Combining Your Vacation and Business Travel to Save on Taxes

A vacation can be quite a high expenditure, yet may be a necessary break for you and your family. As vacations are typically considered a luxury expense, it means that you have to bear all the costs for your vacation with no help or breaks from Uncle Sam. However, with proper tax planning, you can deduct some vacation expenses under business travel. This is common practice is especially popular in the corporate world. Ever wondered why management meetings, corporate strategic meetings, or client entertainment are done in extravagant and lavish hotels?

You need to be careful when deducting the vacation/"business" expenses to ensure that you are within the rules of what the IRS qualifies as permissible costs. Furthermore, besides business travel, you can also deduct expenses for travel that couples as trips in looking for a job. These tips will help you properly plan your trip and maximize on possible "business" deductions:

Job Hunt Travel Expenses

The tax code allows for individuals to deduct travel expenses for travel to look for employment, even if one does not consequently get a job. However, you need to have been searching for a job that is in line with your current occupation. You cannot claim deductions if you are a first-time job searcher or if you are looking for a job outside your current career field. The IRS does not also allow taxpayers to deduct expenses if they have been unemployed for a long time and are looking to get back into the job market, even if their search for a job is within his or her former business or career specialty. The IRS permits deductions for expenses including travel, meals, and lodging accommodations. Therefore, when planning your vacation, you can combine the travel expenses with the expenses accumulated in search of new employment to claim the deductions.

Transportation Costs for Business Travel

Business travel deductions come with several rules that have to be carefully followed. The IRS is aware that a lot of business expenses can be misused to cater to personal expenses. Therefore, this could be a red flag area for IRS audits and therefore, you need to be careful when claiming such deductions. Costs for transportation within the U.S. are allowed if a trip has a business purpose. For international travel, a taxpayer will need to demonstrate that at least 75% of the trip's purpose was for business to have the costs allowed as a deductible. If not, the taxpayer will need to set aside the business elements of the travel costs from the personal elements. If business travel is on a cruise, then it has to be on a U.S. vessel and the vessel must avoid docking at foreign harbors to be tax deductible. The business expense deductible for a cruise has at a cap of $2,000.00 a year.

Accommodation and Meals for Business Travel

For accommodation and meals, one needs to show that the stay was business-driven. However, you can overstay in your travel destination and enjoy a vacation after the business dealings are done. In such a case, you can only deduct the transport expenses and the expenses incurred during the business period of your trip. You will have to shoulder the full expenses of the extension time, as this is a personal expense. For business meals for yourself and your business associates, the tax code allows for only 50% of the cost to be deductible (you will need to foot the other 50% without a deduction break).

Other Expenses

The IRS also allows the deduction of any other business-related expenses while on your business travel. These expenses include tips, any taxi or car hiring expenses, phone calls, Internet connectivity charges, and laundry. However, the expenses need to be reasonable to avoid unnecessary audits. Furthermore, the IRS can reject deduction claims based on the levels of extravagance. There is a fine balancing that needs to be practiced here to avoid any IRS problems.

Travel with Family

If your business and vacation travel includes your family, you cannot deduct any of the expenses relating only to your family. You can however, deduct any costs that you shared with your family as business expenses. If for example you traveled to your destination for business in your car with your family in tow, then the transport will be an allowable business expense. You can also combine other costs such as car-hire costs and shared accommodations.

Why not combine business with pleasure? If you have the opportunity to travel for business, you can enjoy some new restaurants, hotels, or entertainment spots with your business associates and be able to get some tax relief from Uncle Sam. Or, maybe you can take some "personal time" on the road and do some job hunting on your trip to get some tax breaks.

Rob L Daniel and partners of Limon Whitaker & Morgan, for years have helped businesses and individuals Nationwide, with their delinquent IRS & State tax problems. The firm is based in Lor Angeles, California USA. http://www.limonwhitaker.com / Tel:888.321.6188

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Business Travel Tips - How to Pack For A Business Trip

Use these business travel tips pointers to create and plan a stress-free business packing travel plan.

Ladies:

• When you are putting together your clothes for business, experiment with one color instead of all your favorites. This makes it simple for you to combine and present an ideal business persona for your meetings. With a one color-scheme, you will not need to pack multiple pieces of clothing.
• If you'd like to add a bit of color, you can include a colored shirt or scarf you like (maybe it is your favorite, or it gives you that 'extra OOMPH' that you need for self-confidence - or to compliment your look).

Tips on packing shoes: As much as shoes are something that some women say they can't 'live without,' pack no more than two or three sets. Make certain you have a set of flats and only one set of high heels in your luggage. If you wear high heels all day and evening long, then during your company trip, when what you want (need) most is to shine, you may be experiencing painful leg and back discomfort.

In addition to sensible shoes, women who travel may want to pack makeup. On a business trip and with makeup - Less is better. Makeup during a business trip really should be minimal so that you present an experienced, knowledgeable and professional look. Foundation, powder, mascara, lip gloss, eye liner, and eye shadow, are a few of the things that you need to consider in packing. Less is more - mascara and lip gloss can go a long way in making a professional looking presentation.

All Travelers:

• Frequent business travelers should make it a habit of packing their bags as soon as they return from a business trip. This way, when they have to travel on short notice, the stress and worry of packing is diminished.
• Frequent travelers on business really should try to use regional airports instead of major air-ports. Local and small airports are less congested, and then there are fewer security hurdles.
• When you are on company business, choose the most direct routes instead of the least expensive routes. The least expensive travel arrangements usually make for the longest distance, and this also means you will likely have to use your precious time for traveling and staying in hotels.
• So, instead of saving money, your cost may actually go up, with the less expensive, less traveled route, Because you'll make up for the cost with longer flights and maybe even an extra day stay at a hotel - which means more money all the way around (food, cab or car rental,.. ). Consequently, it's always best to go on a direct flight route to save time and expense, even if you have to fly first class.
• If you're able to fly mid-week, you will be happier because you may be able to save money on trip expenses. Traveling on a Monday or Tuesday normally costs more. Take these travel tips into account when you are paying your own personal air flight to help you cut your costs.
• Also think about the distance from your hotel room to where you are meeting. Have a look on the internet on a map so you see exactly where you'll be meeting, compared to where you are going to be staying. In case you do not know the local or surrounding area, you might want to stay near a company or civic facility in which your company is holding their business.
• Business travelers understand how to make the most of the resources offered to travelers specifically on business. Find hotels that focus on the travelling business person. These hotels won't have amenities for families and neither are they attempting to attract buses of adolescents in route to a camp. When you need to pay attention to business details and not the kids running in the hallway, this will help you find appropriate (and professional) lodging.
• Packing vital electronic things is likewise one of several business travel tips. In case you are traveling overseas, make certain you are aware of the telecommunications requirements of the country. Make certain you pack a couple of USB memory sticks. You will never know if they may require them.
• Never pack your laptop inside your luggage. Your laptop may be a pivotal element of your trip. Inside a flight terminal in an unexpected emergency situation, your wireless laptop may be used to adjust reservations so that you can prevent all those long lines for getting your next flight out. You'll be able to arrange accommodations by automobile or snag just one of the few remaining rooms in hotels in the city straight from the convenience of the seats in the airport terminal.
• If you plan well, then you can normally just walk to your meeting or hotel, while the people around you are stressed - simply because you knew the way to balance technology plus the need to help yourself out of a situation that could have been a problem.
• But one way to use your laptop computer to help yourself if there is a situation where the airport terminal is shut all the way down would be the limited electric power of laptop computers. To see your electric battery go lifeless just when you wanted it by far the most is a lot like watching your tire go flat on the freeway because you drove over glass on your way to the meeting.
• What few people know is that you have open electric-powered outlets in air terminals which are there for cleanup crews. Once you are at the airport - discover exactly where those outlets are. Normally you can find these outlets just underneath the windows that look over the landing strips. If you can secure a seat close to these outlets, it is possible to replenish your laptop computer and maintain your lifeline to everyone you need to.

How the Killing of Osama Bin Laden Will Affect Business Travel

Introduction

The death of Osama Bin Laden does not conclude the global threat of terrorism but in many instances it will trigger a new wave or business travel threats. If you want to know more on how the killing of Osama Bin Laden will affect business travel then you need to read this article. This article will identify the major delays, disruptions, risks and threats to business travel as a result of this high profile leader's death. By the end of the article you will know the key issues affecting business travel as a result and be able to identify the primary areas for travel planning and risk management focus.

Bin Laden's Death

The death of Osama will no more signal the collapse and conclusion of global terrorist events than if the CEO or chairman of a major multi-national were to die also. Global and local terrorism threats are made up of networks, many redundant and independent of any one single point of leadership. Standing Armies, Air Forces and Navies are also constructed along such lines. Would the death of a General bring an Army to a halt? Not likely. Therefore, while being a major news and emotional event for many it will have little to no effect on the command and control of sympathetic terrorist groups. It will embolden some to act, rally to the cause and even further elevate Bin Laden as an icon for their actions, much the same as Che Guevara has evolved as the face of freedom fighters the world over.

Terrorism

Terrorism remains a minor threat to business travel based on the volume of travel and those affected. The responsibility and duty to combat such a threat still remains within the government realm and not that of corporate entities although they do need to be aware of developments and capabilities for local governments to combat or prevent attacks to ensure their travellers do not become targets or affected. Business travellers will still be more likely to be affected by delays, disruptions and threats from more routine and frequent issues such as motor vehicle accidents, illness, airline disputes and bad weather.

The Real Threat to Business Travel

The real threat to business travellers in the wake of the death of Bin Laden will be the subsequent response by the global aviation security and government intelligence agencies. Most will view this result as a success but also be immediately focused on the potential for reprisal. Many individuals and groups are already in the advanced stages of planned attacks but others may rush to action and attack in support of Al Qaeda or Islamic extremists. Their single-minded attention on these issues will result in greater inconsistencies, delays and threats to business travellers.

Airport Security

Airports will become even more unpredictable as to what and how security measures are implemented and changes are all but guaranteed. These changes will further disrupt the efficiency and flow of check-in, boarding, screening, arrivals and departures. However, the effects and approach will not be universal nor predictable to the average traveller and delays, disruptions and missed flights will results and further impact the effectiveness and efficiency of business travel. Company risk and security managers may also be on a hair-trigger and cease, suspend or defer business travel until they get "more information" on the situation, further compounding the issue. If history is any indication, any minor or major incident in the coming weeks and months will result in knee-jerk security treatment solutions that impact more travellers than it prevents terrorists.

Affected Demographics

Profiling and heightened security measures will be applied to specific ethnic groups, nationalities and those traveling through identified travel corridors. Once again this will be inaccurate, inconsistent and opaque to the majority of travellers who will suffer the wider effects and possibly even personal effects of such changes. Those traveling from the Middle East, of Pakistani ethnicity, Muslims, single males, those with beards, women in burkas, travellers with no check-in luggage, those paying by cash or even those that "act funny" at the airport will all draw the attention of someone who is looking at reasons why someone poses a threat or could jeopardize air safety and security, therefore requires interception.

Conclusion

The world is no safer or riskier than it was the day before Osama Bin Laden was killed. The subsequent actions and reactions following his death however will impact the landscape in which business travellers journey through. Hopefully it will be short-term but should we see the slightest hint of threat or reports from the government agencies then we are all likely to be subjected to greater delay, disruption and risk due to this relatively low level threat. Osama's death will not signify the end of terrorism, business travellers need to remember there is continued and greater threat from the more routine, airport security will have it's ups and down in the coming weeks/months and the color of your skin, accent, religion and point of origin will all play a role on how you are viewed by the various security agencies.

While this event should not have had any major impact upon business travel, in reality it will. Now you know what the real threats are, you should prepare yourself and your travellers for the road ahead to ensure they continue to remain productive, efficient and safe during the course of their various business travel demands.

Do Not Let Business Travel Disrupt Your Fitness

You have your ticket, you are packed, and the airport van is picking you up for your next business trip. Leaving Sunday afternoon and returning Friday evening has become routine over the last couple of years. You ran your errands and spent time with the family. You managed a brief workout early Saturday morning so you could attend the kid's soccer games and birthday parties. Business travel is difficult. Lately you are feeling your clothes tightening around your waste. It has not gotten to the point of buying new clothes, yet. Ask yourself if this sounds familiar. There are more and more business professionals challenged with stressful jobs compounded by stressful travel. Surely, this takes a toll on the family and personal life[1], but even more important it could be destroying your health. When your health is gone, your family and job is in jeopardy.

Health and fitness for traveling business professionals is a serious concern, "But it is also a source of a variety of stresses, often overlooked or denied by both organizations and travelers themselves. The World Bank, studying its own travelers, discovered that both their physical and mental health-care claims were significantly greater than those of nontravelers."[2] The typical executive travels 3-5 days per week. They eat ninety-five percent of their meals in airports, restaurants, or fast food establishments. They eat late while entertaining clients. Most of them do not exercise on the road even though gyms are available in hotels. In addition, most traveling business professionals do not get the deep sleep they need. Any medical professional, or fitness expert, will tell you this lifestyle is a recipe for disaster.

There are several resources offering ways to eat right and workout while traveling.[3] Videos abound on exercises you can use while traveling.[4] Still with all this information available, the vast majority of business travelers fail to eat right and workout on the road. Why is this? The problem is more behavior than access to good food and workout facilities. The solution is more education about fitness, not more facilities, workouts, and supplements. People who understand "why" about anything tend to accept and change more than those who do not take the time to understand a subject. Think about this principal. Continuing education is designed to make you more proficient at your job. The more you know and experience the more valuable you become to your employer. Your self-worth and self-esteem increases. This is true when it comes to fitness. The difference is you are your own boss. Here lies the root cause of the problem. If fitness is not a priority in your life, you have too many irons in the fire, you are stretched thin, and now your travel time takes up twenty percent of your waking hours, then you will put fitness on the back burner. The next thing you know you are twenty-five pounds heavier, your body fat percent is nearing obesity, and you have little energy at the end of the workday. At this point, your doctor informs you that your blood pressure is elevating and recommends blood pressure medicine.

A CEO who has all the distractions mentioned earlier recognizes the problem, does not drop everything, and still attacks the specific problem. They would contract a professional, e.g. lawyer, CPA, or consultant to help them filter through all the information and establish a good plan to attack the problem. These professionals allow the CEO to attack the problem while dealing with all the distractions, and still achieve his/her goals. The traveling businessperson should have the same approach to solving their fitness problem. Their professional is a private personal trainer, or fitness consultant.

Private personal trainers have the ability to provide you the right amount of information you need at the time you need it without you spending large amounts of time researching nutrition or exercise routines. They have the ability to assess your current fitness level then design a nutritional and exercise program that works for you. In addition, they can continually assess you, and make changes that will allow you to progress. Good private personal trainers have the ability to council behavior as well as design programs. They hold their clients accountable the same way a CEO uses a consultant to help them maintain accountability for a strategy. In most cases, a private personal trainer is more expensive than a gym personal trainer, but offer services that are more customized and personal. They are normally much less expensive than business consultants. You should consider a private personal trainer as an investment not an expense, the same way a CEO considers a consultant as an investment. So if you are traveling how can a private personal trainer help? You sure are not going to pay them to travel with you. The good news is technology helps to solve this problem.

Today private personal trainers have a wealth of technology available to them to help resolve the two biggest problems preventing fitness while traveling, i.e. education and accountability. Private personal trainers normally have their own web site. This web site provides the tools necessary to help their traveling client. Let us review a few tools that provide a near personal training experience on the road for a fraction of the cost.

1. You have access to articles, other web sites, and educational material on your personal trainer's web site. Your personal trainer can provide information based on your level of fitness. In other words, they provide the right information at the right time. You are not wasting time.
2. Your personal trainer can provide a private login on their web site that has all your information, e.g. measurements, training schedule, exercise videos, meal programs, etc. This section of their web site is password protected for your privacy. Google documents offer great tools for this type of interface.
3. Accountability is available with the use of Google's calendar and SMS notifications. SMS messages are pre-assigned via the Google calendar for clients. They receive alerts on their phone saying to snack, complete a workout, etc. Business travelers have the ability to respond through SMS text messaging, email, or a phone call letting the trainer know what they have eaten, or that they completed their workout routine. If not contacted the trainer will follow-up. This happens no matter where the business travelers, or the trainer, are in the world.
4. Clients can sign-up on http://www.fitday.com and enroll in their internet service. It is less than $10.00 per month and offers the ability to track and monitor nutrition, activities, journals, and moods. By providing their trainer access, the trainer can track all activity 24/7. This combines nutrition, exercise, and behavior extremely well. This provides the trainer the information needed to council clients through a variety of virtual techniques, e.g. SMS texting, web site response, email, phone call, or SKYPE.
5. Skype, Google Video Talk, and other video conferencing tools allow clients to schedule times with their trainer in order for the trainer to view the business traveler's workout. This is convenient if they are working out in a hotel room.
6. Finally, it is important to meet at least once a week when possible with your personal trainer face-to-face to celebrate your progress, establish new measurements, and set new goals.

Hire Travel Agencies For Your Business Travel

When going to a foreign destination on a business trip, there are a lot of things to be taken care of, especially if it is your first business travel. To make your business trip easier it is always advisable to hire a travel agency to take care of all your travelling matters.There are many travelling organisations in Australia that can help you with your business trip. They will plan all the details of your trip meticulously for you, right from the onset till the last moment of your stay in your foreign destination. Business travel is a complete opposite of a leisurely vacation. The first and most prominent point of difference is that you are not going there to take a leisurely break from work, but you are going to a foreign land for work! Therefore, these trips need proper and thorough meticulous planning. Travel agencies take care of all the planning that is to be done according to your requirements, Business air travel bookings, hotel room bookings, arrangements of meetings, and many more things on the same lines. These agencies know all the needs of business travellers and also the fact that they travel quite frequently to particular business destinations. Therefore, to attract these frequent business travellers and to furnish their own accounts, they come up with alluring business travel packages that snugly fits every traveller's pocket! Apart from just being affordable, these packages also include comfortable stay hotel booking, affordable business air tickets, fine cuisines and dining, and best arrangements for business conferences and meetings.

For a frequent business flier, it is always recommended to hire an agency that specialises in business travelling. These agencies are experts in this area and can provide you with best possible arrangements and services at an affordable price. You can expect best experience in reasonable fees, after hiring these travel experts. These agencies can also provide you with a perfect combination of two types of travel packages, that is, which includes site seeing and pleasure activities after your business work is over. The package includes trips to the popular tourist attractions, cruises, amusement parks, site seeing and exploration of the place. There are many agencies that provide packages for both travel purposes - business and leisure. People going on business can take up such packages to explore the place after finishing the business or in the evenings or anytime of the day in between the business meetings and other official activities. These are the best economical packages for leisure and business travel. These packages can make you attend your business activities, while your family can indulge in the leisurely activities. Hiring travelling agencies not only saves you money but also makes your business trip a lot easier for you and your family.