Welcome to our community of massage, bodywork and reflexology practitioners. Therapists, if it's been more than two weeks, it's time for your massage.
My boss suggested that I have some extra money taken out of my regular employee paycheck to set aside for taxes for my massage time. I'm not even sure how much to set aside.
Do you guys always end up owing at the end of the year?
Do you file jointly if married, or is it best to file single?
Before I was licensed I was paid a higher hourly rate for my massage time. Now I'm nervous that I will be making even less money than before.
mthomas75 wrote:I should have worded that differently. Before I had my license, I was paid $X for my chiro assisting hours, and a higher rate per hour when I was giving massages. I was considered a full time employee, but was compensated at a higher rate for my massage services.
mthomas75 wrote:Higher. I will be making more as an IC.
Texas-gal wrote:I wrote this a while back. I would suggest when you get a few hundred dollars, setting up on Quick Books Pro. It will make your life a lot easier!
- For receipts: 12 small brown envelopes so there was a Jan./Feb., etc. ... along the way, I would tally up a paper which was formatted like the following for each month's receipt envelope and put the cost of expenses behind whatever section I had spent $$ on (so you'd see Association Dues -- $45.00 in Jan. but maybe not in February):
PROFESSIONAL FEES & DUES
Correspondence Course Fees
Materials & Supplies
Between Jobs or Job Locations (mi)
Client Meetings (mi)
Continuing Education (mi)
Job Seeking (mi)
Out of Town Business Trips (mi)
Purchasing Job Supplies & Materials (mi)
Parking Fees ($)
Liability Insurance - Business Subscriptions
SUPPLIES & EXPENSES
Legal & Professional Services
TRAVEL OUT OF TOWN
Bus & Subway
Lodging (do not combine with meals)
Meals (do not combine with lodging)
Porter, Bell Captain
Bridge & Highway Tolls Telephone Calls (including home)
When all of that was done, I'd make up one for the final end of the year, so that all 12 months information was accumulated onto one page. I would actually tally up the expenses per item and per section and a final total for the whole year. It was a bit of an overkill, but I wanted to make sure the accountant had all the info and would not have to call me after I dropped everything off. I also color coded a lot of that stuff. The less work for him, meant the smaller cost for me.
How much money is needed to start up?
A fair estimate so you are not in a huge pinch would be somewhere in the neighborhood of ~$10,000.00 (but this highly depends on where you are and what you want to do - you would have to sit down and make your own evaluation of your pocketbook, needs and wishes).
On a serious budget, it will all depend on if you rent, if you use your home, if you pay a split fee, things like that.
Let's look at some generalized costs and then you can see where you fit in.
Office space: $900/mo. You will need first and last months rent.
Business owners insurance: $50/mo.- You'll need this if you rent space.
Flood Insurance: $350/year If you are in a flood plane.
Phones: $40 - 120/month Depending on if you use cell or straight office phones.
Supplies: $1,500 Things like - table, lotions, sheets, lamp, pens, pencils, appointment book, folders, computer program (if you use a comp), etc.
Laundry Detergent $15.00/month - hard to say on that one, I buy "Sun" detergent at Wal-mart for really cheap and it does a great job and lasts a long time, longer than a month I know... so hey, you can save a few bucks there and eat out!
Water for clients: $30/month
A few chairs for your clients to sit in: $60
Don't forget about Seminars & Licence Renewals.
And of course, you can do all of this a lot less expensive, if you just don't have the money - especially by looking at the thrift stores and whatnot.
Hope that helps.
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