Lawn Care Business Forum Lawn Care Business Book Lawn Care Business Blog Lawn Care Software
Home Forum Contract & Flyer Templates Blog Software Videos Podcast Calculators / Estimators Store Mower Review Design It Yourself Lawn Business School

Go Back   GopherHaul Landscaping & Lawn Care Business Marketing Forum > Just starting your lawn care or landscaping business? > Starting a lawn care business.

Starting a lawn care business. How to start a lawn mowing business, lawn care business, or landscaping business. If you are starting a lawn care business, ask your questions here.

Taxes


Starting a lawn care business.

How to start a lawn mowing business, lawn care business, or landscaping business. If you are starting a lawn care business, ask your questions here.
Reply
 
Thread Tools Search this Thread
  #1  
Old 06-01-2011, 11:28 PM
bmroyer bmroyer is offline
Junior Member
 
Join Date: Feb 2009
Posts: 3
Rep Power: 7
bmroyer is on a distinguished road
Default Taxes

I plan on going legit next season with a friend of mine, regestering an LCC name, getting insurance, and I need to know how taxes work, how much to put aside from each job, and how often you pay them. I've already slip the money per job to put some money to the company, overhead, fuel for truck and equipment, and of course the "paycheck" or take home pay. I really don't want to split the paycheck too much. Its not going to be no 30% is it?
Reply With Quote

Stop guess-timating. Learn how to estimate and make money! $$$
Mow Time Estimator Lawn Care Price Estimator Mulch and Topsoil Calculator Snow Plow Estimate Calculator


  #2  
Old 06-02-2011, 12:31 AM
The Cleaning Doctor's Avatar
The Cleaning Doctor The Cleaning Doctor is offline
Senior Member
 
Join Date: Nov 2009
Location: Helena, MT
Posts: 927
Rep Power: 6
The Cleaning Doctor is on a distinguished road
Default

Lawn care business tipsLawn Care Business Book
You really need to talk to an accountant so that you get the correct information.
__________________
Pat
Reply With Quote
  #3  
Old 06-02-2011, 12:55 AM
bmroyer bmroyer is offline
Junior Member
 
Join Date: Feb 2009
Posts: 3
Rep Power: 7
bmroyer is on a distinguished road
Default

how much is one of them and how long will I need them for?
Reply With Quote
  #4  
Old 06-02-2011, 07:57 AM
Steve's Avatar
Steve Steve is offline
Administrator
 
Join Date: May 2003
Posts: 37,458
Rep Power: 10
Steve has disabled reputation
Default

Here is a rough idea. Remember, I am not an accountant.

After expenses, you have to look at your federal tax bracket.

If you make:

$0 to $8,500 you will owe:_____10% of taxable income
$8,500 $34,500 _____$850 plus 15% of excess over $8,500
$34,500 $83,600 _____$4,750 plus 25% of excess over $34,500
$83,600 $174,400 _____$17,025 plus 28% of excess over $83,600
$174,400 $379,150 _____$42,449 plus 33% of excess over $174,400
$379,150+ _____$110,016.50 plus 35% of excess over $379,150

Then you have to figure 15.3% of your net earnings for self employment tax.

Then you have to find if your state has an income tax.

Usually you have to send in your taxes quarterly based on your projected income for that year.

Does this help?
__________________
- Subscribe to my Lawn Care Marketing Blog Feed and get daily tips sent to you. Free!
Download your Free trial of Gopher Lawn Care Software.
Reply With Quote
  #5  
Old 06-03-2011, 10:40 PM
bmroyer bmroyer is offline
Junior Member
 
Join Date: Feb 2009
Posts: 3
Rep Power: 7
bmroyer is on a distinguished road
Default

I'm from Pennsylvania, not sure if they have a tax. So you are saying pretty much I need to save 30% of my income to pay for the taxes. Is that income my take home, like I have it worked out as the following.

I only have 2 jobs so far this year, so maybe I should wait till I get more business before I start paying for insurance, and I prolly don't make enough to pay taxes yet anyways.

Quote:
Lawn Care Business Money Plan
Date: 5/21/2011
by: Brandon M. Royer

****************
Company: 15%
Fuel: 10%
Overhead:5%
Truck Fuel: 20%
Paycheck: 50%
****************
$30:
Company: $4.50
Fuel: $3.00
Overhead: $1.50
Truck Fuel:$6.00
Paycheck: $15.00
****************
$40:
Company:$6.00
Fuel:$4.00
Overhead:$2.00
Truck Fuel:$8.00
Paycheck: $20.00
****************
$50:
Company:$7.50
Fuel:$5.00
Overhead:$2.50
Truck Fuel:$10.00
Paycheck:$25.00
****************
$60:
Company:$9.00
Fuel:$6.00
Overhead:$3.00
Truck Fuel:$12.00
Paycheck:$30.00
****************-
$70:
Company:$10.50
Fuel:$7.00
Overhead:$3.50
Truck Fuel:$14.00
Paycheck:$35.00
****************-
$80:
Company:$12.00
Fuel:$8.00
Overhead:$4.00
Truck Fuel:$16.00
Paycheck:$40.00
****************-
$90:
Company:$13.50
Fuel:$9.00
Overhead:$4.50
Truck Fuel:$18.00
Paycheck:$45.00
****************-
$100:
Company:$15.00
Fuel:$10.00
Overhead:$5.00
Truck Fuel:$20.00
Paycheck:$50.00
Reply With Quote
  #6  
Old 06-04-2011, 05:20 PM
Tom53 Tom53 is offline
new member
 
Join Date: Apr 2011
Location: Northwest Iowa
Posts: 57
Rep Power: 0
Tom53 is on a distinguished road
Default

I hold out 35% right from the top. That "should" cover the following where I live. 1.Federal Income Tax. 2. Social Security Tax. 3. State Income Tax.

After that is when you start to worry about overhead, such as liability insurance, vehicle fuel, mower and other equipment fuel and oil, filters, belts, tires, or whatever else you happen to wear out like engines, blades, cables, etc. That just comes out of my pocket, but I religiously keep receipts, and track vehicle mileage and any other expenses, because they are tax write offs.

I keep what ever is left after that, which in my case varies, as I dont have a set number of clients, and do other work not related to this business. I work as an independent contractor in a different line of work for several (at least 8 to 10) other companies right now, and am gaining new client companies every week. So much other work is starting to come in, I may have to give up all but my very best lawn care customers. My biggest tax expense at the end of the year is paying the accountant because I have so many W-9's for him to process. With all the write offs I havent had to pay any taxes for several years. And I thank my accountant for his advice because that is what I use to avoid taxes. I happily pay him his fee. Which is what I use that 35% for and I usually have a bunch left over, but better to put it aside and not need it, than to need it and not have it. I never have and never will cheat on my taxes, but I do use deductions to every advantage.

Keep your equipment well maintained, and dont abuse it, and that helps a lot.
But as has already been said, you NEED to consult an accountant to find out what is needed in your particular situation. Your situation is just that > YOURS, and it is NOT like anyone elses situation.


Simple answer to your ? about "its not going to be like 30% is it?"

YES you had better plan on 30% until your accountant advises otherwise.
Reply With Quote
  #7  
Old 06-06-2011, 05:29 AM
Steve's Avatar
Steve Steve is offline
Administrator
 
Join Date: May 2003
Posts: 37,458
Rep Power: 10
Steve has disabled reputation
Default

It's stuff like this that makes you want to pull the hair out of your head and makes you realize how unfriendly our government can be to business owners who's existence is the backbone of our nation.
__________________
- Subscribe to my Lawn Care Marketing Blog Feed and get daily tips sent to you. Free!
Download your Free trial of Gopher Lawn Care Software.
Reply With Quote
Reply

Bookmarks

Thread Tools Search this Thread
Search this Thread:

Advanced Search

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is On
Forum Jump

Similar Threads
Thread Thread Starter Forum Replies Last Post
Taxes Steve General Business Discussions 9 04-26-2010 04:15 PM
Anyone doing taxes? swstout General Business Discussions 1 02-20-2009 03:55 PM
Taxes All Aspects Landscaping General Talk 2 04-13-2008 10:27 AM
Taxes tiedeman General Business Discussions 6 01-08-2007 04:56 PM
Taxes Gopher Software Support Archived Question & Answers - Read Only 1 04-30-2006 01:32 AM

» Recent Threads
  RatingTitle, Username, & Date Last Post Replies Views
I have a great idea!
biglee
04-05-2015 06:20 PM
Today 05:52 AM
by bridgetdevers
5 669
Unemployment rates drop,...
Steve
Yesterday 12:40 PM
Yesterday 03:53 PM
by GreenWorx
1 46
Before & After tree...
COREtreeservice
07-01-2015 09:20 PM
07-01-2015 09:20 PM
by COREtreeservice
0 62
Dogs
Mr. Mow
06-29-2015 02:37 PM
07-01-2015 11:28 AM
by Steve
6 1,825
Ready to learn and get...
Koley Lawn & Landscape
06-28-2015 05:16 AM
07-01-2015 11:26 AM
by Steve
8 1,819
Three Stripe Land Care...
hammr04
06-30-2015 07:19 PM
07-01-2015 11:24 AM
by Steve
1 62
Just about mid year, how...
GreenWorx
06-24-2015 07:05 PM
06-30-2015 07:41 PM
by hammr04
5 1,879
Country Life Lawn Care
darleneh
06-29-2015 11:24 AM
06-30-2015 01:25 PM
by Steve
3 1,720
Rubber mulch...
avetslawncare
06-24-2015 09:28 PM
06-29-2015 09:23 PM
by Chilehead
6 1,837
I dont know what to do...
Bradcook21
06-21-2015 08:49 AM
06-29-2015 02:30 PM
by Mr. Mow
11 2,090
Marketing ideas
xandrew245x
04-29-2014 06:35 AM
06-25-2015 07:11 PM
by GreenWorx
34 5,685
Never ending sod jobs
avetslawncare
06-05-2015 09:46 PM
06-25-2015 11:42 AM
by Steve
11 2,319
Weed and Feed Service...
mike94740
06-23-2015 05:50 PM
06-24-2015 09:56 PM
by avetslawncare
2 1,775
Trimming hedges / trees,...
Hard-Body lawn & garden
06-23-2015 07:08 PM
06-24-2015 09:59 AM
by Steve
1 1,776
Hi Everyone from Arkansas
KellyMarie
06-04-2015 04:16 PM
06-23-2015 01:34 PM
by KellyMarie
4 2,047
how to make customers...
Bradcook21
05-27-2015 05:04 PM
06-23-2015 06:36 AM
by GreenWorx
7 2,276
problems with a customer...
LawnCareMan280
06-16-2015 10:26 PM
06-22-2015 11:11 AM
by Steve
6 2,049
Please review this FREE...
markty
06-21-2015 07:42 AM
06-22-2015 11:00 AM
by Steve
1 1,799
A good commercial bid...
burtle
06-20-2015 09:09 PM
06-22-2015 10:56 AM
by Steve
1 1,859
What would you do with...
holymoly
06-20-2015 06:48 PM
06-22-2015 10:48 AM
by Steve
1 1,804
New Member just joined...
vgoleco@hotmail.com
06-19-2015 03:49 PM
06-22-2015 10:42 AM
by Steve
2 1,831
Credit Cards - What's in...
Shark1611
06-16-2015 03:04 PM
06-21-2015 07:24 PM
by Chilehead
4 1,920
Blade usage
Wolf4dk
06-16-2015 12:18 AM
06-21-2015 05:35 PM
by kslawn
4 1,937
Hello, I am new to the...
adamslawnservices
06-17-2015 08:06 PM
06-19-2015 10:28 AM
by Steve
3 1,863
Is it too late to do...
markty
06-16-2015 05:28 PM
06-19-2015 10:22 AM
by Steve
4 1,939
First commercial bid
SGL1
06-12-2015 08:57 PM
06-18-2015 05:04 PM
by SGL1
9 2,300
Needing a website built
burtle
06-17-2015 09:02 AM
06-18-2015 11:02 AM
by Steve
7 2,006
I have been rude and...
biglee
06-15-2015 10:11 PM
06-18-2015 10:46 AM
by Steve
10 2,093
Start LIKING FACEBOOK...
rlclawncare123
02-26-2015 12:06 AM
06-17-2015 08:38 AM
by burtle
9 3,182
Customer keeps adding...
Mr. Mow
06-13-2015 06:22 AM
06-16-2015 10:23 AM
by Steve
11 2,204
Pass discounts onto...
burnell76
06-03-2015 06:33 PM
06-16-2015 10:02 AM
by burnell76
3 2,028
burned grass only where...
nhauto
06-15-2015 05:28 PM
06-16-2015 09:45 AM
by Steve
2 1,901
Half year mark review.
Steve
06-02-2015 11:24 AM
06-15-2015 01:04 PM
by Steve
18 2,615
These are the days on...
ExtremeLawncareServices
01-11-2015 10:41 AM
06-15-2015 01:01 PM
by Steve
86 9,671
New Member
Bruce Fehr
06-05-2015 07:13 PM
06-15-2015 12:53 PM
by Steve
6 2,035
New to the business,...
CarefreeMowing
06-12-2015 02:36 PM
06-15-2015 12:50 PM
by Steve
1 1,915
Beginner Mistakes:...
Steve
01-31-2007 11:45 AM
06-13-2015 08:48 AM
by holymoly
45 11,998
New to the forum, new to...
CarefreeMowing
06-11-2015 12:35 PM
06-12-2015 10:44 AM
by Steve
2 1,834
problems with a customer
LawnCareMan280
05-19-2015 06:28 PM
06-11-2015 10:50 PM
by stallman419
8 2,379
Website Review
Outdoordesignsknox
06-08-2015 08:44 PM
06-11-2015 09:48 PM
by Just for Cuts
13 2,262
another newish job for me
holymoly
06-07-2015 08:34 AM
06-11-2015 10:05 AM
by Steve
8 2,070
Anyone need help? I have...
biglee
05-06-2015 12:22 PM
06-10-2015 01:45 PM
by holymoly
15 2,969
Hello from the GREAT...
gbfarmsllc
06-09-2015 11:10 AM
06-10-2015 01:29 PM
by Sprinkler Buddy
2 1,903
Hey guys and gals, I'm...
Joeyhall
06-03-2015 03:54 PM
06-08-2015 02:15 PM
by chris2500hd
8 2,145
Mowing Bermuda...
Mr. Mow
06-02-2015 12:45 PM
06-08-2015 12:45 PM
by Steve
12 2,298
Hey Guys
PrattLandscaping
06-07-2015 06:37 PM
06-08-2015 12:23 PM
by Steve
2 1,917
Share your stolen...
SGL1
05-27-2015 09:05 PM
06-08-2015 11:54 AM
by Steve
25 2,851
Hello there My name is...
zwalk1839
06-04-2015 11:10 PM
06-08-2015 11:52 AM
by Steve
4 2,030
Laid off oil field...
Mr. Mow
05-30-2015 09:03 AM
06-08-2015 06:20 AM
by Mr. Mow
4 2,135
How do you find one time...
Greg'slawnandlandscape
06-02-2015 09:57 PM
06-05-2015 09:49 PM
by avetslawncare
4 2,062
» Popular Tags
ad landscaping advertising apartment complex apartment lawn care estimate applying bark blowout bob villa collections commercial curb appeal services demonstration design door hangers edging employee problems equipment dealer equipment rental facebook flyers free advertising free lawn care google growing a lawn care business hardscapes hills hiring how to husqvarna increase customers jobs landscape landscape services landscaping lawn aeration lawn care lawn care busines plan lawn mowing marketing marketing secrets more customers business mr dave new business ordinance past due patio install per hour service plowing pricing push versus ride scripts secrets to landscaping shell shreaded small engine repair snow plowing sq ft square foot trailer trailer mate pro tree tree pics trimmer rack up sell employee web design website website design winterization wood www.greenturion.co.za
Powered by vBadvanced CMPS v3.1.0

All times are GMT -5. The time now is 06:54 AM.


(C) 2011 Riggs Publications - Terms of use & Privacy Policy

All times are GMT -5. The time now is 06:54 AM.

(C) 2011 Riggs Publications - Terms of use & Privacy Policy