KBST&M CPA's & Consultants

KBST&M CPA's & Consultants Certified Public Accountants & Consultants

We are KBST& M, a full-service public accounting firm serving businesses, nonprofit organizations and individuals in the Baltimore/Washington metropolitan area and throughout the United States. Our experienced partners are dedicated to overseeing every aspect of your financial interests and we operate under the premise that every situation is unique; requiring services tailored to your needs.

Robust sales don’t always translate into strong profits. A popular product could produce disappointing returns when you ...
09/02/2026

Robust sales don’t always translate into strong profits. A popular product could produce disappointing returns when you account for discounts, shipping, returns and support costs. At the same time, a lower-volume product could quietly generate an attractive profit margin. Product-level analysis can show where you’re generating the most profit. No single measurement will provide all the answers, but gross margin and contribution margin are critical. You should also evaluate product profitability by sales channel and customer segment. Contact us for help developing a practical approach to turning product data into profitable decisions.

Many individuals invest in real estate to help diversify their portfolio, create an income stream for themselves from re...
09/01/2026

Many individuals invest in real estate to help diversify their portfolio, create an income stream for themselves from rental income and build net worth over time. Income and losses from investment real estate are considered passive by definition — unless you’re a real estate professional. Even then, you generally must “materially participate” in a rental activity for it to be treated as nonpassive. Why is this important? Passive income may be subject to the 3.8% net investment income tax on top of any income tax otherwise due, and passive losses are deductible only against passive income, with the excess carried forward. Contact us to discuss tax planning for your investment real estate.

Payroll administration can be challenging for small business owners — and errors can be costly.Common trouble spots incl...
08/31/2026

Payroll administration can be challenging for small business owners — and errors can be costly.

Common trouble spots include incorrect withholding, late tax deposits, and failure to include taxable bonuses, awards or fringe benefits in employees’ wages. Mistakes can happen even with payroll software or an outside payroll provider. Reducing your risk requires two things: formal review procedures to identify problems quickly and prompt action to correct them.

We can help you comply with your payroll tax obligations. Contact us if you discover a payroll error or have questions about the applicable rules.

Corporate volunteer programs can provide valuable support for nonprofits, but the right fit matters. Look for businesses...
08/27/2026

Corporate volunteer programs can provide valuable support for nonprofits, but the right fit matters. Look for businesses whose goals and employees’ skills align with your mission, and ensure volunteer opportunities address real organizational needs without straining staff time. Consider options beyond one-day group events, including skills-based volunteering and employer-supported individual service. Once you find the right corporate partner, invest in the relationship and look for opportunities to turn one-time participation into an ongoing commitment. Contact us to discuss how your nonprofit can make the most of its resources.

Calling one of your business’s employees an independent contractor doesn’t necessarily make that person one. Worker stat...
08/26/2026

Calling one of your business’s employees an independent contractor doesn’t necessarily make that person one. Worker status depends on the actual relationship. And getting it wrong can expose you to tax liabilities, penalties and other costs. Familiarize yourself with the three primary factors the IRS uses to classify workers for federal employment tax purposes: behavioral control, financial control and type of relationship. Also know that the Department of Labor has proposed new independent-contractor regulations that, if finalized, could differ from IRS definitions. We can review your worker classifications and help determine whether you should change them.

To attract and retain skilled workers, your small business needs to offer more than competitive pay. Your benefits packa...
08/24/2026

To attract and retain skilled workers, your small business needs to offer more than competitive pay. Your benefits package matters, too.

Tax-free fringe benefits may be especially valuable to employees. Examples include many types of insurance (health, disability, long-term care and life), assistance plans (dependent care, adoption and educational) and transportation benefits, subject to certain limits. The One Big Beautiful Bill Act also changed some fringe-benefit tax rules for 2026 and beyond.

Open enrollment is right around the corner for many businesses. As you review your 2027 benefits package, contact us for help evaluating your current offerings and fine-tuning them as needed.

A successful capital campaign starts well before your nonprofit announces its fundraising goal. Build a strong leadershi...
08/20/2026

A successful capital campaign starts well before your nonprofit announces its fundraising goal. Build a strong leadership team, develop a broad pool of prospective donors and prioritize major-gift prospects who can help create early momentum. During the quiet phase, organizations often aim to secure 50% to 60% of their campaign goal before expanding outreach. Just as important, carefully assess whether your fundraising goal is financially realistic and, if so, craft a compelling case for support that emphasizes community impact. Contact us to discuss the financial considerations of a capital campaign and whether your organization is ready to move forward.

Occupational fraud perpetrated by owners and senior executives can be particularly costly for businesses because these i...
08/19/2026

Occupational fraud perpetrated by owners and senior executives can be particularly costly for businesses because these individuals usually have greater authority to override internal controls. To reduce fraud risk, familiarize yourself with the three sides of the “fraud triangle”: pressure, opportunity and rationalization. These factors generally enable fraud. Also establish strong controls and policies that prevent owners and executives from overriding them. And offer an anonymous tipline or web portal so that workers can report suspicions without fear of retribution. Contact us for help assessing controls and investigating incidents.

Could your traditional 401(k) or IRA balance be too large? Maybe! Contributing as much as you can to tax-deferred retire...
08/18/2026

Could your traditional 401(k) or IRA balance be too large? Maybe!

Contributing as much as you can to tax-deferred retirement accounts can be a good idea. Contributions are pretax or deductible, and tax-deferred compounding can turbocharge growth.

But sometimes maximizing tax deferral is counterproductive. This may be true if tax rates increase by the time you pay tax on distributions. Also, retirement plan distributions are taxed at your ordinary-income rate, not your long-term capital gains rate. So you may pay a higher tax rate on dividends and growth than you would if you held the investments in a taxable account.

Fortunately, there are strategies that can help. Contact us to learn more.

Bartering can be a viable way to conduct business, especially if you’re strapped for cash. But you can’t escape tax obli...
08/17/2026

Bartering can be a viable way to conduct business, especially if you’re strapped for cash. But you can’t escape tax obligations.

The fair market value of goods or services you receive generally must be reported as taxable income. Business expenses related to the exchange may also be deductible. Special rules apply if you use a barter exchange, including when trade credits are taxable and whether Form 1099-B reporting applies.

Good records are essential, including documentation of the fair market value, invoices, barter agreements and statements from barter exchanges. Whether you already barter or are considering it, contact us to discuss the tax and reporting implications.

Address

307 International Circle, Suite 620
Timonium, MD
21030

Opening Hours

Monday 9am - 5pm
Tuesday 9am - 5pm
Wednesday 9am - 5pm
Thursday 9am - 5pm
Friday 9am - 5pm

Telephone

+14103080300

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