Best way to separate personal funds from your LLC

The easiest way is to just keep 2 different bank accounts, credit and debit cards for your personal and business. This will eliminate lot of work and book keeping costs for your end of the year tax filing.

If for some reason, you used personal funds to pay business expenses then you can ei...

Six tax tips on estimated tax payments

Six tax tips on estimated tax payments

Estimated taxes must be paid as you receive or earn any income during the year. If you are an employee, your employer usually withholds your taxes based on the data provided in the form W4. If you are 1099 contractor or you are...

Do you need a new EIN when you purchase an existing business?

You are not required to apply for a new EIN if only the ownership of the LLC or company has changed.

You need to apply for a new EIN if it was operating as a sole proprietor and now you are incorporating as an LLC or INC.

Can you operate under Single LLC for multiple businesses

Yes, you can operate multiple businesses under one legal entity.

Below are few pros and cons of operating under single vs creating multiple businesses under different entities.

Scenario 1 - Single LLC

• Works be...
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Is your new hire W2 employee or 1099 contractor?

This is also one of the most frequently asked questions that we receive. 

To make it easier for employers, IRS has provided guidelines via form SS8 regarding classification of employee vs Contractor.

If you do not classify this correctly, there is a high chance of receiving notice...