With the pandemic firmly in the rearview mirror, our restaurant clients have seen a return to full seasonality in 2024. Many restaurateurs have been caught off guard by this "return to norm," as the last few years have accustomed them to operating on a week-to-week basis. However, the return to seasonal trends requires a mindset change.

With the Federal Reserve signaling the likelihood of rate cuts as soon as September, now is a great time to review the tax attributes of different income streams while considering strategies to lock in cash flows while rates remain high. Understanding the tax implications of various income sources can help you make informed decisions to optimize your tax liability. Here then is an overview of the tax attributes of several popular income streams.

Last year, Washington, D.C. updated its regulations with the Restaurant Revitalization and Dram Shop Clarification Amendment Act of 2024. The updated legislation went into effect last month, and includes a number of changes and updates to DC’s Dram Shop laws as well as a handful of gestures toward easing the pain of the chaos that is the protracted end of DC’s tipped minimum wage.

This is your friendly, regular reminder that as of January 1 this year, the US Department of the Treasury’s Financial Crimes Enforcement Network, or FinCEN, has been accepting Beneficial Ownership Information Reports, or BOI Reports. These reports are part of the Corporate Transparency Act, or CTA, which went into effect in 2024.

LFTL covers some suggested reading this month spanning the FLSA Minimum Salary increases, Starbucks, Grimace, and more.

The recent changes to the Fair Labor Standards Act (FLSA) White Collar exemption bring substantial implications for small businesses. As of 2024, the U.S. Department of Labor (DOL) has implemented a raise in the minimum salary threshold for the majority of employees not paid hourly but paid a salary. The current exemption threshold is $684 per week ($35,568 per year) – but is set to increase by a whopping 64% over the next six months!

Wonder is the latest in a long line of Venure Capital driven claims to revolutionize the restaurant indstry. We have some questions.

A tax extension provides additional time to file your tax return, not to pay any taxes owed. The IRS offers an automatic six-month extension for those who cannot file their tax by the due date. We handle this service for our clients but if you’re doing your taxes yourself here’s a handy guide (and reminder to call us next year!).

“ ‘Are my labor increase fees compliant? Will I be sued? I can’t afford to defend myself—what should we do?’ ” Hetrick recalls hearing from owners. “They read that there are lawsuits and believe they have to rush off to switch their comp models to unsustainable structures or they’ll be sued into oblivion in the coming months.”

As an operator solving cost of goods challenges can be challenging but the positive news is that 90% cost of goods problems come from 1 of 3 areas: pricing problems, waste, and shrink. Today in Lessons From the Line we’re examining a useful tool to address these issues: the Declining Balance Budget.

The concept of the "marriage tax penalty" is a critical issue for many couples, affecting their financial planning and tax filings. The marriage tax penalty occurs when a married couple pays more in taxes than they would if they were filing as single individuals. Learn how to navigate this tax issue in this month’s Commonsense CPA.

With laws like DC’s Initiative 82 and Chicago’s “One Fair Wage” ordinance passing nationwide eliminating the tip credit, some restaurateurs are left scratching their heads about how to cover increased labor charges. Service charges have now come under fire from a variety of angles, so this month’s LFTL explores some service charge alternatives.

Uber is shutting down the alcohol delivery service it acquired for north of $1.1 billion to fold it into the main UberEats app. There were other issues with Drizly, and the company line is that Uber wanted to deliver everything under one brand, but to shutter a $1B acquisition dovetails with a larger market shift that can be constructive to small business owners.

Tax season is here. Get the jump on your filing with Harmony’s list of helpful tips for tax preparation for restaurant owners.

The CCPA this month talks record retention guidelines, which is to say we’re digging into one of the most common questions we get around here - “How long do I keep [insert any given tax document]?” Let us simplify some of the IRS’s extremely lengthy guidance on your recordkeeping.

Winter is Coming! Game of Thrones had it right, and it happens every year - be prepared for the natural sales lull the restaurant industry experiences every year and consider how and where you can cut costs.

This month we’ve crafted a Top 10 list of "Fall Financial Cleanup" items to help you close the year with your financial house in order, from cash management to wealth planning to tax preparations.

Let’s dive into rent, specifically the NNN or Triple-Net leases common in the modern retail world. A “triple-net” lease means the base rent is net (accounting speaking for doesn’t include) maintenance, real estate taxes and insurance. Gross rent is a rent calculation that encompasses all charges.

At Harmony, we have found there is one element that stands out in ensuring long-term success: controlling labor costs. While the first principle is that labor spending needs to be at sustainable levels to ensure consistent profitability, we've noticed some clients struggle with the seasonal sales cycle. Your invaluable human resources must be managed with precision to ensure both profitability and a stellar customer experience.