Savings Account

Discussion in 'Heavy Equipment & Pavement' started by nedly05, Jul 27, 2010.

  1. nedly05

    nedly05 LawnSite Senior Member
    Posts: 540

    Does anyone have a savings account or special account for their business? I'm thinking that it would be nice to have when it came time to make equipment purchases, either a significant amount could be put down, or the purchase made in full. Are there any tax advantages/disadvantages to doing so? How do you determine how much do deposit?

    Thanks!
     
  2. nepatsfan

    nepatsfan LawnSite Gold Member
    Posts: 3,142

    is this a serious question?
     
  3. Barge Man

    Barge Man LawnSite Senior Member
    Posts: 280

    We have a savings account for the company, dont know of any tax advantages.
     
  4. bobcat_ron

    bobcat_ron LawnSite Fanatic
    Posts: 10,082

    I just have a regular account, all my expenses come out and money goes in, my Dad had 5 lines of credit at 3 different banks and 14 credit cards, all to be where he is now, deep in debt and worth more dead than alive.

    Keep your business simple.
     
  5. nedly05

    nedly05 LawnSite Senior Member
    Posts: 540

    Yes, why do you ask?
     
  6. AI Inc

    AI Inc LawnSite Fanatic
    Posts: 25,154

    Yes , any check I receive for less then $100 goes into it. Then I use it to pay company bills over the winter.
     
  7. tbi

    tbi LawnSite Senior Member
    from NY
    Posts: 478

    I set aside 10% of every check I get which covers any sales tax collected and builds a slush fund.
     
  8. AI Inc

    AI Inc LawnSite Fanatic
    Posts: 25,154

    ahhh that good ole sales tax. Extortion for the right to purchase something with the money one earned and already paid income tax on . How gross is that.
     
  9. nepatsfan

    nepatsfan LawnSite Gold Member
    Posts: 3,142

    Are there people that don't?
     
  10. PTSolutions

    PTSolutions LawnSite Silver Member
    from OH
    Posts: 2,325

    we have a checkings account that the majority of checks go into. that account is used to pay the credit card bills (in full every month) b/c i rarely carry cash and use the card to pay for pretty much everything. we also have a savings account for just what you described, to save up for equipment purchases.
     

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