tag:blogger.com,1999:blog-7733835506387656648.post4489536589026387727..comments2024-03-28T09:21:52.243-04:00Comments on Pimp My Novel: A Taxing ProfessionUnknownnoreply@blogger.comBlogger9125tag:blogger.com,1999:blog-7733835506387656648.post-57415467774686029442010-07-25T05:45:06.396-04:002010-07-25T05:45:06.396-04:00Thanks, Sessha!Thanks, Sessha!Adam Heinehttps://www.blogger.com/profile/02225813532455467868noreply@blogger.comtag:blogger.com,1999:blog-7733835506387656648.post-90842369599703169052010-07-24T16:27:13.515-04:002010-07-24T16:27:13.515-04:00If you're going to owe taxes at the end of the...If you're going to owe taxes at the end of the year above and beyond what you've paid in you'll need to file quarterly earnings and pay estimated taxes. If you will be getting a refund, you don't. But, always better to err on the side of caution. The forms are easy to fill out and it's better to get more money back in April than to pay fines and interest!Sessha Battohttps://www.blogger.com/profile/15569927397738788073noreply@blogger.comtag:blogger.com,1999:blog-7733835506387656648.post-33171111181868783142010-07-19T23:57:14.209-04:002010-07-19T23:57:14.209-04:00Thanks for the info, Eric. Do you know what would ...Thanks for the info, Eric. Do you know what would determine whether or not you'd have to report quarterly earnings to the IRS?Adam Heinehttps://www.blogger.com/profile/02225813532455467868noreply@blogger.comtag:blogger.com,1999:blog-7733835506387656648.post-26121595113322095222010-07-19T14:17:16.502-04:002010-07-19T14:17:16.502-04:00Thanks for the information. Definitely going to k...Thanks for the information. Definitely going to keep this in mind for when/if it becomes relevant (while remembering to make sure the information is still current by then)! But it's always good to be aware of these issues in advance, especially when dealing with government agencies.Kristin Laughtinhttps://www.blogger.com/profile/01536556357622503501noreply@blogger.comtag:blogger.com,1999:blog-7733835506387656648.post-81781330783040289682010-07-19T13:12:25.999-04:002010-07-19T13:12:25.999-04:00Awesome! I didn't know some of this. Thanks so...Awesome! I didn't know some of this. Thanks so much for sharing!Candylandhttps://www.blogger.com/profile/08956196611348299424noreply@blogger.comtag:blogger.com,1999:blog-7733835506387656648.post-91924533702314198792010-07-19T13:10:36.245-04:002010-07-19T13:10:36.245-04:00Thanks for providing this info!Thanks for providing this info!Ted Crosshttps://www.blogger.com/profile/09022309459554237650noreply@blogger.comtag:blogger.com,1999:blog-7733835506387656648.post-25143976856360522102010-07-19T12:10:12.821-04:002010-07-19T12:10:12.821-04:00The nice thing about living in LA is that there ar...The nice thing about living in LA is that there are lots of tax professionals who cater to people in artistic fields. And they're often reasonably priced. My husband and I visit one every year. If you live in a big city, hiring an accountant might not be as expensive as you think. Definitely ask around.Ernessa T. Carterhttps://www.blogger.com/profile/17765310225042942524noreply@blogger.comtag:blogger.com,1999:blog-7733835506387656648.post-31865066488487404402010-07-19T11:11:29.690-04:002010-07-19T11:11:29.690-04:00I'd like to recommend Self-Employed Tax Soluti...I'd like to recommend Self-Employed Tax Solutions by June Walker, a book aimed at the sole proprietor (which most writers are) that gives several examples and tips relevant to writers. I just bought it to get a better handle on my own tax situation, and found it extremely useful - I know for certain that I've already saved $200 by not having to run to a tax professional for the answer to one question! Joseph, I think the answers to your questions are in there.<br /><br />I'm glad you brought this point up, Eric. Not paying taxes on advances and royalties can land a writer in trouble very fast. I'm a writer-for-hire, and make a habit of putting 50% of all payments received from clients straight into my savings account, to cover taxes and charitable giving. Any excess is a useful "bonus" for me at the beginning of the year. It's a very hard thing to do, but worth it.Anonymoushttps://www.blogger.com/profile/07338002014574933192noreply@blogger.comtag:blogger.com,1999:blog-7733835506387656648.post-61906414589205686162010-07-19T10:38:47.233-04:002010-07-19T10:38:47.233-04:00Very informative. Thank you, Eric.
Pointing out t...Very informative. Thank you, Eric.<br /><br />Pointing out that employment elsewhere changes the filing status is something I never thought of before. I had just separated it in my mind, salary over here taxed at x% and advances/royalties over here taxed at y%. But it will cause the "do you have a second job that makes more than [whatever it is this year] a year" to get checked. I wonder what impact that has on the self-employment tax percentage. Do you know?<br /><br />As for me, I have a separate bank account set up for advances/royalties so I can keep the money separate. I think it makes accounting easier. (And of course, when I make bazillions of dollars, I wouldn't all my money in one bank. :)<br /><br />I have a friend who is a professional comic book artist. The man is the king of the deduction. It's staggering the things he can justify as work related.Joseph L. Selbyhttps://www.blogger.com/profile/16629531390894108695noreply@blogger.com