Ask a CPA

Obligations to pay for goods or services that have been acquired on open accounts from suppliers. Accounts Payable is a current liability in the Balance Sheet.

Statement, at a particular point in time, of the financial position of a business or organization. This is generally divided into three parts: assets, liabilities and ownership, or equity. Also known as Statement of Financial Position.

Negotiated debt obligations that the U.S. government regularly offers at public auction through the Federal Reserve Bank. Treasury bills, bonds and notes have varying maturities and yields.

A Treasury bill is a negotiable debt obligation issued by the U.S. government, also called a T-bill. Treasury bills mature in one year or less, are exempt from state and local taxes, and range in value from $10,000 to $1 million; they sell at a discount based on current interest rates.

Yes. Taxable alimony payments qualify as compensation for purposes of making an IRA contribution. You are subject to the same IRA contribution limitations as one who is working.

Yes. Taxable alimony payments qualify as compensation for purposes of making an IRA contribution. You are subject to the same IRA contribution limitations as one who is working.

No. You cannot make a contribution to a "traditional" IRA in the year you reach 70 1/2. However- you can make a contribution to a Roth IRA. Of course you must have earned income and the same rules that limit Roth IRAs and traditional IRAs apply. For additional details contact a local CPA.

In 2013, the maximum contribution is $5,500 if you are under age 50 and $6,500 if you are older than age 50. However, you are subject to the phase out rules, based upon your income level. Please find the information on phase out rules or contact a local CPA for greater details and how it impacts our situation.
In 2014: The AGI phase-out range for taxpayers making contributions to a Roth IRA is $181,000 to $191,000 for married couples filing jointly, up from $178,000 to $188,000 in 2013.
For singles and heads of household, the income phase-out range is $114,000 to $129,000, up from $112,000 to $127,000.
For a married individual filing a separate return, the phase-out range is not subject to an annual cost-of-living adjustment and remains $0 to $10,000

Treasury bond and U.S. Savings bond interest is tax-free only on your state returns but not your federal tax returns.

Treasury bills are short term U.S. obligations of a year or less ( 4 weeks, 13 weeks, 26 weeks and 52 weeks). A Treasury Bond has a maturity of over 10 years. Treasury notes have a maturity of 2, 5 or 10 years,