Rates are crashing and fuel to the moon!

IRP cost me $2,500. Parking in Chicagoland costs me $450 per month. I pay a bit more for insurance.

 

Yep!

 

Did you try asking the accountant why your taxes were so high? It's your money, you should be curious about where it's going.

 

Most owner operators pay very little tax the first 2-3 years and then once their depreciation is gone…..wham.

 

I understand that. I was just curious how a guy with one major source of income could be so nonchalant about where his money was going.
I have a great bookeeper , she's been with us for years and I trust her to the max...but at the end of every quarter we sit down and she shows me where what is being spent.

 

Hot college babes

 

I pay a lot because I have high overhead and haul cheap freight and deadhead a lot.

 

I’ve had a couple years that my personal exemption was higher than my itemized deductions. The result was higher personal taxes. I paid more, but only because I spent less. That’s when I learned the Truth about the mortgage deduction, pushed by Real Estate salespeople as justification for buying the most expensive home you can afford. It’s only deductible if you itemize. Most folks don’t. Especially now since the exemption has been increased. My current Mortgage is so low, and the interest so little, compared to my houses in the past. I’ve never had to pay a lot. I’ve always depreciated my equipment on a 5 yr. Schedule. Between fuel, repairs, plates and permits, I don’t need depreciation. My health insurance costs, including premiums out of pocket, and every single prescription down to a bottle of aspirin is kept track of by my wife. She keeps excellent track of everything for the House, including Utilities. A portion of which gets deducted for a home Office. I keep track of the Trucks expenses. Add it all up, and give the Accountant the numbers. I think it’s up to $400 to file our taxes these days. For a monthly fee, they’ll do all the math, along with nice quarterly statements. No need for any of that. They’re pretty good. They made out a profit and loss statement for Me to qualify my last Mortgage. No charge. The old Gal recently passed away. Been with them for 27 yrs. Hopefully her Daughter will be able to run the Business now. I’ll know soon enough. With few exceptions, my States Homestead property tax credit, usually gives Us a refund that usually covers any Federal Liability. Sometimes I’ll get for instance $800 from the State, Owe the Feds $400, and have enough to pay the Accountant. A Flat out wash. Often qualify for the earned income tax credit when it’s in force. That Political football usually makes the difference whether I owe anything at all. The Corporation is flow through, it never makes a profit, always a 0. No taxes owed.

 

He has been doing my taxes for years now. I did trust the guy. But now, it seems for last few years, I haven't anticipated so much to pay. He didn't want to deduct all expenses for tools as if it was too much. Weird.
I think he's thinking about my retirement. And to have a nice retirement you need to show more. Also, he's thinking it's better to show more profit in case if one needs an extra loan. He didn't say it directly like that. But I felt that might be mentality.

 

Our books are good. It's knowing how to file taxes. And I didn't take that in school. I wish I would though.