FROM THE DESK, MIND AND HEART OF JEFF HODGES
Hey Everybody,
It’s great to be back. I really missed my time together with all of you last week. I hope you have all had a wonderful and prosperous week and that you are realizing all your hopes and dreams. If you want it and believe that you can have it then you can. Just remember the three steps to having everything you want in life; Ask, Believe and Receive !!! It’s a simple but highly effective method of living your life. Those of you that live your life by the Law of Attraction already know what I’m talking about. Those of you that are not need to start applying it. I would like to welcome back all my long standing readers and welcome aboard all my new ones. As always, if you have missed an edition or are a new reader and want to read previous editions, all you have to do is go to either…..
http://www.letmemakeyousuccessful.com/links.html (bottom left corner of the page)
OR
http://www.jeffhodges.blogspot.com
********************* Success University *********************
Let me ask you something. Why would ANYBODY get up before they wanted to so they could go somewhere they didn’t want to go to do something they didn’t want to do ??? The answers is BECAUSE THEY HAVE TO !!! But there is a cure for that particular illness. It’s called having your own business and calling all your own shots. I do it everyday and you can too. A little over a year ago I joined Success University and just this past October I parked that tractor trailer that had me prisoner for the last time. I have to tell you, it was a GREAT feeling !!! If you haven’t found that freedom in your life then you need to find it and it is no further away than Success University. Do yourself a favor for life. Go check it out at…
http://www.jhodges1.successuniversity.com
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Well, it’s that time again Boys and Girls !!! Time to play with our favorite uncle….. Uncle Sam. Yes, the time of the year that we all look forward to and cherish every moment of. The thing is, when you are a Small Business owner you have an even more intimate relationship with your favorite uncle than most others do. It’s not that you’re cheap but you just don’t want to have to give him any more than you absolutely have too. I have spent a little time on-line poking around and I’ve put together a list of twelve of the more important Small Business tax tips.
DISCLAIMER: I am NOT a tax professional of any sort !!! This information is information that I found on the internet while doing research on the subject. It is very general in it’s description and you should consult a tax professional for a complete description of all these tips in regards to their use and your qualification to use them.
1) Home Office: The important thing to remember here is that you use the term "home office" the same way the IRS does. The tax agency says it must be a space devoted to your business and absolutely nothing else. Deducting the den where you keep the family computer which also serves as a guest bedroom won't fly with Uncle Sam. The deduction, however, isn't limited to a full room. Your home office can be part of a room. In order to determine just how much of the space is deductible you will need to measure your work area and divide by the square footage of your home. That percentage is the fraction of your home-related business expenses -- rent, mortgage, insurance, electricity, etc.-- that you can claim.
2) Office Supplies: Even if you don't take the home-office deduction, you can deduct the business supplies you buy. Hang onto those receipts, because these expenditures will offset your taxable business income. This includes everything from the ink cartridges to the postage stamps.
3) Furniture: When you purchase office furniture you have another tax-cutting opportunity. Office furniture purchases provide you with a couple of choices. Deduct 100 percent of the cost in the year of the purchase or deduct a portion of the expense over seven years. This is also known as depreciation.
4) Other Equipment: Items such as computers, copiers, fax machines and scanners are also a good source of acceptable tax deductions. As with furniture, you can take 100 percent up front or depreciate it, this time over five years.
5) Software and Subscriptions: Off-the-shelf software and industry related magazine subscriptions are fully deductible. Also, you can use the full price for the year purchased as opposed to having to depreciate them.
6) Mileage: At the end of the year, you have two choices. You can total the mileage and add in the tolls and parking to calculate your deduction. Once you have your mileage total, multiply it by the allowable mileage rate. Or you can measure your business usage against your personal driving and deduct that portion of your auto-related expenses. Remember to include gas, repairs and insurance. If you are leasing, include those payments. If you buying the car, factor in the interest on your loan and depreciation on your vehicle.
And if your company's office is at your house you can deduct the entire business-related mileage, from the minute you pull out of the driveway until you return home.
7) Travel, Meals, Entertainment and Gifts: Be sure and hang onto your travel expense receipts because the entire cost of the trip is tax deductible as long as the expenses are costs associated with life on the road (dry cleaning, rental cars and tipping the bellboy). The only exception is eating out. You can deduct only 50 percent of your meals while traveling. Likewise, the 50 percent rule applies to client entertainment except in the case of a gift which is completely tax deductible up to a certain limit.
8) Insurance Premiums: Self-employed health insurance premium costs are 100 percent deductible. This break primarily benefits proprietorships, but there are limits. The deduction can't be more than your business' net profit. And it's not allowed if you were eligible for other health care coverage, including that offered by your employed spouse's medical plan. You also can include some of the premiums you pay for long-term care insurance for yourself, your spouse or dependents. Do your homework on this tip folks !!!
9) Retirement Contributions: Are you self-employed and saving for your own retirement with a SEP-IRA or Keogh? Don't forget that these are tax deductible and that you need to deduct your contribution on your personal income tax return.
10) Social Security: If you're self-employed or starting a small business, you have to pay double the Social Security contributions you would as an employee. That's because federal law requires the employer pay half and the employee pay half. Self-employed workers are both. However, You can deduct half of the contribution on your 1040.
11) Telephone Charges: As a small business owner, 100 percent of all your business calls are deductible even when calling from home. Now, since most all homes have a phone anyway, regular fees and charges don't count toward your deduction. But if you have a second line installed and use it only for business, all of these charges are deductible.
12) Child Labor: There is no Social Security tax when you hire your child who is 17 or younger and you can deduct the salary as a business expense. This break is available, however, only if you operate as a sole proprietor or as a partnership in which you and your spouse are the only partners. If your business runs as a corporation, then it, not you, are considered the employer and the corporation is not relieved of the tax liabilities.
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“Let us never forget that government is ourselves and not an alien power over us. The ultimate rulers of our democracy are not a President and senators and congressmen and government officials, but the voters of this country.”
- Franklin D. Roosevelt
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I know that I spend a lot of time on the subject of Mindset and our thought processes but there is a very valid reason for that. Your mind controls every other aspect of your life. It decides if you are going to eat healthy or eat junk. It decides if you are going to drive recklessly or be safe. It decides if you are going to be a good parent and play an active role in your children’s lives or if you are going to just let them fend for themselves. And, it decides if you are going to KEEP ON KEEPING ON when the going gets tuff (and it WILL) in your business sometimes.
You know, if you don’t have perseverance then it doesn’t matter what other great qualities you have. You can have all the knowledge that there is to attain in the industry you work in. You can have the top-of-the-line product in your industry. You can have any and every advantage you can think of but if you don’t have perseverance then you are doomed !!! Now, why would I say such a thing.
I say it for this reason. No business has ever went from concept to all out success without going through some growing pains. The difference between the ones that made it through those growing pains and the ones that fell by the wayside is that the ones that made it had perseverance. They had that GET UP AND BRUSH THE DIRT OFF THEIR KNEES mentality. They looked their adversities in the eye and screamed, “IS THAT ALL YOU GOT ???”
I’m reminded of a fly. Just think about all of the qualities that a fly has and what is the one that comes mainly to mind? Well, have you ever tried to get rid of a fly? Have you ever successfully talked a fly into leaving you alone? Have you ever successfully discouraged a fly in any manner? Seriously, a fly gets on a mission and determines that SUCCESS is the only possible scenario. Even under the threat and possibility of DEATH the fly persists and persists, unyielding in it’s methods. Let’s look at Webster’s definition of perseverance:
Perseverance: steady persistence in a course of action, a purpose, a state, etc., esp. in spite of difficulties, obstacles, or discouragement.
Now, read that definition and tell me that there shouldn’t be a picture of a fly next to it !!! Ladies and Gentlemen, it has been said that getting from one mountain top to another involves traveling through a valley and that is quite obviously true. It’s easy to fall from one and often times a difficult climb to the top of the other. So, the next time you are in that valley and staring up at the next mountain top that you are tying to reach just pray a little prayer and ask for the perseverance of a fly !!!
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“Life is not easy for any of us. But what of that? We must have perseverance and above all confidence in ourselves. We must believe that we are gifted for something, and that this thing, at whatever cost, must be attained.”
- Marie Curie
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I have got to tell you that it feels so good to be doing what I love so much on a Sunday Night again !!! It felt like a part of me was missing when I didn’t get to hang out with all of you last week. With the help of the Good Lord that won’t happen again. Don’t forget, if there are any subjects that you would like me to cover or maybe you have a specific question that needs answering and the rest of the readers could benefit from that answer too, don’t hesitate to email me and let me know. Take care of yourselves everyone and until we get the chance to do this again next week by the Grace of God, just remember to always……
JUST SAY “NO” TO NEGATIVITY !!!
Sincerely,
Jeff Hodges
JeffreyHodges@thedreameffect.com
http://www.thedreameffect.com
http://www.letmemakeyousuccessful.com
http://www.jhodges1.successuniversity.com
http://www.jeffhodges.blogspot.com
270-320-1324
Skype ID : jeffhodges1
