How are savings & loan companies different from commercial banks?

July 8, 2024 No Comments

A: Savings and loan (S&L) companies provide many of the same services to customers as commercial banks, including deposits, loans, mortgages, checks and debit cards. However, savings and loans associations place a stronger emphasis on residential mortgages, whereas banks tend to concentrate on working with

Are Cafeteria plans subject to FICA, ERISA or FUTA?

July 8, 2024 No Comments

A: Cafeteria plans are employer-sponsored benefit plans that provide both taxable and nontaxable, or qualified, benefit options for employees. Cafeteria plan benefits, therefore, may be subject to Federal Insurance Contributions Act (FICA) and Federal Unemployment Tax Act (FUTA) taxes. If a plan participant chooses the

Are fringe benefits deductible for the employer?

July 8, 2024 No Comments

A: A fringe benefit is any non-wage form of compensation and is usually offered by an employer as both an employee incentive and a way to reduce taxes. In fact, many fringe benefits are tax-advantageous to both the employer and the employee. There are limits

Are fringe benefits direct or indirect costs?

July 8, 2024 No Comments

A: Almost any non-salary benefit provided by an employer to an employee is considered a “fringe” benefit. These benefits can include insurance, a company car, or employee discount, etc. While there are some exceptions, fringe benefits are usually a direct cost to the business in

Are there any continuing education requirements after I pass the Series 7 examination?

July 8, 2024 No Comments

A: Yes, there are continuing education requirements after you pass the Series 7 exam. According to the Securities Industry/Regulatory Council on Continuing Education (CEC), there are two parts to the CE requirement: the regulatory element and the firm element. The Firm Element of Continuing Education

What is an IPO lock-up period and how long is it?

July 7, 2024 No Comments

A: An initial public offering (IPO) lock-up period is a contractual restriction that prevents insiders who are holding a company’s stock, before it goes public, from selling the stock for a period usually lasting 90 to 180 days after the company goes public. Insiders include

Which Schools Did Warren Buffett Attend?

July 7, 2024 No Comments

A: Warren Buffett never had the intention of going to college. By 13, he was managing his own business as a paperboy. He ended up making more than $5,000 (equivalent to more than $71,000 in 2017) delivering newspapers. However, his father urged him to attend

Who benefits the most from prepaid expenses?

July 7, 2024 No Comments

A: Prepaid expenses benefit both businesses and individuals. Prepaid expenses are the types of expenses that are bought or paid for in advance. Examples of these are insurance, rent and subscriptions. In general accounting, these are the supplies or services that the company has acquired

Who Is Dr. Atul Gawande, CEO of New Healthcare Initiative By Bezos, Buffett, And Dimon?

July 7, 2024 No Comments

In 2007, after he’d authored an article on expensive healthcare costs in the United States and a book on bettering performance in surgery theaters, surgeon and author Dr. Atul Gawande was asked by the World Health Organization (WHO) to come up with ways to reduce the

Why did Howard Schultz decide to keep Starbucks a chain rather than allow franchising?

July 7, 2024 No Comments

A: Starbucks does, in fact, franchise on a limited basis. Starbucks CEO Howard Schultz long resisted franchising in the United States to maintain control over the Starbucks brand and culture, but he has opened a small number of franchise-owned stores in Europe. Keeping Starbucks a

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