What Is a Service Charge? A service charge is an additional fee covering administrative, processing, or service costs that are provided when purchasing a product or service. Typically, a service charge covers additional benefits that are linked to the principal product or service that is being purchased. Usually, the fee […]
Taxes
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What Is a Grantor Retained Annuity Trust (GRAT)? A grantor retained annuity trust (GRAT) is a financial tool used in estate planning to reduce taxes on substantial financial transfers made to family members. In these arrangements, an irrevocable trust is established for a specific length or period of time. When […]
Fresh Start Program – How To Start Over with the IRS The IRS Fresh Start Program offers debt offers relief options to delinquent taxpayers. The program makes it easier for taxpayers to pay off significant tax debt and penalties legally. Taxpayers who are unable to pay their Internal Revenue Service […]
What is a Dynasty Trust? A dynasty trust is a long-term trust established to convey wealth from generation to generation. It does this while avoiding transfer taxes such as the gift tax, estate tax, or generation-skipping transfer tax (GSTT) during the duration of the trust’s assets. The longevity of the […]
What Is a Retention Bonus? A retention bonus is a specific payment or reward offered in addition to an employee’s normal compensation. It is given as an incentive to retain a key individual on the job. Often, this occurs during a particularly critical business cycle, such as a merger or […]
FAVR: What Is a Fixed and Variable Rate Allowance? A FAVR plan reimburses employees using their own car for business purposes with a combination of a monthly allowance and mileage reimbursement. The fixed and variable rate reimbursement is a method of compensating workers who use their personal or leased automobiles […]