Blog

President Biden has signed into law the $1 trillion Infrastructure Investment and Jobs Act approved by the U.S. House of Representatives. The law will bring infrastructure investments across the country, including improved roads, railroad lines and other public transportation infrastructure.

The new law will also do away with what’s become an important benefit for businesses around the country still working to recover from the financial impact of the COVID-19 pandemic. The Infrastructure Investment and Jobs Act will end the Employee Retention Credit (ERC) early for most businesses. Expanded to certain employers as a result of the American Rescue Plan Act, the ERC had applied to the third and fourth quarters of 2021. Now the ERC will end with the third quarter of this year. In other words, any wages paid out after September 30 of this year won’t be eligible for the ERC.

If your business planned to take advantage of the ERC for the fourth quarter, be sure to be in touch with your GJM team so you can make the necessary adjustments in your business planning as we approach yearend.

We continue to watch developments in Washington, D.C. with the Build Back Better Act as lawmakers continue to work to come to an agreement. The proposed legislation addresses climate policy, social spending and would bring many tax policy changes. Lawmakers are hoping to pass something in the next couple of weeks.  

Established in 1996, Gilmore Jasion Mahler, LTD (GJM) is the largest public accounting firm in Northwest Ohio, with offices in Maumee and Findlay. Locally owned, GJM offers cloud-based accounting and provides comprehensive services including assurance, business advisory, tax, risk advisory, healthcare management and outsourced accounting. The firm’s professionals specialize in industries including construction & real estate, healthcare, manufacturing & distribution and utilities.

The owner of any business that offers a retirement plan understands there’s a great deal of work associated with proper administration of the plan. Rather than trying to manage the plan internally, many businesses turn to a third-party administrator (or TPA). The number one job of a TPA is to ensure the accuracy and continued compliance of your retirement plan. The U.S. Department of Labor regulations can be confusing and mandatory compliance testing can quickly become complicated. If not performed correctly, lack of proper compliance could cost the plan a great deal of money in penalties. A TPA’s role is to review plan documents and confirm the plan is following and meeting those critical required government compliance standards. Perhaps most importantly, the right TPA in place can remove these concerns from the business owner or manager and offer the reassurance of ongoing compliance.

Considering a TPA?  

If your business is considering bringing on a TPA, be sure you clearly understand your needs before selecting a service provider. Making the right choice will save your business potential headaches down the road. In this article we’ll offer three helpful suggestions for finding the right TPA for your unique business needs.

Choose someone who understands your industry. Each industry is different, from industrywide regulations to practices very specific to your business. You will benefit from working with a TPA who understands your area of specialization.

GJM Benefit Plan Services Specialist Molly Wolf agrees that industry knowledge is invaluable. She services benefit plans across many industries, including healthcare.

“I happen to do quite a bit of work for healthcare entities: physician practices, dental practices and other health facilities. The more work you do in a specialized industry,” she says, “the more knowledge you gain, and clearer understanding you have of industry specific compliance standards. That knowledge has served me very well as I service my healthcare clients.”

Make sure you work well together. Communication is everything. Think of your TPA as a member of your extended team and keep the communication lines open. Regulations can change. Your needs can change. Be sure you’re on the same page. If you’re communicating with your TPA and not seeing the type of responsiveness you need, it may be time to consider another provider. Consider establishing a point person within your business to work directly with your TPA. Typically, that will be your Human Resources Director.

Understand the value of experience. Your TPA should have solid experience and knowledge. Make sure the provider is familiar with the different types of retirement plans, clearly understands product offerings and can help you select the best benefit plan for your needs and the needs of your employees. The ideal TPA is also engaged with continuing education to stay abreast of changes in compliance requirements.

Our Expertise

Retirement Plan Services at GJM include:

• Benefit plan audits
• Retirement consulting
• Preparation and filing of related retirement tax forms
• Retirement Plan Third Party Administration (TPA)
  • Required compliance testing
  • Preparation of plan documents, restatement, and amendments
  • Reconciliation of each individual participant account
  • Preparation of annual and quarterly notices

GJM’s benefit plan administration specialist team works with businesses with varying needs. Here’s just some of what you can expect:

• Lower administrative burden
• Ability to make recommendations and provide practical solutions
• Assistance with plan corrections
• Intimate knowledge of your plan and business
• Ability to work with your current providers including advisors/brokers, investment companies, record-keepers, and payroll services
• New plan start-up
• Assist with determining participant eligibility
• Compliance testing
• Employer contribution projections
• Annual and quarterly notices
• Processing and reconciliation of participant loans
• Processing of distributions
• Preparation of Form 1099-R and 945
• Vesting
• Preparation and filing of Form 5500 and Form 8955-SSA

If you think your business could benefit from GJM’s specialized Benefit Plan Administration Services, reach out to your GJM team to start the discussion.

Molly Wolf is an accounting services manager with over 15 years of experience specializing in employee benefit plans. The first 9 years of her career were spent as a dedicated employee benefit plan auditor. Her expertise also includes consulting for third-party plan administration and benefit plan design, compliance testing, payroll integration and reconciliation. Since joining Gilmore Jasion Mahler in September of 2019, Molly has continued to provide third-party administration services, prepares related tax forms, consults on plan design, and prepares plan documents. She is a graduate of Bowling Green State University with a Bachelor of Science in business administration with accounting specialization.

Established in 1996, Gilmore Jasion Mahler, LTD (GJM) is the largest public accounting firm in Northwest Ohio, with offices in Maumee and Findlay. Locally owned, GJM offers cloud-based accounting and provides comprehensive services including assurance, business advisory, tax, risk advisory, healthcare management and outsourced accounting. The firm’s professionals specialize in industries including construction & real estate, healthcare, manufacturing & distribution and utilities.

Technology has led to the development of new accounting tools and approaches that have revolutionized how businesses operate. As a result, the outsourced accounting landscape in 2023 looks promising.

Many businesses have transitioned to cloud-based accounting systems and integrated finance software to manage their books. With many new companies opening and remote work rising, there’s been a tremendous increase in demand for outsourced accounting services.

But with the influx of new accounting service providers in the market, it has become difficult for businesses to choose the right one to fit their needs. Here are five essential tips on choosing the right provider for your business.

#1: Decide What You Need from an Outsourced Accounting Provider

Before you start your search for the right provider, you must first identify what you're looking for in a provider. What type of accounting services do you need? What level of expertise do you require? Do you need a full-service provider or just specific services?

Answering these questions will help you narrow down your search and make it easier to find a provider that meets your specific requirements.

#2: Assess Your Current Accounting Process and Needs

You also need to look closely at your current accounting processes and needs. This will help you understand what areas need improvement and what services you need from a provider.

You should also assess your company's growth plans and decide if you need a provider that can scale with your business. This is important because your accounting needs will change as your business grows.

#3: Research Different Outsourced Accounting Providers 

Once you know what you want and need from a provider, it's time to start your research. There are several ways to do this. You can start by reading online reviews and comparing different providers.

Even more important, ask for recommendations from close business relationships. There’s nothing more valuable than a reference from someone you trust. You can also consult with your current accountant, who may or may not be able to provide these specialized services. Once you have a list of potential providers, you can contact them to get more information.

#4: Interview Potential Outsourced Accounting Providers 

After your research, it's time to start interviewing potential providers. This is crucial because it will help you understand the provider's services, experience, expertise, and approach.

During the interview, you should keep these goals in mind:

• Find out what tools and processes they use
• Check online reviews and testimonials
• Get a sense of their customer service
• Learn about other services they offer

#5: Make a Decision and Implement the New Provider

After you've interviewed different providers and gathered all the information you can, you're ready to decide. Choose the provider that you feel is the best fit for your business and budget.

Once you've decided, it's time to implement the new provider. Make sure to create a plan for how you'll transition and communicate with your team to minimize disruptions to your business and ensure a smooth transition.

The Bottom Line

Choosing the right outsourced accounting provider is a vital decision for any business. By assessing your needs, researching different providers, and interviewing potential providers, you can find the right partner to fit your specific needs and requirements.

GJM outsourced accounting services offer a wide range of specialty services for businesses interested in handing over the accounting function to a provider and advisor they can trust.

RELATED ARTICLE: Is Your Business Data Safe? Are you Sure?

RELATED ARTICLE: Someone Wants to Buy Your Business. Are You Ready?

Established in 1996, Gilmore Jasion Mahler, LTD (GJM) is the largest public accounting firm in Northwest Ohio, with offices in Maumee and Findlay. Locally owned, GJM offers cloud-based accounting and provides comprehensive services including assurance, business & transaction advisory, healthcare management & advisory, outsourced accounting, and risk advisory. The firm’s professionals specialize in industries including construction & real estate, healthcare, manufacturing & distribution, nonprofit, private equity and utilities.