On the Road Again: Auto Insurance Changes

A couple of years ago, at the beginning of the COVID-19 pandemic, most people halted their day-to-day transportation and stayed home to help avoid the spread of germs. As a result, highways were noticeably less-crowded, and car sales were down. Now that businesses are picking back up again, more drivers are getting back behind the wheel and heading back to their daily destinations. So naturally, more insurance policies are needed to protect those on the road. The good news for drivers is that many policies are getting more competitive; however, the bad news for drivers is that auto repair costs are getting more expensive and harder to procure with the supply chain shortage. Labor shortages, more severe claims, and gas prices are other contributing factors to incoming raised premiums. 

Home Is Where the Heart Is: Property Insurance Changes 

You may have recently heard in the local news that San Antonio-area homebuyers are canceling new construction home contracts at record rates due to rising construction costs. Lumber and asphalt materials are still near the all-time highs we saw in the middle of the pandemic. As a result, the cost of insuring these properties has also increased with the rate of materials staying inflated. As if the pandemic wasn’t insulting to injury enough, 2021 was also a bad year for weather. According to Climate.gov, 20 weather and climate disasters totaled $145 billion in cost. Remember “The Texas Snow Storm”? Droughts, snow storms, tropical hurricanes, heat waves, and more devastated the United States, causing property insurance to rise. 

Although looking back on 2021 statistics can seem sort of “doom and gloom,” we at SOGO Insurance want you to know that the current trends don’t have to break your coverage plans. Call one of our helpful agents to discuss how your premiums might be affected by these trends and to see if you’re a candidate to shop for a new policy that better suits your situation. Don’t let raised premiums scare you into canceling policies. You don’t have to give up the protection of your most valuable assets to thrive. We’re here to help you and take pride in treating our clients like family. 

Check our website for other insurance policies you may benefit from, including wedding, valuable possessions, travel, and more. 

In case you missed it: Check out “The Cons of Working From Home” to learn about the risks of having a home office.

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In the simplest terms, the significant difference between these two types of new hires boils down to 1) company employees and 2) independent contractors, or the self-employed. Of course, both are paid by your company, but taxes and withholdings are different for these two types (hence, the additional tax forms required at the hiring point.) 

W2 Employees AKA Company Employees – When the time is right, hiring W2 employees will be a big commitment, but with big rewards. One advantage is the massive vote of confidence you show employees and community members by growing your company and investing in the people that work there. In addition, most businesses develop loyal employees and “long-timers” that appreciate the benefits of working at your company full time, including insurance and other company-assisted assets. Of course, your business must withhold taxes and pay payroll taxes for its employees, so consider this when hiring. You also have to consider that there are more legal risks with W2 workers as your company is responsible for working conditions and other legal expenses such as potential personal injuries or damage. 

1099 Employees AKA Independent Contractors or the Self-Employed – Hiring 1099 employees has several advantages. Still, perhaps the nicest one of all would be the flexibility of scope that fluctuates with your flow of needs. Think of it as a pay-as-you-go wireless phone instead of committing to an annual contract with a wireless carrier. A 1099 employee can submit a proposal, and you can decide at your own pace how much you’re willing to spend at a time on this consultant. You don’t have to pay all of the “extras” that you have to pay W2 or company employees because you don’t legally have to offer insurance or any other benefits that come with being a full-time employee. 1099 employees file their taxes without your company’s assistance, so that is a time and money saver. 

Whatever you choose, talk to your tax advisors, insurance agents, and the IRS to ensure you make the right choice. SOGO Insurance can help you with all types, from business insurance to personal insurance options for your employees. Our knowledgeable agents are ready to go over the pros and cons of each of your questions to help you decide what works best. Call us or visit us online at SOGO Insurance for a quote. 

In case you missed it: Check out “The Reality of Opening Up a Bar” to make sure your bar opening goes as smoothly as possible!

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DO use a template. Luckily, previously-established businesses and several government entities are willing and ready to share their business plan templates with you, cutting out a ton of scratch work for the budding entrepreneur. A quick Google search will produce many examples of traditional business plans (several pages covering several topics) and a lean startup template (usually a one-page overview) targeted toward potential investors. Of course, no template may be the right one as you develop your plan, but use the helpful pieces from several to create your custom plan that makes the best sense for your initial presentation. 

DO get in contact with those willing to help you. From business-owning friends, local support groups, and local startup companies, reach out to consultants who can help you organize your business plan. Any bit of advice will be helpful and can help shape your future while saving you money. While digging, you’ll find that SOGO Insurance has several free resources right at your fingertips, especially regarding business insurance and PEO services, both things you’ll need when addressing the future of your business idea. We love to help small businesses catch up and succeed. 

DON’T forget your target audience – investors. Everything about your business may sound idyllic and exciting at first. Still, you’ll need concrete data and solid metrics to help your investors understand precisely why they should partner with you. So be prepared to dig up a market analysis, have a marketing and sales plan for the initial year, and financial projections, of course. The more data you have to back up your initial investment request will be essential in winning over the big bucks for your dream business to get started.

DON’T be afraid to dream big in the planning stage. Let’s face it – creating a business plan can be scary, but it doesn’t have to be all doom and gloom. Of course, you should look at everything with a fine-tooth comb in your planning stage. But dream big, plan big, and pear down as needed. In other words, follow that inspirational poster from your high school hallways: “Reach for the moon, because even if you miss, you’ll be among the stars.” Of course, businesses don’t come to fruition with magic or ease, so prepare to work and remember to stay protected from the unexpected.

In case you missed it: Check out “Hiring Employees 101: The Basics” to make sure you properly hire the right people for your new or existing business.

The post Do’s and Don’ts of Creating a Business Plan appeared first on SOGO Insurance.

The city of San Antonio extends this notion even further, with family-friendly celebratory events like Fiesta and the San Antonio Rodeo. If you’re here, you’re family. But not everything can be sunshine and rainbows all the time, as we all personally know.

Mental Health in your employees is important

You’d be hard-pressed to find an employee or friend who hasn’t had a tough go at life in the past few years in one way or another. Sometimes life comes at us at 80MPH in some form of heartache or trouble, and cleanly separating work from the heart isn’t as easy to do as it sounds. 

The nicest, happiest-seeming people can be carrying a weight you’re not even aware of, simply because they’re able to put their “work” hat on and leave the emotions out of it, but the minute that person hops into their car at the end of the day, the weight of the world is back on their shoulders until tomorrow morning.

When a tough life event comes knocking on the door, it’s very difficult for some to even find the time or resources to deal with the issue, leaving them helpless and dealing with it during work hours. You might even see a spike in absences while the employee is struggling to deal with the emotions or paperwork of their specific problem. This can affect their emotional well-being, decreasing their productivity and morale. 

This is where employee assistance programs can come into play, and we’re here to help you sort out exactly what you and your team need. 

Employee Health Benefits go in hand with Employee Assistance Plans

Did you know employee assistance programs can reach into areas you and your HR team might not be totally prepared to navigate on your own? Marital problems, drug and alcohol abuse, and death of a close family member are only a few of the topics that can creep into the lives of your employees, but it doesn’t have to be a dead-end road. 

Securing an employee assistance program gives your people the ability to seek counseling services and take the weight off their shoulders and hand it over to qualified professionals who are trained to help handle these situations. A simple phone call can direct your employees to resources that reduce and mitigate issues, leaving your employee the option to focus once again on their job at hand. 

As a business owner, you can secure an employee assistance plan with added compensation and benefits that suits your company’s exact needs. Some plans offer referrals for help, while others offer direct treatment, so it’s important to discuss the difference with your SOGO agent. 

Understanding the legal differences between the two can save you some serious headaches down the road. At SOGO, we’re family, and we’re proud to offer policies that support your work family too. Take the load off your team and secure a plan today. 

In case you missed it: “Is Pet Insurance Worth It In Texas?” breaks down the potential risks you might face with having a beloved fur-friend in this great state. Besides looking out for rattlesnakes in the yard, you’re likely to run into some Texas-sized veterinary bills if you’re not covered properly. Call our agents to discuss your pet insurance options before your pet digs up some trouble. 

The post Employee Assistance Plans Make For Happy Employees appeared first on SOGO Insurance.

1) Determine Your Net Worth –

When was the last time you sat down and compared everything you own vs. everything you owe? Figuring out your net worth is a perfect starting point to creating financial goals for yourself. Is your net worth negative? Don’t get too down on yourself. Having a net worth that is negative is pretty common, especially if you’re living that student loan life still. Don’t let this number discourage you from even starting to be financially aware. Digest the information, and use it to determine next steps. 

2) Create a Budget (and Use It!) –

No, really, we mean it. Before the age of online banking, folks had to rely on balancing a checkbook with pen and paper, forcing them to create a budget and plan for expenses. We could take a lesson from our parents and follow this method, because nothing will help you become more aware of just where your money is going than watching it sneak away on purchases you didn’t really need. Write down “Target” or “Home Depot”  5 times in a month and you’ll be surprised to see just how much is “disappearing.” Create an old-fashioned budget using Google Sheets, including every single expense you anticipate coming out of your bank account in the next month. Don’t forget weird expenses, like quarterly medication, car registration, and other charges that can seem to come out of nowhere. Assign your money to expenses you planned, and cut down expenses that are not needed. Track any unexpected recurring expenses and either make room for them in your budget, or get to the root of the problem and solve it. If you’re always $100 over on your grocery budget category, adjust and move forward. If you’re always over $100 on your hobby budget category, think about if you’re making smart decisions or just mindlessly swiping your card. 

3) Keep an Eye on your Credit Score –

You’ve probably been monitoring your credit score electronically, but it’s time to think about actually paying off credit card debt as you spend it. Everyone has heard of Dave Ramsey’s snowball method to eliminating debt, so try something similar to this and challenge yourself to make sacrifices (for a little bit!) in order to save in the end. Raise your hand if you’ve charged something worth $50 years ago, and realized it has become a $350 item due to interest rates? (Raise). We know. We’ve done it too, but now’s our chance to get that (and keep that!) balance at zero. 

4) Get it together! –

We mean this with love. Having your financial documents in order means being one step closer to being more financially aware. If you have gaps in your paperwork, request it from the bank. Missing an interest rate from your pile could mean spending dollars on an unnecessarily high-interest rate. Should something unexpected or tragic happen to you, you’ll definitely want to have your paperwork in order and not stress your family out to the max.

5) Invest and Save –

Whether tonight’s dinner includes a Burrito Supreme from Taco Bell, or whether you’re making dinner reservations at Galpão Gaucho, SOGO is right here to manage your wealth and keep you financially stable, no matter where you are financially in your life at the moment. SOGO’s agents are ready to discuss the options with you, from Individual Retirement Accounts, or IRAs, annuities, or high net worth insurance protection for those with an especially large amount of assets. 

Adulting is hard, but we believe in you. Let us help you get your financial state in order. Our agents are wealth management experts, and will gladly walk you through your best options. 

In case you missed it: “Summer School Lesson 3: Employee Benefits” will debrief you on employee benefits options for the people that make your business possible. 

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