The figures on an income statement report the sales, expenses, and net profit or loss of a business. But these figures can be helpful in another way. They can be used to compute the breakeven point for the business. Knowing your breakeven point can help you run your...
There is no income tax withholding on self-employment income, but that doesn’t mean you’re not required to pay taxes during the year. Self-employed individuals generally must make quarterly estimated tax payments due April 15, June 15, September 15, and January 15 of...
Unfortunately for taxpayers rental income is taxed but there are a few rules you should know about rental income before you fill out your tax return. Renting income from a vacation home can take many forms. You can be taxed on a house, mobile home, even a boat but...
One thing taxpayers don’t pay enough attention to is their withholdings. Withholding too much tax from your wages isn’t a smart financial move. Match your withholding as closely as possible to your actual tax liability for the year, and invest the extra money for...
There are many worthwhile reasons to lend money to a relative. For example, you may want to help a child or sibling continue their education or start their own business. But lending money to relatives can have tax consequences. The IRS requires that a minimum rate of...
