Zen and the Art of Workflow Management: WorkflowMax and Zendesk Have Joined Forces

Today, WorkflowMax announced the release of its seamless integration with the new Zendesk. Now its software – which allows small businesses to create quotes, track time, manage jobs, send invoices and create detailed reports – will send and receive information automatically from Zendesk, a leading customer service/helpdesk software that forms an integral part of many service-focused businesses.

The Zendesk app allows you to record time directly against a job in WorkflowMax while you are solving a customer query within Zendesk. Gavin George, WorkflowMax's co-founder explains, "With WorkflowMax as the conduit, you can effectively connect your customer service management software with your time billing and your accounting software (Xero) in one integrated platform all in the cloud. We think this is very,very cool."

With more than 40,000 customers around the globe, Zendesk is a world leader in the cloud software industry. Gavin is hoping that with the new integration, current Zendesk customers will quickly see the benefits of a fully integrated, end-to-end cloud business solution.

"That's the power of the cloud," says Gavin. "We're able to build a flexible product that can be used in a variety of industries, and partner with other firms like Zendesk to create solutions that offer world-class functionality to our clients. Everybody wins."

Many customers are already enjoying the new integration. "It allows us to answer customer inquiries via Zendesk, and then mark the amount of time spent for billing on the same page," adds Eric Catania from Digital Reality Inc, a US-based Apple Point of Sale expert who uses both Zendesk and WorkflowMax. "This billable time gets seamlessly transferred to WorkflowMax, where it becomes part of our client's project history and is billed out at the end of the month. The new version of the integration is even better, because it allows us to use a timer right on the ticket page in Zendesk and create projects on the fly, as needed."

"We've had an overwhelmingly positive response from IT companies all over the world," commented Gavin. "We're lucky to have such involved clients; they tell us what they need – in this case, a way to connect helpdesk tickets to WorkflowMax jobs – and we can find a way to solve the problem. We're all about trying to make managing jobs easier and more enjoyable."

Eric is definitely sold on cloud-based solutions. "Now, any of our contractors or employees can securely track customer issues and bill time from anywhere in the world. Zendesk + WorkflowMax + Xero = Match made in heaven for a national Retail & Restaurant IT services firm."

About WorkflowMax
With over 5000+ clients globally, WorkflowMax is a leading all-in-one workflow management software that makes it easy to capture leads, create quotes, manage jobs, track time, create purchase orders and invoices. The company's seamless integration with Xero means all invoices created in WorkflowMax are seamlessly pushed into Xero – providing a total business solution for service businesses. See http://www.workflowmax.com
About Xero

Xero provides beautiful, easy to use online accounting software for small businesses and their advisors. The company now has over 280,000 customers in more than 100 countries around the world and is listed on the NZX and ASX. See http://www.xero.com

About Zendesk
Zendesk builds cloud software for better customer service, bringing companies and their customers closer together. With Zendesk, companies engage directly and openly with customers, building more meaningful customer relationships that last a lifetime. More than 40,000 customers use Zendesk to provide service to more than 300 million people worldwide. Founded in 2007 and based in San Francisco, Zendesk has offices in seven countries and funding from Charles River Ventures, Benchmark, GGV Capital, Index Ventures, Matrix Partners and Redpoint Ventures. Learn more at http://www.zendesk.com.

What To Do When You Get an IRS Notice

Mark Steber for Jackson Hewitt & The HuffPo writes: Well, April 15th has come and gone, and tax season is over ... which means you now have other things to worry about. One of the most troubling issues? IRS notices and audits will start to appear in mailboxes during the coming weeks and months. Although IRS audits and notices are not tied directly to filing season, almost 150 million taxpayers just finished sending their 2013 tax returns in to the IRS.

You might have heard the recent buzz in the media that the IRS is at a near 10 year low on individual tax audits. Good news, right? The recently reported 2013 audit rate of 0.96% for individuals was the lowest since 2005. Stated another way, the IRS only examined one out of every 104 returns filed. But even with that low percentage, about 1.4 million tax returns were examined. Of course, all the positive stats in the world mean very little if you are one of those 1.4 million taxpayers--even less if you received an IRS letter notifying you of a possible error on your return, or pending IRS interaction.

Here are some tips to consider if you find yourself under audit, or if you just want to know how to interact with the IRS during an audit.

First bit of advice when you receive an IRS notice of change or request for information: Don't panic! The IRS sent 1.1 million notices of change or request for information to taxpayers in fiscal year 2012 and upwards of 1.4 million in 2013. These notices usually cover a specific item on your tax return or tax account. The notices call attention to a possible error on your return, such as missing income or incorrectly reported income or deductions. Or, the IRS may be requesting additional information. In either case, don't be alarmed because in many cases these notices are often incorrect or result in no change to the tax account. The IRS may simply need to have an issue explained or clarified.

Let's look at six things you should do if you get one of these notices:

Read the notice - As simple as this sounds, many taxpayers destroy these letters in the hope that if they ignore it, the problem will disappear. The longer you wait to respond, the more difficult it is to resolve the problem. Delaying or ignoring the notice this will only make the problem worse, so don't do it!

Respond - IRS letters are not always correct--and for many reasons that range from mistakes by the taxpayer or the preparer to mismatched information in the IRS system. Simply said, IRS notices for a mismatch on a tax return occur for many reasons from real error to unclear information on any number of collateral systems. Regardless of the reason for the notice or IRS letter, you must respond to the letter if you don't agree or partially agree to any suggested changes, or if you are required to send additional information. If you agree with the letter, follow the instructions for sending payment based on the amount the IRS requests. If you partially agree or disagree, you should submit an amended return to explain why you disagree with the notice. In all cases make sure you mail your response, with a copy of the notice and any documentation requested or used to argue your position, to the address listed in the notice.

Gather the return in question and any associated records - Once you read, review, and understand the request or issue, gather together your tax return and all associated documents (including any previous letters or notices from the IRS). If the request is for more information, such as proof of marital status or verification of a dependent's relationship and residence, make sure to collect all information requested by the IRS. If the notice is a request for documentation, make copies and send the information along with a signed copy of the notice to the address listed. If the notice is for an error or omission on the tax return, check the return for the information. It is not uncommon for the information to be included in the tax return already or for the IRS to make a mistake when calculating an allowed credit or deduction.

Contact your tax professional - Don't pay the requested amount unless you are sure the notice is correct. As was noted above, not all IRS notices are correct and deserving of payment. The IRS may have mixed up information or a box may have been checked incorrectly on a tax return or other error made. Make sure you are confident the assessment is correct before you write a check. The IRS typically allows you 90 days to respond or challenge any assessment and IRS notices are generally confusing so even if you don't have a professional, contact one close to you right away. Tax professionals can generally determine exactly what the IRS is asking for or proposing and they know what is needed to resolve the issue in a timely manner. If you paid someone to prepare your tax return, they should stand behind their work and help you at least understand this issue or error. If not, consider getting another preparer next year and always ask about a service guarantee when you pay someone to prepare your tax return. Find the right help that suits your needs.

When to amend return - Only complete and submit an amended return if you disagree with an IRS proposed change. Do not send an amended return when you agree with all of the IRS proposed changes or when the IRS requests documentation only. Make sure you include the statement, "CP-2000" across the top of Form 1040X, Page 1.

What to do if you owe - If the assessment is true and correct, the best option is always to send your payment in full as soon as you can. Remember, the IRS compounds interest daily so the sooner you pay your tax bill, the less it costs. If you are unable to pay in full, you can either enter into an Installment Agreement with the IRS or an Offer-In-Compromise to reduce the amount owed.

To many people, right behind speaking in public, the second scariest thing on earth is receiving a letter from the IRS. A letter from the IRS, An audit of your tax return, or (or even worse) a notice of assessment does not have to end in a payment or penalty. In many cases, there is simply a need to provide additional information to the IRS or clarify a misunderstanding. In all cases, ignoring the issue will not make it better or disappear. So, if you are one of the 1.4 million folks getting a notice or audit this year, pay close attention and quickly respond to any IRS correspondence or communication. If you have additional questions, whether you completed the return in question yourself or paid a professional, be sure to reach out to a professional for answers or to help you respond.

Follow Mark Steber on Twitter by clicking here  

Advisors Falling Short on Tax Advice?

Are investors taking too big a tax hit on their portfolio returns?  RACHEL F. ELSON for Financial-Planning writes: While new tax rules and higher stock market returns have increased clients' tax liabilities, only 18% of advisors say clients proactively want to discuss tax implications of investment strategies, according to a new advisor survey from Russell Investments -- and only 29% of advisors say they've initiated a conversation about the matter in the last quarter.

"We're seeing this as a really big opportunity for advisors," says Frank Pape, director of consulting for Russell's U.S. advisor-sold business and author of Russell's latest Financial Professional Outlook study. "Coming out of 2013 we saw that funds had really large distributions, and tax rates went up. We wanted advisors to get in front of that."

"I think many advisors don't appreciate how big a deal this is," he adds.

ADVISOR WEAKNESS

One challenge may be advisors' own shortcomings. Although the vast majority (86% of respondents) say they recognize the importance of tax-managed investing strategies, only 11% report that such strategies are critical to their own firm's value proposition, Pape says.

Advisors are also dismayingly fuzzy around the concept of after-tax portfolio returns, Pape notes. Almost 40% failed to answer an open-ended question about ways to calculate after-tax returns, according to the survey, and the remainder either said they don't do it or offered a smattering of different answers -- including some incorrect ones.

"It seems many advisors are not connecting the dots between actual return and how much the client has after taxes," Pape says.

CPA RELATIONSHIPS

Russell is urging advisors to bolster their own understanding of tax-advantaged investing -- both by educating themselves (the company actually offers advisors a how-to lesson on calculating after-tax returns) and by developing stronger relationships with nearby CPAs. Only 12% of the survey's respondents say they have a relationship with at least all or nearly all of their clients' accountants.

Pape also encourages advisors to fold a discussion of tax implications into conversations about rebalancing. "I know advisors hate to bring up the idea of paying tax," he says. But he cites the example of a 50/50 portfolio that has become 70% stocks over the last couple of years of stock market gains -- "That's a different portfolio" and needs to be rebalanced, he says. "Avoiding the tax should never be the investment strategy."

If advisors are unconvinced, Pape argues that there's another advantage to beefing up tax skills.
"Who cares about taxes? High-net-worth individuals -- the kinds of clients that advisors want," he points out. "We think advisors don't need to become a CPA, but getting a little bit of education -- so advisors understand the language, get their comfort level up -- is a good client acquisition strategy for high-net-worth individuals."

Tax & Income Strategies for Older Clients

Kathy Kristof for Financial-Planning writes: When 60% of your clientele is retired, you don’t have a standard financial planning practice. Instead of helping clients build their assets, Jean-Luc Bourdon spends a good deal of his time trying to come up with the most tax-efficient withdrawal strategies.

“I’ve had to train my clients that it’s not a matter of whether you [always] withdraw from taxable accounts or tax-deferred accounts,” he says. “The right answer is the one that results in the most money in your pocket.”

By looking at the tax properties of each asset, the CPA-turned-planner can sometimes offset a bit of the income his clients recognize from required minimum distributions, for instance, with capital losses generated in taxable accounts. Meanwhile, instead of pulling more fully taxable money out of retirement accounts to supplement RMDs, he may suggest selling low-gain (or already taxed) assets. 

Reducing a client’s tax rate, particularly in the early years of retirement, can keep more of the client’s money invested and building compound investment returns, Bourdon explains. At a point where your economic health hinges on what you’ve got — rather than what you can earn and accumulate — every dollar counts.

Bourdon says his two-year-old firm, Brightpath Wealth Planning, concentrates on older clients largely because of geography. The Camarillo, Calif., firm is in a bucolic beachside community just south of Santa Barbara, where many people move to retire. More than 60% of his practice is made up of people older than 65, and a substantial number are in their 80s.

COACHING STYLE

Older clients also respond well to Bourdon’s style, which is more like coaching than planning. He encourages clients to talk about their lives, goals, families — the things that make them happy and fulfilled or frightened and uncomfortable. He then asks how he can help.

“Someone once asked me whether it was hard to explain the value of what I do. I laughed,” he says. “It’s not like I have an agenda or a product to sell. People come to me and tell me what they want. We try to help them get it.”

Sometimes, Bourdon says, the best thing he can do for clients is listen. The options that might have been available earlier in their lives are often gone. Their economic choices are dictated by things they did years before they met Bourdon.

“Sometimes life makes choices for you,” he says. “What is the point of talking about all of the options someone [else] might have in this situation? ... There’s an element of coming to clarity about where you are and what you can control.”

To be sure, his clients are not poor. To hire Brightpath, clients usually need to have at least $750,000 in investable assets. In two years, the firm has built up AUM of almost $70 million, partly because many of Bourdon’s clients at his previous firm followed him to Brightpath.

Still, if illness or disability demands spending that clients feel they can ill afford, Bourdon sees his role as helping the clients get the best answers in a realm of limited choices. He thinks clients gain this clarity when they’re given license to talk — without agenda or interruption. Bourdon even waits to jot down notes until after the client leaves, thinking that even note-taking can interfere with the candor of the conversation.

In initial meetings, Bourdon simply wants to hear about the clients: their life stories; things they hold dear; and how they hope he can help them. His role, he says, is to ask open-ended questions. And the resulting answers sometimes surprise even the clients, he says. 

One woman in her 60s, for example, came in nervously asking about investments. Bourdon told her he’d happily discuss investing, but first asked if anything they could do that day would give her peace of mind. After a short pause, she said it would be to get her longtime boyfriend, with whom she lived, to put her name on the title to their house.

What was really making her uncomfortable, she explained, was the fear that if her partner died first she could be thrown out of the home by his heirs. “Our agenda changed,” Bourdon says.
In another instance, a wealthy couple came in to talk about their just-completed financial plan. Sensing something was amiss, Bourdon asked the wife: “What’s missing? What would make you happiest?” A dog, she said.

“The husband looked at me puzzled,” Bourdon continues. “He had just given her a car and had no idea. Inviting that sort of reflection is where we find the real discovery.”

ELDER ISSUES

Of course, Bourdon does more than just talk. Brightpath does all the high-touch planning that you’d expect from a boutique wealth management firm — from investment management and tax planning to reviewing real estate contracts and estate planning documents.

And because he has so many elderly clients, he handles a host of often uncomfortable issues — from dementia to issues of elder abuse, and the wrenching emotional and economic impact of losing a spouse or moving into a care facility.

His experiences have convinced him that planners can help elderly clients in holistic ways that reach beyond simple planning — and may sometimes involve stepping into the role of an advocate.

When is that necessary? There are few bright lines. Bourdon says he’s had to urge clients to “resign” as trustees when they were losing cognitive skills, explaining that the process of moving to a successor trustee is far simpler when the original trustee is able to pass the baton, rather than waiting until the baton is taken away due to dementia.

He’s had to negotiate with banks to get them to send notaries to nursing homes and hospitals so that his clients could sign the necessary forms for a designated friend or relative to help pay their bills. He’s also had to head off attempts at elder abuse.

Bourdon says he was alerted to one such instance by a call from the firm’s custodian, asking about a trade that was initiated by a client who rarely traded. The trade was placed online, but Bourdon knew the client was suffering from memory loss and didn’t own a computer. He quickly called the client, who explained that he was getting “financial help” from a new acquaintance.

Bourdon urged the client to come into his office, but when he said he couldn’t make the next morning’s meeting because his new friend was taking him to the bank, the planner knew more steps were necessary.

Bourdon called the bank, urging them to be on the alert for an elderly man and an overbearing younger woman. The bankers intercepted them before any money was lost. The authorities were notified and Bourdon persuaded the man’s family to get more involved to prevent a similar situation from happening again.

Addressing many of these issues is more art than science, he adds. There are obviously financial elements to each issue, but few one-size-fits-all solutions. 

“I want to see how the clients view the situation and what they believe their options are. We’ll then engage in a brainstorming process to come to a conclusion,” he says. “We don’t tell them what they should do. We try to show them the future so that they can make a choice.”

Does Bourdon worry that there’s little future with such an elderly clientele? Hardly. “People develop the issues we deal with all the time,” he says. “We are not trying to build a multibillion-dollar firm, but there’s a wide pipeline of people who need our services.”

You can follow the author Kathy Kristof on Twitter at here

Reckon sees silver lining in being last to cloud

Agnes King for BRW writes: Listed accounting software maker Reckon is throwing its money into mobile and says being late to the cloud computing party has allowed it to learn from others’ mistakes.

“We will continue to work massively on mobile,” said Sam Allert, managing director of the company’s accountants group, which generates roughly 40 per cent of Reckon’s $98 million annual income.

The group also believes its recently acquired syncing technology – which it claims lets accountants convert any accounting software program into a cloud-based product – will be “a game changer” for accountants.

The syncing product is due for release by June. It is being tested by four Australian clients.
Reckon, which has a market ­capitalisation of $251 million, has completed an 18-month restructure of its operations, triggered by its split with United States software vendor Intuit.
The restructure tidied the group’s various divisions, reduced duplication, and brought isolated product teams into a shared services model.

Reckon promoted long-time employee Nigel Boland to group chief technology officer in an effort to ­consolidate its research and ­development investment.

It hopes the simplified model will weld customers to the Reckon brand rather than individual products, which some argue has impeded its share price growth in the past, and created ­confusion in the market.

It needs whatever edge it can muster to do battle in what Mr Allert admits has become “a much more ­competitive” space.

Some argue the decline in Reckon’s share price – from a high of $2.68 in 2011 to around $2 now – is linked to its inability to articulate a clear strategy following its divorce from Intuit.
Rival MYOB and new entrants Xero and Saasu have been making a ­cacophony in the meantime.

Reckon is also the last of these four brands to release its internet-based accounting software, ReckonOne.

These so-called “cloud-based” software products are boosting accountants’ and book-keepers’ productivity and in many cases completely altering relationships with clients by allowing advisers to offer consulting services and business insight.

“There’s never been a bigger period of change and opportunity for the accounting profession based on the technology available to them,” said Mr Allert.

Reckon’s renewed push comes as Xero – which is not yet profitable despite reaching a market capitalisation of NZ$3.46 billion – announces a new joint initiative with Commonwealth Bank of Australia’s New Zealand subsidiary, ASB Bank, to simplify business-to-business payments.
A seemingly small deal, the announcement is emblematic of how tightly integrated accounting and online banking systems are becoming. And there is a feeling tax authorities and share registries are not far behind.

“This is the beginning,” said Xero banking and payments expert Matt Vickers. “Our aim is for internet banking to be more closely integrated with accounting to remove friction between each” he said.

“Data still remains under customer control, but friction between financial analysis and decision-making and ­taking action is eradicated.”

Who owns your accounts data? / You need to know who owns your business information if you change accountants.

James Scollay for The Sydney Morning Herald writes: You may have recently read articles about issues that may arise with ownership of data in a cloud accounting solution if a business owner and their accountant or bookkeeper part ways.

As with any cloud computing solution, the ability to access, manage and retain your online accounting data is a high priority. There are several ways in which the business owner and their adviser can set up cloud accounting solution ‘ownership’ in a way that works for all parties.

Going with an established, profitable, trusted provider is always a good idea…you don’t want them going out of business and your financial data going out the door with them. 

We recommend the business owner sets up the account in their own name and invites the adviser to become an administrator of the account. This ensures the former can always access their data no matter what happens with the relationship, and can’t be locked out of their account.

As the old saying goes, prevention is better than cure. So, before entering into a service agreement with an accountant, bookkeeper or other adviser, it’s vital to check the fine print, review the terms and conditions and clearly understand how you can access your data now and in the future.

Safeguarding your data is paramount. In doing so you should also be sure to use a reputable cloud accounting solution provider - they will ensure your data is highly protected, backed up and easily accessible. Going with an established, profitable, trusted provider is always a good idea…you don’t want them going out of business and your financial data going out the door with them.

Once you’re underway with your cloud accounting, if there is an ownership dispute between you and your adviser, be sure to contact the cloud accounting solution provider for advice and assistance.

However, in our experience that rarely happens. The business owner/business adviser relationship is most often a fruitful one that is advantageous to anyone running a business. Not only will a good adviser help you manage your key financial data – the backbone of your business - he or she will uncover insights into your business trends, benchmark you against similar business, be a useful sounding board and guide you towards all manner of business milestones on the road to success.

Whether you’re new to cloud accounting or you’re already making the most of the benefits, working with an accountant and/or bookkeeper can easily help boost the health of your business. Today’s modern business adviser isn’t just a number cruncher - he or she will provide strategic business advice and planning, and assist with sales and growth forecasts, cash flow management and more.

Working together can make the difference between a business that ticks along, and one that thrives.

Avalara Acquires FuelQuest’s Excise Tax Software Solutions / Latest addition consolidates sales and use tax with excise tax automation for comprehensive energy-based tax determination, compliance, and collection processing

Avalara, Inc., a leading provider of cloud-based software that delivers a broad and growing array of compliance solutions related to sales tax and other transactional taxes, today announced it has acquired the entire line of Zytax energy-related tax automation solutions for U.S. and international jurisdictions. Incorporating Zytax’s products now provides retail fuel and energy companies with a single source for all their transactional tax processing needs. Avalara acquired the Zytax offering from FuelQuest, a provider of on-demand software and services for global downstream energy companies. 

Fuel excise taxes are some of the most complex and difficult taxes for businesses today to process accurately and efficiently.  Zytax offers three cloud-based solutions that address this complexity. Its flagship product, Zytax Compliance, enables on-time, signature-ready motor fuels excise tax filing and audit defense through automation of the end-to-end filing process. Zytax Determination identifies and calculates energy taxes, providing financial control and transparency across a wide range of product types including petroleum, natural gas, and biodiesel.  Finally, Zytax Government increases fuel revenue collections by easing returns filing submission, processing, and auditing for government agencies.

“This acquisition continues Avalara’s longstanding strategy of extending our reach into new industries, providing more businesses with a single place to turn for all of their transactional tax requirements,” said Avalara founder and CEO Scott McFarlane. “A primary objective for our company in an acquisition is that we gain either industry-leading tax content, automation technology, or expert personnel; and, in this case, we have achieved all three.”

“As a leading provider of cloud-based sales tax automation services, Avalara is the ideal complement for Zytax and its customers,” said Matt Tormollen, former FuelQuest CEO and now executive vice president and general manager of Avalara’s newly formed Excise Tax Division.  “The energy industry has long demanded a single solution to drive accuracy across all tax areas.  Avalara is now the company that can meet that demand.”

Over the past decade, Avalara has developed, purchased, or licensed databases containing deep tax data and knowledge related to sales tax and other transactional taxes, including tens of thousands of state and local tax rules, rates, and exemption conditions, as well as more than ten million UPC codes linked to taxability rules. Today Avalara maintains and continually updates an extensive library of tax content, enabling tax decisions on millions of products in multiple industries worldwide.

Avalara’s acquisition of excise tax automation software and expertise is the company’s latest move to broaden and deepen its tax content domestically and internationally. “Well-researched and maintained content is the lynchpin for any accurate tax decision,” said McFarlane. “People tend to focus on rates, but it takes extensive tax knowledge to identify and interpret the rules that underlie energy excise taxes as well as to stay current with the frequent changes that occur.  This addition extends our reach by helping make compliance more accurate for tens of billions of dollars of energy-related excise taxes per year.”

About Avalara – Making Sales Tax Less Taxing.
Avalara helps businesses of all sizes achieve compliance with sales tax and other transactional tax requirements by delivering comprehensive, automated, cloud-based solutions that are fast, accurate, and easy to use.  Avalara’s end-to-end suite of solutions are designed to effectively manage the complicated and burdensome tax compliance obligations imposed by state, local, and other taxing authorities in the United States and internationally.

Avalara is integrated with leading accounting, ERP, ecommerce and other business applications. Founded in 2004 and privately-held, Avalara’s venture capital investors include Battery Ventures, Sageview Capital, Arthur Ventures, and other institutional and individual investors. Avalara employs more than 500 people at its headquarters on Bainbridge Island, WA and in offices across the U.S. and in London, England and Pune, India.

In connection with this transaction, Greenberg Traurig, LLP served as legal counsel and JMP Securities acted as exclusive financial advisor to FuelQuest, Inc.  DLA Piper LLP (US) acted as legal counsel to Avalara.