Legitimate Home Based Businesses

Archive for June, 2010

Question: This year i plan to start a small business as well as a rental property, I have a few tax questions?

concerning my rental. I wanted to charge $750.00 monthly minus certain utilities included amounting to $150.00. So I have a proffit of $600.00 each month. Can I offset this proffit with the monthly mortgage payment of $600.00 (P&I )or can I just claim mortgage interest, insurance costs and depreciate the buliding over 30 years. Can I exspense any repairs against the profit or do I have to depreciate them. Example a new roof might cost 5-7 thousand dollars. If I have to depreciate that over 30 years that doesn't amount to much but that sure was a lot to come up with now.
Concerning the business, I plan to start a home based carpentry business. I would like to spend roughly 20k - 30k on a workshop that will serve as a business hub at my physicall residence. I would prefere this over an in town based business for obvious reasons. Now can the business pay myself rent to use the bulding and claim this as a business exspense, and I claim mortgage intrest and depreciation for myself.

Answer: When renting out real estate, these are the expenses you can take to offset your costs: Mortgage Interest, Insurances, Utilities, costs of finding tenants (advertising fees, credit checks etc), repairs,depreciation of the building and any furniture and fixtures you have placed in the home.

You can expense repairs such as painting, fixing plumbing etc. If you replace something such as the carpet or a toilet, you have to depreciate that new asset you placed in your rental. Any capital improvements you put into the house should be depreciated over 15 years. The building can be depreciated over 27.5 years.

If your business uses a building you own, it can pay rent to you and you would claim it on Schedule E of your 1040. Any expenses you incur (not your business) would be deducted from the rental income you report on Schedule E. If the business pays for any of the expenses related to the rental, the business would deduct them and you'd put that income and deductions on Schedule C.

Check out the IRS's website for small businesses to get answers to any specific questions you may have: http://www.irs.gov/businesses/index.html

Home Business Opportunity Fortune High Tech vs EDC GOLD

Question: How do I find legitimate at home online business opportunities?

Answer: ALL - I repeat, ALL - of the work-from-home, no-training-required, no-risk programs you read about online are scams. All of them. Think about it: if a job existed that was as easy and as much of a "sure thing" as they promise, so many people would flock to it that the wages for it would get pushed down to nothing.

To make money in any job, you have to ADD VALUE to the process. An auto worker gets paid for weldingn parts onto a car. A financial consultant gets paid for doing research and advising people on where their investments can earn the greatest returns.

If you want to do home-based, internet-based work, start by asking yourself what particular skills/abilities/experiences you have that might be of value to a customer (individual or organization).

An "entry level" example of this would be writing resumes for job seekers or typing up term papers for students.

More advanced example would be doing CAD work as a subcontractor for an engineering firm, doing web site design and hosting or running an advertiser-sponsored Blog about politics or the environment. You get the idea.

FREE WORK FROM Home Business Opportunity FOR 2010! (FREE TRAINING)

Question: which university should I choose?

University of Minnesota and Harvard have accepted me. The problem is most of my college credits from high school are transferable to U of MN, which means that I can graduate in 3 years, while it would take me 4 to graduate at Harvard. On the other hand, it's not everyday one gets accepted into Harvard. Nevertheless, I have been accepted into the Carlson School of Management in U of MN, which is like one of the top business school in the country. Furthermore, both schools have offered me similiar grants to cover the cost of my whole undergrad education, which means money is not a problem right now. So how do I choose? Both schools are just as good, but one school is the cream of the crop. So do I sacrifice 1 year or do I sacrifice my Harvard offer? I plan on pursuing graduate school too. Money is tight at home so I have not been able to visit both schools. I simply cannot decide which would offer me a better future just basing on college brochures, sigh.

Answer: Harvard, definately. It will open more doors in the real world and you will have higher-paying jobs. Many people would kill to be in your place. If you get such a great opportunity to broaden your mind and develop your intellect, take it! Doesn't matter if it's one year longer, your future job after you graduate from Harvard will probably compensate the monetory loss! Go to Harvard! (Especially since money is not a problem here)

You will also have better post-grad opportunities if you graduate from Harvard, so why not accept the Harvard offer?

Fountain Of Life MLM Join Top Sponsor!