BASKETS OF FUN Apple Picking With the Whole Family
Most of the apples you find in stores are ripening now, making September prime apple- picking season! When green apples begin to turn yellow and red apples brighten in color, they are ready to be gathered up. If you are looking for a great excuse to get out in nature with your family or just hankering for some fresh produce, then apple picking is the thing for you. Orchards all over the country have a you-pick season so you can bring home your own fresh apples. Here is how to get in on the apple-picking trend right now! How do you like them apples? If you and your kids aren’t paying to pick apples, and you don’t have the owner’s permission, that’s stealing. If you (or someone else) pay your kids to pick apples, that is child labor, which is, sadly, also illegal. Kidding aside, for
the most part, to pick apples at an orchard, you must pay for the privilege. Orchards all across the country have different varieties of apples ripening all the time. Whether you’re in Maine, Michigan, California, or somewhere in between, you are likely ready to go on an apple-picking frenzy with family! Enjoy the fruits of your labor. After a long day of picking apples and making memories, you need a place to put them. Sure, if you want to dig into your apples right away, a bowl on the counter is fine. But if you want to store these apples for safekeeping (or making pie, apple crisp, apple sauce, or myriad other things), keep them somewhere nice and cool, like a refrigerator. If you keep your apples cool, they’ll stay good for weeks, ensuring you can enjoy the fruits of your labor all month!
WHY 100% ESOP-OWNED S CORPS DON’T PAY FEDERAL TAXES The Power of ESOP-Owned S Corporations
Did you know that an Employee Stock Ownership Plan (ESOP) can create a tax-free company? Many people are not aware of this, but 100% ESOP-owned S corporations do not pay federal or, in almost every state, state income taxes. Let us break it down for you and explore why these entities are tax-free compared to their fellow C corporations. What Are S Corporations and C Corporations? S corporations are unique because they do not pay federal income tax directly. Instead, the shareholders pay taxes on their share of the company’s income. Meanwhile, C corporations must pay federal income tax at the corporate level when they distribute dividends to their shareholders, who have to pay taxes on that money. So, C corporations get taxed twice, but S corporations only get taxed once at the shareholder level. The Perks of ESOP-Owned S Corporations Now, here is where it gets interesting for ESOPs. An ESOP is a retirement plan that owns shares in the company. When an ESOP owns 100% of
an S corporation, it means the ESOP is the only shareholder. And guess what? ESOPs do not pay federal or, in almost every state, state income taxes. So, a 100% ESOP-owned S corporation does not pay federal income tax! It is like having a tax-free pass for the company. Why ESOP-Owned S Corporations are Tax-Free You might be wondering why these companies do not pay taxes. Since an S corporation’s income is passed through to its shareholders and the ESOP is a tax-exempt entity, the income is not taxed. This setup allows the company to keep more earnings, which can be used for growth, better employee benefits, and other important business needs.
Benefits for Everyone This tax-free status is a huge benefit for
businesses. It saves money that can be reinvested in the company. Plus, it helps align the interests of employees and the company because the employees, through the ESOP, are beneficiary owners of the company stock. This often leads to more motivated employees invested in the business’s success.
This setup offers big savings and plenty of benefits for businesses and their employees. So,
next time you think about business structures and tax savings, remember the power of 100% ESOP-owned S corporations.
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