An Interview with Short & Company, CPA, P.L.C.

Reprinted from DiscoverAdel Newsletter January 2009

January may seem dull after the hustle and bustle of the holidays, but for some it is the beginning of an entirely new season, Tax Time.

By January 31st, everyone will receive their W-2s, 1099s, and other forms that are hard to understand. While most of us dread the April 15th deadline, our current economic turmoil has prompted the masses to file their taxes sooner. This year, let Short & Company handle all your tax needs!

Started in November of 1988 by John Short, CPA, Short & Company offers a wide variety of services related to Accounting, Insurance, Securities and Small Business consulting.

DiscoverAdel was able to sit down with John and Chris Oberreuter, CPA, who has been with the company for 15 years, to discuss the important questions this tax year presents as well as a new business addition to Adel!

Q. What are the differences between using Short & Company verses places like Jackson Hewitt?
A. There are dramatic differences between licensing and the requirements to stay licensed. John and Chris, both Certified Public Accountants or CPAs, are required 40 hours of continuing education a year whereas the representatives of other more commercial businesses are only required 6 hours. Short & Company is also open year round and available whenever a taxable event takes place.

Q. What licenses or designations do you have?
A. John Short is a licensed CPA and is also licensed to sell mutual funds, annuities and life and health insurance. Chris Oberreuter is a licensed CPA and is also licensed to sell stocks, bonds, mutual funds, annuities, and life and health insurance. Denise Walter is a licensed CPA.

Q. What does a CPA do?
A. CPAs work with businesses and individuals on many financial related topics. This can range from keeping the books for a small company to auditing of major corporations to comply with SEC requirements. CPAs help individuals save tax dollars, help businesses obtain financing and save tax dollars, create business plans for businesses, and sometimes act as a chief financial officer for a small business.

Q. What do people need to bring with them for their appointment, what should they expect?
A. Appointments scheduled are 1-1 ½ hours long, possibly longer depending on the services needed. Make sure to keep track and bring all your records with you! Many people forget all of their 1099s and W-2s. These are produced due to taxable events or because of sources of income. This includes bank statements, college loan repayment, employment, and distributions from annuities, profit-sharing plans, retirement plans, IRAs, insurance contracts and/or pension plans.

Q. Are there deductions that people typically miss?
A. People tend to miss charitable donations made throughout the year. Make sure to get the receipt! Also, in the state of Iowa car licenses can be deducted. Most people forget or do not know it applies to them. Contact John or Chris to find out how this could impact your returns.

Q. Who needs to use the services of Short & Company?
A. Everyone can benefit from having a CPA file their tax returns. This year [2009] there have been six (6) tax law changes which can dramatically alter your returns, and we aren’t sure how the tax software will handle these changes. You want to have a CPA look over credit changes because you don’t want to miss deductions or credits. The problem with software is that you have to know how to answer the questions otherwise you can miss out. For example, due to flooding and severe weather this summer, much of Iowa is considered a Disaster Relief area, which means your physical location can change what credits or deductions you can file for.

Q. What suggestions can you provide during this period of financial strife?
A. Discuss your investments with a financial planner. Make sure your monitary plan is still solid and determine what is the best thing to do based on your personal situation. Remember that there are tax consequences for taking loans against your investments. Determine how these can affect you by contacting John or Chris.

Q. Another important issue is college planning as parents begin the Financial Aid process. What should parents know?
A. Start early! Once your children are in high school it is too late to plan for college. If you want your kids to go to college, start saving when they are young. 529 Plans are excellent tools for diligent, dedicated parents. However, the diligent can get burned when it comes time to fill out FAFSA forms. FAFSA is a Free Application for Federal Student Aid. This is how the federal government determines loans and grants. The forms considered the money parents and children make per year and in savings. Consider maxing out your 401ks or IRAs as they do not count towards FAFSA.

Make sure to stress academics to your children. Good grades can get you free money or scholarships to the college of your choice. Keep in mind that only 1% of high school students receive Athletic Scholarships. Top students have a wider college base to choose from and private colleges give out scholarships based not only on need, but grades and extra curricular activities.

The most important aspect of College Planning is knowledge. There are many resources available and parents need to be more active in seeking out advice. Short & Company is one of the valuable resources parents can use, and John and Chris are both available to provide more information.

So this year don’t wait in line for just any accountant, make an appointment to see the experts at Short & Company in Adel, Iowa!

Short & Company, CPA, P.L.C.
911 Main St.
Adel, IA 50003
Phone: (515) 993-4640
Website: www.ShortCPA.net
Email: coberreuter@shortcpa.net