Have you sold your first home? Or maybe your 100th? Either way it is important to know that come January you will be filing taxes on any money you made. What we recommend is to set aside 30% of your income to cover your income taxes plus the self-employment tax.
Now for the math; the current self-employment tax rate is 15.3% (12.4% for social security + 2.9% for Medicare) for net income up to $128,400 for the year. For any net income over $128,400, you’ll pay the same 2.9% for Medicare, but you won’t have to pay the 12.4% for social security.
Now, the easy part! Having a bookkeeper on your team takes all of this off your plate. We can calculate each commission what you should save, then prepare your forms for filing taxes! Contact us to find out how we can help in your FREE CONSULTATION.