Income verification?

[Pompal 09.]

How do you all who are self-employed or ICs verify income for legal paperwork type stuff? I do not have any tax info yet (1040 and such) as this is will be my first full year of not having a "regular" job, but I need to verify income for some things.

Help please.

Thanks.

 

[Brooke]

Your taxes for this past year will include your self-employment information. If you ask, your accountant should be able to separate that out for you.

If you do it all yourself, I guess I'm no help at all. I did all my own taxes until the year it had divorce, massage school, home foreclosure.........all at once :shock: . The beautiful person who does my taxes is worth twelve times what I pay her, and I'm so glad I don't have to pay her all THAT.

With being self-employed, paying a self-employed tax preparer who has been doing this for many years costs me $65 a year, and has saved me thousands each year. I highly recommend it!! I'm about ready to see what she'd charge to take over all my record keeping and then put the tax information together without me, next time!

 

[ALL OR NOTHING]

Yep, I usually have to give the income tax info.

I'd suggest finding an accountant and letting them know what you need the info for, and see if they can type some sort of "official" letter for you.

Until you get the taxes, what you can probably do is use your bank statements along with a letter stating you take a draw (if you do) and roughly how much it is each month.

Does that help any?

 

[Pompal 09.]

Make yoruself an employee

One of the drawbacks to being an IC or Self Employed is most financial institutions do not consider your income and be very stable and are reluctant to give you credit at good rates.

You can incorporate or LLC your business, and make yourself an employee of that business. It also helps to have a different addresss for your company than your home address which "looks" like you are an employee of a company not owned by you.

 

[Garlands]

Make yoruself an employee

most financial institutions do not consider your income and be very stable and are reluctant to give you credit at good rates.

Funny thing is, my income has never been very stable. :
That is changing, though.

Thanks for the ideas folks. I will see what looks best for this particular situation, and let you know.