Home Business Saves on Your Taxes
If you don’t have a Home Based Business, you are losing thousands of dollars each year.
Working from home can save you on taxes you now pay to the IRS from your regular job.
There are two tax systems in this country, one for salaried employees, one for small home based business owners.
A home based business will make you better off than a second income. Traditional job security has declined over the years and has extremely declined in the last year, making home businesses more attractive.
You can hire your children, get a deduction for their wages, and within certain limitations, the children are not subject to income or payroll taxes. The rules are very specific, but generally, if your child is under eighteen and does legitimate work for your business, you can pay each of your children who qualify up to $5,7oo as of 2009.
The children do not have to file a federal income tax return, and owe no federal income taxes. And you, the parent-employer get a full tax deduction for the wages paid. This law does have its variables but this gives you an idea of how much this one deduction can save you in taxes.
This information regarding hiring your children has come from “422 Tax Deductions for Businesses and Self Employed Individuals by Bernard B. Kamoroff, C.P.A.” This is just one example, there are many more.
What types of businesses should you consider? Many people become distributors of products or services out of their home. Or you should also consider one of the many good network marketing companies.
Why?
These companies have proven products and sales literature and you don’t have to store or finance inventory or even ship it to customers. The company does all that for you.
It will even give you an account of all your sales and of all your distributors’ sales. In addition, most network marketing companies provide some form of residual income that provides a continual stream of income from your distributors from year to year and month to month.
Finally, you get the same or even better tax benefits with network marketing than you would with any traditional business.
The choice between being rich and being poor, for you and for millions of others, is the opportunity that starting your own small business offers.