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Old 12-12-2013, 10:28 AM
williams lcm williams lcm is offline
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tax after 36k

Why is the tax so much after 36k? It seems better to make under that than pay 4k per quarter.Well unless u are making 80k then it is not as bad. But to make 36 to 50k gets taxed heavily.
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Old 12-12-2013, 10:42 AM
lawnsaspire lawnsaspire is online now
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Quote:
Originally Posted by williams lcm View Post
Why is the tax so much after 36k? It seems better to make under that than pay 4k per quarter.Well unless u are making 80k then it is not as bad. But to make 36 to 50k gets taxed heavily.
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Yes I agree. I just met with tax preparer yesterday and got a rude awakening Even w two children and all my write offs I still got socked this yr. the thing is after you go north of 45k you lose the earned income credit and also remember that the payroll tax aka self employment tax went back up this year and they said if you make 50 k you could expect to pay an additional 1000 just from that in taxes. It almost doesn't make sense to be a solo guy and try to work more just so you can pay the govt. more. Unless like you said you are making more than 80. But who's going to do that solo?
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Old 12-13-2013, 01:09 AM
Southern Lawn Care, LLC Southern Lawn Care, LLC is offline
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Just curios. If y'all don't me asking. How do you guys handle your taxes that are solo? Do you guys pay monthly, quarterly, or at the end of the year when filling everything?
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Old 12-13-2013, 01:44 AM
lawnsaspire lawnsaspire is online now
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Originally Posted by Southern Lawn Care, LLC View Post
Just curios. If y'all don't me asking. How do you guys handle your taxes that are solo? Do you guys pay monthly, quarterly, or at the end of the year when filling everything?
Quarterly unless you want to pay the irs more tax in the form of a penalty.
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Old 12-14-2013, 11:15 AM
williams lcm williams lcm is offline
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So say u claim 38k on taxes....wouldent u be better off dropping 2k worth of work so u can be under the 36k? At end of year you be ahead of the game? Am I correct or not?
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Old 12-14-2013, 11:36 AM
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GMLC GMLC is offline
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As your company grows and you make more money, your going to hit higher tax brackets along the way. A good accountant should inform you when your just at a higher bracket. Then its a good time to make a purchase to write off. Its really a balancing act between income and write offs.
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Old 12-14-2013, 02:30 PM
Barrett Landscaping Barrett Landscaping is online now
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GMLC is absolutely correct. You should also make sure you are filed properly as it can make a big difference in how much you pay. I switched from an LLC to S- Corp and it made a heck of a difference in how much I was paying. I do have employees though but I am pretty sure you can do this if you are solo as well.
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Old 12-14-2013, 05:57 PM
MasScape MasScape is online now
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Taxes are in brackets. Being at the bottom of a bracket sucks no matter what level. The brackets are different for single and married. Married brackets are almost double singles. Married pay less in taxes.
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