of Benefit Consultants