If all this isn't bad enough, under recent tax laws employees are limited more than ever with limits and thresholds for their employee deductions and higher social security limits. The result is more couples working harder than ever before and, on many occasions, working more than one job. It is now almost impossible to have only one job in the family and live the standard of life called survival without the need for these additional incomes.There are many reasons why so many people favor Home Based Business (HBB) over the traditional business.
- There is no commute (unless of course you have a really big home and your office is some 45 seconds away from your bedroom),
- no boss, little if any chance of lawsuits, much lower overhead, no employees (or very few), and far fewer government restrictions.
In fact, many of the laws within traditional business don't apply to small firms with few or no employees. It is for these reasons, that 95% of home-based businesses succeed in their first year and achieve an average income of $50k per year with many earning much more.
There are two sets of tax laws in this country.
- One is for employees, and it allows deductions for individual retirement accounts, 401k (s), interest and property taxes on your home and charity.
- Then there are the laws for home-based business owners who conduct their business either full time or part-time.
With proper documentation, HBB owner can deduct expenses from, their house, their spouse, and even children (by hiring them), their business vacations, their cars, and their food for colleagues. They can also set up a pension plan that makes any government plan seem worthless by comparison.
There are two types of people in this world.
- Uninformed - They are not aware of the tax savings with having a HBB - It is our responsibility, to help them become Informed
- Informed - They realize that having a HBB is the last tax shelter, they are not "overpaying on their taxes"
Lisa earned $15,000 in salary as an employee, but took home only $10,500. She could have netted the entire $15,000 had she earned it in a home-based business! This is an increase of almost 30% of her take-home pay as an employee. Note that Lisa is not spending dramatically more money than she is currently spending. She would eat out anyway, go on trips and drive her car the same as before. By having a home-based business however, many of her expenses become tax deductible. This concept is known as "redirecting expenses". With a legitimate HBB, she can now deduct some of the expenses that she is occurring anyway in day to day life.
In addition to all the benefits mentioned above, Congress will subsidize you while you are growing your HBB.
If your home-based business produces a tax loss in the first year or so, you can use that tax loss against any other income you may have. It can be used against wages earned as an employee, dividends, pensions, or interest income or you can use the loss against your spouse's earnings if you file a joint return. If the tax loss exceeds all your income for this year, no problem. You can carry back the loss two years and get a refund from the IRS for up to the last two years of income tax paid, or you can carry over the loss twenty years. You are reading this right, you can off-set up to 20 years of income!
Research has constantly shown that it is rarely the business that determines success or failure. It is usually the business owner. Why does one person succeed and another one fail at the same business? Easy, two simple words, KNOWLEDGE and ACTION. Some people want the benefits of having and running their own business, but they don't take action. The result is that the business fails. Duplicating the strategy and practices of others is a much quicker and effective method of bringing success to this new venture of yours. It is known as Network Marketing, or Modeling.
Network Marketing is simply learning what other successful people have done to achieve success in a specific area of expertise, and then by doing the same thing. With Network Marketing, or modeling, you literally leverage your own learning time, with the collective years of learning - through the experience of your upline, Power Team Leader, or Sponsor. Modeling the success of others saves both time and money and reduces frustration and stress.
Starting your own business is the light at the end of the tunnel, for you and millions of people today. If you have a HBB make sure you are enjoying the main financial advantages. You are the Informed, you made a smart decision. The tax advantages alone can make a home-based business the single best financial move you could ever have made. If you are not a HBB owner Welcome to my Travel Business your complementary decision to your home-based business.
Get a Millionaire Mindset- Improve Tax Awareness
Sometimes, individuals think that doing their own taxes will save themby Glenn Curtis Just a few short years ago Mr. Bernard B. Kamoroff, CPA, wrote an amazing book named "422 Tax Deductions For Businesses and Self-Employed Individuals©" It also includes a worksheet. Mr. Kamoroff's work is the secret resource many top independent business persons use to learn what IRS tax deductions – small business tax deductions -- are applicable to them. 422 Tax Deductions will help you calculate the tax savings that you can potentially experience by owning a Home-Based Travel Business or any business. His goal is to help you determine the kind of tax advantages that are available to you as a Home-Business Owner. You will soon see that this represents a RISK FREE investment guaranteed by the tax laws passed by Congress and imposed by the IRS! As a matter of fact this will show you that by joining my company - It Is A Return In Investment. I've learned that the MINIMUM tax exemptions for a Home Based Business Owner is $5,000. Will $5,000 help your family? Sharnese Travel & Cruises represents a group of Travel Professionals not Tax Professionals so we encourage you to consult with a CPA.
money. In some cases, they might be right. However, in other cases it may actually end up costing them money because they fail to take advantage of the many deductions available to them.Try to become more educated as far as what types of items are deductible. You should also understand when it makes sense to move away from the standard deduction and start itemizing your return. However, if you're not willing or able to become very well educated filing your own income tax, it may actually pay to hire some help, particularly if you are self employed, own a business or have other circumstances that complicate your tax return.
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