Taxes regarding self-employed = getting an accountant
Posted By: TeaL on 2006-06-30
In Reply to: Need help from anyone who is an IC... - typing4dollars
Get yourself one, and he'll explain everything you need to know.
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If you had an accountant do your taxes, contact him or her. nm
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Why don't you ask the accountant who did your taxes last year?
I'm sure they are better able to answer that question than anyone here.
you OVERPAID your taxes by almost $4K? Sounds like YOU're the one who needs a better accountant.
x
You have your W2 showing very clearly those taxes were paid. MQ is responsible for those taxes
because you were a statutory employee. That is the responsibility of the employer to pay those just as though you were an employee.
Not an accountant
I am not an accountant -- you can ask a financial advisor or someone. I do have a business, business license - pay city business tax, etc. Registered name with the state. So for me I can. Also should clarify that what you can contribute does depend on what your income is after your business deductions. I cannot claim all of the 10K that I contribue because after all my deductions my income does go quite low. But I continue to contribute it to both an IRA and SEP so that I can maximize my deductions. But being an MTSO/IC does give me more usable income because I do maximize my deductions and plan for the future.
Man! Do I pay a lot for my accountant!
I've given him 22 of the best years of my life, two children, and I do most of his cooking!
But, seriously, my husband is a CPA, and yes, he uses TurboTax. He uses the professional version which has a few more bells and whistles, but that's what he's used for years, and that's what he recommends. In fact, he really wishes his "shoebox and paper bag" clients would just learn to use TurboTax. He has to do corporate returns by March 15, and those suck the life out of him. He doesn't even bother with anyone's personal returns until after March 15.
Unless you have a complicated list of investments, unusual expenses, multiple businesses, or nonprofit stuff to file, you probably would manage just nicely with TurboTax.
As for me, my return is already completed. If he doesn't do it now, he won't have time to finish it in April. I haven't done a tax return since I was 21 years old. :) Lest you feel jealous, know that he can't do a darn thing mechanical around the house, and he snores like a bear! Happy New Year, and Happy Tax Season!
I am going to be an accountant -
I will graduate in December with my associates degree and then on to a job somewhere out of transcription while I work on my 4-year and CPA.
MT to accountant?
I am looking at going into accounting (associates degree - obtaining it on-line). Does anyone have any thoughts, opinions, ideas, suggestions, anything that might be helpful or useful to help guide my decision as to whether or not to pursue it? It will cost me about $8000 over the next 2 years, but I will be able to continue to work full-time as an MT, though will be trying to juggle full-time MT, full-time school, and a 2-year-old, so it will be interesting. That's about it. Any opinions are well appreciated.
per my accountant - and being on production
being on production, you don't know what you're going to make - so it doesn't apply to us. In the beginning, I used to pay quarterly. I now pay annually and the IRS just returned $3700 in overpayment to me for this year. Yep, I just recently received a check back for overpaying my 2005 taxes!!! As long as you pay and on time, the IRS lets us do this. Been doing it this way for years now and I have no IRS problems *thank goodness*
Better get a better CPA/accountant if they don't tell you these things......or maybe different strokes for different states, but I don't think so.
I pay yearly also....per my tax accountant. sm
It doesn't matter as long as you pay - quarterly, yearly, etc.
You really need a good accountant. sm
SS# is fine. You will need to give your contractor a 1099 at the end of the year and deduct her income off of the top. That is a deduction for you from your gross.
Really, though, you need an accountant because things do tend to get a little tricky.
Good luck!
Check with accountant
Pay the money and get do a consult with an accountant so you can understand the basics and know what and what not to do. The money is well worth it. Or get an old copy of Turbo Tax for self employed to see what you can and cannot use for deductions. All of my accounts use by SSN on my 1099 which will will receive from them and in turn prepare a 1099 for your IC or subcontractors. Be sure that they meet the requirements for IC's. Go the IRS website and this will give you some information but again I cannot stress with all of those who are starting out find a good accountant and get their expertise advice. After 2 to 3 years of having my account handling my business, and our joint tax returns and advice, I am now able to do it on my own with Turbo Tax for the past 15 years but to begin with you need some expert advice. I am not knocking you but it really sounds like you do not have an understanding of even the basics of how to handle the taxes and finances of your business so you need to do some homework and get some advice. It is simple but again with his/her help you will know that what you are doing is correct and that will cause a lot less headaches in the years to come.
Patti
Yep, me too. My accountant deducts these
every year and I am a regular employee, not IC.
Thank you. My accountant has given me advice.
He said I should pay the contractors less.
Yes, the point was for me to make money.
What I'm saying is that it is tough. Not just for MTs. It is a tough business right now. There are lots of companies who can snatch my accounts easily. MTs want more money, clients want faster TAT, I have to be able to afford my equipment and business overhead (and it is SLIM, very lean) but apparently I am the one who is supposed to do without.
Everyone keeps saying to just pay less. Then MTs will quit. Then I'll be forced to send work overseas.
It's a mess.
Appreciate your reply, though.
I'd get a new accountant. I work FT as an
employee, have since day one and I can itemize and claim everything but the self-employment taxes.
Get an accountant...even H&R block will do.
I made the mistake of doing the taxes myself one year (TurboTax)and ended up getting audited for that year 2 years later. Luckily it only cost me $1200 but I'm sure it could have been much worse. I just go to H&R Block. At least if I get audited again, they'll handle all the work AND pay my fine if it's something they messed up on.
Currently employed
Hi. I have been with then since 02/2006 and extremely happy with them. As of this past month, I actually became and employee instead of IC and will be getting insurance. Hope this helps.
I think 30-40K if employed
There are variables. Is the person working 10-12 hours days and pretending they are working 8? I know many who are. If so, income should be considerably higher. People with their own accounts can usually make 50-60K or more.
For a 6-8 hour days, 5-day weeks, as an employee with experience, I don't think this job should ever pay less than $30,000. It takes too much concentration, medical knowledge and complete isolation to pay any less. Hospitals pay at least that and you are expected to take breaks, lunch, talk with other staff and physicians, get sick sometimes, have bad days and get bad authors sometimes, take vacations and generally be a human being. Working from home, most of us hunker down and feel guilty if we have anything else we need to do, then making it up at all hours of the night or our supposed days off.
Are you self-employed with your
If you are employed at
MQ, the reason people are making 8 to 10 cpl is probably because that is what they were hired in at when their company was bought. They probably have not had raises either.
I most certainly am self-employed
Obviously, you work as an employee. Sure hope you got a raise to change from what you were hired at. Again, not all of us can be that flexible to just change. We do have a life. Furthermore, anyone can dial in and listen to a dictation on the weekend if they need it that bad. Just call the floor get the identifying numbers, call the number, plug in the identifying patient info and badda bing, you've got the dictation. It used to happen all of the time at the hospital I worked at because they didn't want to wait on the outside MTSO that was soooooooooooo slow. TAT was never met or hardly ever.
become an accountant or personal trainer
Although I dont make under 10$ an hour as an MT, try working more as my supervisors and managers have told me in the past when I have asked for a raise. In all seriousness, where do you work that you make that little? Are you paid by the line and how much? Switch companies, do not accept less than 8 cpl. I saw an ad for MDI and they start you at 8.5 cpl. IC's usually make 9+, if you do not need the insurance coverage.
Hmm. Every doc, nurse, attorney, accountant
I know is making WAY good money and none are working at McD's!!! LOL
I dunno know - leave it up to my accountant. That is what I pay him for. nm
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See an accountant. I'm sure you saved your old income tax
zz
get an accountant -- you can take off their fee as a tax deduction and to me, it's worth it to ma
sure my taxes go in quarterly and correctly so that I don't get slammed at the end of the year!
I wouldn't file w/o an accountant. sm
I know some use Turbo Tax and the like with success, but I like the security of having an accountant tell me what I can and cannot deduct based on my personal situation and facts. You can find private CPAs that don't charge an arm and a leg and the amount is also tax deductible. Our CPA does our taxes and answers questions throughout the year for a very nominal flat annual fee. Well worth it, especially if you ever get audited.
Don't forget the accountant's/bookkeeping
Legal fees, Internet service, subscriptions, dues to organizations, repairs to equipment, % of office space, postage (if applicable), mileage (if deliver/pickup), advertising (if applicable), security system (burglar alarms, etc. if applicable),probably more I can't think of right now.
I suggest you seek out an accountant sm
Since you have no experience as IC, you really need to talk to an accountant. Honestly, that is the only way to be knowledgable about it. I had to do that 18 years ago when I started as IC. Each year, the tax laws are updated, new write-offs, things you were deducting can't be deducted anymore, etc.
I have had the same accountant now for about 12 years, and he is not that expensive. Last year, he charged $180. Not too bad.
I would call a tax attorney/accountant in
x
Are any IC Incorporated since they are self-employed?
Just wondering if any IC out there have set themselves up as a Corporation. Being tax illiterate, it seems like I do not have many deductions when it comes time to file. My DH is looking into opening a business to provide a service and someone with a similar service suggested to him to file for corporation to be able to receive more tax benefits and deductions. My CPA over the last 10 years has never suggested it to me even though I ask him what I could I do for more deductions. Is this possible?
The first rule of being self-employed is that
you set your own line rate. However, we all know that NONE of the MTSOs hiring IC MTs allow us to set our own rate. They "offer" a rate, and we accept if it's OK.
I worked for a real cheapo doctor when I first started out. He paid hourly and kept riding my backside to type faster because he only wanted to pay for the actual time dictated instead of the time it took to transcribe. More than once I told him that it takes an average of 3:1 typing to talking ratio to get it done. It worked out to be $.03 per line. I dropped him like a bad habit. He bounced through a few other transcriptionists who all quit on him before he wound up having to pay to outsource to a service.
Ind 401K for self employed
There is a new type of retirement fund for self employed business people where you can put money in as both an employee ($15,000) and as a percentage of your profits as the business owner. It is called an Ind 401K. Here is a link...
http://www.troweprice.com/common/index3/0,3011,lnp%253D10264%2526cg%253D960%2526pgid%253D10057,00.html?scn=Low-cost_plans_with_&rfpgid=7622
I wanted to go with T. Rowe Price but they do not allow loans, so i decided to go with Oppenheimer.
Self-employed-need advice
I am a self-employed MT, trained by the office I have been contracted with for 9 yrs. When I started, it was myself and an in-house Transcriptionist working for 4 physicians. I gave a 24 hr TAT. I had one 18-month-old child when I started, and was able to work around 6 hours a day. I drove about 40 min to work and back, picked up tapes, working sometimes 6-7 days/week. Since then, they have hired 2 more drs. and 3 NP's. The in-house MT retired, but they did hire another MT who works at home. I had another daughter, and a set of twins in those 9 yrs. They have always known I try to work around my children's schedules. As I am sure many of you do, I was getting up in the middle of the night working, working on and off throughout the day and at night. The new MT and I are backed up now and we can't possibly get it all done. It is more like 48-72 hr TAT. They call all through the day asking me to stop what I am doing right then and search the tape, type the note and fax it ASAP. I picked this profession to work around my children's schedules, not have to push them aside at every moment to cater to the office. I do not have a certificate in MT, was just trained by this office. I checked in to other places, but the pay is much less as I get paid 65 char/line including spaces at $.125/line. The reason they pay so well is because they know I probably can't get on somewhere else with no certificate and no experience in any other field. They want to make sure I stay there. Also, the driving is ridiculous. They refuse to get technology for telecommuting. They refuse to hire someone else. On top of that, I was just diagnosed with IST, and am on Toprol and not capable of working the hours I once did. Is there anyone else out there who understands or has any advice?
yep, two. I'm self employed in three ventures. sm
1. I am a soapmaker at www.sarva.biz and, as of recent, http://www.etsy.com/shop.php?user_id=5120869
2. I am a yoga therapist in the style of www.pryt.com
And also studying to be a yoga teacher in another lineage.
Yes, I do all of this with bilateral CTS. I intend to specialize in yoga for CTS sufferers and am nearly there with my education.
Turn lemons into lemonade :-) It's those other things that motivate me to finish my MT work every day, and my MT work informs my yoga therapy so tremendously.
Happened to U but are you now employed,
x
Not good ones and so far I am still employed
x
Self Employed Question
Hi all. I am new to this board. I have a home based secretarial service and do both medical and legal. I have never worked for a big company, just attorneys and docs as well as sales profesionals with no secretary. I have always charged by the page, but I have a possible new client that wants me to bill her by the line. Is .12 per line reasonable or too little for medical? Are there any other home based self employed individuals who can offer advice on per line charges?
Thanks!
My friend has been employed by the ...sm
same hospital that hired her as a newbie. She has been there 10 years. She does good. She has her hourly wage plus incentive pay and benefits. She has one of the good jobs. They outsourced the rest of the MT work except radiology, which is what she does. They outsourced the radiology also a few years ago to an MTSO and she went to work for the MTSO who got the radiology account from her hospital. Well the doctors there in radiology at the hospital raised some cane and demanded the inhouse MTs be brought back. The work was bad from the MTSO MTs and they demanded their MTs back. She was lucky. That is what you call appreciative doctors who value the MTs who do their transcription.
That's right. Would you give your plumber or accountant a raise?
Or, since they're a business and not your employee, would you expect they will raise their own rates when necessary?
You need to talk to accountant. His fee is tax deduction, you will want several dedections each
6
Don't worry about what you have to pay an accountant. You'll make it up
Self-employed even worse getting paycheck
Bill three doctors at the end of the month, and still waiting two weeks later, sometimes three. I even stay up all night and do a 12h turnaround time. You'd think they would see I was paid in a reasonable amount of time!
He can do it. If he is becoming self-employed, he can cut his child support
too if he does not make a profit for the first few years.
Better to be prepared.
When I was a W2 employee, hubby was self employed
and it was enough to cover his taxes and sometimes we got a refund.
MT week - did anyone employed with Diskriter get
anything for MT week??? Just curious - I didn't, but I see that they gave out an American Express gift cheque.
Try the National Association for the Self-Employed. SM
They have lots of options. 
I'm already employed. I feel my company has sent
a
ditto - am self-employed, 1-person
for local physicians.
There is no one else to have do them. I just type them and forget them as you did.
Medical Insurance for Self-Employed
 Hi Everyone: Does anyone know of an medical insurance that is a PPO Plan for me and spouse in Tenn that does not cost an arm and a leg? I have 2 job offers, one is a company but cannot afford their insurance for both of us, so I will take out on me only and the other job offer is IC at 13 cents a line which is good for this area. Help!!!!
I'm repeating what my accountant told me. Go argue w/him I guess.
He said find out what you need to make and then multiply that x 3.
I paid at least 30% tax last year, or more. even with my piddly deductions.
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