Zarak Financial

Continue to: Z-Mortgage

FNMA stands for the Federal National Mortgage Association. It was signed into law in 1938. It creates a secondary market for the Federal Housing Administration. It is commonly known as Fannie Mae. It is a government sponsored enterprise and a publicly traded company.

What is FNMA?

The United States Housing Authority was created under the Housing Act of 1937. IT helps enact slum-clearance projects and construction of low-rent housing.

What is The United States Housing Authority?

FHA stands for Federal Housing Administration and it was created under the National Housing Act on June 27th, 1934. It helps provide Mortgage Insurance on loans made by FHA Administration thru approved FHA lenders.

What is an FHA loan?

HUD stands for the Department of Housing and Urban Development. On September 9th, 1965, President Lyndon B Johnson signed the Department of Housing and Urban Development Act into law. HUD is administered by the Secretary of Housing and Urban Development. The headquarter of HUD is located in Robert C Weaver Federal Building in Washington DC. The official website of HUD is



What is HUD?

Z-Tax and Accounting


Get Ready to File your 2019 Taxes

It's a good idea for anyone who had a key life event, such as getting married, getting divorced, having or adopting a child, retiring, buying a home or starting college.

If the Tax Withholding Estimator recommends a change, an employee can then submit a new Form W-4, Employee's Withholding Allowance Certificate, to their employer. Don't send this form to the IRS.

Similarly, recipients of pension or annuity income can use the results from the estimator to complete a Form W-4P, Withholding Certificate for Pension or Annuity Payments, and give it to their payer.

Taxpayers who receive a substantial amount of non-wage income should make quarterly estimated tax payments. This can include self-employment income, investment income (including gain from the sale, exchange or other disposition of virtual currency), taxable Social Security benefits and in some instances, pension and annuity income. Making estimated tax payments can also help a wage-earner cover an unexpected withholding shortfall.

Estimated tax payments are due quarterly, with the last payment for 2019 due on Jan. 15, 2020. Form 1040-ES, Estimated Tax for Individuals, has a worksheet to help figure these payments. Payment options can be found at

Workers and retirees who receive self-employment income or income from the gig economy, including payments in the form of virtual currency, should make sure to take these amounts into account when they fill out the Tax Withholding Estimator. Payments received in virtual currency by independent contractors and other service providers are taxable, and self-employment tax rules generally apply. Normally, payers must issue Form 1099-MISC. Similarly, wages paid using virtual currency are taxable to the employee, subject to withholding, and must be reported by the employer on a Form W-2.

People with more complex tax situations should use the instructions in Publication 505, Tax Withholding and Estimated Tax. This includes those who owe alternative minimum tax or various other taxes, and people with long-term capital gains or qualified dividends.

Gather documents and organize tax records

The IRS urges all taxpayers to develop a recordkeeping system − electronic or paper − that keeps important information in one place. Keep copies of filed tax returns and all supporting documents for at least three years. This includes year-end Forms W-2 from employers, Forms 1099 from banks and other payers, other income documents, records documenting all virtual currency transactions, and Forms 1095-A for those claiming the Premium Tax Credit. Add tax records to the files as they are received. Having complete and timely records can help any taxpayer file a complete and accurate return.

Taxpayers should confirm that each employer, bank or other payer has a current mailing address or email address. Typically, year-end forms start arriving by mail – or are available online – in January. Review them carefully and, if any of the information shown is inaccurate, contact the payer right away for a correction.

To avoid refund delays, be sure to gather all year-end income documents before filing a 2019 return. Filing too early, before receiving a key document, often means a taxpayer must file an amended return to report additional income or claim a refund. It can take up to 16 weeks to get an amended return refund.

Renew expiring tax ID numbers

Taxpayers with expiring Individual Taxpayer Identification Numbers can get their ITINs renewed more quickly and avoid refund delays next year by submitting their renewal application soon.

Continue to: Z-Tax & Accounting

Z-Insurance & Risk Management


What is Insurance?

Insurance enables a person or an organization called the "Policy Holder" or "The Insured" to transfer the financial consequences of a loss to an Insurer. The Insurer, in return, pays the policy holder for the covered losses and distributes the costs of losses among all policy holders. Insurance is just one technique that the organizations use as part of an overall process known as Risk Management.

Who regulates the Insurance Industry?

In the United States, the State Legislature sets broad policy for the regulation of Insurance. It established and oversees the State Insurance Departments, regularly review and revise the State Insurance laws, and approves state regulatory budgets. The State Insurance departments roughly employ 12500 regulatory Employees nationwide.

What are the different types of Insurance and how is it sold?

Insurance can only be sold by licensed Insurance Agents. Insurance Agents must pass a State Specific exam to qualify and obtain an Insurance Agents License after passing a background check. In addition, licensed agents must complete State specific continuing education requirements to maintain their license. A Life and Health License allows an agent to sell Health and Life Insurance and a Property & Casualty License Allows an Agent to sell Personal and Commercial Insurance Products. Some States allow a Limited Lines License for specific type of a product.

What is the difference between Personal and Commercial Lines?

Personal lines is for individuals and families, such as Auto Insurance, Homeowners Insurance, Motorcycle Insurance and Boat Insurance. Commercial Lines is for Businesses and Organizations.

What are different types of Commercial Insurance?

Examples of Commercial Insurance is Commercial Property Insurance, Business Income Insurance, Crime Insurance, Boiler and Machinery Insurance, Inland and Ocean marine Insurance, Commercial General Liability Insurance, Commercial Automobile Insurance, Businessowners Insurance, Farm Insurance, Workers Compensation and Employers Liability Insurance, Surety Bonds, Flood Insurance, Professional Liability Insurance, Directors and Officers Liability Insurance, Employment Practices Liability Insurance, and Umbrella & Excess Liability Insurance.

What is Risk Management?

Risk Management is the process of identifying, analyzing, and managing loss exposures in such a way that an organization can meet its objectives.

What is a Loss Exposure?

A Loss Exposure is a possibility of a loss. In other words, if an organization could suffer a particular loss, it is exposed to that type of loss. For example, buildings in the Midwest United States are exposed to tornado damage and therefore are said to have a tornado loss exposure. Tornadoes do not occur in most West coast states, therefore buildings in those areas do not have a loss exposure. Commercial Insurance responds to both property loss exposures and liability loss exposures.

What are the two types of Loss Exposures?

A Property Loss Exposure is the possibility that a person or an organization will sustain a financial loss as the result of damage, destruction, taking or loss of use of property in which that person or organization has a financial interest. The possibility of tornado damage, noted above is an example of a property loss exposure.

A Liability Loss Exposure is the possibility that a person or an organization will sustain a financial loss as the result of a claim being made against that person or organization by someone seeking monetary damages or some other legal remedy. An example of a liability loss exposure is the possibility that a restaurant will be sued by one of its customers who has slipped and fallen because of a water spill on the restaurant's floor.

How are Loss Exposures identified and treated?

Property and Liability Loss Exposures can be identified and treated through the following Risk Management Process.

(1) Identifying and Analyzing loss exposure

(2) Evaluating the various techniques for treating the loss exposure

(3) Selecting the most effective technique or techniques

(4) Implementing the selected technique

(5) Monitoring the program and making needed corrections or adjustments.

What are some of the additional, non-Insurance Risk Management techniques?

Insurance is only one of several risk management techniques and it is almost always used in combination with other techniques. The non-insurance risk management techniques include the following:

(a) Avoidance occurs when an organization avoids an identified loss exposure by choosing not to own a particular item or property or to engage in a particular activity. For example, by not manufacturing a certain product to avoid the potential liability for injuries resulting from the new product.

(b) Loss Control includes any measure to prevent losses from occuring (such as storing gasoline in sealed, approved containers) or to reduce the size of losses that do occur such as an automatic sprinkler system in a building.

(c) Retention is when an organization chooses to pay all or part of its or "self-insures' its losses. For example, a business might choose to self-insure certain exposures or to purchase large deductables on its insurance policies. When the organization has the financial ability to obsorb some or all of its own losses, retention may be less costly in the long run than buying insurance to cover the same losses.

(d) Non Insurance Transfer Occurs when an organization such as a building owner obtains the promise of a second, noninsurance organization "such as a remodeling contractor" to pay for certain losses that would otherwise fall on the first organization. Also known as "Hold Harmless Agreements" or "Indemnity Agreements", non Insurance transfers are commonly included in a wide variety of contracts, such as leases, construction contracts, and purchase agreements.

Continue to: Z- Insurance & Risk Management