$672 profit my 1st 3 weeks but... Taxes/Biz Setup? Help a N00b
Folks kept PMing me to ask how I did it. I just Frankensteined a bunch of WF advice and WSOs together and made my own hacky method that's working for me. I have no idea if it'll work for anyone else. I explained the bulk of it down below in Comment #15
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I started my IM journey Dec 11th and have turned a profit of $672 as of midnight (breakdown below). That pales in comparison to the pros and many of the ppl on WF that have given such amazing and helpful advice and how-to's, but I'm proud of what I've done with what I've learned. I'm really loving exploring and applying and tweaking so in that regard I believe I'm off to a good steady start.
However, I think I may have shot myself in the foot with regards to taxes and incomes. :confused:
I did NOT register an LLC or anything, and all payouts from Clickbank and Amazon came to me (linked with my personal SSN rather than a company/LLC's Tax ID).
AND my payments to FB and Adsense/words came from my personal account.
Have I completely mucked up or will I be able to deduct my advertising expenses from my individual taxes?
My total income was $1861, but my expenses were $1189. Because I am not officially a business/dba yet, will I be eligible to deduct my advertising and hosting expenses?
How would you approach this? Form an LLC now?
And yes! I fully realize and appreciate that ya'll are giving help based on your own experience and NOT as legal counsel
I will consult with an accountant, but as most of you that have them know, you have to know your approach before you can pick a good accountant/advisor. So I'm trying to understand my approach
My expenses/income from when I started 12/11 up to now 1/5 if it helps clarify anything:
My accounting is all done via Excel... here are my column breakdown totals
EXPENSES
Paid Ads (FB, Google Adsense/Words, Ad networks)
$721
(I wasted a LOT of money at first before I cracked down and started obsessively micro-segmenting and monitoring all of my campaigns and only going with the ones that turned hella profit. I'm paying a LOT less for better results than I was two weeks ago, so I'm definately learning.)
Hosting (includes GoDaddy, AWS,etc...)
$53
WSO (catchall for any WSOs/JVs/coaching/shiny objects I've bought)
$268
($197 of that was a scam I fell for my first week. Glad I got burned early though because it made me vigilant and STRICTLY analytical - no emotional or gut actions, I research and test the hell out of everything now).
Memberships (WF or network membersip sites)
$58
Outsource - Creative (Articles, graphics, editing, non-tech)
$45
Outsource - Tech (code or setup)
$25
Support - (GetResponse, bud.url, etc... free trials won't last long)
$19
Business Registrations
$0
(hahah.... oops)
INCOME
ClickBank
$1643
Amazon
$218
Profit: $672
Thank you so much in advance for any tips/advice/commiseration and feel free to chide me on any glaring errors or oversights i've done business-wise, I can take it!
Maggie
"Opportunity is missed by most people because it is dressed in overalls and looks like work." Thomas Edison
1,574,810 unique visitors and counting. And that's just one of my websites.
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Robin
1,574,810 unique visitors and counting. And that's just one of my websites.
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