IR-2010-77, June 21, 2010
WASHINGTON — The Internal Revenue Service is providing administrative relief for sponsors of defined contribution plans, such as section 401(k) plans, that were affected by the storms and other severe weather in those counties in Alabama, Connecticut, Massachusetts, Mississippi, New Jersey, Rhode Island, Tennessee and West Virginia declared Presidential Disaster Areas during the period from March 1 through May 31, 2010.
Notice 2010-48 administratively extends to July 30, 2010, the April 30 deadline for restating affected pre-approved defined contribution plans and, if applicable, for submitting determination letters to the IRS, to July 30, 2010. The section 401(b) remedial amendment period for these retirement plans is also extended to July 30.
The relief provided by this notice is in addition to the statutory relief already provided by the IRS, under section 7508A of the Internal Revenue Code, to taxpayers affected by the federally declared disasters in these eight states during the period from March through May 2010.
The notice details the scope of the relief provided by this administrative action and further defines the conditions under which a plan qualifies as an affected plan. A plan is an “affected plan” only if any of the following locations relating to the plan were in the federally declared disaster areas at the time of the disasters:
1. The principal place of business of the employer that maintains the plan;
2. The principal place of business of the employer that employs more than 50 percent of the active participants covered by the plan;
3. The office of the plan or the plan administrator;
4. The office of the primary record keeper serving the plan; or
5. The office of any advisor that had been retained by the plan or the employer at the time of the storms or other severe weather that is directly involved with the adoption of the plan or the submission of a determination letter application to the IRS.
This relief applies to the following disaster situations:
Connecticut victims of March 2010 severe storms and flooding. See, News Release CT-2010-35, June 1, 2010.
Tennessee victims of April-May 2010 severe storms and flooding. See, News Release AL/TN-2010-56T, May 5, 2010.
Alabama victims of April 2010 severe storms and flooding. See, News Release AL/TN-2010-55A, May 4, 2010.
Mississippi victims of April 2010 severe storms, tornadoes and flooding. See, News Release LA/MS-2010-21, April 30, 2010.
New Jersey victims of March 2010 storms and flooding. See, News Release NJ-2010-32, April 5, 2010.
Massachusetts victims of March storms and flooding. See, News Release MA-2010-15, March 31, 2010.
Rhode Island victims of March storms and flooding. See, News Release RI-2010-11, March 31, 2010.
West Virginia victims of March storms and flooding. See, News Release WVA-2010-12, March 31, 2010.
As always if you have any questions or comments please email me at rondazaragoza@gmail.com. I will try and reply to your question within 24-48 hours of receipt.
Friday, June 25, 2010
IRS Provides Tax Help, Guidance to Gulf Oil Spill Victims; Special Assistance Day on July 17
IR-2010-78, June 25, 2010
The Internal Revenue Service (IRS) will be providing guidance to individuals and businesses affected by the oil spill in the Gulf of Mexico; it announced a number of new efforts to help affected taxpayers, including a special Gulf Coast Assistance Day on July 17. The IRS is closely monitoring the situation in the Gulf.
“This is a very difficult time for many people affected by the oil spill in the Gulf of Mexico. As residents of the region cope with the evolving situation, I want to assure them that the IRS will be doing everything it can to provide tax help to those who need it,” IRS Commissioner Doug Shulman said. “We encourage anyone who has an issue with the IRS to contact us and explain their hardship, and we will work with them to find a solution. We’ll do everything we can under current law to help taxpayers.”
The guidance released today is based on current law, and it explains how recipients of payments from BP should treat the payments for tax purposes. According to the current law, BP payments for lost income are taxable in the same way that the wages or business income these payments are replacing would have been. The law treats compensation for lost wages or income differently for tax purposes than compensation for physical injuries or property loss, which generally are nontaxable.
Every person can have unique financial circumstances, so the IRS encourages taxpayers to review their tax situation or talk with their tax preparers about the implications of payments or compensation from the oil spill.
To help people in the Gulf Coast area dealing with tax issues, the IRS also announced a special assistance day on July 17 in seven cities. Taxpayers and tax preparers will be able to work directly with IRS employees to resolve tax issues, including specific topics related to the oil spill. The IRS will hold the Gulf Coast Assistance Day in four states:
• Alabama: Mobile.
• Florida: Panama City and Pensacola.
• Louisiana: New Orleans, Houma and Baton Rouge.
• Mississippi: Gulfport.
Times and specific locations will soon be announced.
Taxpayers with problems related to the Gulf spill will soon be able to reach IRS personnel through an IRS toll-free telephone line. Specially trained IRS personnel will be available to help people with tax questions relating to the oil spill.
The IRS encourages taxpayers in the Gulf struggling with payment or collection issues to call the agency. The IRS continues to have a number of ways to help taxpayers dealing with oil spill issues or other economic hardship issues, including:
• The Taxpayer Advocate Service is available for those taxpayers experiencing issues with navigating the IRS.
• Postponement of collection actions in certain hardship cases.
• Added flexibility for missed payments on installment agreements and offers in compromise for previously compliant individuals having difficulty paying.
• IRS employees will be permitted to consider a taxpayer’s current income and potential for future income when negotiating an offer in compromise.
• Accelerated levy releases for taxpayers facing economic hardship.
As always if you have any questions or comments please email me at rondazaragoza@gmail.com. I will try and reply to your question within 24-48 hours of receipt.
The Internal Revenue Service (IRS) will be providing guidance to individuals and businesses affected by the oil spill in the Gulf of Mexico; it announced a number of new efforts to help affected taxpayers, including a special Gulf Coast Assistance Day on July 17. The IRS is closely monitoring the situation in the Gulf.
“This is a very difficult time for many people affected by the oil spill in the Gulf of Mexico. As residents of the region cope with the evolving situation, I want to assure them that the IRS will be doing everything it can to provide tax help to those who need it,” IRS Commissioner Doug Shulman said. “We encourage anyone who has an issue with the IRS to contact us and explain their hardship, and we will work with them to find a solution. We’ll do everything we can under current law to help taxpayers.”
The guidance released today is based on current law, and it explains how recipients of payments from BP should treat the payments for tax purposes. According to the current law, BP payments for lost income are taxable in the same way that the wages or business income these payments are replacing would have been. The law treats compensation for lost wages or income differently for tax purposes than compensation for physical injuries or property loss, which generally are nontaxable.
Every person can have unique financial circumstances, so the IRS encourages taxpayers to review their tax situation or talk with their tax preparers about the implications of payments or compensation from the oil spill.
To help people in the Gulf Coast area dealing with tax issues, the IRS also announced a special assistance day on July 17 in seven cities. Taxpayers and tax preparers will be able to work directly with IRS employees to resolve tax issues, including specific topics related to the oil spill. The IRS will hold the Gulf Coast Assistance Day in four states:
• Alabama: Mobile.
• Florida: Panama City and Pensacola.
• Louisiana: New Orleans, Houma and Baton Rouge.
• Mississippi: Gulfport.
Times and specific locations will soon be announced.
Taxpayers with problems related to the Gulf spill will soon be able to reach IRS personnel through an IRS toll-free telephone line. Specially trained IRS personnel will be available to help people with tax questions relating to the oil spill.
The IRS encourages taxpayers in the Gulf struggling with payment or collection issues to call the agency. The IRS continues to have a number of ways to help taxpayers dealing with oil spill issues or other economic hardship issues, including:
• The Taxpayer Advocate Service is available for those taxpayers experiencing issues with navigating the IRS.
• Postponement of collection actions in certain hardship cases.
• Added flexibility for missed payments on installment agreements and offers in compromise for previously compliant individuals having difficulty paying.
• IRS employees will be permitted to consider a taxpayer’s current income and potential for future income when negotiating an offer in compromise.
• Accelerated levy releases for taxpayers facing economic hardship.
As always if you have any questions or comments please email me at rondazaragoza@gmail.com. I will try and reply to your question within 24-48 hours of receipt.
Wednesday, June 23, 2010
Get the most from your written testimonials
Make it standard practice to ask clients and contacts for testimonials and you'll build your credibility and your business.
By Ivan Misner & Ronda Zaragoza
Written testimonials influence our actions and choices in a variety of ways, sometimes without our even thinking about them. For example: You and a friend decide to catch a movie, but your tastes don't always coincide. So you open the local paper and check out the film reviews. You decide you want to go to dinner first, but there are so many restaurants in your area that you don't know which one to pick. So you open up a local magazine and scan the recommendations of the magazine's food critic.
Even more powerful than these "professional" testimonials, however, are those that come from trusted personal contacts. If you have enough time, you might call or e-mail a couple of other friends to get their movie and restaurant suggestions. You're likely to follow their advice, too, because you know that they know your likes and dislikes pretty well.
So it is in business. Before people come to your firm for a particular product or service, they often want the comfort of knowing what others have said about you.
Let's say you refinish hardwood floors. Many consumers, before they let you haul your refinishing equipment into their house, will ask you for either written testimonials or phone numbers of people who can attest to your work.
You may even have experience with another form of testimonial: providing references when applying for a new job. Those references are expected to respond by written or spoken word about you and your work performance; quite frequently, a testimonial can clinch the job for you. That's a lot of weight riding on someone else's words.
Why Testimonials Increase Business
Testimonials carry a level of credibility because they come from someone who has direct experience with your product or service. Consumers generally place more trust in testimonials than they do in a business's marketing message. They believe that the average person is unbiased and has nothing to gain from providing a testimonial. The business stands to gain--or lose--everything, so its own words are seen as less trustworthy.
Recognizing consumers' skepticism, some businesses make a practice of asking for customer testimonials. Ditto for businesses that serve other businesses. If anything, a business can be an even more demanding customer than an individual consumer because it has its own reputation and ability to function at stake. Thus, a written testimonial on professional letterhead from one business to another is a powerful word in your favor, especially if the business represented on that letterhead is highly credible.
Displaying Testimonials
Written testimonials can be used in many ways to enhance your credibility and set you above your competition--on your business's website, for example. Some websites have them strategically sprinkled throughout so there's at least one testimonial on each page. Others have a dedicated page where a browser can view several testimonials at once. Either way, scan each testimonial to keep it with its letterhead. This will enhance its credibility--and yours.
If your business attracts a lot of walk-in clients, it's helpful to display your written testimonials, each encased in a plastic sheet protector, in a three-ring binder labeled "What our customers say about us" or "Client Testimonials." Keep this binder on a table in your reception area, where your customers can browse through it while they're waiting for services. It's a good way to connect with your prospects and enhance your relationship with clients. We are even now starting to use this same binder approach with our Business Network International (BNI) Champions chapter to show our visitors and guests the type of top quality professionals we have in our networking group.
Another way to stand out from the competition is to include testimonials with your business proposals. This strategy works best if you have a wide variety to choose from; you can include a section of testimonials that are most relevant to a specific proposal.
Asking for Testimonials
Make it standard practice to ask clients (or other contacts) for testimonials. At what point in the sales cycle should you ask? This is a tricky question, but in general, don't ask for any testimonial before it's time--which may be before, during, or after the completion of a sale or project, depending on your client, your product or service, and your own needs.
Let's say that one month before finishing a project, you call your client to ask how things are going. The client tells you she's very happy with the results and that her life or business has changed for the better because of your product or service. At this point, your testimonial detector should be pinging loudly. It's the right time to make your pitch: "That would be a great thing for other people to know about my company. Would you be willing to write me a testimonial on your company letterhead by the end of the week?" If the answer is yes, the next step is to coach your client in writing a testimonial that fits your needs.
Guiding the Content
Ask your client to tell why she chose to work with you, how she benefited from your products or services, how you solved a problem for her, and what other people should know about your business. What things are most people concerned about when using a business like yours? Ask her to address those issues. Don't be afraid to offer suggestions; you'll make it easier for her to write an appropriate testimonial, and the result will be more valuable for you.
Updating Your Testimonials
Finally, review your testimonial file or binder at least every two to three years to identify testimonials that are no longer valid or credible. Specifically, you may want to discard or re-file a testimonial that:
• Is from a company that's no longer in business
• Is/was written by someone who has left the company
• Represents a product or service that you no longer offer
• Has begun to turn yellow with age
• Needs to be updated with new statistics from the customer
Now that you understand what testimonials can do for your business, try asking for three written testimonials on company letterhead this week. Make it easy for your advocates--specify what you would like their testimonials to cover, based on what you know of their satisfaction or successes from using your product or service. Ask for them to be typed on company letterhead, signed and submitted by a certain date.
One more thing: Remember the law of reciprocity. If you want to truly motivate someone to write you a testimonial, write one for him or her first.
As always if you have any questions or comments please email me at rondazaragoza@gmail.com. I will try and reply to your question within 24-48 hours of receipt.
By Ivan Misner & Ronda Zaragoza
Written testimonials influence our actions and choices in a variety of ways, sometimes without our even thinking about them. For example: You and a friend decide to catch a movie, but your tastes don't always coincide. So you open the local paper and check out the film reviews. You decide you want to go to dinner first, but there are so many restaurants in your area that you don't know which one to pick. So you open up a local magazine and scan the recommendations of the magazine's food critic.
Even more powerful than these "professional" testimonials, however, are those that come from trusted personal contacts. If you have enough time, you might call or e-mail a couple of other friends to get their movie and restaurant suggestions. You're likely to follow their advice, too, because you know that they know your likes and dislikes pretty well.
So it is in business. Before people come to your firm for a particular product or service, they often want the comfort of knowing what others have said about you.
Let's say you refinish hardwood floors. Many consumers, before they let you haul your refinishing equipment into their house, will ask you for either written testimonials or phone numbers of people who can attest to your work.
You may even have experience with another form of testimonial: providing references when applying for a new job. Those references are expected to respond by written or spoken word about you and your work performance; quite frequently, a testimonial can clinch the job for you. That's a lot of weight riding on someone else's words.
Why Testimonials Increase Business
Testimonials carry a level of credibility because they come from someone who has direct experience with your product or service. Consumers generally place more trust in testimonials than they do in a business's marketing message. They believe that the average person is unbiased and has nothing to gain from providing a testimonial. The business stands to gain--or lose--everything, so its own words are seen as less trustworthy.
Recognizing consumers' skepticism, some businesses make a practice of asking for customer testimonials. Ditto for businesses that serve other businesses. If anything, a business can be an even more demanding customer than an individual consumer because it has its own reputation and ability to function at stake. Thus, a written testimonial on professional letterhead from one business to another is a powerful word in your favor, especially if the business represented on that letterhead is highly credible.
Displaying Testimonials
Written testimonials can be used in many ways to enhance your credibility and set you above your competition--on your business's website, for example. Some websites have them strategically sprinkled throughout so there's at least one testimonial on each page. Others have a dedicated page where a browser can view several testimonials at once. Either way, scan each testimonial to keep it with its letterhead. This will enhance its credibility--and yours.
If your business attracts a lot of walk-in clients, it's helpful to display your written testimonials, each encased in a plastic sheet protector, in a three-ring binder labeled "What our customers say about us" or "Client Testimonials." Keep this binder on a table in your reception area, where your customers can browse through it while they're waiting for services. It's a good way to connect with your prospects and enhance your relationship with clients. We are even now starting to use this same binder approach with our Business Network International (BNI) Champions chapter to show our visitors and guests the type of top quality professionals we have in our networking group.
Another way to stand out from the competition is to include testimonials with your business proposals. This strategy works best if you have a wide variety to choose from; you can include a section of testimonials that are most relevant to a specific proposal.
Asking for Testimonials
Make it standard practice to ask clients (or other contacts) for testimonials. At what point in the sales cycle should you ask? This is a tricky question, but in general, don't ask for any testimonial before it's time--which may be before, during, or after the completion of a sale or project, depending on your client, your product or service, and your own needs.
Let's say that one month before finishing a project, you call your client to ask how things are going. The client tells you she's very happy with the results and that her life or business has changed for the better because of your product or service. At this point, your testimonial detector should be pinging loudly. It's the right time to make your pitch: "That would be a great thing for other people to know about my company. Would you be willing to write me a testimonial on your company letterhead by the end of the week?" If the answer is yes, the next step is to coach your client in writing a testimonial that fits your needs.
Guiding the Content
Ask your client to tell why she chose to work with you, how she benefited from your products or services, how you solved a problem for her, and what other people should know about your business. What things are most people concerned about when using a business like yours? Ask her to address those issues. Don't be afraid to offer suggestions; you'll make it easier for her to write an appropriate testimonial, and the result will be more valuable for you.
Updating Your Testimonials
Finally, review your testimonial file or binder at least every two to three years to identify testimonials that are no longer valid or credible. Specifically, you may want to discard or re-file a testimonial that:
• Is from a company that's no longer in business
• Is/was written by someone who has left the company
• Represents a product or service that you no longer offer
• Has begun to turn yellow with age
• Needs to be updated with new statistics from the customer
Now that you understand what testimonials can do for your business, try asking for three written testimonials on company letterhead this week. Make it easy for your advocates--specify what you would like their testimonials to cover, based on what you know of their satisfaction or successes from using your product or service. Ask for them to be typed on company letterhead, signed and submitted by a certain date.
One more thing: Remember the law of reciprocity. If you want to truly motivate someone to write you a testimonial, write one for him or her first.
As always if you have any questions or comments please email me at rondazaragoza@gmail.com. I will try and reply to your question within 24-48 hours of receipt.
Get the most from your written testimonials
Make it standard practice to ask clients and contacts for testimonials and you'll build your credibility and your business.
By Ivan Misner & Ronda Zaragoza
Written testimonials influence our actions and choices in a variety of ways, sometimes without our even thinking about them. For example: You and a friend decide to catch a movie, but your tastes don't always coincide. So you open the local paper and check out the film reviews. You decide you want to go to dinner first, but there are so many restaurants in your area that you don't know which one to pick. So you open up a local magazine and scan the recommendations of the magazine's food critic.
Even more powerful than these "professional" testimonials, however, are those that come from trusted personal contacts. If you have enough time, you might call or e-mail a couple of other friends to get their movie and restaurant suggestions. You're likely to follow their advice, too, because you know that they know your likes and dislikes pretty well.
So it is in business. Before people come to your firm for a particular product or service, they often want the comfort of knowing what others have said about you.
Let's say you refinish hardwood floors. Many consumers, before they let you haul your refinishing equipment into their house, will ask you for either written testimonials or phone numbers of people who can attest to your work.
You may even have experience with another form of testimonial: providing references when applying for a new job. Those references are expected to respond by written or spoken word about you and your work performance; quite frequently, a testimonial can clinch the job for you. That's a lot of weight riding on someone else's words.
Why Testimonials Increase Business
Testimonials carry a level of credibility because they come from someone who has direct experience with your product or service. Consumers generally place more trust in testimonials than they do in a business's marketing message. They believe that the average person is unbiased and has nothing to gain from providing a testimonial. The business stands to gain--or lose--everything, so its own words are seen as less trustworthy.
Recognizing consumers' skepticism, some businesses make a practice of asking for customer testimonials. Ditto for businesses that serve other businesses. If anything, a business can be an even more demanding customer than an individual consumer because it has its own reputation and ability to function at stake. Thus, a written testimonial on professional letterhead from one business to another is a powerful word in your favor, especially if the business represented on that letterhead is highly credible.
Displaying Testimonials
Written testimonials can be used in many ways to enhance your credibility and set you above your competition--on your business's website, for example. Some websites have them strategically sprinkled throughout so there's at least one testimonial on each page. Others have a dedicated page where a browser can view several testimonials at once. Either way, scan each testimonial to keep it with its letterhead. This will enhance its credibility--and yours.
If your business attracts a lot of walk-in clients, it's helpful to display your written testimonials, each encased in a plastic sheet protector, in a three-ring binder labeled "What our customers say about us" or "Client Testimonials." Keep this binder on a table in your reception area, where your customers can browse through it while they're waiting for services. It's a good way to connect with your prospects and enhance your relationship with clients. We are even now starting to use this same binder approach with our Business Network International (BNI) Champions chapter to show our visitors and guests the type of top quality professionals we have in our networking group.
Another way to stand out from the competition is to include testimonials with your business proposals. This strategy works best if you have a wide variety to choose from; you can include a section of testimonials that are most relevant to a specific proposal.
Asking for Testimonials
Make it standard practice to ask clients (or other contacts) for testimonials. At what point in the sales cycle should you ask? This is a tricky question, but in general, don't ask for any testimonial before it's time--which may be before, during, or after the completion of a sale or project, depending on your client, your product or service, and your own needs.
Let's say that one month before finishing a project, you call your client to ask how things are going. The client tells you she's very happy with the results and that her life or business has changed for the better because of your product or service. At this point, your testimonial detector should be pinging loudly. It's the right time to make your pitch: "That would be a great thing for other people to know about my company. Would you be willing to write me a testimonial on your company letterhead by the end of the week?" If the answer is yes, the next step is to coach your client in writing a testimonial that fits your needs.
Guiding the Content
Ask your client to tell why she chose to work with you, how she benefited from your products or services, how you solved a problem for her, and what other people should know about your business. What things are most people concerned about when using a business like yours? Ask her to address those issues. Don't be afraid to offer suggestions; you'll make it easier for her to write an appropriate testimonial, and the result will be more valuable for you.
Updating Your Testimonials
Finally, review your testimonial file or binder at least every two to three years to identify testimonials that are no longer valid or credible. Specifically, you may want to discard or re-file a testimonial that:
• Is from a company that's no longer in business
• Is/was written by someone who has left the company
• Represents a product or service that you no longer offer
• Has begun to turn yellow with age
• Needs to be updated with new statistics from the customer
Now that you understand what testimonials can do for your business, try asking for three written testimonials on company letterhead this week. Make it easy for your advocates--specify what you would like their testimonials to cover, based on what you know of their satisfaction or successes from using your product or service. Ask for them to be typed on company letterhead, signed and submitted by a certain date.
One more thing: Remember the law of reciprocity. If you want to truly motivate someone to write you a testimonial, write one for him or her first.
As always if you have any questions or comments please email me at rondazaragoza@gmail.com.
By Ivan Misner & Ronda Zaragoza
Written testimonials influence our actions and choices in a variety of ways, sometimes without our even thinking about them. For example: You and a friend decide to catch a movie, but your tastes don't always coincide. So you open the local paper and check out the film reviews. You decide you want to go to dinner first, but there are so many restaurants in your area that you don't know which one to pick. So you open up a local magazine and scan the recommendations of the magazine's food critic.
Even more powerful than these "professional" testimonials, however, are those that come from trusted personal contacts. If you have enough time, you might call or e-mail a couple of other friends to get their movie and restaurant suggestions. You're likely to follow their advice, too, because you know that they know your likes and dislikes pretty well.
So it is in business. Before people come to your firm for a particular product or service, they often want the comfort of knowing what others have said about you.
Let's say you refinish hardwood floors. Many consumers, before they let you haul your refinishing equipment into their house, will ask you for either written testimonials or phone numbers of people who can attest to your work.
You may even have experience with another form of testimonial: providing references when applying for a new job. Those references are expected to respond by written or spoken word about you and your work performance; quite frequently, a testimonial can clinch the job for you. That's a lot of weight riding on someone else's words.
Why Testimonials Increase Business
Testimonials carry a level of credibility because they come from someone who has direct experience with your product or service. Consumers generally place more trust in testimonials than they do in a business's marketing message. They believe that the average person is unbiased and has nothing to gain from providing a testimonial. The business stands to gain--or lose--everything, so its own words are seen as less trustworthy.
Recognizing consumers' skepticism, some businesses make a practice of asking for customer testimonials. Ditto for businesses that serve other businesses. If anything, a business can be an even more demanding customer than an individual consumer because it has its own reputation and ability to function at stake. Thus, a written testimonial on professional letterhead from one business to another is a powerful word in your favor, especially if the business represented on that letterhead is highly credible.
Displaying Testimonials
Written testimonials can be used in many ways to enhance your credibility and set you above your competition--on your business's website, for example. Some websites have them strategically sprinkled throughout so there's at least one testimonial on each page. Others have a dedicated page where a browser can view several testimonials at once. Either way, scan each testimonial to keep it with its letterhead. This will enhance its credibility--and yours.
If your business attracts a lot of walk-in clients, it's helpful to display your written testimonials, each encased in a plastic sheet protector, in a three-ring binder labeled "What our customers say about us" or "Client Testimonials." Keep this binder on a table in your reception area, where your customers can browse through it while they're waiting for services. It's a good way to connect with your prospects and enhance your relationship with clients. We are even now starting to use this same binder approach with our Business Network International (BNI) Champions chapter to show our visitors and guests the type of top quality professionals we have in our networking group.
Another way to stand out from the competition is to include testimonials with your business proposals. This strategy works best if you have a wide variety to choose from; you can include a section of testimonials that are most relevant to a specific proposal.
Asking for Testimonials
Make it standard practice to ask clients (or other contacts) for testimonials. At what point in the sales cycle should you ask? This is a tricky question, but in general, don't ask for any testimonial before it's time--which may be before, during, or after the completion of a sale or project, depending on your client, your product or service, and your own needs.
Let's say that one month before finishing a project, you call your client to ask how things are going. The client tells you she's very happy with the results and that her life or business has changed for the better because of your product or service. At this point, your testimonial detector should be pinging loudly. It's the right time to make your pitch: "That would be a great thing for other people to know about my company. Would you be willing to write me a testimonial on your company letterhead by the end of the week?" If the answer is yes, the next step is to coach your client in writing a testimonial that fits your needs.
Guiding the Content
Ask your client to tell why she chose to work with you, how she benefited from your products or services, how you solved a problem for her, and what other people should know about your business. What things are most people concerned about when using a business like yours? Ask her to address those issues. Don't be afraid to offer suggestions; you'll make it easier for her to write an appropriate testimonial, and the result will be more valuable for you.
Updating Your Testimonials
Finally, review your testimonial file or binder at least every two to three years to identify testimonials that are no longer valid or credible. Specifically, you may want to discard or re-file a testimonial that:
• Is from a company that's no longer in business
• Is/was written by someone who has left the company
• Represents a product or service that you no longer offer
• Has begun to turn yellow with age
• Needs to be updated with new statistics from the customer
Now that you understand what testimonials can do for your business, try asking for three written testimonials on company letterhead this week. Make it easy for your advocates--specify what you would like their testimonials to cover, based on what you know of their satisfaction or successes from using your product or service. Ask for them to be typed on company letterhead, signed and submitted by a certain date.
One more thing: Remember the law of reciprocity. If you want to truly motivate someone to write you a testimonial, write one for him or her first.
As always if you have any questions or comments please email me at rondazaragoza@gmail.com.
12 Taxes in Health Care Law
As many as a dozen taxes in the new health care law violate President Barack Obama’s campaign pledge not to raise taxes on families earning less than $250,000 and on individuals earning less than $250,000. This we all knew would be a really hard thing to keep as a promise and now we see the president wasn’t able to keep this promise.
At least seven of these taxes directly affect health consumers regardless of income, such as the individual mandate to buy insurance, the employer mandate, the tanning tax, and limits and penalties on health savings accounts. In addition, Republicans argue that the tax impact of the law should include indirect taxes, such as the annual taxes on the health care sector that will be passed on to consumers.
On many occasions during the 2008 presidential campaign, candidate Barack Obama pledged that, if elected, he would ensure that Americans earning less than $250,000 a year would not see a federal tax increase of any kind. ,
“I can make a firm pledge. Under my plan, no family making less than $250,000 a year will see any form of tax increases,” the Illinois senator told a crowd in Dover, N.H. on Sept. 12, 2008. “Not your income tax, not your payroll tax, not your capital gains taxes, not any of your taxes.” This is going to be probably not the case for many of our citizens.
“If your family earns less than $250,000 a year, you will not see your taxes increased a single dime. I repeat: not a single dime,” the president said.
The bulk of the $500 billion in tax increases in the new health care law targets households earning $250,000 and individuals earning $200,000 -- for example, the increase in the Medicare payroll tax. But many of the taxes hit the general public at large.
The individual mandate, for example, will require all legal U.S. residents to purchase a government-approved health insurance plan beginning in 2014. Once the reconciliation bill is voted on in the Senate to amend the law signed by Obama this week, the individual mandate will require a single person to pay 2.5 percent of their income or $695 if they do not purchase health insurance.
Generally, a single person making $30,000 or more will have to pay a 2.5 percent penalty if they do not carry health insurance. A person making less than $30,000 will have to pay $695. This penalty/tax is found in Section 1501 of the bill for “requirement to maintain minimum essential coverage.
The government will also mandate that employers provide health insurance for their employees. This mandate would include small businesses with revenues below $250,000 per year. If the employer does not provide health insurance, the business will have to pay a tax of $750 for each full-time employee. For the employer who requires a waiting period of 30-to-60 days, there is a $400 tax per employee and $600 per employee if the business takes longer than 60 days to comply. This is found in Section 1513 of the bill for “shared responsibility for employers.”
Under the new law, Americans would not be able to use pre-tax dollars from health savings accounts (HSA), flexible spending accounts (FSA), or health reimbursements accounts (HRA) to buy over-the-counter non-prescription medicines. This measure takes effect in 2011 and is supposed to bring in $5 billion dollars. This is found in Section 9003 of the law, under “Distributions for medicine qualified only if for prescribed drug or insulin.”
“Many of us expected the president would violate his pledge,” Boustany told CNSNews.com. “HSAs and FSAs are a prime example. There are other adjustments we will find as we dig into this law. The more the American people see, the more they will find how the amount of tax increases affects them personally.”
Further, the law increases the tax from 10 percent to 20 percent for non-medical early withdrawals from a health savings account for those under the age of 65. This measure takes effect in 2011 and is estimated to increase revenues by $1.3 billion. This is under Section 9004, “Increase in additional tax on distributions from HSAs and Archer MSAs not used for qualified medical expenses.”
Beginning in 2011, the government will impose a cap of $2,500 on FSAs, which are now unlimited, as a means of raising $14 billion in revenue. This is under Section 9005, “Limitation on health flexible spending arrangements under cafeteria plans.”
Those seeking a tan without catching natural rays will find a new 10-percent excise tax on using indoor tanning salons. The tax, estimated to raise $2.7 billion, will take effect in July. This is under Section 10907, “Excise tax on indoor tanning services in lieu of elective cosmetic medical procedures.”
Now, medical expenses that exceed 7.5 percent of a person’s adjusted gross income can be deducted for tax purposes. But the new law raises that deduction threshold to 10 percent of adjusted gross income, meaning fewer tax deductions for someone with high medical costs. This provision starts in 2013 and is supposed to raise $15.2 billion in revenue. This is under Section 9013, “Modification of itemized deduction for medical expenses.”
The law also imposes a 40-percent tax on high-cost insurance plans reaching $10,200, but exempts union members unless the cost of their plan reaches $27,500. This is called the “Cadillac tax.” This tax is actually on the insurer. This goes into effect in 2018 and is estimated to raise $32 billion in revenue.
There is also a tax on insured and self-insured health plans for a patient-centered outcomes research trust fund. Boustany called this a slush fund for the Department of Health and Human Services to dole out grants.
The government estimates it will bring in $107 billion in revenue from new taxes on insurance companies, drug manufacturers and medical device manufacturers. These are three separate indirect taxes that will be passed on to consumers, Republicans contend.
“The annual tax on drug manufacturers and device makers will all be passed along to the consumer,” Rep. Cynthia Lummis (R-Wyo.) told CNSNews.com. “The high-cost plan will encourage some employees to join a union to get a 40-percent discount.”
“Frankly, you can say any tax is going to affect consumers. We didn’t need to really stretch to include too many other things,” ATR tax policy analyst Ryan Ellis told CNSNews.com. “We have seven that were pretty clear violations of President Obama’s pledge not to raise taxes on these people. The one you always hear people bring up is the Cadillac excise tax. That’s not a tax on people, that's a tax on the insurance company. We’ve never asserted that that is a tax [on consumers] because frankly it isn’t. We don’t need to make that argument because there are seven that clearly are.”
Just before signing the bill into law, President Obama said, “And this represents the largest middle-class tax cut for health care in our history.”
Obama signed the bill on Tuesday, Ways and Means Committee Chairman Sander Levin (D-Mich.) said in a statement that the law provides tax credits for four million small businesses.
“Today, in the greatest of American traditions – opportunity and community – we enacted a law that will improve the overall health of our citizens and the overall well-being of our nation,” Levin said in the March 23 statement. “This legislation was the product of generations of hard work, driven by the personal stories of so many who have suffered from a lack of health insurance and the devastation of rising health care costs.”
I have taken some of the quotes from the CNSnews.com article published on March 25th.
As always if you have any questions or comments please email me at rondazaragoza@gmail.com. I will try and reply to your question within 24-48 hours of receipt.
At least seven of these taxes directly affect health consumers regardless of income, such as the individual mandate to buy insurance, the employer mandate, the tanning tax, and limits and penalties on health savings accounts. In addition, Republicans argue that the tax impact of the law should include indirect taxes, such as the annual taxes on the health care sector that will be passed on to consumers.
On many occasions during the 2008 presidential campaign, candidate Barack Obama pledged that, if elected, he would ensure that Americans earning less than $250,000 a year would not see a federal tax increase of any kind. ,
“I can make a firm pledge. Under my plan, no family making less than $250,000 a year will see any form of tax increases,” the Illinois senator told a crowd in Dover, N.H. on Sept. 12, 2008. “Not your income tax, not your payroll tax, not your capital gains taxes, not any of your taxes.” This is going to be probably not the case for many of our citizens.
“If your family earns less than $250,000 a year, you will not see your taxes increased a single dime. I repeat: not a single dime,” the president said.
The bulk of the $500 billion in tax increases in the new health care law targets households earning $250,000 and individuals earning $200,000 -- for example, the increase in the Medicare payroll tax. But many of the taxes hit the general public at large.
The individual mandate, for example, will require all legal U.S. residents to purchase a government-approved health insurance plan beginning in 2014. Once the reconciliation bill is voted on in the Senate to amend the law signed by Obama this week, the individual mandate will require a single person to pay 2.5 percent of their income or $695 if they do not purchase health insurance.
Generally, a single person making $30,000 or more will have to pay a 2.5 percent penalty if they do not carry health insurance. A person making less than $30,000 will have to pay $695. This penalty/tax is found in Section 1501 of the bill for “requirement to maintain minimum essential coverage.
The government will also mandate that employers provide health insurance for their employees. This mandate would include small businesses with revenues below $250,000 per year. If the employer does not provide health insurance, the business will have to pay a tax of $750 for each full-time employee. For the employer who requires a waiting period of 30-to-60 days, there is a $400 tax per employee and $600 per employee if the business takes longer than 60 days to comply. This is found in Section 1513 of the bill for “shared responsibility for employers.”
Under the new law, Americans would not be able to use pre-tax dollars from health savings accounts (HSA), flexible spending accounts (FSA), or health reimbursements accounts (HRA) to buy over-the-counter non-prescription medicines. This measure takes effect in 2011 and is supposed to bring in $5 billion dollars. This is found in Section 9003 of the law, under “Distributions for medicine qualified only if for prescribed drug or insulin.”
“Many of us expected the president would violate his pledge,” Boustany told CNSNews.com. “HSAs and FSAs are a prime example. There are other adjustments we will find as we dig into this law. The more the American people see, the more they will find how the amount of tax increases affects them personally.”
Further, the law increases the tax from 10 percent to 20 percent for non-medical early withdrawals from a health savings account for those under the age of 65. This measure takes effect in 2011 and is estimated to increase revenues by $1.3 billion. This is under Section 9004, “Increase in additional tax on distributions from HSAs and Archer MSAs not used for qualified medical expenses.”
Beginning in 2011, the government will impose a cap of $2,500 on FSAs, which are now unlimited, as a means of raising $14 billion in revenue. This is under Section 9005, “Limitation on health flexible spending arrangements under cafeteria plans.”
Those seeking a tan without catching natural rays will find a new 10-percent excise tax on using indoor tanning salons. The tax, estimated to raise $2.7 billion, will take effect in July. This is under Section 10907, “Excise tax on indoor tanning services in lieu of elective cosmetic medical procedures.”
Now, medical expenses that exceed 7.5 percent of a person’s adjusted gross income can be deducted for tax purposes. But the new law raises that deduction threshold to 10 percent of adjusted gross income, meaning fewer tax deductions for someone with high medical costs. This provision starts in 2013 and is supposed to raise $15.2 billion in revenue. This is under Section 9013, “Modification of itemized deduction for medical expenses.”
The law also imposes a 40-percent tax on high-cost insurance plans reaching $10,200, but exempts union members unless the cost of their plan reaches $27,500. This is called the “Cadillac tax.” This tax is actually on the insurer. This goes into effect in 2018 and is estimated to raise $32 billion in revenue.
There is also a tax on insured and self-insured health plans for a patient-centered outcomes research trust fund. Boustany called this a slush fund for the Department of Health and Human Services to dole out grants.
The government estimates it will bring in $107 billion in revenue from new taxes on insurance companies, drug manufacturers and medical device manufacturers. These are three separate indirect taxes that will be passed on to consumers, Republicans contend.
“The annual tax on drug manufacturers and device makers will all be passed along to the consumer,” Rep. Cynthia Lummis (R-Wyo.) told CNSNews.com. “The high-cost plan will encourage some employees to join a union to get a 40-percent discount.”
“Frankly, you can say any tax is going to affect consumers. We didn’t need to really stretch to include too many other things,” ATR tax policy analyst Ryan Ellis told CNSNews.com. “We have seven that were pretty clear violations of President Obama’s pledge not to raise taxes on these people. The one you always hear people bring up is the Cadillac excise tax. That’s not a tax on people, that's a tax on the insurance company. We’ve never asserted that that is a tax [on consumers] because frankly it isn’t. We don’t need to make that argument because there are seven that clearly are.”
Just before signing the bill into law, President Obama said, “And this represents the largest middle-class tax cut for health care in our history.”
Obama signed the bill on Tuesday, Ways and Means Committee Chairman Sander Levin (D-Mich.) said in a statement that the law provides tax credits for four million small businesses.
“Today, in the greatest of American traditions – opportunity and community – we enacted a law that will improve the overall health of our citizens and the overall well-being of our nation,” Levin said in the March 23 statement. “This legislation was the product of generations of hard work, driven by the personal stories of so many who have suffered from a lack of health insurance and the devastation of rising health care costs.”
I have taken some of the quotes from the CNSnews.com article published on March 25th.
As always if you have any questions or comments please email me at rondazaragoza@gmail.com. I will try and reply to your question within 24-48 hours of receipt.
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