View Full Version : Part Time Business????????`
05-10-2000, 10:18 PM
I believe nearly everyone who posts on this forum is probably full time in their business. I needed a new mower so I bought a Great Dane. I am on the board at the local cemetary and the guy who used to mow our cemetary and the one next to it quit. I decided it would be a way (notice I didnt say easy!!!!) to pay for my mower. I have a 18 year old son who is wanting to be a EMT or fireighter so he is still around here. I decided I would just do the cemetaries for right now and not try to do any other mowings. I drive a 18 wheeler and it is seasonal work being busy in winter. The cemetaries of course have to pay by check and I was wondering if I should get a checking account and get a name for the little business? I stand to make about $3,000.00 on mowing this season. I have thought about having the checks made to my son and just paying his added tax. I may later try to get into it a little more. Any help or advice on where to find info on this or can someone who used to be a part timer give me some help........Mowing is a breeze weed whacking is a painnnnnnnnnnn. Just a note though that I bouught a Swisher 6 hp weed trimmer and it works good for trimming along tombstones all in a line.......gosh someone has to do it Ha
05-10-2000, 10:29 PM
Im a part timer for now too,not ready to jump in with both feet yet,I have a new xw2500 Dixie chopper and enough accounts to do in one day,it pays for the mower and puts some money in my pocket,way more than if I got a part time job.I started a separate business with my snowplowing and being Im in business only 3 years we are not profiting ( with write-offs yet).I wasnt going to mow grass,but several of my plowing customers asked me to do there lawns(one a good size commercial)so I bid them for what I thought was a fair price and got them,I needed a new mower for my 7 acre lawn anyway-so this killed to birds with one stone.<p>----------<br>John D<br>
05-11-2000, 09:16 AM
The checking account is not nescessary, but they often have specials like no fees for the first year so you could look into that. More than likely it is going to be to your advantage to put the business in your sons name. Any aditional profit you make will probably be taxed at 28% plus 15% selfemployment tax. If its in your sons name and he doesn't have a high paying job it will be taxed at 15% plus 15% self employment tax. Your son may also not currently be even using his full standard deduction of $7200. He may only end up having to pay the 15% self employment tax. Any other questions please. feel free to ask.
05-11-2000, 12:45 PM
First decide if you are going to run a business or just make some extra spending money. If you are going to set up a small business then do it right from the start. Set up a checking account as a sole prop and get a good accountant to take care of both your personal and business taxes. If you are grossing only $3000 per year then you should easily be able to find enough "write offs" to make taxes a non-issue. Unless you want to make your son a partner then keep all of the finances in your name (or the sole props name). It is dangerous business when you start moving money around between family members.
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