Mass Layoffs

Any employer contemplating mass layoffs should:

1. wait until the passage of the stimulus bill, analyze the bill with your advisors, and

2. consult your legal counsel about the federal WARN Act and any applicable state laws, also any other relevant contracts

Washington is Moving -Sorta

As of this minute the House needs to have a final vote and the President needs to sign the bill, and small business relief will be on its way.

Watch for detailed write ups and for links to better writers at this site. 

Best description - complicated.

Cash Flow Triage - Part II Making the Nut

Us old timers use a phrase for the minimum cash flow we need in our personal lives and/or business operations.

Making the nut.

Where does that come from? No idea.

What I do know is that we need to do a quick calculation of our monthly business minimum.

Some have already done the calculation. Some know it by experience and instinct.

If you do not have a very exact budget of your monthly "nut" you need to do it right now. Then you need to start thinking about what could be cut or delayed.

If you are lucky enough to be in some sort of essential business that gives you plenty of cash flow, you could relax. Or you could do this anyway in case the problems last a long time or even get worse.

Cash Flow Triage - Part 1

The first three concerns of small business are 1) cash flow, 2) cash flow and 3) cash flow.

With or without a federal government program this is going to be tough for a while.

So let's talk cash flow:

Some payments may be required to be paid promptly by federal and/or state law.

Payroll 
Withheld payroll taxes and other withholds
Unemployment taxes, workers comp premiums
Collected sales taxes
Fuel and other excise taxes due


When businesses get backed into cash flow corners it is not uncommon to skip or partial pay these payments.

Beware, there are stiff penalties and to the best of our knowledge those penalties are not being waived.

Tax Day Delay

Today (3/20/2020) the Secretary of the Treasury announced that 2019 personal income tax returns would be due on July 15th 2020. The administration had previously announced that 2019 payments would not be due until July 15th.

This may or may not be legal but Congress is preparing legislation to confirm the date.

More information to follow.

Check with your CPA or tax preparer for details and updates.