Author Archives: Angie Fenton


Money Matters | Think Strategically When Donating to Charity

Michelle Floyd, CFP, Financial Consultant

Michelle Floyd, CFP, Financial Consultant

Planning ahead for taxes may help increase your charitable giving’s impact. A variety of strategies are available for incorporating tax planning into charitable giving. Your particular situation will help determine which strategy, or strategies, may be right for you.

Estate taxes are unlikely to be an issue

Although your primary goal in charitable giving is to help make the world a better place, keep in mind that being strategic in your giving may lead to a win-win situation for you and favorite causes.

You may have heard estate taxes are often a primary concern when considering a charitable giving program. By making gifts, an individual can reduce his or her estate’s value and potentially reduce or eliminate the federal estate taxes the heirs would eventually have to pay.

However, Congress changed laws governing federal estate taxes over the last several years so they now apply only to estates valued at $5,490,000 or more (in 2017). Married couples can help protect twice that amount from estate taxes by employing strategies designed for that purpose. (To learn more about these strategies, contact us.)

As a result of these changes, federal estate taxes are no longer an issue for most Americans. But when it comes to charitable giving, there are still other tax benefits to consider.

Avoid capital gains taxes to help maximize your gift’s impact

Charitable giving can be as simple as writing a check and dropping it in the mail. But before you pull out the checkbook, think about different ways to donate that may have tax benefits. Consider this example:

Suppose you’re holding in a taxable account $100,000 of stock you paid $10,000 for several years ago.[1] The IRS would call the $10,000 your “cost basis” in the stock. If you want to make a significant donation to a charity, you could:

  1. Sell the stock
  2. Pay long-term capital gains taxes of up to 20% on the difference between the proceeds and your cost basis
  3. Donate what’s left to your favorite charity

On the other hand, you could simply give the stock directly to the charity and avoid the capital gains tax. The charity can then sell the stock without incurring capital gains tax and wind up having more than if you sold the stock yourself.

This illustrates what we’re talking about:

  Sell stock and donate proceeds Give stock directly to charity
Proceeds from stock sale $100,000 $100,000
Capital gains tax @ 15% on $90,000 gain[2] ($13,500) ($0)
Net received by charity $86,500 $100,000

As you can see, the charity ends up with more if you simply donate the stock, and isn’t that the whole idea?

Help increase your investment income

Suppose you hold in a taxable account a substantial amount of stock that’s paying you little in the form of dividends and you’re looking to generate current income. As in the example above, you could sell the stock, pay any capital gains taxes, and use what’s left to purchase other investments or make charitable gifts.

However, if you’d like to avoid immediate capital gains taxes, one strategy to consider is a charitable remainder trust, or CRT.

After you establish a CRT, you can donate the stock to the trust, which may give you a tax deduction for a portion of your contribution. The trustee can sell the stock without incurring immediate capital gains taxes and purchase other investments that have the potential to pay a larger amount of income. Keep in mind, this income may be taxable to you.

You determine the payment you want to receive from the CRT based on a percentage (not less than 5%) of the donated stock’s fair market value. (IRS factors may limit the income payout.) Remember the larger your payout, the less of a tax deduction you may receive for making the donation.

At your death, the death of your beneficiary, or the completion of the trust’s term (it’s your choice), the trustee will distribute what’s left in the CRT (the remainder) to the charity or charities you named in the trust document.

Pooled-income funds provide another alternative

Although a CRT offers a number of advantages, there are costs involved. For example, you’ll need to enlist an attorney to draw up the trust documents, and depending on whom you choose, you may have to pay for the trustee’s services.

For a less costly alternative, think about a pooled-income fund. It shares many features of certain CRTs, such as avoiding capital gains tax on your gift and the ability to make future contributions.

A pooled-income fund is created and maintained by a public charity. As its name implies, the fund comprises assets contributed by many different donors, which are pooled and invested together. All the donors are paid a share of the net income the fund earns. The income amount depends on the fund’s performance and is taxable to you.

When an income beneficiary dies, the charity receives an amount equal to that donor’s share in the fund.

These funds are less flexible than CRTs. For instance, you cannot choose your income payout; you will be paid the net income the fund earns. The payout will vary from year to year, depending on what the portfolio generates.

In exchange for a lack of flexibility, a pooled-income fund offers simplicity. Rather than having your own trust document drafted, you will be provided with a standard agreement that lets you transfer your assets to the charity.

Other strategies to consider

These are just a few charitable giving strategies for you to think about. Others available include:

  • Charitable lead trusts
  • Charitable foundations
  • Donor advised funds
  • Charitable gift annuities

Contact us for information on any of these alternatives.

This article is designed to provide accurate and authoritative information regarding the subject matter covered. It is made available with the understanding that Wells Fargo Advisors is not engaged in rendering legal, accounting or tax-preparation services. If tax or legal advice is required, the services of a competent professional should be sought. Wells Fargo Advisors’ view is that investment decisions should be based on investment merit, not solely on tax considerations. However, the effects of taxes are a critical factor in achieving a desired after-tax return on your investment.

The information provided is based on internal and external sources that are considered reliable; however, the accuracy of the information is not guaranteed. Specific questions on taxes as they relate to your situation should be directed to your tax advisor.

This material has been prepared or is distributed solely for informational purposes. Information has been obtained from sources believed to be reliable, but its accuracy and completeness are not guaranteed.

Trust services available through banking and trust affiliates of Wells Fargo Advisors. Insurance products are available through non-bank insurance agency affiliates of Wells Fargo & Company and underwritten by non-affiliated insurance companies. Not available in all states.

This article was written by/for Wells Fargo Advisors and provided courtesy of Michelle Floyd, CFP®, Financial Consultant with Axiom Financial Strategies Group of Wells Fargo Advisors in New Albany, IN  at 812-948-8475.

Investments in securities and insurance products are: NOT FDIC-INSURED/NOT BANK-GUARANTEED/MAY LOSE VALUE

Wells Fargo Advisors is a trade name used by Wells Fargo Clearing Services, LLC, Member SIPC, a registered broker-dealer and non-bank affiliate of Wells Fargo & Company.

© 2017 Wells Fargo Clearing Services, LLC. All rights reserved.  CAR 0717-04957

[1] This example is for illustrative purposes only and does not reflect the performance of a specific investment. It assumes no events took place during the time you owned the stock that would affect your cost basis.

[2] Assumes donor is in one of the 25% up to 35% tax brackets.


Money Matters | 10 Reasons Why Beneficiary Designations Are Important

mm-feature-image-toddBeneficiary designations can provide a relatively easy way to transfer an account or insurance policy upon your death. However, if you’re not careful, missing or outdated beneficiary designations can easily cause your estate plan to go awry.

We often complete these designations without giving it much thought, but they’re actually important and deserve careful attention. Here’s why: Beneficiary designations take priority over what’s in other estate planning documents, such as a will or trust.

For example, you may indicate in your will you want everything to go to your spouse after your death. However, if the beneficiary designation on your life insurance policy still names your ex-spouse, he or she may end up getting the proceeds.

 Where you can find them

 Here’s a sampling of where you’ll find beneficiary designations:

  • Employer-sponsored retirement plans [401(k), 403(b), etc.]
  • IRAs
  • Life insurance policies
  • Annuities
  • Transfer-on-death (TOD) investment accounts
  • Pay-on-death (POD) bank accounts
  • Stock options and restricted stock
  • Executive deferred compensation plans

Because you’re asked to designate beneficiaries on so many different accounts and insurance products, it can be difficult to keep up. However, it’s worth the effort; failing to maintain the beneficiary designation on that 401(k) from three employers ago could mean money will go to the wrong place.

When you first set up your estate plan, go over all the designations you previously made and align them with your plan. After that, you should review and update them regularly – a least once a year.

10 tips about beneficiary designations

 Because beneficiary designations are so important, keep these things in mind in your estate planning:

  1. Remember to name beneficiaries. If you don’t name a beneficiary, one of the following could occur:
  • The account or policy may have to go through probate court. This process often results in unnecessary delays, additional costs, and unfavorable income tax treatment.
  • The agreement that controls the account or policy may provide for “default” beneficiaries. This could be helpful, but it’s possible the default beneficiaries may not be whom you intended.
  1. Name both primary and contingent beneficiaries. It’s a good practice to name a “back up” or contingent beneficiary in case the primary beneficiary dies before you. Depending on your situation, you may have only a primary beneficiary. In that case, consider whether a charity (or charities) may make sense to name as the contingent beneficiary.
  1. Update for life events. Review your beneficiary designations regularly and update them as needed based on major life events, such as births, deaths, marriages, and divorces.
  1. Read the instructions. Beneficiary designation forms are not all alike. Don’t just fill in names – be sure to read the form carefully.
  1. Coordinate with your will and trust. Whenever you change your will or trust, be sure to talk with your attorney about your beneficiary designations. Because these designations operate independently of your other estate planning documents, it’s important to understand how the different parts of your plan work as a whole.
  1. Think twice before naming individual beneficiaries for particular assets. For example, you establish three accounts of equal value and name a different child as beneficiary of each. Over the years, the accounts may grow unevenly, so the children end up getting different amounts – which is not what you originally intended.
  1. Avoid naming your estate as beneficiary. If you designate a beneficiary on your 401(k), for example, it won’t have to go through probate court to be distributed to the beneficiary. If you name your estate as beneficiary, the account will have to go through probate. For IRAs and qualified retirement plans, there may also be unfavorable income tax consequences.
  1. Use caution when naming a trust as beneficiary. Consult your attorney or CPA before naming a trust as beneficiary for IRAs, qualified retirement plans, or annuities. There are situations where it makes sense to name a trust – for example if:
  • Your beneficiaries are minor children
  • You’re in a second marriage
  • You want to control access to funds

Even in cases like these, understand the tax consequences before you name a trust as beneficiary.

  1. Be aware of tax consequences. Many assets that transfer by beneficiary designation come with special tax consequences. It’s helpful to work with an experienced tax advisor, who can help provide planning ideas for your particular situation.
  1. Use disclaimers when necessary — but be careful. Sometimes a beneficiary may actually want to decline (disclaim) assets on which they’re designated as beneficiary. Keep in mind disclaimers involve complex legal and tax issues and require careful consultation with your attorney and CPA.

Next steps

  • When creating, updating, or simply reviewing your estate plan, pay attention to your beneficiary designations.
  • Remember, beneficiary designations take precedence over what you may have specified in a will or trust.
  • Put a reminder on your calendar to check your beneficiary designations annually so you can keep them up-to-date.

Trust services available through banking and trust affiliates in addition to non-affiliated companies of Wells Fargo Advisors.

 Wells Fargo Advisors and its affiliate do not provide tax or legal advice. Please consult with your tax and/or legal advisors before taking any action that may have tax and/or legal consequences.

This article was written by/for Wells Fargo Advisors and provided courtesy of Todd Harrett, Financial Advisor with Axiom Financial Strategies Grop of Wells Fargo Advisors in New Albany, IN at 812-948-8475.

Investments in securities and insurance products are: NOT FDIC-INSURED/NOT BANK-GUARANTEED/MAY LOSE VALUE

Wells Fargo Advisors is a trade name used by Wells Fargo Clearing Services, LLC, Member SIPC, a registered broker-dealer and non-bank affiliate of Wells Fargo & Company.

© 2017 Wells Fargo Clearing Services, LLC. All rights reserved.   CAR 0717-05005




Money Matters | Which Retirement Plan Is Right for Your Business?

By Todd Harrett | Financial Advisor with Axiom Financial Strategies Group of Wells Fargo Advisors in New Albany

Todd Harrett, Financial Advisor with Axiom Financial Strategies Group of Wells Fargo Advisors in New Albany, Ind.

Todd Harrett, Financial Advisor with Axiom Financial Strategies Group of Wells Fargo Advisors in New Albany, Ind.

If you own a small business, there are many retirement plan alternatives available to help you and your eligible employees save for retirement. For most closely-held business owners, a Simplified Employee Pension Individual Retirement Account (SEP IRA) was once the most cost-effective choice. Then the Savings Incentive Match Plan for Employees (SIMPLE IRA) became a viable alternative. Today you may find that a defined benefit or 401(k) plan best suits your needs. To make an informed decision on which plan is right for your business, review the differences carefully before you choose.

Simplified Employee Pension Individual Retirement Account (SEP IRA). This plan is flexible, easy to set up, and has low administrative costs. An employer signs a plan adoption agreement, and IRAs are set up for each eligible employee. When choosing this plan, keep in mind that it does not allow employees to save through payroll deductions, and contributions are immediately 100% vested.

The maximum an employer can contribute each year is 25% of an employee’s eligible compensation, up to a maximum of $270,000 for 2017. However, the contribution for any individual cannot exceed $54,000 in 2017. Employer contributions are typically discretionary and may vary from year to year. With this plan, the same formula must be used to calculate the contribution amount for all eligible employees, including any owners. Eligible employees include those who are age 21 and older and those employed (both part time and full time) for three of the last five years.

Savings Incentive Match Plan for Employees (SIMPLE). If you want a plan that encourages employees to save for retirement, a SIMPLE IRA might be appropriate for you. In order to select this plan, you must have 100 or fewer eligible employees who earned $5,000 or more in compensation in the preceding year and have no other employer-sponsored retirement plans to which contributions were made or accrued during that calendar year. There are no annual IRS fillings or complex paperwork, and employer contributions are tax deductible for your business. The plan encourages employees to save for retirement through payroll deductions; contributions are immediately 100% vested.

The maximum salary deferral limit to a SIMPLE IRA plan cannot exceed $12,500 for 2017. If an employee is age 50 or older before December 31, then an additional catch-up contribution of $3,000 is permitted. Each year the employer must decide to do either a matching contribution (the lesser of the employee’s salary deferral or 3% of the employee’s compensation) or non-matching contribution of 2% of an employee’s compensation (limited to $270,000 for 2017). All participants in the plan must be notified of the employer’s decision.

Defined benefit pension plan. This type of plan helps build savings quickly. It generally produces a much larger tax-deductible contribution for your business than a defined contribution plan; however, annual employer contributions are mandatory since each participant is promised a monthly benefit at retirement age. Since this plan is more complex to administer, the services of an enrolled actuary are required. All plan assets must be held in a pooled account, and your employees cannot direct their investments.

Certain factors affect an employer’s contribution for a plan, such as current value of the plan assets, the ages of employees, date of hire, and compensation. A participating employee with a large projected benefit and only a few years until normal retirement age generates a large contribution because there is little time to accumulate the necessary value to produce the stated benefit at retirement. The maximum annual benefit at retirement is the lesser of 100% of the employee’s compensation or $215,000 per year in 2017 (indexed for inflation).

401(k) plans. This plan may be right for your company if you want to motivate your employees to save towards retirement and give them a way to share in the firm’s profitability. 401(k) plans are best suited for companies seeking flexible contribution methods.

When choosing this plan type, keep in mind that the employee and employer have the ability to make contributions. The maximum salary deferral limit for a 401(k) plan is $18,000 for 2017.  If an employee is age 50 or older before December 31, then an additional catch-up contribution of $6,000 is permitted. The maximum amount you, as the employer, can contribute is 25% of the eligible employee’s total compensation (capped at $270,000 for 2017). Individual allocations for each employee cannot exceed the lesser of 100% of compensation or $54,000 in 2017. The allocation of employer profit-sharing contributions can be skewed to favor older employees, if using age-weighted and new comparability features. Generally, IRS Forms 5500 and 5500-EZ (along with applicable schedules) must be filed each year.

Once you have reviewed your business’s goals and objectives, you should check with your Financial Advisor to evaluate the best retirement plan option for your financial situation.

This article was written by Wells Fargo Advisors and provided courtesy of Todd Harrett, Financial Advisor with Axiom Financial Strategies Group of Wells Fargo Advisors in New Albany, IN at 812-948-8475.  Visit our website at

Wells Fargo Advisors does not provide legal or tax advice. Be sure to consult with your tax and legal advisors before taking any action that could have tax consequences.

Investments in securities and insurance products are: NOT FDIC-INSURED/NOT BANK-GUARANTEED/MAY LOSE VALUE

Wells Fargo Advisors is a trade name used by Wells Fargo Clearing Services, LLC and Wells Fargo Advisors Financial Network, LLC, Members SIPC, separate registered broker-dealers and non-bank affiliates of Wells Fargo & Company.

©2016 Wells Fargo Clearing Services, LLC.   All rights reserved.         1216-01966 [86913-v6] 1115 e6830


Money Matters | Looking to Ease College Tuition Anxiety?

By Michelle Floyd, CFP®, Financial Consultant of Axiom Financial Strategies Group of Wells Fargo Advisors in New Albany, Ind.

michelle-floyd-money-matters-featureDid you realize that, according to the College Board, more than $240 billion in grants from all sources (federal loans, federal work-study, and federal tax credits and deductions) was awarded to undergraduate and graduate students in the 2015-2016 academic year? And that those students came from households spanning a wide range of household incomes?

During that academic year, the average aid for a full-time college student amounted to $14,460, including $8,390 in grants (that don’t have to be repaid) and $4,720 in federal loans.

Once you realize how many resources may be available and begin your research on financial assistance, you could be on your way toward easing some of the anxiety often associated with paying for college.

5 lessons for seeking help for college costs

 Start planning during the high school years. Pay particular attention to your child’s junior year of high school and reposition assets or adjust income before it begins. When financial aid officers review a family’s need, they analyze the family’s income in the calendar year beginning in January of the student’s junior year.

 Assume you’re eligible for aid … until you’re told you’re not. There are no specific guidelines or rules of thumb that can accurately predict the aid you and your child may be offered. Because each family’s circumstances are different, keep an open mind as you consider financial aid alternatives. A number of factors ‒ such as having several children in school at the same time ‒ may increase your eligibility for assistance.

 Reassess assets held by your children. Federal guidelines expect children to contribute 20% of certain assets toward their education’s costs, while parents are expected to contribute up to 5.64%.

That’s why assets held in custodial accounts (bank accounts, trust funds, brokerage accounts) in your children’s names may reduce the aid for which the family qualifies. But assets held in Coverdell Education Savings Accounts and 529 plans are factored into the parent’s formula, having less effect on the aid for which the family qualifies.

 Help grandparents’ target their gifts. Grandparents’ hearts often lead them to make gifts directly to grandchildren or to pay their tuition expenses. Even though payments made directly to a college avoid gift taxes, financial aid sources generally count these payments as an additional resource the family has to pay for college expenses. Distributions from grandparent-owned 529 plans are also considered as resources and assessed as your child’s income, which can reduce eligible aid.

A better idea for grandparents may be to make a gift to a 529 plan owned by the parent or grandchild. The financial aid treatment of gifts to 529 plans is generally more favorable than for gifts made directly to the grandchild. Plus grandparents using this alternative may also realize estate tax and gift tax benefits.

Assess your family’s financial situation to determine what your children will need. Gather records and begin researching available financial aid, grants, loans, and scholarships. Two forms will be key to your aid application process: the Free Application for Federal Student Aid (FAFSA) and the College Scholarship Service Financial Aid Profile (PROFILE).

The FAFSA helps you apply for federal aid, and many states also use it to determine a resident student’s eligibility for state aid. You can find forms in high-school guidance offices, college financial-aid offices, or online.

Many schools use the PROFILE to collect additional information before awarding their own funds, i.e., institutional student aid.

 Please consider the investment objectives, risks, charges and expenses carefully before investing in a 529 savings plan. The official statement, which contains this and other information, can be obtained by calling your Financial Advisor. Read it carefully before you invest.

 Our firm is not a tax or legal advisor.

This article was written by/for Wells Fargo Advisors and provided courtesy of Michelle Floyd, CFP®, Financial Consultant of Axiom Financial Strategies Group of Wells Fargo Advisors in New Albany, IN at 812.948.8475.Visit our website at

Investments in securities and insurance products are: NOT FDIC-INSURED/NOT BANK-GUARANTEED/MAY LOSE VALUE

Wells Fargo Advisors is a trade name used by Wells Fargo Clearing Services, LLC, Member SIPC, a registered broker-dealer and non-bank affiliate of Wells Fargo & Company.

© 2017 Wells Fargo Clearing Services, LLC. All rights reserved. 0317-00230


Bass Group Business Spotlight | True North

In the latest edition of Bass Group’s Local Business Spotlight, the team takes a look at True North, located in the heart of New Albany. Jason Neil Gobbel talks to owner Michelle Ryan, where she shares what her store’s namesake means to her and how she builds relationships with local artists.

Find out more about True North and

Learn more about the Bass Group at


Neace Ventures Acquires Tin Man Brewing Company


Kentuckiana-based venture capital company adds Evansville Brewery to Portfolio
Louisville, Ky. (June 16, 2017) – Neace Ventures, a Kentuckiana-based venture capital and real estate firm, has acquired Tin Man Brewing Co. in Evansville, Ind.

“Neace Ventures is excited to announce the acquisition of Tin Man Brewing Company,” said Neace Ventures President Brad Estes. “The synergies that this fine company brings to our food and beverage portfolio are countless. We proudly welcome the Davidson family into the Neace Ventures family.”

Tin Man Brewing, which is located at 1430 W. Franklin St. in Evansville, ceased its Tasting Room operations in late March but continued brewery production for its distribution network while seeking a new owner.

img_1262“We’re very excited about this partnership,” said Tin Man Brewing President Nick Davidson. “We have always been a family business, and now we’re becoming a part of a bigger family.”

The acquisition, which was prepared by Middleton Reutlinger and financed by German American Bank, expands Neace Ventures’ food and beverage portfolio, which already includes Old 502 Winery, Falls City Brewing Company, Over the Nine, and Brownies “The Shed” Bar and Grille. It also affirms Neace Ventures’ commitment to communities and partnerships.

“Falls City couldn’t be happier to welcome a new sister company. Tin Man’s brand reputation speaks for itself and its people are a class act,” said Falls City President Shane Uttich. “Our entire team is excited.”

In addition to the acquisition of Tin Man, Falls City previously announced that it will move its Louisville brewing and tap room operations to East Liberty Street in NuLu/Phoenix Hill. This will allow Old 502 Winery to expand its operations at 116 S. 10th St.

The Neace Ventures headquarters are located at 110 W. Main St. Louisville, Ky. Chairman John Neace founded the company after building and selling one of the nation’s largest insurance brokerages. Find out more about the company at


Make It Count with Rodefer Moss & Co, PLLC | Are You Ready for an IRS Audit?

By Doug York, CPA & Partner, Rodefer Moss & Co, PLLC

If being selected for an IRS audit were a game show, it’d be called the Wheel of Misfortune.

Though the IRS in 2016 audited about one million individual tax returns, it represented only about 0.7% of all returns filed. That’s a 16% drop from a year earlier and means there was about a one in 140 chance that when the IRS wheel spun its audit wheel it landed on your name. That’s down from about one in 120 returns audited in 2015.

Corporate audits in 2016 fell to 1.1 percent from 1.3 percent a year earlier. Overall, it was the sixth straight year the number of audits declined.

Doug York CPA/Partner Rodefer Moss & Co, PLLC

Doug York
Rodefer Moss & Co, PLLC

Budget reductions at the IRS are blamed for reduced enforcement. Critics contend that years of inadequate IRS appropriates are leading to the decline in audits and thus perhaps emboldening tax cheats.

IRS critics contend that the IRS had become politicized; for example, the much-publicized IRS targeting of conservative organizations. After an investigation, Assistant Attorney General Peter Kadzik, in a letter to Congress saying that no charges would be filed against anyone involved in the scandal, explaining that what was discovered was, “substantial evidence of mismanagement, poor judgment and institutional inertia leading to the belief by many tax-exempt applicants that the IRS targeted them based on their political viewpoints. But poor management is not a crime.”

While poor management may not be a crime, it’s not a confidence-builder, either.

Audits tend to be dollar-figure driven. The higher an individual’s income, the greater the possibility of an audit. Income levels of more than $1 million a year saw audit possibilities approach 6%, the Wall Street Journal reported on March 26, 2017. Incomes above $200,000 saw a 1.7% chance of being audited. Under $200,000 the figure declined to 0.6%.

If your income is above $10 million, there’s about a one-in-three chance you’ll be subject to an audit.

The more complicated a person’s tax return, the more it raises the likelihood of an audit. As a person’s income increases their various financial instruments, shelters, investments, deductions, and other factors tend to become more complex – and more attractive to IRS auditors.

Suspicion of unreported income; questionable deductions; foreign income or accounts; appearance of unreported income; and other maybe-this-doesn’t-pass-the-smell-test factors bring the IRS bloodhounds sniffing at a person’s income paper trail.

Corporations stand a much higher chance of being audited, and again, the higher the income, the higher the probability of an audit because of the amount of money involved. Also, as with high-income individual taxpayers, corporate tax returns tend to be very complicated, which again leads to greater scrutiny.

Regardless of the numerical factors impacting the number of IRS audits, everyone – individuals and corporations – should conduct their affairs is if tomorrow they’ll receive notice of an audit.

Obeying financial laws and keeping good records for your own protection is common sense. That doesn’t mean regardless of your tax position that you and the IRS are going to agree on everything either through an audit or because your tax return was flagged for some reason.

The IRS doesn’t always prevail in tax disputes. And it’s possible, the faces behind the acronym being human, for IRS employees to make mistakes. Thus, keeping good records and not becoming overly “creative” in your financial reporting guard against IRS problems.

Another reason to always be audit-ready is that when the IRS Wheel of Misfortune spins, it will land on someone’s name. Betting it won’t be you is a gamble.

Rodefer Moss is a three-state accounting firm with offices in New Albany, Corydon, and Georgetown, Ind., Louisville, Ky., and four offices across Tennessee. The firm’s website is


Make It Count with Rodefer Moss & Co., PLLC | Real Estate Accounting Solutions: Alleviating Accounting Headaches for Commercial Property Management

By Leah Driver, CPA Manager, Rodefer Moss & Co, PLLC

Many commercial property managers and owners spend a great deal of their time out of the office visiting properties.  This can make it difficult to keep up with their accounting and record keeping. While at a property they may need access to “real time” financial data.  Larger companies may have an employee handling these responsibilities in the office.  However, this doesn’t always alleviate the problem.  The employee may be behind in their bookkeeping and accounting responsibilities due to other office duties, or simply out of the office. Wouldn’t it be nice to have an accounting department without having to hire or retain employees and have your real-time financial data accessible 24/7? Real Estate Accounting Solutions (REAS) can do just that and much more!  REAS is a full service outsourced property management solution.  REAS is an affiliate of Rodefer Moss & Co, PLLC, one of the largest CPA firms in the region with over 50 years of business in the Southern Indiana and Louisville area.

REAS is a cloud-based solution with web portals for investors and owners, allowing real-time access to your property management data from any location 24 hours a day.  REAS provides accounting and organization tools for the property management process and is a great tool for any group, regardless of size.

Key Features

Property management professionals can outsource their day to day accounting and focus on what they do best.  Here some, but not all, of the great features and capabilities of REAS.

  • Financial Reporting, Bank Reconciliations
  • Accounting of Current & Future Leases
  • CAM Reconciliation
  • Rent Roll
  • Accounts Payable
  • Accounts Receivable

Tailored to your Needs

This software solution accompanied by our CPA’s with real estate accounting expertise brings a full outsourced solution to property management, lease management, vendor management and accounting service.

Property Type

Does your property fit the model of a REAS candidate?  There are many property types we can customize this feature to work with.  The following list includes examples of REAS candidates.

  • Apartment Complexes
  • Shopping Centers
  • Warehouses
  • Office Buildings
  • Commercial Buildings
  • Industrial Properties


Pricing for REAS is based on rental revenues and their associated management fees.  The pricing is beneficial to both large and small developments.  As properties experience high tenant occupancies and profitable rental rates, REAS fees remain an incremental cost.  Likewise, pricing for this outsourced tool is great for smaller companies and start-ups, as the fees are percentage-based rather than flat fee.  Fees for this accounting solution are highly competitive for larger companies with existing accounting functions, as well as in smaller companies who simply cannot afford to hire internal accounting staff. Let REAS help you Increase accuracy, efficiency, and cost savings with “real-time” 24/7 access to your financial data from wherever you happen to be when you need it!

For More information on REAS or Rodefer Moss, please contact us.

Matt Brown, CPA  Partner               812-981-3436

Leah Driver, CPA Manager               812-981-3442





Bass Group Business Spotlight | 2017 Fillies Luncheon For A Cure

The 2017 Fillies Networking Luncheon & Fashion Show for a Cure is the focus of this episode of Bass Group Real Estate’s Local Business Spotlight. Yes, the luncheon is over – for this year – but the opportunity to help survivors persists. Watch the video to find out why this is one of the most inspiring events around. To donate to the cause, go to

Be sure to subscribe to the Bass Group Real Estate channel! Visit us at