Posts by Carol Price4

Brenda Chase3 said:I was sitting there trying to input everything, but I honestly couldn't figure out how to log this through Sales. If it were up to me, I’d much rather just record it under expenses—simply add a link and manually organize it that way. As it stands, I really don't see any way to get this recorded within the current module.

Yeah, you can't adjust it via Salesforce—it has to go through expenses.

Nicole Lee6 said:When I run into that exact scenario, I take whatever value is left over after calculating depreciation up until the point of sale and book it as a non-cash expense—basically the unwritten value. Then, I close out the invoice in the Sales module for the full 100% amount, so that entire invoice gets recorded as a wire transfer receipt for me. 🤷

That's exactly what I was asking—nice one, vejanka! That's the fix right there: record it as an expense in kind, because through Salesforce, everything has to be recorded as a bank deposit—there's just no other way to do it.

Thanks, ladies! ☕

I’m not booking this through the IRA module—instead, I'm running it through the Sales module, which is why I hit a bit of a snag since there aren't any toggle switches available... but honestly, I think if I just categorize the non-depreciable portion of the DI under expenses, I’ll land on the same number anyway.

The DI purchase was handled under Section 22, so it didn't hit the expense line initially; depreciation will go into expenses later, and since the full invoice was logged under receipts, the non-depreciable part should also head straight to expenses.

Does that sound right to you guys? Come on, Brenda Chase3, Henry Edwards33, Carol Price4, Henry Edwards33—where are you hiding??

Calling all small business owners working in Silicon Valley...

DI procurement - $13, Section 22, it was depreciated $1047 and then we moved to Sales...

I've generated an invoice in the Sales module, but since the non-depreciated value didn't hit expenses, how do I handle the payment? If I try to enter the receipt via the payment table, everything just gets lumped into receipts...

Honestly, I think sales tax is driving me crazy this month—I must be missing something totally obvious. Please help! 🙂

Nathan Morris3 said:devgirl, thanks for the help 😉.
I'm trying to compare a part-time retiree employment contract versus an independent contractor agreement. The deal for the retiree would be $4,000 for half-time.

For the contractor route, I'm using this calculator:
https://www.indeed.com/calculators...n=263&type=n2g
(since 2017 net = $4,002, total cost = $6,480)

For the employment contract:
https://www.indeed.com/calculators...eff=0&type=n2g
(since 2017 net = $4,000, gross 2 = $5,976)

Based on this, it actually looks like hiring them as a retiree might be cheaper than a contractor (if we want their net to stay at $1.25). But you mentioned the tax deduction shouldn't apply to an employment contract. Does that mean I need to remove the "Total Deduction = $3,800" line from this calculation, which would change the taxes? So my gross 2 would go up by ($3,800 * 24%) = $912, making the contractor option the winner after all: $6,480 < $6,888?

Since the employment contract contributes to a 401(k), does that mean their retirement savings grow more if we go that route? And if so, when would they actually see that benefit?

It’ll actually jump up by about $359, since you missed the local state tax.

He’s already retired, so he isn't contributing to a secondary pension fund—instead, through a standard contract, he'd just be paying into Social Security. I think there's some rule where they can request a benefit adjustment after hitting a certain income level or number of years... I read something about it recently, but honestly, don't kill me because I can't remember the exact source... maybe someone else here knows.

But hey, I just thought of something... if he has a pretty small pension...

The updated tax code says:

Section 24
(5) Income tax withholdings for non-self-employed work from items 2 and 3 shall be reduced by 50% for retirees based on their earned pension income.

So, if we could pull his tax withholding info from his Social Security statement (need to check, haven't dealt with this specific case!) so they calculate his tax on the full pension amount without the personal credit (while still using that 50% reduction!), and then you apply your full personal credit to his wages, the math might totally flip in your favor...

http://www.irs.gov/employment-taxes/independent-contractor-vs-employee

Check out this breakdown on the differences between being an independent contractor versus a regular employee..

From an employer's perspective—regardless of whether you're already drawing Social Security—the cost ends up being the same.

Nathan Morris3 said:From what I gather (at least since 2017), independent contractor agreements carry lower contributions, but only for the first tier. So, if I hire a retiree and say I'm paying everything normally, does that mean I'm covering the second tier too? Does that actually increase their pension even while they're already collecting one?
It seems like going with an independent contractor deal is way more cost-effective by all accounts, I just don't see any downsides. If a contractor agreement looks too much like a standard employment contract, could that cause issues? I guess I just don't see the catch.

For retirees, starting January 1st, the Social Security tax is just 10% for the first tier only—everyone else pays 7.5% for the first and 2.5% for the second—plus there's 7.5% for Medicare and a 24% federal tax plus local surcharges, assuming we're talking about an independent contractor agreement.

An independent contractor agreement is specifically for a defined project—you can't use it to cover a role that clearly functions as a regular employee under a standard employment contract.

Retirees also have that "side hustle" or hobbyist option—I was reading through the updated IRS guidelines late last night, and I think they kept all the old perks intact... but don't quote me on that!

Nathan Morris3 said:I guess it might be possible to hire someone who's already retired without them losing their Social Security checks. This guy just retired back in 2015 from a big company like Amazon, and now a different outfit, maybe something like Home Depot, wants to bring him on board. I think I read somewhere that you can only do this if they stay at the same company. If that's true, I suppose they wouldn't pay into Social Security, but I wonder what happens with the other payroll taxes?

Section 99 of the Peace Act

You can hire them for up to half-time if they're already in full retirement status.

All the standard taxes still apply—you just won't be using the personal deduction since the tax info is already filed with NOAA.

jadeeagle21 said:Hey there!

I really need some help here!

I need to update an employee's last name on their health insurance because they got married, and I need to get them a new card. But honestly, how the hell do I actually do this? Am I supposed to go through Medicare & Medicaid Services? I’ve been messing around with their website at lana.mirovinsko.com, but I’ve never dealt with a situation like this before. Do I have to deal with a mountain of paperwork and wait in line at a local office?

Either way, you'll need to update it with Medicare & Medicaid Services too—just fill out the necessary form on the lana.mirovinsko.com portal, upload the marriage certificate, and they'll process the change. Once that's done, just print it out and have her take it down to the insurance office to see what specific form they require for the swap...

Brandon Jackson4 said:I know the main focus here is doing business within the USA, but I couldn't find anything specifically regarding trade with third-party countries, so I was hoping someone could help me out.
An export invoice for services was issued to an international client located outside the USA, and a 25% sales tax was applied.

Where exactly does that tax get recorded on the sales tax return? I haven't been able to find a specific field for it... everything I see just mentions the USA.

Thanks in advance for any insight.

What exactly do you mean by "overseas buyer"—are we talking about an individual (B2C) or a corporation (B2B)?

If it's B2C, my guess is it's handled just like any other domestic sale to a local resident...

stormytinker40 said:I’m reading through this and I’m still totally lost. Since I already have a regular job, am I actually required to shell out those monthly contributions of $667 every single month? Like, seriously? 🤷 What happens if I land some freelance gigs one month but nothing the next? Or what if my side business just goes completely dead for six months straight? wtf?

Your best bet would be to just set up a sole proprietorship... basically, you can't make more than $50 a year, you can't deal with sales tax registration, and you can't get into retail or restaurant stuff...

If you check all those boxes, it’s definitely your cheapest route.

While you're working, you'd pay income tax quarterly—and then handle your social security/contributions once a year based on your total annual earnings...

You can dig into the details here:

graniterider10 said:Hey there. I’m trying to work out some sales calculations here. For a specific product order, I ended up getting 3 items for free. I'm honestly a bit stuck on how to run the numbers since I actually want to sell those freebies too, if that's even an option.
Right now, it looks like this:
4 products at 61.60 tax 25% total 245.40
5 products 61.60 25% 308.00
1 product 52.80 25% 52.80
3 products 79.20 discount 99.99% 0.02

SUBTOTAL 607.22
DISCOUNT 237.58
TAX 151.81
TOTAL DUE 759.03

Looks like you missed something—if you add up the lines, it comes to 606.22, but you've got 607.22 written down below. $0.33??

You didn't actually get those items for free—you charged them 2 cents for the 3 units. So, when you divide that by 3, you get 0.006, which you can just round up to $0.00 for the unit cost—then just shave off a penny somewhere else to make the totals match up perfectly...

rowdybison3 said:Hey there
I was wondering if there's a limit on how much I can pay for a bill in cash? Is there some kind of cap on that? I run a small business here in the States and I'm registered for sales tax, specifically running an agricultural business.

$1.75

Linda Perez12 said:Hey there! I hope this isn't a silly question, but I'm honestly a bit lost here...
I was poking around my IRS portal and noticed something under the e-PKK section. It looks like I might owe a little something—it shows a balance due of about $150.

Does anyone know how I can figure out exactly what this charge is for or where I can actually pay it? I have a feeling my old boss really messed things up. A year after I left that job, he kept pushing me to go down to the IRS office to check on my tax refund because he thought they'd screw me over. When I finally went to see the agent at the desk, he told me there wasn't a refund coming, but that my former boss had made a mistake and would take full responsibility. He told me not to worry about a thing, but now I'm seeing this balance.

You weren't super clear, but if the balance is negative, that means you've actually overpaid—if it's positive, then yeah, you owe them.

With any of those accounts, you can just click on the left side to open up the breakdown and see exactly where that amount is coming from... if it's from last year, just check the IRS records dated 12/31/2015, and you'll see the previous year's info... and so on...

Drew Rogers6 said:So I called the IRS, and they're telling me the sales tax filing is due in month 8—but then Customs is out here saying Intrastat happens in month 9! 🙂

Intrastat is definitely September—no debate there—but hey, if your local Police Department told you August, just go with it and call it a day... every branch handles things differently!👍

Patrick Peterson49 said:So how are we supposed to meet that requirement next month? You know, where the total value of acquired goods reported in field (13) can't be higher than the sum of those specific lines on the US Sales Tax return...
it basically means the number can't be bigger—but what happens if I get a vendor invoice dated December 31st and the stuff doesn't actually arrive until January 2nd? Even with an annual audit, that's still gonna be a mess...

Just book that invoice in September—then both your sales tax and your tax filings will match up for the month.

Patrick Peterson49 said:Sales tax hits in August, then the refund rolls in by September...

The shipment actually happens in September—there’s no acquisition in August. Regardless of when the invoice hits, their tax year ends in August and the sales tax kicks in for September—though even if they file the sales tax in August, it won't change much since they're auditing everything on an annual basis anyway...

Drew Rogers6 said:So, I've got a bit of a headache here—the date on an incoming invoice from a supplier in the European Union says August 31st, but the actual payment and delivery didn't happen until September 3rd. Which date am I supposed to use when I'm logging this into my sales tax records? And what about Intrastat? Thanks!

September👍

Come on, walk me through this a bit more...

An American carrier bills an Austrian client 10,000 euros—that part is simple enough.

Now, let's say those Austrian costs—tolls, fuel, all that stuff—add up to 8,000 euros. You’re saying the bills are made out to the American carrier, but who actually settles them???

The Austrian client wires over 2,000 euros, which is fine, but that leaves 8,000 euros sitting open on the IRA.

If the Austrian handles the bills over in Austria, you just book them in the URU to clear those expenses—and at the same time, you clear the IRA in kind.

At the end of the day, 10,000 goes into the ZP because that's what the IRA shows, regardless of how you choose to settle it.

Look, if they’ve bought the goods, those items belong to them until they actually invoice you—period. If the bill was already in your name and they just covered the payment, then yeah, the stuff would be yours... but as it stands? It's their property.

If that’s how it works, then the goods go under the Intrastat filing for whoever the bill goes to—in your case, the payer. Since you're essentially performing work for them, it isn't actually your inventory; it's just being sent to your facility so you can integrate it into something else, I assume.

It’s their stock—it's just being delivered to, let's say, "their" warehouse located at your site...