2017 Income & Expense Review

Discussion in 'Ask An Owner Operator' started by ChicagoJohn, Dec 28, 2017.

  1. Scooter Jones

    Scooter Jones Road Train Member

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    Your choice...

    I take a draw every month as an employee of my S Corp. I send the taxes in every month.

    I've seen too many sole proprietors in many different vocations suffer irreparable damage by not paying their taxes as they go. Thinking they were making more than they were, living beyond their means, then boom, they owe the tax man 15-20 grand and don't have it.

    Not everyone makes the big bucks like you do ;-)
     
  2. Mike_77

    Mike_77 Medium Load Member

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    Great point, that's part of the reason companies push lease purchases! It always amazes me that in general guys just don't consider retirement/old age, it's a very important detail. After doing Meals on Wheels for a year I learned that being elderly and broke is a horrible combination, humans wear out just like trucks.
     
    Last edited: Dec 28, 2017
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  3. Banker

    Banker Road Train Member

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    I may go from sole proprietor to an "S" Corp in the new tax year with the new tax laws benefiting corporations. Do you have a payroll company and if so what are your payroll costs and how often do you do payroll? If you don't mind.
     
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  4. Ruthless

    Ruthless Road Train Member

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    Lol well, that may be. I just can't see giving the government an interest free loan on money I can utilize to make more money than the penalty they charge for not giving them that interest free loan.

    Different strokes for different folks
     
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  5. Scooter Jones

    Scooter Jones Road Train Member

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    You'd be hard pressed to find a CPA worth his salt recommending paying your self employment taxes on April 15th of the following year.

    Unless you don't owe any ;-)
     
  6. Ruthless

    Ruthless Road Train Member

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    Well, I've paid the accountant $8k so far this year- I go by what I know.

    Things may change this coming year with the tax changes. I may be switching to an s corp myself.
     
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  7. ChicagoJohn

    ChicagoJohn Road Train Member

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    I did, but a used one, 2013. Truck already had the head replaced. I did an oil analysis and it came back clean. I'm having the head ran next week along with changing out the coolant.
    I couldn't honestly give an exact number. I'm home every weekend and took 3 weeks vacation this year, so ball parking it, between 210-225. I had a lot of 3 & 4 day weekends in the fall.

    No, I don't pay quarterly, I put aside 8-10% of gross every week into a separate account for taxes.

    I've traditionally just done an IRA, but I'm considering starting a SEP next year. My wife has health benefits, so that's covered.

    I've seriously been thinking of going out on my own, but looking over my numbers, I don't think I can do any better running spot market. Or at least better enough to be worth the risk and headaches.
     
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  8. Scooter Jones

    Scooter Jones Road Train Member

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    I don't use an accountant anymore. The last one I had told me I missed my calling in life by not becoming one of them! LOL
     
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  9. ncdriver1

    ncdriver1 Heavy Load Member

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    My bank has a payroll service, $30 per payment processing up to 8 employees. I direct deposit into my personal checking and they take all the withholding and the payroll taxes. I get a regular w2/w4 or whatever at the end of the year. Right now I do weekly but I'm going to change that for next year to bi-weekly to help save $30 every other week.
     
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  10. rollin coal

    rollin coal Road Train Member

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    I came to the same conclusion and do the same thing.
     
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