AI in Business, Tax Bill Stalls, and What to Do with Extra Edvest Funds

AI isn’t just a buzzword anymore. It’s rapidly becoming part of how businesses operate. How can business owners practically integrate AI into their daily operations? We discuss how, from automating routine tasks to protecting sensitive data.

We also provide a timely update on the status of the federal tax bill in the Senate and discuss your options if you have leftover Edvest funds after your child finishes school.

Here’s what you need to know.

(Download Video Transcript)

Turn AI Hype into Practical Business Strategy

The conversation around AI tends to veer toward extremes: either it’s going to take over the world, or it’s irrelevant to your business. The truth lies somewhere in the middle. Instead of chasing headlines, business owners should focus on where AI can make a real impact in their current processes.

Start with What's Repetitive

Look at the routines in your business. Tasks that are repeated consistently are often prime candidates for automation. For example, using AI tools to streamline document filing or data entry can free up employees to focus on higher-value work.

This shift isn’t about replacing your team, rather it’s about improving efficiency.

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Documentation is Key

Well-documented workflows make it easier to onboard new employees, and they also make it easier to train AI systems. Think of your policies and procedures as the foundation for automation. The more structured and repeatable your processes are, the more likely they can be handed off to AI tools.

Explore Tools You Already Use

Platforms like Microsoft Copilot integrate directly with Word, Excel, and PowerPoint, allowing you to quickly search internal policies, create reports, and automate tasks using simple prompts. Instead of hunting through folders or writing complex formulas, you can ask Copilot questions and get instant results.

Keep Data Security in Focus

AI tools are powerful, but you have to be careful with how you use them. Public tools like ChatGPT should never be fed client data or confidential information, as that information could become part of the AI’s broader learning model.

Businesses should explore options that allow them to keep AI usage internal, such as secure instances of Copilot, where data remains within company boundaries.

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The Federal Tax Bill Stalls in the Senate

After passing in the House, the much-anticipated federal tax bill has hit resistance in the Senate. The challenge? Republican senators are divided. Some are pushing for strict deficit controls, while others are concerned about proposed spending cuts to programs like Medicaid.

The Congressional Budget Office estimates the bill could increase the federal deficit by $2.5 trillion, an amount some lawmakers say is too steep. While leadership is aiming for a July 4 signing, significant negotiations would be needed to get all Republican senators on board, and progress appears slow.

The bottom line for business owners? Stay tuned. While changes are still up in the air, it’s wise to start discussions with your tax advisor now so you’re ready when (or if) the bill moves forward.

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What to Do with Extra Edvest Funds

If your child has finished school and there’s money left in their Edvest account (a 529 college savings plan), you have a few options, and some are more advantageous than others.

Option 1: Withdraw the Money

This is the least attractive option. Any earnings will be taxed and hit with a 10% penalty. That might not sound like much, but it reduces the current balance and chips away at future investment growth.

Option 2: Roll It to Another Family Member

You can transfer the unused funds to another qualifying family member without penalty. This keeps the money growing tax-free for future education expenses.

Option 3: Convert It to a Roth IRA

Thanks to recent changes in the law (starting in 2024), you can now roll leftover Edvest funds into a Roth IRA for the original beneficiary, as long as certain conditions are met. While there are rules around contribution limits and account history, this option can be a smart long-term move for young adults, giving them a tax-free retirement savings boost early in life.

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What This Means for You

Whether you’re thinking about how to responsibly adopt AI, navigating potential tax law changes, or figuring out what to do with leftover college savings, each of these topics comes down to the same thing: taking a thoughtful, strategic approach.

By staying informed and asking the right questions, business owners can stay ahead of change rather than react to it.

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