Thursday, July 3, 2008

Not Bad

How's this sound? It's at the half year point, it's within my first year of freelancing, and I've made $30K in PHP freelance revenue and owe the IRS $0. How? Well, I visited a CPA, she figured up all my expenses and deductions, and she got it down to $0. That's why. Now, going forward, sure, she said I should keep 20% of my business income in savings and then file business taxes twice a year, but that I won't have to worry much about this.

Now, I've been advised not to sell anything except services. The moment you sell something tangible in the USA, you trigger having to pay quarterly sales taxes. Therefore, you should try to find a way out of this, such as installing the software for someone and bundle it as a consulting deal.

Anyway, if I had known about this a couple years ago, I would have quit my job a lot sooner.

As well, I made this income even with a couple dry months. Also, I had vacations where I worked like 3-4 hours a day doing freelancing and earned an income even on vacation.

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