How do you manage your Income from bulk vending?

[BanderSnatch]

I'm relatively new.

I have been doing it for like 8 months, w/no license etc..

now I went legit, & got my license.

in the passed, I would just subtract my 2 expenses from the gross total of each coin bag & than the rest was profit.

i.e. if I go to Mike's burgers & my machines made $300, if $100 was the cost of my toys, & $100 is what I owe mikes burgers. Than I'd have $100 profit, & I can walk around town feeling safe to spend that $100.

Now that I'm legitimate, it's more complicated & i'm confused.

I have my business bank account & recently bought quick books.

I know I owe sales tax on everything that is taxable.

Can you guys help me figure this out?

How many sales tax's do I need to pay? just one right? over here it's 8.75 percent sales tax. Is there also a few other sales taxes that i need to go by?

Also, I want to subtract the tax I will need to pay for Self employment- Medicare & social security, plus State & Federal taxes.

I want to some how put that money aside, so I dont' spend it. And than what ever is left over after that, I will feel safe spending.

I don't want to spend my money, w/out saving what I owe to the tax people.

hope I make sense.

kinda like when you are working at a company, they do all that for you. Your check is whats left over, after paying everyone.

I want to arrange my income similar to that, so I'm not spending what I owe in taxes.

thanks guys!

[alyssamma]

Bander, you asked a similiar question in another thread and got some good answers:

http://www.vendiscuss.com/forums/view_topic.php?id=3759&forum_id=17

Kevin

[dperry]

There's no way anybody here can or will answer your questions.  This is very much a tax question and can only be answered by your tax professional.  I do know that laws vary from state to state so what may be true for any one of us here may not be true for you simply because you reside in a different state.  None of us know what state you live in (you need to fill out your profile so we all know these things about you) so without knowing that, we can't even offer suggestions.

[lurtsman]

kinda like when you are working at a company, they do all that for you. Your check is whats left over, after paying everyone.

I like that quote. My paycheck is what is left over after everyone else was paid first.

That's why I'm buying vending machines and building my own business.