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: 6
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: 5
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: 6
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 online now
Administrator
 
Join Date: May 2003
Posts: 36,386
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: 6
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 online now
Administrator
 
Join Date: May 2003
Posts: 36,386
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
Kohler command carb...
ExtremeLawncareServices
Yesterday 03:09 PM
Today 04:15 AM
by stevef1201
3 84
Not sure, but anyone do...
SnowRemoval2k14
Today 12:10 AM
Today 12:10 AM
by SnowRemoval2k14
0 22
2014 Gie-expo
ExtremeLawncareServices
08-19-2014 11:22 PM
Yesterday 09:23 PM
by ExtremeLawncareServices
3 872
Trying something new,...
ExtremeLawncareServices
Yesterday 09:07 PM
Yesterday 09:07 PM
by ExtremeLawncareServices
0 44
Tribulations of working...
stevef1201
09-13-2014 08:37 AM
Yesterday 10:10 AM
by stevef1201
8 545
Mulching beds
Bradcook21
Yesterday 07:43 AM
Yesterday 10:03 AM
by stevef1201
2 122
This sucks...
Matther777
09-18-2014 04:56 PM
09-20-2014 07:19 PM
by ExtremeLawncareServices
9 442
30 Inch Push Mowers Pros...
Billy Goat
06-27-2013 08:07 PM
09-20-2014 06:40 PM
by SGL1
22 6,271
These are the days on...
ExtremeLawncareServices
03-22-2014 09:12 AM
09-20-2014 05:39 PM
by ExtremeLawncareServices
120 8,336
Replacing a Shindi T-27
Dan Tanner
09-13-2014 12:59 PM
09-20-2014 03:16 PM
by kslawn
2 560
Scag turf tiger hydrolic...
ExtremeLawncareServices
09-04-2014 10:55 PM
09-19-2014 05:59 PM
by ExtremeLawncareServices
11 914
Mowing 7 acres
avetslawncare
08-31-2014 04:24 PM
09-19-2014 03:29 PM
by acrajchel
6 1,083
snowplowing
jshak40
09-01-2014 07:20 AM
09-19-2014 11:49 AM
by Steve
23 1,477
Looking for feed back on...
ExtremeLawncareServices
09-17-2014 08:38 AM
09-19-2014 08:17 AM
by ExtremeLawncareServices
9 479
Lowballers scrubs &...
Darksteel
01-13-2014 07:35 AM
09-18-2014 06:32 PM
by Northwoods Outdoors
58 6,875
Hello from upstate NY!
A&MLawn&Snow
09-18-2014 11:19 AM
09-18-2014 04:10 PM
by Sprinkler Buddy
2 332
Price to apply fertilizer
SS.Lawncare
09-15-2014 11:10 AM
09-18-2014 01:16 PM
by Steve
9 592
Trailer tires
J.A.S.LawnService
09-01-2014 10:17 AM
09-17-2014 09:57 PM
by curts lawn care
4 999
new to the forum
SGlawncare
09-16-2014 11:20 PM
09-17-2014 08:29 PM
by curts lawn care
3 412
Help With Snow Blowing...
Robertf31
09-13-2014 10:55 PM
09-17-2014 12:34 PM
by Steve
11 771
Non-Stop Summer?
SouthallMowing
09-14-2014 10:51 PM
09-17-2014 10:48 AM
by stevef1201
6 556
Poll - net income
Dan5082
11-15-2010 08:08 PM
09-16-2014 04:44 PM
by jrs.landscaping
12 3,290
Getting lowballed!
PineHillLawn
06-27-2012 07:23 AM
09-16-2014 01:25 PM
by jrs.landscaping
24 4,984
Compare this summer to...
Steve
09-03-2014 12:52 PM
09-16-2014 11:20 AM
by Hanks Lawn Care Services
15 1,201
thinking about throwing...
veteranslawncaresystems
09-09-2014 10:31 PM
09-15-2014 03:41 PM
by Steve
12 885
Hello
Robertf31
09-12-2014 10:34 PM
09-15-2014 03:17 PM
by Steve
2 470
Newbie......Again
Jibber
09-13-2014 12:17 PM
09-15-2014 02:54 PM
by Sprinkler Buddy
2 570
need help with starter...
GoGreenerKS
09-12-2014 04:23 PM
09-15-2014 02:25 PM
by Steve
3 488
Brake job!
kslawn
08-30-2014 07:49 AM
09-15-2014 02:16 PM
by Steve
12 1,187
Hello
jawnebgoode
08-28-2014 08:37 PM
09-15-2014 02:15 PM
by Steve
3 958
Employee uniforms
Gerardo_Landscape
01-21-2014 11:11 PM
09-15-2014 02:12 PM
by Steve
5 1,094
Greetings from the north
Northwoods Outdoors
09-13-2014 08:55 AM
09-15-2014 02:07 PM
by Steve
1 457
darleneh
darleneh
09-15-2014 12:33 PM
09-15-2014 02:07 PM
by Sprinkler Buddy
1 448
My 1st bid
WesleySnips
06-11-2014 03:13 PM
09-15-2014 02:05 PM
by Steve
29 1,874
New Aerator
Chaz
09-09-2014 11:43 PM
09-15-2014 01:50 PM
by Steve
9 716
Yearly contract Pricing
jrob0691
08-21-2014 08:57 AM
09-15-2014 01:23 PM
by stevef1201
8 1,359
getting ready to start
calebmoss
05-23-2011 09:35 PM
09-11-2014 12:21 PM
by Steve
34 11,361
Stihl pull cord replace
SGL1
09-03-2014 09:22 PM
09-10-2014 12:25 PM
by Steve
9 887
Softball field
kslawn
08-15-2014 09:28 AM
09-10-2014 12:16 PM
by Steve
18 1,630
Lawn Route Templates
Landscaper1165
08-30-2014 01:52 PM
09-09-2014 08:05 PM
by Landscaper1165
4 1,115
New truck and trailer...
Johnny Rocket
05-14-2012 03:41 PM
09-09-2014 07:23 PM
by Matther777
18 6,701
What gets you bad press?
Steve
09-09-2014 11:48 AM
09-09-2014 07:21 PM
by Matther777
2 582
Signs on your snow plow?
Steve
01-15-2007 01:07 AM
09-09-2014 11:42 AM
by Steve
19 6,330
Exmark Lazer Z S-Series...
BLC7
08-22-2014 10:18 AM
09-08-2014 08:08 PM
by avetslawncare
12 1,397
New to the business
flamingyouth87
09-05-2014 11:52 AM
09-08-2014 11:55 AM
by Steve
3 796
Hello from Ohio
kurtwin
08-28-2014 05:06 PM
09-08-2014 11:51 AM
by Steve
7 1,082
Facebook
element009
03-23-2011 08:36 AM
09-07-2014 07:35 AM
by avetslawncare
24 7,870
Help pricing cut down 7...
Bradcook21
08-26-2014 11:17 PM
09-06-2014 02:09 PM
by Bradcook21
8 1,177
billing matters
sbuchanan8154
09-05-2014 09:56 AM
09-05-2014 03:00 PM
by Steve
3 774
Thoughts
googus
09-05-2014 07:28 AM
09-05-2014 02:23 PM
by Steve
2 715
» Popular Tags
2wd 4x4 article marketing bid birdscaping care charge collections subcontractor commercial credit card decorating ditches ecosymbiosis employee problems exmark ferris financing four wheel drive gopherhaul grass gravely hardscapes health honda how much to charge hydraulic installation landscape services lawn lawn care lawn care busines plan lawn care business seo lawn care business show lawn care business website lawn care business website seo lawn care website leaf lighting brass outdoor lights marketing mechanic monthly mow mulch mulch price native plants new buisness outdoor environments past due patio install podcast promotion running a business scag scag v-ride schedule seo snow starting a business steep lawns stihl sulky theft of services toro tractor auger trailer mate pro truck new used landscape walk behind walker won't return wright stander rh
Powered by vBadvanced CMPS v3.1.0

All times are GMT -5. The time now is 04:47 AM.


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

All times are GMT -5. The time now is 04:47 AM.

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