Education provisions
THE Tax Cuts and Jobs Act saves the student loan interest deduction and keeps tuition waivers for graduate students tax-free. It also expands 529 savings accounts to include private K-12 education….
Category: Business
Covering the week’s most noteworthy business news impacting the Filipino-American and Global Filipino community.
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What really causes people to file bankruptcy?
A LOT of people who don’t have a clue about how bankruptcy works are sometimes too quick to judge others who find bankruptcy as their only option to get out…
What you need to know about pretax plans
THE only means an employer can offer employees between taxable and nontaxable benefits is through section 125 plan. What are a section 125 plan, a cafeteria plan, and the IRS…
Repo deficiency causes senior to seek Chapter 7 relief
THE first client is 75 years old. Her husband passed four years ago and left her with $30,000 of credit card debt. She has been making minimum payments on their…
“Independent contractor” classification can be a bad bargain for workers
Q: I work as a travelling technician or ompany. Recently, my employer asked me to sign an “independent contractor” agreement and told me that I will now be receiving a 1099 instead…
What you should know about the new tax law P6
Part 6: Homeowners 1. THE Tax Cut and Jobs Act reduces the maximum amount of mortgage debt to acquire a first or second residence for which you can claim itemized…
When debt problems cause marriage problems
EVERY day, I meet with couples who are deeply in debt. In a lot of cases, I can feel the stress level that they are experiencing while the couple is…
From tech entrepreneur to travel journalist: Garrett Gee and his ‘bucket list’
In nearly three years, Garrett Gee and his wife Jessica have traveled to 45 countries and have been on over 150 flights with their two toddlers in tow, digitally documenting…
Client files Chapter 13 while hoping for a loan modification of mortgage
A CLIENT has had an ongoing “battle” with Wells Fargo for justice on her mortgage since 2007. It’s been nine years since she made the mistake of refinancing her fully…
Should employers be liable for sex harassment by non-employees?
M.F. worked for Pacific Pearl Hotel Management, LLC as a housekeeper at its five-building hotel property. One morning, the hotel’s engineering manager saw a drunk trespasser with a beer in…
What you should know about the new tax law Part 3: Business
THE business tax provisions of the Tax Cut and Jobs Act include: • The new Tax Cuts and Jobs Act cuts corporate taxes from eight graduated rates of 15 percent…
Warning to people who are thinking of hiring a debt settlement company
IF you are delinquent on your debts, you may be able to avoid dealing with the bill collectors for a few months but sooner or later, you will still need…
California updates: Part 1
Audit Issues: If you claim deductions for medical expenses, charitable contributions, and employee business expenses in Schedule A of your Federal Form 1040 do not be surprised if you received…
Food retailer client seeks Chapter 7 relief
THE client is a specialty food retailer who started operations in a commercial center two years ago. Five partners invested $50,000 each for a total of $250,000 for a food…
Is obesity protected under disability discrimination laws?
KETRYN Cornell has been diagnosed as severely obese since childhood with a body mass index of over 50. Her weight interferes with daily life functions, including bathing and walking. She…
What you should know about the new tax law Part 2: Deductions
1. MORTGAGE interest deduction has been lowered: Current homeowners can continue to deduct interest on loans of $1 million; however, new homeowners will be limited to interest on loans of…
Are you worried about filing bankruptcy?
ARE you one of many people who needs to file bankruptcy but you are afraid that it may be the worst mistake you can ever make in your life? Are…
Federal tax update part 2: 2017 and 2018 H.R.1
2017 versus 2018 tax rates: individual income tax rates in 2017 in percentage are 10, 15, 25, 28, 33, 35, and 39.6. The 2018 rates in percentage are 10, 12,…
#MeToo is not just a movement, it is evidence in discrimination claims
“ Apart from becoming a cultural phenomenon, the phrase ‘me-too’ is actually found in the law, as when plaintiffs invoke ‘me-too’ evidence in support of their claims for damages involving sexual harassment and discrimination.” THE MeToo ampaign started…
Senior needs bankruptcy relief. But Chapter 7 or 13?
THE client is 74. Her husband passed away two years ago. Her only source of income is social security of $2,000 a month, which was her husband’s social security. Her…
What you should know about the new tax law Part I: The basics
1. THE standard deduction is doubled: Republicans want to simplify our tax code so more people can claim standard deductions instead of more complicated itemized deductions. This becomes a reality…
3 reasons why bankruptcy might be the best solution for debt problems
IF you’re in debt and are considering bankruptcy as an option for you to get needed relief, perhaps just hearing the word “bankruptcy” makes you extremely nervous. Maybe the word…
California tax rates and exemptions for 2017 tax returns
AMOUNTS for tax returns in 2017 are compared with amounts in 2016. Exemption credits: a. $114 from $111 – Single, Married filing separately, Head of Household. b. $228 from $222…
Client with nondischargeable judgment of $80K needs Chapter 13 relief
THE client is 50 and operates a business. There is a state court judgment against him for $80K. Is this judgment dischargeable in bankruptcy? The answer is: If the judgment…
How personal injuries may affect employee rights
Q: I WAS severely injured in a recent car accident while returning to work on an errand. I had to undergo multiple surgeries. I missed several weeks of work and…
Overview of Tax Cuts and Jobs Act
REPUBLICANS hail the Tax Cuts and Jobs Act as their biggest legislative achievement under President Trump. It’s the first major tax overhaul since the days of fellow Republican Ronald Reagan. The…
To people who have debt problems but are too embarrassed to seek help
DO you need help with debt problems but are too embarrassed to even talk about them? Perhaps you’re under a lot of stress due to your finances but don’t even…
A client wants Chapter 7, but can he avoid the presumption of abuse?
A CLIENT wants Chapter 7, but can he avoid the presumption of abuse? The client is 55, married with a son and daughter who have just entered college. His income…
Federal tax update for 2017 tax returns
2017 versus 2018 tax rates: individual income tax rates in 2017 in percentage are 10, 15, 25, 28, 33, 35, and 39.6. The 2018 temporary tax rates percentage are 10,…
Employment protections strengthened under new laws in 2017
THIS is our yearly wrap-up of some of the new laws that were created or that took effect in California in 2017 to continue to protect employees: California Prohibits On-Duty…