Jacksonville CPA | Setting Up Systems For Taxes
For different things. So tell me a little bit about why you reached out to us and then I’ll ask some questions to we can help out with, to take care of people, but I didn’t know this papers to see what’s the name of set up the LLC and then as far as her husband. And so and so what is your current accounting now, if anything, do you have separate bank account for? So as far as record keeping for like invoices and receipts, expenses or do you have a method for keeping this kind of. Okay. And so there’s just a list of questions. Some of them are not going to apply it to you but I’m going to go through them anyway. So have you set up in kind of system to like prepare for taxes, you know, figure out how much you’re gonna owe and all of that. Okay. Um, have you ever had someone looked at the business structure for attacks optimization? Okay. Jacksonville CPA
And so that cash strategy. Okay. Do you know at the moment how many customers are jobs it takes to reach your goal? So you know it’s going to take as much money to survive or this much money to have a certain lifestyle that you want. Do you know the number of customers that you need for that? Okay. Do you know how many customers it takes to reach that? One is so we can pretty much help me with all of us. So accounting several do. We can and we do this first. A lot of businesses. We keep track of monthly expenses for you, the income expenses, how much you made, what you spent and give you a financial statement at the end of the month and we can also go into a little. You probably wouldn’t need any, any of this help at the, at the moment, but you may at some point. Are you all have private pay right now or are you going to go to the name? Sorry,
that’s a quote for insurance.
Oh you are? Jacksonville CPA Okay. But you just have gotten into those patients? Yep. Okay, good. And then a tax planning and preparation. So actually preparing the returns at the end of the year and then kind of doing the business planning, you know, so if you’re, once you get things off the ground, you said, okay, I want to make this x number dollars, maybe it’s $100,000 a year, what do I need to do? How many customers, you know, what do I need you to my expenses, what does that look like to get me there? So we’ll do that performance monitoring and kind of goes hand in hand and business structure analysis, which I think is, we’ll start with, because the escort, what’d you mentioned, I think that’s probably the direction you should go. And I’ll kind of explain a little bit there. Uh, we can help with retirement planning on the automatic millionaire planning is a plan we put together to say, okay, I’m going to do, I need to put aside to add a certain date to become a break even analysis that is, you know, how many customers do we need to get to keep the lights on to make sure that we keep this amount every month to just stay at break even.
Um, so we just have some of our testimonials down here from other customers, Jacksonville CPA but let’s kind of backtrack a little bit and talk about. So you have your private pay customers and like I said, it depends. Are you charging an hourly rate for your services? Okay. Are you, are you an rn?
Why?
Okay.Jacksonville CPA So you have two organs that we’re working for you. Okay, great. So two our ends and then Tuesday and cdns.
Okay. And
so if you’re charging them and you’re charging that customer in power, they rate based on, based on the service that the rn dots or is it just a flat?
I am not working yet, but um, we started as I’m pain. So let me just add another license to be open for the. Okay. So the APP is not working yet, but I knew that.
Alright, great. So at the moment here, your invoicing customers, are you giving them like a hand written invoice payment
when you.
But did they fade Jay? Jacksonville CPA So I’m at the moment the only expenses you have are pretty much just like vehicle in the office. Okay. So you do kind of an office. Okay. Okay. And so for the business structure analysis, the way at the moment, the way you’re set up as a sole proprietor, so the LLC, the LLC because you’re a single member LLC, which is just not a bad thing for tax purposes as you’re considered a sole proprietorship. And do you, are you familiar with what that is? Jacksonville CPA So basically you report all of the income on a separate schedule on your personal tax return and you just record it on her social security number, I’m sure. Prior to this did you have another business or did were you like a w two employee. Okay.
So the way it works. So as a, when you were working you, you took out social security tax and Medicare tax and all that and they pay for half of it when you may not have realized it, but offer the social security and Medicare. Did they deduct from your check? They will pay for half of it. Then you would pay for half of it. So as a self employed person, basically you’re responsible for paying your portion of the social security or Medicare and the employer’s portion. So I’ll kind of do a little bit of, let’s just say this year and you make $50,000, right? This is just for illustration purposes. Okay. So you have to pay kind of two types of taxes when it comes time to file your tax return. The first is the social security and Medicare, which is a seven point six, five percent or seven point six five. This is the employee and this is an employer. And so this comes up to 15 point three percent on any types of business income on and now that you’re and your husband’s working with you now or does he have another job? So, but then when you find your tax return on your tax return may look like Jacksonville CPA I don’t know what his wages are, so it’s going to have your husband’s wages on it and then you have on your business and income.
So what are some of those is going to be what you pay federal income tax on them. And if I’m going too fast or not point, just let me know. So this is kind of the 15 point three percent that you pay. So on 50,000 that would be roughly about $7,500 in taxes Jacksonville CPA
and social security and Medicare. And on top of that you wouldn’t have your, your federal income tax rate, which is, it depends on how much you guys have any children or three children. Okay. So that’s kind of to be determined, but just to give you kind of have an idea of what the tax picture will look like. And then, and part of the reason is because the reason behind the escort is, has to do with saving on the Social Security and Medicare tax. So if you were to form what we can actually just convert your llc to an s corporation, um, you can go ahead and leave everything as it is the bank account and stay as it is. And when you opened the bank account, did you open it under your social security number or did you have a business tax id? Okay, good. So we can just use the same tax id number that you have now. So He’d asked corporation
you
trying to think of the best way to explain this year. So let’s just say you open up the score, Jacksonville CPA so you would have two roles within the escort or you would be the almond her,
right.
And you would also be an employee because you were working in the escort. So is this sentence for me and the owner and the employee and the escort. So the tax savings and the reason why people open up asked course is because whenever you pay yourself as an owner,
you don’t have to pay social security and Medicare. So you’re saving yourself 15 point three percent when you pay yourself as an owner versus paying yourself as an employee. So you know it, it makes logical sense to set up the escort boat had only as an owner, right? And so they know that it’s kind of a loophole. So they say if you’re working as an employee in the company, you are required to pay yourself a reasonable salary. They don’t give you many guidelines. So just say your salary has to be reasonable for the services that you do. So in this example, you know, if you, if you made 15 and you paid yourself $30,000 as a reasonable salary and then pay yourself $20,000 as an owner, you’ll still have to pay 15 point three percent on the amount that you pay as an employee. But for this portion you’re saving all this social security and Medicare tax. So roughly 15 percent of this, which would be about $3,000. And of course the more you make. So if this number goes to $100,000 a year savings is because it’s a five percentage. So how much do you expect as a businessman, a really fast pace, you think you expect him to grow pretty rapidly before the end of the year.
Thanks. Jacksonville CPA So I just knew a lot of people don’t really know how to kinds for now. I’m trying to figure it out though.
Yeah. And the reason I’m asking this because at a certain point it makes sense to form yet score. So if you only make a start up, if you only have a few customers and your profits just a few thousand dollars, then it might make sense to not form an escort and because you have to file tax return on top of our personal tax return. So there’s an additional fee to file the tax return. You would have to hire a payroll company to, to, um, facilitate paying yourself a salary, you know, and almost everything like that. So there’s a little bit of extra added cost to Ryan. Yes. Core plus you have to find out what the annual fee with the state of Florida, which is only like $50. So you’re, you’re looking at maybe next year, $1,500 worth of cost for the escort, but every year, but if you’re saving $3,000 then that makes sense. But depending on what your profit looks like for this year, it may not make sense until the following year. So do you have, do you know at this point have projected profit number? We opened me up at 10,
but he just said you know, that it just stopped the business. So he everything and
okay, Jacksonville CPA so it’s not going to be taxable. Okay. So here’s what I want suggest because at any point before the end of the year will get filed for the escort because you have your llc in place. That’s a good thing. We can say. We can retroactively go back and say I want to. Whenever the date was may or something of your llc was November, but she did you not. Did you start making money in November? So let’s just say back to January of this year. So as long as we have, we can probably even wait until mid December if you want it to kind of see where you’re at the at that point and then it makes sense to go ahead and file score. We can treat it as if you were an escort all year long. So it’s kind of the benefit of our LLC name place. Um, so as far as talking about the accounting system and kind of go over the different packages that we do, so in kind of three different packages and they’re very, they’re all very similar.
But the difference, the major difference is Kinda like the timing, Jacksonville CPA the frequency of timing that we meet and go over everything. So pretty much everything, you know, package a, package B, package c, identify missed adoptions. So things like, you know, are you claiming, are you working from home at all when you’re claiming you know, the expenses that you can for your home. Like if you have an office inside your home but you’re working from, you can claim a certain percentage of your home expenses and you know, like, but I agree. So just those kinds of examples. So I’m evaluated entity status for tax savings and asset protection. That’s mostly the s corporation, uh, assistance with a validation with expenses for wasting money, savings, you know, can you find this service or item cheaper somewhere else? Um, assistance with developing a plan for paying or so first making sure that, you know, because I’ve seen so many business owners that they put everybody else in at the end of the month, he left for themselves.
So making sure that you pay yourself first and that you’re not. The business isn’t making money because I’ve seen, you know, we were overstaffed and they don’t know that somebody go, but they’re shooting themselves in the foot because they’re not living in my for themselves. They’re paying it out to everybody else. Um, yeah. So, so that’s what we want to fix. We want to fix that. A evaluation of retirement plans systems with establishing goals and monitoring systems. So, you know, going back to you, okay, I want to, I’m going to get five customers, what do I need to do to get that customer instead of a system to monitor that? And make sure you’re staying on track and accounting system review, which at this point you don’t have one, but we can help you set one up. I’m a dashboard for performance monitoring. Basically what that means is we set up a, um, a dashboard like this, just like a spreadsheet or some kind of shared module where you can see what’s going on in the side of the business, a preparation of one entity tax return, which bit of an s corp return and one personal return.
So like if you opened another business and you need another entity that would be additional, but this package includes one entity, one personal automatic millionaire plan. And then the first is quarterly calls and meetings. So we would meet every quarter to go over everything, pretty much all of these, any other questions you may have. And then we can also, when we can modify, always leave this open for a custom package. If you want to modify, you say, okay, I don’t need this, this, but I really liked the sound of these other ones done for you accounting. So we, as I said before, we do accounting for a bunch of small businesses, you know, we get their bank statements, we categorize their transactions, you know, let them know where they’re spending statements, but some of our clients that do their own accounting, so it’s just a, you know, a personal choice if you feel like you’re good at accounting and you can do that portion or you can have us do it at home, why not? Jacksonville CPA I’m good, like you said, good at taking care of people, Jacksonville CPA but I need somebody else to handle that. And then this, the, uh, the last package c meet monthly or weekly depending on what your needs are. If you’re growing really rapidly need weekly calls, we can do that. But we always start out quarterly. Um, but I think first what we need to, to get you set up with is a accountant accounting system. Like, have you ever heard of quickbooks?
So quickbooks online is what I would recommend that we do quickbooks desktop as well, but quickbooks online, it’s cloud based so you can send and you can have another phone and have my computer a laptop. And you have an internet connection and have access to it. So it’s really helpful. So yeah, so I would recommend to, if you need us to set that up for you or do you want to look at it and you know, take a shot at it and set up, I would recommend number one, getting that set up an accounting system. You connect it to your bank account and then you can, you bring all your transactions and categorize them, you know, like all of your supplies. Um, you know, whether you can say that also applies for the patients and then you know, like utility for the office and then rent if you’re renting this place or you’ve purchased a building or if you’re renting.
Yeah. So, um, I would definitely recommend getting that set up as quickly as possible because what that’s gonna allow you to do is kind of rubbery courts to see how much money you made and what you spent to do. So my car, Jacksonville CPA I use it a lot, so shy. Jacksonville CPA I’m shy to put it in the business instead of mining. And um, I uh, my boy, they helped me quite of money in your account. They know the tool for the license. They put some money down to. So they laid off five. We set up the business so all day. So I need to put it in paper. You can have everything set up with the business stuff.
Do you have any thoughts on quickbooks online? Whether you want to take a stab at looking. I don’t know what I was looking for, but I was looking to see will the different things and the transaction volume and everything on what it would be have to work with us on any of these factors. But I’ll give you this sheet and we can figure out exactly what you need. And then starting at the accounting system, I think it’s going to be a main thing and if you get into it too much just give me a call and we can diagnose and figure out what the price would it be like to work by the hour. So whatever price for that would be all inclusive for whatever you need. And we’ll be on a monthly basis since I’ve just found that clients use your budget, a flat rate monthly ahead of time, what it’s going to be every month. Um, and so, um,
circling back around, there’s, there’s so many things I think that we can help you with starting with quickbooks and then making sure that you have all of your receipts in your documents in order. You know, if you ever get audited like a charity, you have to back up. Things like the lyft vehicle. I’m putting that. Do you own the vehicle outright or are you, do you have a car note on it? Yeah. Yeah. So they may not let you put it in a business thing, but then you may need to put it into the business name here. We can still take a deduction for the vehicle based on the miles that you drive versus the actual car payment and gas. So you can, that’s another thing I would recommend you track all of the miles that you drive. You’re driving. Yeah. So there’s some apps that you can get. Quickbooks as a good.
Yes. You drove up here to this business or is this personal and then just tell it and then I created so far, and I want to say this year it changes every here, I think it’s fifty four cents a mile that you get to take us to actually drive can you drive 10,000 miles for business in a year, then you get to take $5,400 million deduction. So it’s quite a nice deduction and nine times out of 10, especially for someone that drives as much as you do, it’s more beneficial to take, use the mileage, then taking, putting them in the car and the business name taking gas things that you usually adds up to more mileage because you can only do one or the other. You can’t take your mileage and you use your actual expenses. You have to do one or the other. So, um, but that’s one of the things, one of the many things that we would go up on a regular basis to make sure that you were, you know, had everything in order. Um, so are you from the church I go to are probably about five. Five slash 16. Jacksonville CPA So we’re on old king’s straight up. Jacksonville CPA You know where that is? No, it’s, it’s um, Richard Ribs. Yeah. Yeah. So if there’s a new gas station there, you’d get off Pritchard and take a right. It’s like half a mile down that way. Yeah. But I can write down the address for you to come visit, but, but we’ve known them for quite a long time. They talk to you a little bit of creole 10 and creole.
Yeah. That’s great. Um, but yeah, do you have any, any thoughts or questions? Jacksonville CPA I see how much you charged me since we just started. If I can afford it. Yeah. Yeah. So what I would do is to use, and you can look at quickbooks and tell me what you think. I don’t know what the retail price. It’s a monthly subscription for quickbooks and uh, uh, for you sign up and maybe even unless you do a trial, you may be able to get it cheaper through because I’m a reseller x, what would that to us? Because I recommended to get a better price for it. And then a price. Right now it’s about $17 and fifty cents a month.
Another one was $5. And then it, there’s, there’s different levels to like there’s quickbooks self employed, which is, you would need more than that for someone that just like maybe a independent contractor, you know, I can work from home type of deal that gets them off. Um, depending on how often you pay for. And that’s probably gonna be not enough for you. What you need is probably essential essentials. Jacksonville CPA Quickbooks to Saint Joe’s, which is pretty much just the basic quickbooks records. 17 50. Yeah. So I don’t know if you can get the same price. Okay. Yeah. So you, yeah, take a look at it and then we’ll go from there. And um, can we set up an appointment to even just like a phone call to kind of reconnect.
Okay. That’s fine. My calendar here. So me look at next week here. Okay. Yeah, that’s what I was gonna. Say what next? Wednesday. The eighth is pretty open for me. So um, how about we, you want to do a phone call on Wednesday and we can go over unless you feel like you want to come back in and you can bring your husband.
Okay. But how about this, I’ll call you on Wednesday. The eighth is morning or afternoon better for you? Okay. About 10:00. Okay. Okay. Okay. Wednesday. Oops. Ten o’clock. Okay. Yeah, I’ll give you a call then and then um, we can determine whether or not because I think that one of the biggest cost differences is whether or not you do the accounting for whether or not we do accounting for you. It depends on how many transactions you have and think different things like that. So what I’ll probably need to do you say I just want you to do it for me is I would get a business bank statement like the last couple of business bank statements to look at the transaction volume and then I would be able to quote you a price from them. Well thanks so much for coming in and here’s one of my cards too.
Thank you. Okay.
Yes. And, uh, Jacksonville CPA you have to check out quickbooks and let me know what you think. Brochures for different packages. I thought I had them all in the conference room, but they’re not there. Great. Sounds good.