BlogBookkeeping tips to help you build a solid financial foundation for your business. |
 Have you ever thought, if I could just make more money then I wouldn't be living client payment to client payment... then I would be rich?? (ok, maybe you haven't actually used the word rich but you catch my drift).
Well, I believe it isn't your income which determines your "richness." It's your spending habits. If you have bad spending habits, an increase in income will only mean an increase in spending. You get an extra client project and think "woohoo, I'm going on vacation!" Suddenly, the extra money is gone and you didn't even go vacation yet. You didn't have extra money that you thought you would. Where did it go? That is why you must focus on your spending habits. Here are some bookkeeper approved spending habits:
Happy spending, Brittney  As a small business owner you don't have extra money to throw around.
I get that. I love saving money whenever I can. Which is why I want to let you in behind the scenes of my bookkeeping business. The best time of year to start your new bookkeeping system is January 1. This keeps all your records for the year in one place and ensures tax time will be a breeze. And the best time to hire a bookkeeper? February. Seriously? YES! If you hire a bookkeeper in February it will be the least expensive because I don't need to clean up any previous months and your January bookkeeping is completed in February! That means there's no time for things to get confusing for you. Just hand it over to me and continue on with your life! Ready to save money? Schedule a discovery call and we can get started!  What is a 1099?
A Form 1099-MISC is used to report income paid to independent contractors. It tells the IRS how much you paid to a contractor for services during the year. When are 1099s due? January 31st. This means they must be filed with the IRS and delivered (at least postmarked) to the recipients by that date. Who do I send 1099s to? Unincorporated vendors paid $600+ for services using cash, check, bank transfer, or debit card. You do not need to send one to those who are Corporations or S-Corporations. How do you know? Ask them for a W9. That will let you know their business’s status so you know whether or not they should receive one. What if I paid them using PayPal or credit cards? You don’t need to do anything! Those companies will send a 1099-K for you. If you use the Friends and Family option in PayPal you will need to issue a 1099-MISC. Note: using Friends and Family to pay independent contractors violates PayPal’s terms of service and can restful in your account being frozen or closed. What is the easiest way to file my 1099s? Hire a bookkeeper! I have a few openings for 1099 clients if you need help. What if I didn’t file a 1099 for someone that I should have? File as soon as possible. You may be required to pay a fee depending on how lat you file. |