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Archive for July 20th, 2009

How to Pay Income Taxes With a Credit Card

July 20th, 2009

Are you accustomed to receiving a tax refund, i.e. having more withheld from your earnings than you owe? Have you always paid the taxes you have owed in the past with another refund or by check, but would like to pay by credit card now? Are you finally in the black with your self-employment earnings, home based business or other income that forces you to pay taxes?

If you’re a new business owner, earning a profit or self-employment income for the first time, are just under-withheld on your taxes for the year, or if you have paid taxes in the past by check but find this inconvenient or undesirable now, it’s easy to pay your taxes with a credit card. The IRS permits credit card payments and makes it easy to accomplish through a number of service providers. There is a service fee for filing by credit card, usually 2.49%, depending upon which site or processor you use.You want a tax return that’s easy to prepare, easy to understand, and easy to file. With online tax filing you can prepare and efile your tax return in as little as 1 hour.

One of the best and most widely used services for payment of your taxes by credit is TurboTax. If you go to the IRS page describing payment by credit card, TurboTax is the first integrated e-file and e-payment provider listed. This site also lists a toll free number you may call if you have questions relating to your credit card payment – 866-382-6819 – through TurboTax.

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Self Employed Calculator, Calculate Self Employment Tax 2009, 2010

July 20th, 2009

The self-employment tax is added on top of the income tax you must pay as a self-employed individual or married couple. This creates a very heavy burden that you probably would prefer to avoid.

In essence, the self-employment tax

 is in place of the share of social security and medicare taxes normally paid by an employer on behalf of an employee. Since the self-employed person is both an employer and employee, he must pay the tax for himself, whether or not he is on the company payroll.

As the tax tracks the income of the self-employed person, it is an additional layer of tax, on top of the income tax itself. This places an even greater premium on planning your business activities to reduce taxable income, even while managing your business for profitability. The good news is that most of what you do to reduce your ordinary taxable income will also reduce your self-employment tax as well.

But there are at least three items to consider that are different from calculating what is taxable for ordinary income tax purposes. First, only the first $102,000 of income is subject to self-employment tax. If you are fortunate enough to have income that is likely to be significantly greater than this, you will not have to worry about this extra layer of tax as you budget and plan for your income.

Second, 50% of the self-employment tax itself is deductible from ordinary income. This creates a negligible planning opportunity because this amount would be deductible for any employee, yet it is worthy of consideration in your individual situation as you are preparing your returns.

The last consideration is that, rarely but occasionally, it can be to your benefit to be treated as an employee who is NOT self-employed in order to avoid the tax altogether. Calculators are available through TurboTax Online or other tools your tax preparer may have to tell you if you have a unique situation where this may apply.

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Make Cash on the net with article marketing

July 20th, 2009

Although there are a number of different methods that you can use to earn money online, one of the easiest ways for you to get started is by writing articles. As a matter of fact, if you can compose a simple email, you can begin and make money with articles, just using this easy business plan. The only thing that you need is the right software, usually a word processor and determination in order to make sure that you work long enough to see some good results for your work.

Of course, there are a number of different things that need to be done in order to make sure that you are successful with this business. The first thing is that you need to choose are the proper keywords, something that far too many people overlook whenever they first start out. After all, it would do you absolutely no good if you wrote the best article and then ended up not having anyone see it because noone was looking for it. In order for your articles to work well for you, they need to be written on keywords that people are actually looking for.

One other thing that you need to understand is exactly how to write your articles so that individuals read them all the way from the start to the end. You need to make sure that you leave them hanging at least a little bit so that they end up clicking on the link in your bio box and following through to your own site. As long as you are able to do this successfully, you would be surprised with how many visitors you can get from article marketing.

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