If your child is starting their first paying job this summer, here are a few tax considerations you are going to want to discuss with your child before they start their summer job.
#1 Dependent Status
The first thing that you need to do is make sure that your child understands that they are still your dependent. As long as the you are still providing for more than half of your child's needs, no matter how much money they make, they are still your dependent.
Being your own boss brings some benefits for you. One of the greatest from most people includes having a more flexible schedule. Setting your own hours and working when you can will alleviate a lot of issues in life. However, there are things that may not be as appealing, such as not having company benefits. One way to help offset this is by the numerous tax deductions you can qualify for by being self-employed.
As the middle of the year approaches, few people are thinking about taxes. After all, it's summer and summer is meant for fun and sunshine. But, spending a little bit of time planning can help you to have a much more stress-free spring next year when tax season comes around again. Here are 3 ways to do just that.
Check Your Withholding
Looking at your financial picture during the summer gives you time to make any needed adjustments before it's too late.
If you own your own business, there are many benefits to keeping your own books and keeping a direct eye on all of your finances. However, without proper training in accounting, you might find yourself in some difficult situations that require assistance. Rather than attempting to get through these on your own, there are some distinct benefits to reaching out for help.
Below, you'll find a guide to some of the positives of contacting a certified public accountant for help with operating Quickbooks.
Many homeowners receive monetary payments from a tenant who lives in an area such as a garage apartment or a basement. Some tenants pay less than what would be considered fair market value. Homeowners who receive not-for-profit rental income report that rental income differently than someone who rents out real estate in an arm's-length transaction.
The key aspect to classifying a rental agreement as not-for-profit is that the arrangement is not driven by market forces.