Here we are, well into September, and we’re staring the fourth quarter of 2018 right in the face. And now that the third quarter is coming to a close, where are you on your Section 179 spending?
To be honest, there is no good reason to not be completely bullish on Section 179 as we cruise through September. In fact, I can think of (literally) a million reasons why you should be taking full advantage of it. That’s because, as you likely know, Section 179 is a cool million dollars for 2018. That’s a number that can really make a difference for companies. I’m not saying you need to go buy a million dollars’ worth of equipment to make it all work, but the fact is, most small and medium businesses can buy as much as they like, and not worry about hitting a limit. That’s pretty reassuring.
Here’s another reason. Right now, at the end of Q3 2018, the economy is humming along. It’s good business sense to use these “good times” to fortify your position, to update and improve your capabilities, and not only keep up with the Jones’, but surpass them. If you’re thinking of being bold, you have a robust Section 179 to back you up.
Two more reasons, both related to Section 179 equipment financing.
The first is the fact that if you finance equipment right now, you will almost undoubtedly reap a bigger tax savings for 2018 than the total of the payments you make in 2018. Yes, that means financing equipment at this time of year and taking the Section 179 deduction is actually an “in the black” move.
The second is interest rate hikes. One is imminent this month, and there is talk of another in December. If you haven’t already, you should get in before that happens. Not only do you get the benefits listed above, you also save money by locking in. Trust me, rates aren’t going down anytime soon, so solidify your position right now.
The 4th quarter is looking good folks. I’m optimistic.