PDA

View Full Version : financial jam


environment
02-02-2005, 10:45 PM
my best friend is in a bit of a jam, he owes about 2 grand in taxes, and he doesnt have more than about 400 towards it, Unfortuantely I cant lend it to him either, I am up to my ears in bills myself. Any ideas on work that could be done to make approximately 1500 quick, keep in mind we are in NJ, very cold weather right now, and about 18 inches of snow on the ground. I will help him anyway i can, but i cant think of anything to do to make the money , any ideas from u guys

grass disaster
02-02-2005, 10:50 PM
sell your plasma

bobbygedd
02-02-2005, 10:54 PM
bet on the eagles

Turf Medic
02-02-2005, 10:54 PM
First thing to do is to relax a bit. The payment needs to be post marked by midnight April 15th, that gives him about 2 1/2 months to get the money together. When April 15th rolls around, if he doesn't have the money he still needs to send in his return, best to send in as much as you can. About 2 to 3 months after that he will get a letter from the IRS requesting the balance or a proposed payment program. Most important thing is to send the return in even if you can't send a dime.

atproperty
02-02-2005, 10:57 PM
good advice turf medic

scaglawnsnj
02-02-2005, 11:11 PM
my best friend is in a bit of a jam, he owes about 2 grand in taxes, and he doesn't have more than about 400 to-wards it, Unfortunately I cant lend it to him either, I am up to my ears in bills myself. Any ideas on work that could be done to make approximately 1500 quick, keep in mind we are in NJ, very cold weather right now, and about 18 inches of snow on the ground. I will help him anyway i can, but i cant think of anything to do to make the money , any ideas from u guys
Get a job , Work till Spring
I got a job
If you need money, and you have no work right now. It's simple.
Suck up all your pride and work on some-ones clock for a little while. Till times are good. Owe yes call the IRS and tell them your in a financial dispute
they will work a payment plan for your convenience to pay. 50.00 weekly sound good they'll settle for that.

traman
02-02-2005, 11:20 PM
yep i was in the same jam 10 years ago , like the other thread said, you still have 10 weeks till april 15 so thats only an extra 150 per week you need to come up with . but even if you cant just send in your tax statement and the irs will work out a tax plan to repay what you owe . of corse you will pay interest , but what else is new , does you friend have any other skills? may be rent a hauler around to remodeling sights and and pick up scrap aluminum big money in that

olderthandirt
02-03-2005, 12:11 AM
Loan Shark!

Mac

promower
02-03-2005, 12:15 AM
I agree with turf medic. Last year I needed about a 3 month extension for payment, the IRS is actually pretty easy to work with.

MMLawn
02-03-2005, 12:25 AM
It really isn't a big deal. He can file and pay what he has and get a payment plan with monthly payments of up to 18 months with the IRS to pay it. The only down side is that he will also be hit with the Penalty and Interest for not paying it on time....(which is about loan shark rates ;) )... but they will do it for himvery easily.

ATL Lawn
02-03-2005, 03:17 AM
male prostution

Turf Dancer
02-03-2005, 06:31 AM
Have the accountant set up the payment plan for him. I did it 2 years ago and did not cost me much interest over the 8 months I paid on it.

lawncare4u
02-03-2005, 07:33 AM
That is simple!If you owe 2 grand to the IRS and there is 18 inches of snow on the ground............get a snow shovel and go to work!!

walker-talker
02-03-2005, 07:39 AM
Credit card cash advances

soonernation
02-03-2005, 03:10 PM
I had to learn this lesson the hard way, just like your friend. Turf Medic is exactly right, he needs to relax and get an extention if he needs it. But for the future, I suggest getting with a cpa or someone that does taxes and book keeping and find a way to do quarterly payments so that he dosn't have all this money due in the dead season. It's very frustrating when you have to spend all that money on taxes around the same time you are getting ready for the upcoming seaon and you want some new equipment or just need some extra cash to invest in your business for the year.

mastercare
02-03-2005, 03:17 PM
Walker-talker gave good advice....if you carry it one step further.

Get a cash advance on your credit card. The very next day, apply for a new credit card with 0% interest for 6 months, and transfer the balance on the card you borrowed against. Now you have $1500 cash, and 6 months to pay without a cent of interest.

Caution: Read the fine print on your card carefully, in regards to balance transfers on your new card. Make sure they accept cash advance just like they would any other balance. Millions of cards out there, find one with 0% on transfers and give them a call. They want you to use their card, they'll be helpful.


Just remember to save for next year's taxes at the same time you're saving to pay off that credit card.

MMLawn
02-03-2005, 03:21 PM
I had to learn this lesson the hard way, just like your friend. Turf Medic is exactly right, he needs to relax and get an extention if he needs it.

Turfmedic said as most of us have said and that was to pay what he has on 4/15 and get a Monthly payment plan on the remaining. Nothing though about an extention.

An extention is not what he needs. With an extention you still are required by law to pay the Full amount that you know/expect to be due. If you try and buy sometime by underpaying then they will hit you with an additional Penalty and all Interest going back to the date the extention request was filed.

rodfather
02-03-2005, 03:23 PM
Loan Shark!

Mac

No such thing in NJ...they all moved to OH...lol

soonernation
02-03-2005, 04:00 PM
Turfmedic said as most of us have said and that was to pay what he has on 4/15 and get a Monthly payment plan on the remaining. Nothing though about an extention.

An extention is not what he needs. With an extention you still are required by law to pay the Full amount that you know/expect to be due. If you try and buy sometime by underpaying then they will hit you with an additional Penalty and all Interest going back to the date the extention request was filed.


I also mentioned "if he needs it" NOT "thats what he needs" Turfmedic's statement as a whole is true and several posts mentioned extention as an option not as a solution. Don't pull the "as most of us have" like you're in some sort of club

procut
02-03-2005, 04:32 PM
Does he have an old car or something else not really needed lying around that he could sell for some extra cash?

Evan528
02-03-2005, 05:02 PM
How about a Home equity line of credit if he owns a home? I just got a $65,000 home equity line of credit...Not because I need a dime of it but because you never know what tomorrow can bring and I like the security of knowing its there. With a line of credit, if you dont tap into it you dont pay a cent.

Last year I "made the mistake of making too much money". In March I found out I owed an additional $12,000 to uncle sam even with paying my quarterlies throughout the year. Was not good timing with the season about to start up but I pulled the money together. Every year I dread getting that call from my CPA telling me what the damage is. :realmad: :angry:

breck75
02-03-2005, 05:13 PM
Become a hit man. I hear it pays well if you don't get caught. :cool:

bobbygedd
02-03-2005, 05:18 PM
sorry, have to ask....2 grand is not alot of money. how could this have happened? my guess, tell me if i'm wrong...your friend wants to run a legitimate business, now we all know that cost money. is it possible he's just not doing enough work to cover those expenses, take a pay check, and pay the tax on his income? how did this happen?

Tony Clifton
02-03-2005, 05:36 PM
It is probably not income taxes, if it is he is in luck because he has a while. More likely than not it is payroll tax.My accountant has pretty much wiped my checkbook clean with taxes over the past couple of months. Payroll taxes are due monthly.