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: 8
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: 7
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: 8
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: 37,927
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: 8
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: 37,927
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
Did this job free to...
JJand M Lawncare
Yesterday 02:33 PM
Today 08:09 PM
by JJand M Lawncare
2 31
Correct way to quote a...
WarriorLandscapingCAN
Yesterday 11:52 AM
Today 10:59 AM
by Steve
1 33
How to tell Cust. to...
GeeGood
04-09-2008 09:55 PM
Yesterday 02:45 PM
by JJand M Lawncare
13 5,203
Having an issue with...
Mr. Mow
04-27-2016 03:58 PM
04-28-2016 05:04 AM
by Sprinkler Buddy
2 115
Hello From Virginia
JJand M Lawncare
04-25-2016 01:02 PM
04-27-2016 05:20 PM
by Steve
5 145
knowledge is Key
Greg'slawnandlandscape
04-23-2016 02:23 AM
04-25-2016 02:40 PM
by Steve
2 130
Hello from Calgary
Freshcut
04-22-2016 06:10 PM
04-25-2016 02:38 PM
by Steve
1 121
Echo Bed Redefiner...
NPM_LLC
04-12-2016 10:54 AM
04-22-2016 06:15 PM
by Freshcut
4 321
Has anyone done a garden?
Brian3137
03-28-2016 10:42 AM
04-22-2016 04:42 PM
by biglee
13 9,762
What would you charge?
markty
04-18-2016 03:28 PM
04-22-2016 09:01 AM
by chris2500hd
6 292
Replaced Mower Engine
Sprinkler Buddy
04-15-2016 06:21 AM
04-19-2016 11:03 AM
by Sprinkler Buddy
6 266
Hello from Oklahoma
Ron Hall
03-24-2016 06:59 PM
04-16-2016 03:51 AM
by Ron Hall
9 9,473
Laying down some stripes
MATTNAPIER89
04-11-2016 09:55 PM
04-14-2016 11:55 PM
by Steve
3 341
Find out what business...
MATTNAPIER89
04-11-2016 09:58 PM
04-13-2016 12:32 PM
by MATTNAPIER89
2 294
Hello my name is Matt
MATTNAPIER89
04-11-2016 09:46 PM
04-13-2016 12:58 AM
by Steve
1 241
How to drop some...
nickeckes
04-11-2016 01:07 AM
04-12-2016 05:22 PM
by Steve
4 318
Trash Receptacle for a...
tannerduncan
04-12-2016 05:02 PM
04-12-2016 05:19 PM
by Steve
1 222
Small Project Lawn
tannerduncan
03-31-2016 08:21 PM
04-12-2016 05:16 PM
by Steve
7 9,350
Please Help! Bidding...
Dorali
02-15-2016 12:02 PM
04-06-2016 01:08 AM
by Steve
36 13,071
Hello
pbcleff
04-05-2016 07:45 PM
04-06-2016 12:35 AM
by Steve
1 410
Hello
llewelwa
03-18-2016 12:47 AM
04-05-2016 12:14 AM
by Steve
3 9,344
Poop and Scooping
llewelwa
04-01-2016 05:48 PM
04-05-2016 12:08 AM
by Steve
1 9,129
help with sole...
greenbuds
03-24-2016 12:21 PM
04-04-2016 05:33 PM
by WarriorLandscapingCAN
2 9,296
Powered by vBadvanced CMPS v3.1.0

All times are GMT -5. The time now is 08:10 PM.


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

All times are GMT -5. The time now is 08:10 PM.

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