Someone that will not only do a nice job on filing your taxes, but will find you all the LOOPHOLES.
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Ask people similar to you who they use and if they are happy with the service.
If that doesn't work, google "[your city] + CPA.
While it's not necessary to have a local accountant you can meet with in person, it has it's benefits.
Visit some websites and get a feel.
Pick a few that you think you want to work with and call them.
Here's a script,
"I am in the business of [your operations], making about [your expected revenue] this year, and am looking for someone to help me with my books and taxes. Are you taking new clients?"
They are always taking new clients - they love to work.
Then ask them any questions YOU need to get comfortable with THEM.
Remember, they work for you.
They will charge an hourly or monthly rate for bookkeeping.
They will charge an hourly or per return rate for tax returns.
.Get rates from all the CPAs that you talk to in order to compare.
Here comes the twist...
CPAs, especially smaller offices, are often cheaper than heavily marketed tax shops like @HRBlock...
BUT! CPAs are much better at doing taxes (saving you money, accuracy, etc) than places like @HRBlock.
Thus, the price and quality makes CPAs a huge value.
The more sophisticated you get, the more likely you will need a larger CPA office or tax attorney (pros and cons of both), but by then you will be able to afford either. Don't worry about that for now if you are early in your profit journey.
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Have you ever wondered what an S Corp actually does for you?
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2) First, Self-Employment Tax (“SE Tax”)
If you are self employed - entity or not - and have no other sources of income, you will be taxed 15.3% of your profits to $137,700 of profit and 2.9% profits after $137,700.
It approximates payroll tax.
3) For example, let's say your business profits $150k, either as a sole proprietor or single member LLC.
In this example your SE Tax would be approx. $21,425.
When do I NEED to form and LLC for my business or side hustle?
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1) Upfront, you have to ask this question from multiple perspectives.
There is an answer for legal purposes.
There is an answer for tax purposes.
There may be an answer for commercial purposes.
I'm going to address the tax aspect directly.
2) From a tax perspective, if you are the only owner (called a "Member" in an LLC), the IRS does not see the LLC as separate and distinct from you. It is "disregarded" from you for tax so it doesn't matter.
(You can elect to regard it, but that's another topic.)
Your country of citizenship may tax you on worldwide income, income earned in country, or a both.
Lawrence is a UK citizen, a Uruguay resident, and a “nonresident” for UK tax.
The UK only taxes income earned in the UK for nonresidents.
First Hurdle – Citizenship Country
As long as @lawrencekingyo stays out of the UK for all but 46 days a year, he should keep his UK tax nonresident status and not owe any income tax on any income he earns outside of the UK (presumably all of his income).
FACT: You LOSE at least 1/3 of your income to TAX! ...and if you are making a lot of money, it's over 1/2!!!
Think what you could do with that money, even just some of it?
If you could just take 10% back, what would that mean to your life?
If invested properly, could you retire 10 years earlier and enjoy more of the good life? What would you do if you could stop working 10 years earlier?
What would your vacations look like if you had 10% more of your income?
That's like going from a hotel inland to staying in the biggest house on the beach!
Maybe you would put it all in dividend stocks or real estate and enjoy the financial security of knowing you had regular dividends and rents coming in.