As the Pew Research Center points out, the millennial population is expected to hit and exceed the 75 million mark. As one of America’s largest upcoming demographics, business owners really need to find the most effective way to market to Millennials.

Outpacing the 51- to 69-year-old Baby Boomer population of 74.9 million, the 18- to 34-year-old Millennial Generation has the potential to reshape the way America does business. And with more and more immigrants entering the country, the Millennial demographic is expected to increase to more than 81 million by 2036, according to the Pew Research Center.

Social Media

Social Media is ubiquitous among Millennials, and businesses can take advantage of this to reach and connect with this demographic. Before the advent of the Internet, clients had few options to learn about a business beyond word-of-mouth advertising, asking for past customer referrals or meeting a representative from the business to learn more about it. However, with the explosion of information through the Internet, there is a lot of data – some would argue too much.

Since there’s so much information online and Millennials often use social media to learn more about a brand through its online presence, businesses can engage and build relationships with Millennials through social media. Monitoring social media is the first step to determine if and how your company is being discussed – is it receiving rave reviews or are customers complaining? If your business has a hashtag with Twitter, you can search it and see what customers are saying about your business, good or bad.

Depending on customer feedback, it can be very worthwhile to use your own social media initiatives to engage, question and educate your client base. Doing this will establish a presence with satisfied customers to help further spread the word. For example, if a customer is dissatisfied, you can ask them what went wrong, show them how you fixed things and ask them to give your business another chance.

Businesses that Make a Difference

Along with making sure they get a good deal from a business, Millennials like to patronize businesses that contribute to the well-being of their community. Studies of Millennials around the world have found that this population will more likely do business with companies that give back to their communities over companies that do not. However, many Millennials believe that companies that go overboard advertising their commitment to charities and nonprofits come off as trying too hard and, perhaps, even inauthentic.

E-Mail Marketing

When it comes to e-mail marketing, whether millennials receive an e-mail on their desktop, laptop or mobile device, being concise and upfront is key. E-mail boxes fill up fast and we only have so much time, so crafting a brief and informative message is essential.

Creating a conversational headline for an e-mail’s subject line can increase the likelihood that millennials will open an e-mail. Headlines that declare how much they’ll save on a product or service, what coupons and discounts are available, or simply what’s in it for them are all effective means to increase the chances that your business’ e-mail will be read rather than deleted.

Undoubtedly, the Millennial demographic has yet to peak in America. For now, though, one of the best ways to engage this population is to establish a social media presence by reaching out and engaging them with your company’s offerings.

Sources

http://www.responsys.com/blogs/nsm/email-marketing/email-marketing-millennials-challenges-within/

http://www.bkv.com/blog/how-to-leverage-social-media-to-engage-millennials/

http://digiday.com/brands/celtraes-marketing-millennials-advertising-week-taught-us/

http://www.pewresearch.org/fact-tank/2015/01/16/this-year-millennials-will-overtake-baby-boomers/

Whether you’re doing taxes for your own business or a client’s business, the small – but real – possibility exists for an audit.

Understanding the chances of an audit and what the Internal Revenue Service may pay particular attention to can help you and your client during an audit, if and when one occurs. What are some common triggers that might lead to an audit by the IRS?

Running a Home-Based Business

Operating a business from one’s home is becoming more and more common with high-speed Internet. However, the IRS is scrutinizing just how much of a home is actually used for a home office. Per IRS Publication 587, someone claiming a den or single room of their house will be more likely to have the deduction approved versus claiming their entire home. Similarly, the sole room or workspace must be used exclusively for one’s business, not for family entertaining or personal storage.

Reporting Business Losses

It is normal and often expected for a business to have losses during the first few years. However, if losses are still reported years after the business’ incorporation, the IRS might take a second look.

Higher Income, Higher Audit Chances

On average, the chances of an individual audited by the IRS is about 1 percent. However, the more income reported, the greater the likelihood of an audit. Tax returns showing incomes of $200,000 and more have an increased chance of an audit, about one in every 30. Filers making $1 million or more have an even greater chance of an audit – about 11 percent.

Lopsided and Unsubstantiated Charitable Deductions

Donating and not substantiating a high percentage of one’s income might raise a red flag with the IRS. Giving away half of one’s income, not appraising a car or similar valuable donation or forgetting to include IRS Form 8283 might have the IRS requesting an audit.

Major Currency Withdrawals and Deposits

Businesses that make deposits or withdrawals of $10,000 or more may trigger an IRS audit. The IRS gets countless reports of these types of withdrawals every day, and they will naturally pique the interest for an audit.

Medical Bills

Bills from medical problems might be deducted if they meet a certain threshold. If medical bills add up to more than 10 percent of a filer’s adjusted gross income and they are younger than 65, they might be deductible. However, gym membership fees, nonprescription medications and medical procedures for aesthetic purposes only do not qualify under the rules as medical expenses.

Partially Completed Tax Returns

Whether it’s a Social Security number, a signature or a 1099 Form not submitted, the IRS’ system and auditors often flag such returns. And sometimes computer or data entry mistakes result in an audit to ensure there are no other errors in the tax return.

Tally Up and Include All 1099s

Staying organized with all types of 1099s will help a tax return go smoother, reducing the chances of accidentally forgetting a 1099 and potentially triggering an audit. Whether it’s a 1099-MISC documenting income earned from self-employment, a 1099-INT for earned interest, a 1099-G documenting an income tax refund or another type of 1099, ensuring all necessary 1099s are included will ensure the IRS’ system is in agreement with the supplied 1099s.

The IRS can still choose to audit a business’ tax returns regardless of the circumstances. However, staying organized, following IRS regulations and maintaining one’s own records will help reduce the number of errors – which will make it a much smoother process for all involved during tax time.

Sources

• http://blog.taxbrain.com/federal-income-taxes/avoid-these-10-red-flags-that-will-trigger-an-irs-audit/
• http://www.kiplinger.com/slideshow/taxes/T056-S001-irs-audit-red-flags-the-dirty-dozen-slide-show/
• https://www.usaa.com/inet/pages/advice-finances-taxaudits?akredirect=true
• http://www.forbes.com/2009/11/03/audit-proof-tax-return-irs-personal-finance-wood.html

Whether your business is a startup or is looking to expand or diversify with a new product or service, how do you know what you need to do first?

Develop Interest & Test Engagement
Are your customers looking for a new way to book their appointments electronically or through a phone call? While a web-based, automated scheduling system might provide greater efficiency through reduced and redirected labor costs, it could turn off customers who prefer phone scheduling.

One way to determine how well a new service might perform is to inform existing customers of it through e-mail, your website and in-person notifications. Giving established customers the option to schedule their appointment via the web, with described benefits, along with traditional means (a phone call to your office), can serve as a test group to see if it’s worth adopting and including in future advertisements for new clients.

Monitor Local Searches
Location-based marketing can determine what local Internet users are searching for and what the local competition offers. Using mobile phones, tablets and other mobile devices, location-based marketing works through passive local search terms and active messaging through apps and text messaging. It can target searchers through defined geographic areas known as a geo-fence.

By searching for and testing search terms based on geography and service type, an analysis will determine what services are in demand and served based on their location and search frequency. For example, existing and new businesses and consumers looking for plumbing services can be identified through keywords and their frequency rating. Mobile marketing campaigns can then be modified accordingly.

Implement Technology to Capture Customers
Use social media to engage with customers and monitor their desires to determine what’s being supplied and what’s in demand. For example, search followers’ Tweets in Twitter using hashtags to see what they’re talking about. Depending on the frequency of that hashtag, or Twitter keyword, demand can be created or responded to. Similar to Twitter, monitor Facebook posts, responses and Likes to determine if a product or service is in demand, in supply or needs to be modified.

Using Google Alerts, along with monitoring consumer review websites, can help determine what’s in demand or what supply already exists. Google Alerts can be set up to monitor web searches for keywords to flag certain topics so you can see what the competition is doing to meet the demand. Reading reviews on popular consumer websites such as Yelp, AVVO or industry specific review websites can determine what people are looking for based on questions they ask advice for. Answering questions on consumer review and resource websites can help engage customers to see what services they are looking for and how they like to communicate.

While there’s no exact science to determine what the competition is doing and what consumers are looking for, leveraging social media and using an existing client base to introduce a new technology can help out with implementing technology and gaining an edge over the competition.

Most people think that they are at the mercy of the IRS. They think they have no rights whatsoever – but they are wrong. Taxpayers have always had certain rights in dealing with the Internal Revenue Service, and recently these rights were formalized and codified. As IRS Commissioner John Koskinen noted, these rights existed for a long time in the tax code but it was never clear to most people what they were until now.

c breaks down your rights into 10 easy-to-understand pieces. Let’s look at a summary of the 10 rights.

The Right to Be Informed

You have the right to know what you need to do to comply with tax laws. This means you are entitled to clear explanations of laws, procedures, instructions, publications and notices. You are also entitled to clear information about decisions regarding your personal case.

The Right to Quality Service

You have the right to professional service, including straightforward and courteous dealings with the IRS. You also are entitled to speak to a supervisor about inadequate service.

The Right to Pay No More than the Correct Amount of Tax

You only need to pay the actual amount you owe and never more than that amount. Furthermore, any and all payments are to be properly applied against the appropriate accounts or tax liabilities.

The Right to Challenge the IRS’ Position and Be Heard

You have the right to object to the IRS’ position and provide documentation in your defense. This means you are entitled to a timely consideration of your objections and to receive a detailed response if the IRS does not agree with your defense.

The Right to Appeal an IRS Decision in an Independent Forum

You have the right to a fair and impartial appeal process, including the right to receive a written response regarding the Office of Appeals’ decision.

The Right to Finality

You have the right to know the amount of time the IRS has to audit a tax year, collect a tax debt, and when the IRS has finished an audit.

The Right to Privacy

You have the right to expect that any IRS examination or inquiry will not be unnecessarily intrusive. You are entitled to a collection due process hearing before search and seizure of your property.

The Right to Confidentiality

Any information provided to the IRS will not be disclosed unless you authorize such disclosure. You can expect action to be taken against anyone who inappropriately uses or discloses your information.

The Right to Retain Representation

You can retain a representative of your choice to represent you in dealing with the IRS.

The Right to a Fair and Just Tax System

You can expect the tax system to fairly consider the facts and circumstances of your case. In cases of financial difficulty, taxpayers have the right to receive assistance from the Taxpayer Advocate Service.

The Taxpayer Bill of Rights will hopefully prove to be a step in the right direction of a more fair, efficient and transparent tax system for all taxpayers.