GSS Insight - Construction Articles
How builder's business entity impacts healthcare taxes
The type of business entity your construction company operates as - sole proprietorship, partnership, S corp, corporation, etc. - makes a difference when it comes to paying the new Medicare surtax on employment income and a new tax on net investment income.
Construction workers who moved on create shortage today
Construction workers who found work in other industries during the Great Recession are part of the reason the housing industry is now experiencing a shortage of skilled workers. Residential construction firms are reporting an increasing number of shortages in all aspects of the industry.
Should contractors consider cloud computing?
Cloud computing is an approach to information technology that allows you to access part or all of your servers, networks and software applications via an Internet-based service rather than buying and hosting them yourself. For contractors, there are a variety of reasons to consider cloud computing.
Tax consequences of principal reduction addressed
The federal government has a number of programs designed to assist homeowners having difficulty making their mortgage payments, including the Principal Reduction Alternative offered in the Home Affordable Modification Program. How does participation impact the homeowner's income taxes?
Being 'real estate professional' comes in handy at tax time
Qualifying as a real estate professional is very helpful at tax time. It releases you from the restrictions of passive activity rules, which prevent investors from using losses on rental real estate to offset passive income. You can avoid the rules if you "materially participate."
Employers who misclassified workers offered incentives
The IRS has announced changes to the program that offer incentives to employers who have misclassified employees as independent contractors. Some employers who have not been filing required information returns will have to act by June 30, 2013, to take advantage of a reduced penalty offer.
What construction design is used by most?
Business information modeling – BIM – is the computer-aided construction design now used by 70 percent of industry professionals, according to a new study. Contractors are leading users, with 74 percent, followed by architects, 70 percent, and engineers, 67 percent.
Public-private partnerships gaining steam
Public-private partnerships are contractual agreements between government and one or more private entities to fund, build and operate a service that has been traditionally provided by the government. P3 contracts, as they are known, are becoming more popular.
Home improvements often cost more than expected
More than 17,000 consumers were surveyed about home improvement projects ranging from painting to remodeling kitchens to adding new rooms. Nearly half, 44 percent, said they spent considerably more money than anticipated and experienced a variety of unexpected problems.
How to better control direct construction costs
With rising costs of materials coupled with downward pricing pressures, it's more important than ever to manage project expenditures. Managing to the correct gross margin is an effective way to remain solvent on a job-by-job basis and companywide.
Upswing in commercial construction seen for 2013
Growth in 2012 signaled a revival of the nonresidential construction industry. The 2013 forecast for commercial construction - offices, hotels, retail and other business buildings - is 10.2 percent growth, double the 2012 rate. Hotel construction is expected to jump a whopping 18.2 percent.
Kids anxious to move from parents' homes
Multifamily construction spending was up 15.8 percent for the first six months of 2012 over the same period last year. One of the main reasons is pent-up demand as older children who have been struggling financially are anxious to fly the coop.
How vulnerable is your company to fraud?
Approximately 5 percent of company revenues are lost each year to employee fraud. Contractors must recognize the areas where they are most vulnerable and put the right controls in place to prevent fraud. Here are some suggestions.