Monthly News & Updates

October 2025, Issue #22

Bookkeeping and Payroll

Back Office Consulting Services

Bookkeeping

Payroll Processing Services

Business Software

Preparing Your Business for 2026: The Four Essentials for Staying Ahead

1. Financial Resilience & Cost Control

In 2026, strong finances will separate stable businesses from those just getting by. Rising costs, tighter margins, and unpredictable markets demand control and foresight.

· Action:

• Review pricing regularly to match inflation and tech costs.

• Build a 12-month cash plan with reserves for slow periods.

• Eliminate unnecessary expenses and subscriptions.

• Transition to recurring or value-based pricing to ensure predictable cash flow.

2. Talent, Workflow & Scalability

Growth comes from systems, not more hours. The right structure allows your business to scale without chaos or burnout.

· Action:

• Document and simplify every major workflow.

• Train your team to work efficiently with digital tools.

• Eliminate redundant steps that slow operations.

• Use contractors or part-time specialists for niche or overflow work instead of over-hiring.

3. Client Retention & Positioning

Competition is rising, and client loyalty is earned through consistency, transparency, and trust. A strong brand message and client experience will define your staying power.

· Action:

• Package services into clear, easy-to-understand plans.

• Automate updates, reminders, and reporting to improve responsiveness.

• Gather regular client feedback and use it to refine your services.

• Make it easy for clients to communicate and see your value at a glance.

4. Automation, AI & Cybersecurity

Technology will be the backbone of small business success in 2026. Smart automation improves accuracy, saves time, and protects your reputation when paired with solid cybersecurity.

· Action:

• Automate repetitive, low-value tasks to boost productivity.

• Adopt secure, cloud-based systems for payroll, bookkeeping, and communication.

• Update passwords, enable multi-factor authentication, and train staff on security awareness.

• Schedule regular cybersecurity reviews — prevention is cheaper than recovery.

By 2026, businesses that are financially disciplined, system-driven, client-focused, and technologically secure will lead their industries. Those that aren’t adapting now will be playing catch-up later.

New Tax Law: Tips and Overtime Overview

Key Provisions

1. No Tax on Tips

2. No Tax on Overtime.

Employer & Worker Duties

Employers must report tips and overtime separately (W-2/1099) with special notations.
For 2025, IRS allows “reasonable methods” for reporting; 2026-2028 will require new W-2 codes.
Workers must track tips and overtime carefully to maximize deductions.

Duration & Limits

Temporary law, expiring end of 2028 unless extended.
Phase-out removes benefit for higher-income filers.

Practical Impact

Workers in tipped jobs (servers, bartenders, delivery) or those logging overtime stand to save significantly.
Savings depend on accurate records and staying under income caps.

Bottom Line

The OBBBA delivers meaningful tax relief for moderate-income workers with heavy tips or overtime, but with strings: strict caps, income phase-outs, and limited duration. Payroll taxes still apply, and employers shoulder new reporting obligations. For the right employees, it’s a valuable benefit; for others, the impact may be modest.

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Info, Tips, and Deals

LLC vs. Corporation: Choosing the Best Structure for Your Startup

By: Richard Harroch

Many startup businesses are started as one of three business entities: a Limited Liability Company (LLC), an S corporation, or a C corporation. So how do they differ, and which is the best startup structure? In this article, I explain the differences between these three business structures and highlight the pros and cons of each.

S Corporations

What Is an S Corporation?

An S corporation is a legal entity used to form and operate a business, and which offers the benefit of “pass through” taxation.

How Is an S Corporation Formed?

Either an “Articles of Incorporation” or “Certificate of Incorporation” form is filed with the Secretary of State in the state you decide to incorporate with.

Request needed w9s before year-end

1. Avoid January Overload

January is packed with closing books, issuing W-2s, and filing 1099s. Chasing vendors then only adds stress and delays.

2. Stay Compliant

You can’t issue a 1099 without correct taxpayer info. Waiting risks late or incorrect filings and IRS penalties.

3. Prevent Backup Withholding

Without a W-9, the IRS may require 24% backup withholding. Collecting forms early protects you.

4. Better Leverage

It’s easier to get paperwork during active work. By January, vendors may be unresponsive.

5. Organized Records

W-9s on file keep vendor records audit-ready and show professionalism.

6. Fewer Errors

Rushing in January leads to mistakes. Early collection gives time to confirm accurate info.

👉 Getting W-9s now reduces stress, ensures compliance, and simplifies year-end reporting.

Call us for more information.

Numerous SaaS Apps Running on AWS Report Slowdowns

Oct 21, 2025 8:20:40 AM

Numerous software-as-a-service (SaaS) providers have reported significant service slowdowns and even service interruptions due to an 'ongoing global outage' impacting Amazon Web Services (AWS). Even companies like Xero and Melio have reported such delays, including the inability of their customers to access accounts, information, or software resources.

While Amazon has reported that its platform is now "back to normal," the outage clearly caused turmoil for thousands of SaaS providers and their customers. While you may or may not have experienced issues with your everyday business software apps due to this problem, it impacted hundreds of thousands (or more) computer users worldwide.

Why List Your Company in an Online Business Directory

By: Richard Harroch

It’s important for business owners to list their companies in prominent and reputable business directories. Often these listings are free, but even if you have to pay a small fee, it can be worth it.

In this article I have set forth all the potential benefits of having a business profile in a business directory, what you should make sure to include in that profile, and a list of top business directories you should submit to.

What are the benefits of a listing in a business directory?

There are a number of benefits of listing your company in a business directory, including:

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Your Biggest Threat Isn’t a Competitor — It’s Actually Hiding in Your Own Business

By: Erik Lien

Collecting tools without integration may look like progress, but in reality it creates fragile, duct-taped systems that collapse under pressure. Are your operations quietly eroding from within?

While most people believe market foresight is about predicting the future, my experience has taught me it’s rooted in something far more fundamental: the ability to see the hidden architectural flaws in the present long before they metastasize into a full-blown crisis. As enterprises bet their futures on AI and automation, it is these unseen flaws that now pose the single greatest threat to their success.

Debit Card Fraud Is on the Rise. Here's What I Did When It Happened to Me

By: Katherine Peach

A few weeks ago, I stopped at a gas station I don’t typically visit. I paid at the pump with my debit card like usual, filled up and went on my way. But a few days later, I spotted several strange transactions in my bank account. Some were for just a few dollars; others were in the hundreds.

That’s when I realized my debit card information had been stolen.

I suspect my card was skimmed at the gas station. Skimming is a common tactic whereby criminals install discreet devices and tiny cameras on point-of-sale terminals to steal people's debit card numbers and PINs. This kind of theft is increasingly common — as I learned the hard way.