Where Do I Enter My Business Expenses in Turbo Tax?

[jtjacaldwell]

I just checked a few minutes ago & my 1099 was updated on Consultant's Corner. I'm using Turbo Tax. I entered my 1099 information. Now I can't seem to figure out where to enter my business expenses. Is there anyone out there familiar with this program, who could help?

 

[jenniferknapp]

Ohh! Mine is up and correct ...I dont have Turbo Tax to help you though....Sorry!

 

[dannyzmom]

Mine is up but I was incorrectly double-taxed for the $75 PC $$ for the stoneware incentive...I am on hold with HO righ tnow to see about getting that adjusted.

 

[rebeccastt]

So do you guys take your "other income", such as F/W Sell-A-Thon and use that as an expense to write off or do you write those off another way? Am I correct that you can write off the gifts we receive as long as they are products? So not $50 off National Conference Registration?

 

[dannyzmom]

You can most certainly write off the $50 off NC...you use NC as a way to grow your business!

 

[rebeccastt]

Good! So do I just add them all into PP as an expense?

 

[ange13]

How do you guys account for the $2 insurance taken every month and also the $6 changeover package?

I've been doing this forever and I just thought about this this weekend. I should be able to deduct it--yet I've never separated it out! duh....

so would you add those amounts to your income, then deduct them on another line as expense?

 

[ShanaSmith]

humm... never really thought of that. Are you sure that it isn't already deducted from the amount of commission they report each month?

 

[fruit76loop]

Claim the $2 as insurance, so $24 a year. And the $6 for changeover as Business Supplies (as that is what it is)! You should be able to write off everything that the PC gives you as gifts, products, PC dollars, 1/2 of your incentive trip (for your portion), even logo wear and such as that is advertising!

I am going to see my 1099 right now...I am dieing to see how much they charged me for the Vienna trip!!

 

[fruit76loop]

Wow!!I have an additional $6448.23 in income!!! Holy moly!! The Vienna trip was over $4000 and of course the products and all the other incentives....makes me realize yet again why I am a PC consultant!! Gotta love free stuff!!

 

[ange13]

so, marlene, do you then bump up your income to cover those expenses (because they were taken out already?)

I've never really paid attention to my 1099 to see what it says either---duh!!

I too am going to look at mine right now, anxiously awaiting a good, huge return!!!!

 

[fruit76loop]

your income that is reported on your 1099 is your wage prior to those deductions. Just as on a regular W-2, your wage is reported before taxes, 401K, insurance and such.

Hope that answers your question!

 

[DebbieSAChef]

Categories??Here are the categories for expenses:

Check - ??? What is this?
Consultant gift -
Kit enhancements -
Mileage
Personal order
Postage
Sample order
show expense
supply order

Where would I tag on my $90 expense for a table I shared with another consultant at a Taste of Home cooking show? Can anyone help? Thanks.

Debbie

 

[fruit76loop]

are these the default expense codes in your Pampered Partner?

 

[DebbieSAChef]

YesYes they are, can we add our own categories??

Debbie

 

[ange13]

yes, you can add your own categories

 

[rebeccastt]

Yep! I add "Training", "Subscriptions" and some others that I cannot think of right now.

 

[fruit76loop]

These are the codes I have in PPTravel- any travel expenses for conference, meetings, and incentive trip EXCEPT food!
Dining- food related to travel and business meetings (contrary to popular belief, you are ONLY allowed to write off 50% of your meal costs no matter what they are associated with- this came directly from the IRS...as I had heard from some consultants that they write off 100% of their meals when they are for conference etc and my CPA told me no way...so I contacted the source)
Advertising- any type of advertising, including logo wear, PC ring etc.
Business supplies- all catalogs etc
Office supplies- paper, pens etc.
Check- commission checks
Bank- bank fees
Cons Gift- for gifts only
Cons Incentive- for incentives given to my hosts For example: food bought for hosts shows, receive an extra $25 when you have 10 outside orders (the reason to seperate these is that the tax law reads that the max gift deduction is $25 per person per year)
Copies-
Developmental expense- any books, classes etc.
Donations-
Groceries- food bought for practice food
Insurance- $24 a year
Postage-
Then of course I have all my household expenses as well: mortgage, insurance, water, gas, power, phone bill, cell bill etc.

 

[rebeccastt]

Is it necessary to add our commission checks as income on PP when we will use our W-2 to show income? I don't want to go through the motions of adding all of my commission checks if I don't have to!

 

[ange13]

I just double checked the commission amount versus what my 1099 says and they put the actual amount paid after expenses. in other words the $2 and $6 are taken out of the income category.

so, when i'm doing my taxes, I should add that back in as actual income then deduct it as an expense. or does it even matter? guess i'll need to ask the tax guy. i think it would matter if you were taking a loss versus showing a gain. hmmmmmmmmm

 

[ange13]

It's not necessary. I do just so that it's nice a neat for my accountant. and I can see real easy what my profit/loss is during the year!

 

[fruit76loop]

I add my commission for the same reason! Then when I print out my report it is all ready for my CPA and I have an idea on my profit!

 

[DebbieSAChef]

ThanksYou guys are so helpful!! Thanks so much. I think that's the only extra thing I need to add to my expenses. I didn't know we could write off our insurance. I guess our proof would be our commission checks where it is deducted right?

Debbie

 

[basketmom2]

super starterHi, this is my first year filing. I just got my 1099 and was amazed at what all the super starter plus other incentives add up to! Can I write off all that stuff since I am using it at my shows? My husband is doing Turbo tax for us...but I would love to go to an accountant this year. If anyone could help me out that would be awesome. I really hope not to have to pay taxes on all the free stuff but just need to know how to claim it

 

[fruit76loop]

yep...write it off..it would be business supplies, as they are products you use in your business! Congratulations on earning those free products!!

 

[jenniferknapp]

You guys are so helpful!! Thanks so much. I think that's the only extra thing I need to add to my expenses. I didn't know we could write off our insurance. I guess our proof would be our commission checks where it is deducted right?

Debbie

On another thread, someone added up their commission checks and said that the $2 a month for insuranve plus $6 for changeover was already deducted from our income...

 

[Chozengirl]

OK, so this might be a dumb question but I am gonna ask it anyways.
Do I have to put all my expensis into PP or can I just tally them up, like in word?
I am working on my taxes, and am doing it in word, then will submit to my tax lady.

 

[jrstephens]

it would be business supplies, as they are products you use in your business! Congratulations on earning those free products!!

SOOOO anything that we buy and use in our business we put in as business supplies. What about postage? And recipe ingredients? All still supplies?

 

[jrstephens]

I just looked at mine and theyhave my address wrong they use my work address that I use for my products to be shipped to NOT my home address where they MAIL everything I have ever gotten in the mail from them.

I am on hold with them now!

I did not realize I had earned that much commission! Is my $75 in PC Bucks included in nonemployee compensation b/c it is not listed in other income.


And the $856.55 I write off as business supplies?

 

[jenniferknapp]

My stoneware special $25 PC bucks was included on mine....they might have goofed with yours!