Household Finances . . . How Do Things Work In Your House? (1 Viewer)

[Steve Tasker]

Corp pays me a salary as an employee.  The extra income is taxed at a lower rate.  That's how it was explained to me by my cpa. 

That's what I expected the answer to be, I was just curious.  Without knowing your details, I'll say your CPA could be correct (and for your sake I hope s/he is).

 

[Zegras11]

That's what I expected the answer to be, I was just curious.  Without knowing your details, I'll say your CPA could be correct (and for your sake I hope s/he is).

It's pretty much standard practice.  Your salary has to be "reasonable" according to the IRS.   The average salary of ALL RE agents is incredibly low.  20% produce about 90% of the results....

 

[Tom Hagen]

It's pretty much standard practice.  Your salary has to be "reasonable" according to the IRS.   The average salary of ALL RE agents is incredibly low.  20% produce about 90% of the results....

Be careful.  This is certainly a viable strategy but the IRS takes a skeptical view of reasonable compensation when 1 person produces all the revenue.

 

[Steve Tasker]

It's pretty much standard practice.  Your salary has to be "reasonable" according to the IRS.   The average salary of ALL RE agents is incredibly low.  20% produce about 90% of the results....

Tom Hagen's comment is spot-on.

 

[Zegras11]

Be careful.  This is certainly a viable strategy but the IRS takes a skeptical view of reasonable compensation when 1 person produces all the revenue.

I'm at the industry average.  Not too worried.  Would be worried if I was claiming $24000 like in that article.

 

[Gawain]

?? If she was out on maternity wasn't she collecting no paycheck??

Short term disability policy that her place of employ carries.

Oh crap is that something she manually did or is that default when you're on maternity? Wife is on leave now and you just scared the #### out of me. 

I imagine there's a section of the form that you fill out when you sign up for Short term disability that asks your withholding in dollars and/or percent.

I'd double check just to make sure, I never thought to look.

 

[shadyridr]

Short term disability policy that her place of employ carries.

I imagine there's a section of the form that you fill out when you sign up for Short term disability that asks your withholding in dollars and/or percent.

I'd double check just to make sure, I never thought to look.

$170 a week?shouldn't make a big deal

 

[Gawain]

$170 a week?shouldn't make a big deal

She had two weeks at 40% and then 6 or 8 weeks at 100%. Not state STD, but from her company's maternity policy.
It's enough to be annoying and probably make us break even at best.

 

[shadyridr]

Gotcha

 

[metoo]

So if Betty is a man and Alex a women..Betty would be a self centered, overbearing, control freak, insensitive ******* of a husband?  Did I miss anything?

I'm sure Betty is a man but this is more entertaining.