| "> | | | | setting up a plan so that taxes can be paid in |
| | | | installments. |
| Ben Franklin gave timeless small business advice when | | | | Business Mentoring Tip #3: Have a solid business plan |
| he proclaimed that there were only two certainties in | | | | that makes accommodations for both federal and |
| life: death and taxes. But you don't have to let your | | | | state taxes, and stick to it. The last thing a new |
| tax responsibilities drive you and your business to an | | | | business needs is to lose its profits by paying penalties |
| early grave. Here are seven tips from a business | | | | to the IRS. |
| mentoring expert on how to survive paying taxes. | | | | Business Mentoring Tip #4: Open a second bank |
| "Death and Taxes." Ben Franklin gave timeless small | | | | account like a tax savings account, to be used |
| business advice when he proclaimed that they are the | | | | exclusively for saving money for paying taxes. As a |
| only two things in life that are certain. But you don't | | | | business coach, I've seen many clients successfully |
| have to let your tax responsibilities drive you and your | | | | use this strategy. |
| business to an early grave. | | | | Business Mentoring Tip #5: Each time your write |
| As a business coach, the one problem I see many | | | | yourself a check or make a cash withdrawal from the |
| entrepreneurs running into is failing to budget enough | | | | ATM, take 20% of that money and deposit it into your |
| money to set aside for their taxes. Then when it | | | | tax savings account. For example, for every $100, |
| comes time to file their taxes, they don't have the | | | | set $20 aside for taxes. You will be pleasantly |
| cash. Unfortunately, not filing taxes is NOT the solution | | | | surprised how quickly your tax savings will add up! |
| to the problem! | | | | Business Mentoring Tip #6: Each quarter, January 15th, |
| The following business mentoring tips are among some | | | | April 15th, June 15th and September 15th make |
| of the best pieces of bookkeeping business advice | | | | estimated tax payments to the Federal and State |
| that I have shared with busy entrepreneurs over the | | | | governments. |
| years. If you come up short on cash at tax time, here | | | | Business Mentoring Tip #7: Each October meet with |
| are some things you can do: | | | | your tax preparer for preliminary tax planning. You can |
| Business Mentoring Tip #1: Gather your records and | | | | evaluate where you are for the year and leave |
| file all your tax forms immediately, even if you can't | | | | yourself ample time to reduce your tax liability or make |
| pay a cent. | | | | additional payments. |
| Business Mentoring Tip #2: Write a letter and attach it | | | | By using this proven bookkeeping business advice and |
| to your forms explaining your financial situation. The | | | | implementing these seven tips into your business's |
| IRS will work with you to find a payment option with | | | | bookkeeping practices, you will be able to survive |
| which you can live. One of those options could be | | | | paying your taxes. |