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Mike Thrift

Mike Thrift

Marketing Manager

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Why Most NIL Collectives Aren't Real Charities (and Your Donation Isn't Deductible)
·mike

Why Most NIL Collectives Aren't Real Charities (and Your Donation Isn't Deductible)

The IRS memorandum AM 2023-004 concluded that NIL collectives paying 80-100% of donations to athletes confer substantial private benefit and fail the operational test for 501(c)(3) status, so contributions to them are generally not tax-deductible.

tax
charitable-giving
tax-deductions
tax-compliance
+2
Car Loan Interest Is Tax-Deductible Again: How the OBBBA $10,000 Above-the-Line Deduction Works for U.S.-Assembled Vehicles From 2025 Through 2028
·mike

Car Loan Interest Is Tax-Deductible Again: How the OBBBA $10,000 Above-the-Line Deduction Works for U.S.-Assembled Vehicles From 2025 Through 2028

The OBBBA restores a personal car-loan interest deduction—up to $10,000 per year, above-the-line, for tax years 2025 through 2028—on new U.S.-assembled vehicles financed after December 31, 2024. Mechanics covered include the MAGI phase-out starting at $100K single / $200K joint, Form 1098-VLI reporting beginning in 2026, mandatory VIN entry on Form 1040, and edge cases for refinances, trade-ins, leases, and co-signers.

tax
tax-deductions
tax-planning
personal-finance
+3
The $40,000 SALT Cap: Should You Re-Itemize in 2026?
·mike

The $40,000 SALT Cap: Should You Re-Itemize in 2026?

OBBBA raised the SALT deduction cap to $40,400 for 2026, but a 30-cent-per-dollar MAGI phase-down between $505,000 and $606,333 creates a roughly 45% effective marginal rate — the "SALT torpedo." Here is how to decide whether to re-itemize.

tax
tax-planning
tax-deductions
personal-finance
+3
How the OBBBA's Tiered QSBS Exclusion Changes the Math for Founders, Employees, and Angels
·mike

How the OBBBA's Tiered QSBS Exclusion Changes the Math for Founders, Employees, and Angels

The OBBBA raised the Section 1202 QSBS cap to $15 million, lifted the gross-asset ceiling to $75 million, and replaced the five-year cliff with a tiered 50/75/100 percent exclusion at three, four, and five years — but only for stock issued after July 4, 2025.

tax
tax-planning
startup
equity-instruments
+4
Opening Balance Equity: How to Set Up Books Mid-Year and Zero It Out
·mike

Opening Balance Equity: How to Set Up Books Mid-Year and Zero It Out

Opening Balance Equity is a temporary holding account that must read $0.00 once setup is done. This guide explains why it appears, how to set up books mid-year from a trial balance, and the exact journal entry to move the residual into Retained Earnings or Owner's Equity.

accounting-basics
equity-instruments
bookkeeping
journal-entries
+4
Opening Balances Done Right: Mid-Year Setup and Clearing the OBE Account
·mike

Opening Balances Done Right: Mid-Year Setup and Clearing the OBE Account

Opening Balance Equity is the suspense account accounting software creates to keep the balance sheet in balance during migration. Build a supportable opening trial balance, reconcile every account at the cutover date, then journal OBE into Retained Earnings, Owner's Capital, or Common Stock and Additional Paid-in Capital based on entity type.

bookkeeping
migration
journal-entries
balance-sheet
+4
Setting Up Owner's Equity Accounts: Tracking Contributions, Draws, and Retained Earnings the Right Way
·mike

Setting Up Owner's Equity Accounts: Tracking Contributions, Draws, and Retained Earnings the Right Way

Owner's equity is Assets minus Liabilities — the running total of contributions, draws, profit, and losses. This guide structures equity accounts for sole proprietors, partnerships, and LLCs, explains why draws are not expenses, and shows the year-end closing entries that keep a balance sheet in balance.

equity-instruments
business-structure
small-business
bookkeeping
+4
Personal Use of a Company Vehicle: Imputed Income and W-2 Reporting
·mike

Personal Use of a Company Vehicle: Imputed Income and W-2 Reporting

Personal use of a company car is taxable wages. This guide compares the three IRS valuation methods — Annual Lease Value, cents-per-mile (72.5¢ for 2026), and the $1.50 commuting rule — with worked examples and W-2 reporting steps.

payroll
tax
tax-compliance
small-business
+4
Quality of Earnings Reports: How Sellers Protect Their Price in a Business Sale
·mike

Quality of Earnings Reports: How Sellers Protect Their Price in a Business Sale

A Quality of Earnings report normalizes a company's earnings, reconciles them to cash, and tests every add-back. Sellers who commission their own QoE averaged a 7.4x EBITDA multiple versus 7.0x for those who did not.

business-acquisition
small-business
financial-reporting
bookkeeping
+3
Quality of Earnings Reports: How Sellers Defend EBITDA, Survive Buyer Due Diligence, and Avoid Last-Minute Price Cuts
·mike

Quality of Earnings Reports: How Sellers Defend EBITDA, Survive Buyer Due Diligence, and Avoid Last-Minute Price Cuts

A Quality of Earnings (QoE) report decides whether a buyer accepts your EBITDA or re-trades the deal price. This guide breaks down the 12 add-backs buyers accept, the 8 they reject, and how the working capital peg quietly cuts seller proceeds at closing.

mergers-and-acquisitions
business-exit
business-valuation
working-capital
+3
Recording Sales Tax You Collect: A Liability, Not Revenue
·mike

Recording Sales Tax You Collect: A Liability, Not Revenue

Sales tax you collect belongs to the state, not your revenue line. Here are the journal entries, the month-end reconciliation routine, and the multi-state economic nexus rules that keep your books audit-ready.

sales-tax
tax-compliance
journal-entries
reconciliation
+4
Recording Sales Tax You Collect: A Liability, Not Revenue
·mike

Recording Sales Tax You Collect: A Liability, Not Revenue

Sales tax you collect belongs on the balance sheet as Sales Tax Payable, never on the income statement. Split each taxable sale into Sales Revenue and a tax liability, keep one account per jurisdiction, and reconcile so the payable zeroes out at filing time.

tax
tax-compliance
liability
bookkeeping
+3
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