Taking it to the Streets: 7 Marketing Strategies to Consider

marketing strategiesWith such intense focus on digital marketing these days, business owners can overlook the fact that there are actual, physical places to interact with the buying public. Now that spring is here and summer is on the way, it’s a good time to rediscover the possibilities of “street marketing.” Here are seven strategies to consider:

1. Set up a booth at an outdoor festival or public event. Give out product samples or brochures to inform potential customers about your company. You might also hand out small souvenirs, such as key chains, pens or magnets with your contact info.

2. Dispatch employees into a crowd or neighborhood. Have staff members walk around outdoor events or busy areas with samples or brochures. Just be sure to train them to be friendly and nonconfrontational. If appropriate, employees might wear distinctive clothing or even costumes or sandwich boards to draw attention.

3. Leave brochures at local businesses. While employees are walking the streets, they may encounter other businesses, such as hair salons and fitness centers, that allow visitors to leave marketing brochures. Some let you leave such information for free, but others may charge a nominal fee. Instruct employees to ask first.

4. Post fliers. Institutions such as libraries, universities and apartment buildings often have bulletin boards where businesses can post information about services or events. Take advantage of such venues.

5. Host a reception or social event. Street marketing doesn’t have to happen on the street. You can become the event by sponsoring a gathering at a restaurant or similar venue. Socializing tends to put current customers and prospects in an approachable mood and gives you a chance to talk up your latest products or services.

6. Hold information sessions on topics of expertise. In a less social but more informative sense, you can position yourself as an expert on a given topic to market your business. For example, a home alarm system company could host a crime-prevention seminar. You might display product or service information at the session but not make a sales pitch.

7. Attend small business seminars or chamber of commerce meetings. If yours is a B2B company, these gatherings can be a great way to subtly publicize your services to other local businesses. Even if you sell directly to the public, you may be able to pick up some sales leads or at least get a better feel for your local economy.

There’s no denying the sea change in marketing over the past decade or two. Digital approaches are now dominant. But augmenting your online activities with some good old-fashioned legwork can help boost your success. For further information and ideas about growing your business, please contact our firm.

About the author

Brady is the owner of Ramsay & Associates. He specializes in financial statement preparation and personal, fiduciary and corporate tax and accounting.

His professional experience includes seven years' experience for local and national CPA firms before joining Ramsay & Associates in 2006.

He has a Bachelor of Accounting degree from the University of Minnesota Duluth. He is a Certified Public Accountant, a member of the Minnesota Society of CPA's, an Eagle Scout, as well as an active volunteer in the community.

5 estate planning tips for the sandwich generation

estate planning tips for the sandwich generation

The “sandwich generation” accounts for a large segment of the population. These are people who find themselves caring for both their children and their parents at the same time. In some cases, this includes providing parents with financial support. As a result, estate planning — which traditionally focuses on providing for one’s children — has expanded in many cases to include aging parents as well.

Including your parents as beneficiaries of your estate plan raises a number of complex issues. Here are five tips to consider:

1. Plan for long-term care (LTC).

The annual cost of LTC can reach well into six figures. These expenses aren’t covered by traditional health insurance policies or Medicare. To prevent LTC expenses from devouring your parents’ resources, work with them to develop a plan for funding their health care needs through LTC insurance or other investments.

2. Make gifts.

One of the simplest ways to help your parents financially is to make cash gifts to them. If gift and estate taxes are a concern, you can take advantage of the annual gift tax exclusion, which allows you to give each parent up to $15,000 per year without triggering taxes.

3. Pay medical expenses.

You can pay an unlimited amount of medical expenses on your parents’ behalf, without tax consequences, so long as you make the payments directly to medical providers.

4. Set up trusts.

There are many trust-based strategies you can use to financially assist your parents. For example, in the event you predecease your parents, your estate plan might establish a trust for their benefit, with any remaining assets passing to your children when your parents die.

5. Buy your parents’ home.

If your parents have built up significant equity in their home, consider buying it and leasing it back to them. This arrangement allows your parents to tap their home equity without moving out while providing you with valuable tax deductions for mortgage interest, depreciation, maintenance and other expenses. To avoid negative tax consequences, be sure to pay a fair price for the home (supported by a qualified appraisal) and charge your parents fair-market rent.

As you review these and other options for providing financial assistance to your aging parents, try not to overdo it. If you give your parents too much, these assets could end up back in your estate and potentially be exposed to gift or estate taxes. Also, keep in mind that some gifts could disqualify your parents from certain federal or state government benefits. Contact us for additional details.

About the author

Brady is the owner of Ramsay & Associates. He specializes in financial statement preparation and personal, fiduciary and corporate tax and accounting.

His professional experience includes seven years' experience for local and national CPA firms before joining Ramsay & Associates in 2006.

He has a Bachelor of Accounting degree from the University of Minnesota Duluth. He is a Certified Public Accountant, a member of the Minnesota Society of CPA's, an Eagle Scout, as well as an active volunteer in the community.

You may need to add RMDs to your year-end to-do list

RMDs

As the end of the year approaches, most of us have a lot of things on our to-do lists, from gift shopping to donating to our favorite charities to making New Year’s Eve plans. For taxpayers “of a certain age” with a tax-advantaged retirement account, as well as younger taxpayers who’ve inherited such an account, there may be one more thing that’s critical to check off the to-do list before year end: Take required minimum distributions (RMDs).

A huge penalty

After you reach age 70½, you generally must take annual RMDs from your:

  • IRAs (except Roth IRAs), and
  • Defined contribution plans, such as 401(k) plans (unless you’re still an employee and not a 5%-or-greater shareholder of the employer sponsoring the plan).

An RMD deferral is available in the initial year, but then you’ll have to take two RMDs the next year. The RMD rule can be avoided for Roth 401(k) accounts by rolling the balance into a Roth IRA.

For taxpayers who inherit a retirement plan, the RMD rules generally apply to defined-contribution plans and both traditional and Roth IRAs. (Special rules apply when the account is inherited from a spouse.)

RMDs usually must be taken by December 31. If you don’t comply, you can owe a penalty equal to 50% of the amount you should have withdrawn but didn’t.

Should you withdraw more than the RMD?

Taking only RMDs generally is advantageous because of tax-deferred compounding. But a larger distribution in a year your tax bracket is low may save tax.

Be sure, however, to consider the lost future tax-deferred growth and, if applicable, whether the distribution could: 1) cause Social Security payments to become taxable, 2) increase income-based Medicare premiums and prescription drug charges, or 3) affect other tax breaks with income-based limits.

Also keep in mind that, while retirement plan distributions aren’t subject to the additional 0.9% Medicare tax or 3.8% net investment income tax (NIIT), they are included in your modified adjusted gross income (MAGI). That means they could trigger or increase the NIIT, because the thresholds for that tax are based on MAGI.

For more information on RMDs or tax-savings strategies for your retirement plan distributions, please contact us.

About the author

Brady is the owner of Ramsay & Associates. He specializes in financial statement preparation and personal, fiduciary and corporate tax and accounting.

His professional experience includes seven years' experience for local and national CPA firms before joining Ramsay & Associates in 2006.

He has a Bachelor of Accounting degree from the University of Minnesota Duluth. He is a Certified Public Accountant, a member of the Minnesota Society of CPA's, an Eagle Scout, as well as an active volunteer in the community.

Top Budget-Friendly Ways to Enjoy Summer

School’s out and summer has arrived. There’s no better season to discover what Minnesota offers – and there are plenty of budget-friendly ways to enjoy summer. Whether you’re planning a full vacation or looking for a few weekend-only adventures, we’ve put together a list of summer activities that won’t break the bank.

Top Budget-Friendly Ways to Enjoy Summer - Duluth, MN Aerial Lift Bridge - Ramsay & Associates

Community Events & Programs

Many communities around the Twin Cities take advantage of our beautiful summer weather and offer a variety of programs and events in their parks. Most are free, so pack a blanket and some snacks and head to the park. St. Paul offers many Summer Activities, including Music in the Parks, Movies in the Parks, Fitness in the Parks, and more. Minneapolis also has an extensive Music & Movies in the Parks program.

Summer is also a popular time for community celebrations and festivals, including many Independence Day events. This year, White Bear Lake celebrates the 50th Anniversary of their three-week summer festival, Manitou Days, June 15 through July 4. Search for fairs and festivals and much more at Explore Minnesota and Travel Wisconsin.

Parks & Trails

Discover Minnesota’s beautiful landscapes by exploring our lakes, rivers, trails, and parks. Even if you don’t go outside of Minneapolis and St. Paul, there are plenty of natural areas to visit. Minnesota is home to many State Parks and State Trails, including several within an hour’s drive from the metro area. A one-day State Park vehicle permit costs $5; a year-round vehicle permit is $25.

Some favorite Twin Cities locations include:

Museums

Many area museums offer free admission. Some request small donations; special exhibitions may require tickets or reservations.

  • Minneapolis Institute of Art – Free general admission.
  • Walker Art Center – Target Free Thursday Nights and Free First Saturdays. Youth receive free gallery admission every day.
  • Minneapolis Sculpture Garden – Home to the iconic Spoonbridge & Cherry, the Sculpture Garden reopened on June 10 after extensive renovations.
  • Minnesota State Capitol – The Capitol building is once again open for free tours. Built in 1905, the Capitol recently received a $310 million, three-year renovation.
  • Cathedral of St. Paul – Guided tours offered Tuesday through Friday at 1 pm (except holy days and civil holidays).

Como Park Zoo & Conservatory

Como Park Zoo & Conservatory has been a favorite summer destination for Minnesotans for decades. Admission is free, although donations are appreciated. Como offers a wide variety of attractions, including legendary animals like Sparky the Sea Lion, art installations, beautiful gardens, the Marjorie McNeely Conservatory, the family-friendly Como Town amusement park, and more. Tickets are required for rides at Como Town, and a ride on the Cafesjian’s Carousel, built in 1914, costs $2.

Duluth Day Trip

There are many great Minnesota and Wisconsin destinations suitable for a day or weekend trip from the Twin Cities, including Red Wing, Stillwater, Taylors Falls, Wabasha, New Ulm, Hudson, and La Crosse. A popular favorite is Duluth, just up Interstate 35. The city and surrounding area offer many free attractions, including:

  • The Aerial Lift Bridge and the Lake Superior Maritime Visitor Center at Canal Park.
  • Hawk Ridge Bird Observatory – Although staff are only present during the fall migration, the Hawk Ridge Nature Reserve is open to the public year-round.
  • Enger Park – Not only does Enger Tower provide an amazing view, the park boasts lovely gardens as well as a Japanese Peace Bell from Ohara, Japan.
  • Park Point – Across the Aerial Lift Bridge, the park has a large recreation area with a sandy beach.
  • Brighton Beach – Don’t miss the views from this East Duluth park.

Online Specials & Deals

If you’ve got flexibility, resorts or hotels sometimes offer last-minute deals to fill up vacancies. Visit specific properties’ websites or social media pages for more information. You can also save with online coupons from discount sites like Groupon and LivingSocial. Find Daily Deals from the Pioneer Press and Steals from StarTribune.

Pack a Picnic Lunch

No matter what you do or where you go, you can save by packing a cooler. Concessions and restaurant costs can quickly add up, especially when kids are involved. At the very least, pack some snacks for the road, including reusable water bottles as well as simple finger foods.

Here’s to a safe and enjoyable summer!

About the author

Brady is the owner of Ramsay & Associates. He specializes in financial statement preparation and personal, fiduciary and corporate tax and accounting.

His professional experience includes seven years' experience for local and national CPA firms before joining Ramsay & Associates in 2006.

He has a Bachelor of Accounting degree from the University of Minnesota Duluth. He is a Certified Public Accountant, a member of the Minnesota Society of CPA's, an Eagle Scout, as well as an active volunteer in the community.