Products February 23, 2017

Employers Can Offer Employees Way to Make Giving Part of Financial Plan

Growfund operates like a 401(k) or a personal foundation, with funds able to be saved or invested and grown over time.
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For those employees who want to make charitable giving part of their long-term financial plan, Global Impact and AFS 401(k) Retirement Services, an independent advisory firm, announced a partnership to provide employers with a toolkit for a strategic program that allows employees to make informed decisions about giving.

Considered a Donor-Advised Fund (DAF), a charitable giving tool often accessible only to foundations and high-net worth households, Growfund was designed to offer everyday working Americans the opportunity to create their own foundations. Growfund operates like a 401(k) or a personal foundation, with funds able to be saved or invested and grown over time.

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The company says employees can plan for their giving the way they plan for their future, with the ability to make grants to more than 800,000 charities or thematic impact funds. Growfund stays with the employee for life. For companies to support employee giving, Growfund offers matching and payroll giving functionality, as well as the ability to receive a single tax receipt for all contributions.

Alex Assaley, Managing Principal at AFS 401(k), says, “The landscape for retirement plans and employee benefits is changing—companies and their employees want more tools, resources, and guidance to steer a worker’s entire financial picture.”

For information or a product demo, email partners@mygrowfund.org. Visit https://mygrowfund.org/ to learn more.

Products February 23, 2017

myStockOptions.com Expands Tax-Return Guidance

The Tax Center at myStockOptions.com is offering expanded capabilities and education support to help employees and their advisers meet 2017 tax reporting requirements related to stock options. 
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The Tax Center provided by myStockOptions.com is offering expanded articles and FAQ discussions that spell out the most common mistakes people make with stock grants on their annual tax return.

“Anyone who received income from equity compensation or sold shares in 2016 must understand the related reporting on IRS tax forms to avoid costly errors on tax returns,” the firm warns. “In the articles and FAQs of its Tax Center, myStockOptions.com provides trustworthy, easily understandable guidance that can help taxpayers and their tax-return preparers file accurate and error-free IRS tax returns.”

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Examples and annotated forms in plain English show taxpayers and their advisers “exactly how to report stock compensation and stock sales on tax returns.”

The core articles and FAQs help tax filers, financial advisers and accountants “quickly run through” tax forms to be sure they submit error-free returns. A special FAQ released this tax season sets forth the top 10 questions that taxpayers should ask about the reporting of stock sales on their tax returns.

Other features delivered via myStockOptions.com include the following:

  • The reporting of stock sales is made clear with annotated how-to diagrams of IRS tax-return forms.
  • Diagrams of Form W-2, Form 3922 (for employee stock purchase plans), and Form 3921 (for incentive stock options) show how companies report equity compensation income to employees.
  • Animated videos include a succinct tutorial on key IRS tax forms related to stock-sale reporting and a video guide to avoiding costly mistakes that can lead to the overpayment of taxes.
  • Educational podcasts that convey tips for tax returns.
  • An interactive quiz on tax-return topics lets users “test their reporting knowledge in a painless way,” before they file their returns, and links to related content from the answer key.

There is also significant guidance available for “understanding the potentially confusing cost-basis reporting on IRS Form 1099-B.”

“In general, cost-basis reporting is now more complex and vulnerable to errors,” the firm warns. “A diverse set of content at myStockOptions.com relates the background issues, explains how to understand Form 1099-B after selling shares from stock compensation or an ESPP, and shows how to avoid mistakes with the cost basis that can lead to the overpayment of taxes.”

There are numerous other forms addressed in the Tax Center, including IRS Forms 3922 And 3921.

For more information, visit www.myStockOptions.com. 

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