Denver Metro Accounting and Business Planning Services
Your personal and business finances are more than just numbers. They represent an immense amount of your time, energy and discipline.
With our various services, you will see a clear picture of your finances and what you can do to improve your financial position. Our experience with individuals and businesses has helped us take an individualized approach for our clients to succeed in their financial goals.
About Mihoda & Company
Mihoda is a well-established CPA firm specializing in personalized service. We strive to acquire extensive knowledge of each client's entire financial situation—investments, retirement, and much more. Though we are located in metro Denver, we work with many companies outside of Colorado.
Our in-depth knowledge allows us to assist you in adopting the best accounting procedures and methods for your particular operations. We can also anticipate and solve potential problems before they materialize.
For continuous weekly tax tips throughout the year, please click on the secure URL below...
Tax considerations for telecommuting employees
The ranks of employees who telecommute full- or part-time out of their homes, instead of going into the office each day, have swelled for a variety of reasons. Telecommuting can cut costs if office space is short, or help employees balance their personal and professional lives. And in the wake of the 9/11/01 attacks, telecommuting can figure into corporate contingency planning: having some key operations employees work off-site on a regular basis makes the enterprise less vulnerable to potential disruptions.
Overview of various types of IRAs available
At one time, there was relatively little confusion about IRAs because there was only one type available. Now, however, IRAs have proliferated—there's the “traditional” IRA, which may be funded with deductible and/or nondeductible contributions, Roth IRA, SEP-IRA, and SIMPLE IRA. Some of these IRAs have similar features, but others have features that are unique.
What do all these IRAs have in common? They can help you and your family save significant amounts for retirement on a tax-favored basis. Here's an overview of the different types of IRAs available today.
Incentive stock options (ISOs)
You may wonder about the tax consequences to you of your company's offer to grant you an incentive stock option (ISO) on its stock. Let’s say the ISO gives you the right to buy 1,000 shares of the company's stock at its fair market value (FMV) at the time of the ISO's grant, which is expected to be about $100 per share, for a five-year period following the grant (it could be a 10-year period if you owned less than 10% of the company's stock).
The grant of the ISO to you won't be taxable. If you later exercise the ISO, you won't be subject to regular income tax as a result of the exercise. For example, if the market value of the stock goes to $150 per share and you exercise the option and buy the 1,000 shares with a market value of $150,000 for the $100,000 option price, you won't owe any regular income tax on your $50,000 bargain purchase. However, you may be subject to the alternative minimum tax (AMT), as discussed below