Keys for active agents: Travel Weekly

Keys for active agents

An article detailing Linda Rawlings' efforts as a travel activist appeared Sept. 19. The following is her advice to those just getting started.

Linda Rawlings, co-owner of Travel Advocate, a Denver-based agency, is the first to encourage agents to get more involved in agency issues, but she is also quick to alert them that it takes commitment.

"You have to pick your priorities carefully," Rawlings said. "Find what you believe in most because that is what will keep you going and will keep the [long] hours going quickly."

Rawlings said it is possible that agents may want to be involved in several projects. For instance, Rawlings is working on three separate projects simultaneously, including the ASTA Agent Expert Column, the Rocky Mountain Buying Group and an airline competition roundtable.

"But I would say pick the one that's most important," she said.

If pressed, Rawlings said, she would focus on the column and the buying group.

"You have to pick the priority, what you believe in," Rawlings said. "And when you go for that, you will find the people are there and they are with you."

Also keep in mind that others may be inspired by your enthusiasm.

"I will really try and so will they," Rawlings said. "They'll believe in it. They will see where it is going. They will see it has direction. There will be a belief that we can make a difference."

Nevertheless, Rawlings said, "remember that you are expendable. It is the cause that matters. If you are in it for you, you are not going to last."

And most of all, Rawlings said, "don't be afraid to fail."

Indeed, she said, there were those who were concerned the Day of Awareness would be a flop, because it had never been tried before and no one really knew if agents would support it.

Some 500 agents attended the event and dozens of agencies shut down in support of the rally.

"I got a number of newspaper articles from [agencies] showing that they were closed with a big sign in the window," Rawlings said.

"That has to move you to feel it is worth it."

There are many reasons agents are willing to sacrifice their time volunteering to help other agents by taking on such demanding duties as ASTA chapter president.

For Dianne Moore, co-owner of New Berlin, Wis.-based Vacations Plus, her reasons can be summed up in two words: Helen Hillman.

Hillman died nearly nine years ago, but her tireless dedication to the agents in Wisconsin continues to inspire those determined to carry on her legacy.

"We call her our first chapter president," Moore said. "She was really the instrumental one in getting this chapter going after it changed status from being a subchapter of the Midwest chapter [about 16 years ago]. Helen was a really nice person and someone very special to me."

Much like Hillman, Moore, who once served at president of the local Rotary Club and has been an ASTA member for 22 years, believes "you have to look at the greater good. In order to have a good society, you have to be willing to give your time for the good of everyone."

Nevertheless, said Christine Kaufman, owner of Manlove Travel in Seattle and who is serving her second term as president of ASTA's Pacific Northwest chapter, the job can be demanding.

"You have to prioritize," said Kaufman, who also credits her staff for helping her stay organized. "You have to spread the word around so that everyone feels involved and it works."

Consequently, Kaufman jokes, "we live here" at the agency.

Between selling travel and fulfilling her duties as chapter president, it is not unusual for Kaufman to put in 12-hour days most weeks.

"The latest thing has been [the shutdown] of Premier Cruise Lines," Kaufman said. When something of that scale happens, Kaufman said, she is one of the first people her members call.

"They will ask for help on legal matters or how to contact automation vendors," said Moore, who keeps in contact at quarterly chapter meetings and through e-mail.

Despite the long hours, both Moore and Kaufman agreed the experience is priceless.

"It gives you a greater perspective of what other agents are going through," Kaufman said. "And the networking is phenomenal. I have made some lifelong friends."

-- Michael Milligan

Taxing questions

Q:Are computer programs really able to do my taxes?

A:No, not adequately for businesses.

Relying on a software package exclusively for tax preparation might cost far more than you save. It could even make you more prone to an audit.

Computer bookkeeping programs generally follow the rules of financial accounting rather than tax accounting, which is more than just hair-splitting.

Dan McManus.For example, financial accounting rules allow you to spread upfront payments for a three-year contract evenly over three years.

The IRS, however, demands that the payments be counted as one entry.

So if your tax program relies on the data directly from your accounting program, it could file an incorrect return.

These programs are useful planning and estimating tools, but they can't replace the attention and reasoning given by an accountant who knows the particulars of your agency's business.

Q:Can I save any taxes by employing my 17-year-old daughter at my agency?

A: Yes. You avoid the employer's share of FICA on wages if your child is under age 18.

In fact, hiring family members often enables you to shift some of your income to family members in lower tax brackets.

Depending on earnings, there might be no tax at all on wages paid to your child.

Talk to your certified public accountant to determine optimum salary levels.

Q:Are travel agencies more likely to be audited than other businesses?

A: No. There are certain types of cash-based businesses and self-employed individuals that are at greater risk for audits.

Self-employed workers earning more than $100,000, for example, are audited at nearly twice the rate of similarly paid individuals who are employees, according to IRS data.

You can lessen your risk in an audit by making sure your business travel and entertainment expenses are well documented and by deducting only 50% of the total cost of those expenses.

Other possible red flags for entrepreneurs include hiring only independent contractors, unusually large donations to charities or extravagant gifts, and reporting little or no revenue.

I'm giving my employees gifts on their birthdays. Can I deduct the cost of these?

Gifts valued at up to $25 per employee can be deducted each year.

If you give holiday or other gifts to your staff, you can deduct the expenses up to the $25 limit.

The same applies to your customers.

Former agency owner Dan McManus is the publisher of the newsletter The Successful Worldspan Agent.
Contact him at [email protected].

From Our Partners


From Our Partners

GTM North America Supplier Spotlight Part 2
GTM North America Supplier Spotlight Part 2
Watch Now
Sponsored Video: New Orleans on Cruises and Advisor Perks
Sponsored Video: New Orleans on Cruises and Advisor Perks
Read More
Sani/Ikos Group: Luxury Beachfront Resorts in Greece & Spain
Sani/Ikos Group: Luxury Beachfront Resorts in Greece & Spain
Register Now

JDS Travel News JDS Viewpoints JDS Africa/MI