|Delegation! Watch the video to learn what this really has to do with taxes?
Hello everyone; it’s Shauna, the Tax Goddess. Today, an interesting question came from a client: “I’m running a business and I’ve been earning well but I’d really like to take up a hobby. But, the business is just taking up so much of my time that I’m not able to get any spare time. I’m not sure what to do about this?”
One of the things that she did not think about is delegating some of her work. A couple of weeks ago, we talked about Tim Ferris (one of my favorite bosses), who is a master of delegation. His book The 4-Hour Workweek completely changed the way I look at my world and run my life. I love to schedule everything; part of scheduling as an entrepreneur involves allotting some time to yourself. It’s very important that you are able to get out of the rut of hectic routine so that you can actually enjoy life.
The question that comes to mind is, “What does this really have to do with taxes?” One of the favorite ways to do that, from my perspective, is setting up a tuition reimbursement plan within your company. If you own a company, especially if it is an S Corp or a C Corp, where you are an employee of your own company, you can set up a company-wide tuition reimbursement plan. When a tuition reimbursement plan is set up by a company, it is up to the company to determine which type of classes will be reimbursed.
If you are the owner of the company and let’s say you and your employees have decided that you want to learn how to meditate, you can have those meditation classes either paid for by the company as an employee de minimis benefit, or you can setup a tuition reimbursement program and have the company reimburse those expenses.
A brief reminder for all you fantastic entrepreneurs: Don’t take life so seriously that you never get a chance to take a breather. Do something fun for yourself, even if it’s just 4 or 5 deep breaths in or a little bit of meditation in the middle of the day. Keep on doing something to change the world in whatever way you see that it needs to be changed.
We have the September 15 tax deadline for corporates coming up. If you’re a CPA still working on that return, make sure you’re getting your clients the answers they need to get the tax return completed. Thanks so much and hope you’re having an absolutely wonderful day!