One of the most important, yet overlooked, advantages of having your own home based business is the tax advantages it affords you. IRS guidelines allow you to deduct business expenses from the revenue you generate BOTH from your new home based business AND you’re the other income you generate.Most business do not generate a net profit in their first few years. In other words, by the time the business owner pays for his office rent, start-up costs, inventory, samples, utilities, payroll, transportation expenses, inventory, insurance, etc. there is no money left over for profit. This is normal in a start-up business. The idea of course is that as the business grows it will generate a profit for the owners. But in the beginning it’s all expense and not much– if any — profit. The IRS recognizes this fact, and therefore allows the business to deduct these normal expenses from their revenue before any such revenue is considered taxable.The same rules apply to network marketing business. The best part is that many of items that the government recognizes as legitimate business expenses for your new home based business are things that you are currently spending anyway – but without getting any tax deductions. Part of you automobile expenses, a portion of your home that you use to operate your home based business, part of your utilities, “samples” of products or services that are sold by your network marketing business but that are consumed by you and your family are just a few examples of legitimate tax deductions the government allows you to take if you operate a network marketing company in which you “intend” to eventually make a profit. In the meantime, while your expenses exceed the amount of revenue you are generating from your new home based business, the tax deductions can be deducted from your regular W-2 income from your full time job.So start a network marketing business – and start paying less taxes to the government for everything else that you do. Always consult a tax professional for the details of what is legal and what may be stretching the law too far. But don’t overlook the considerable advantages every home based business owner is entitled to. This is how people make rapid cash. They get to keep more of their money from the IRS.
Is Your Investing Turning Into An Addiction?
Investing your money in worthwhile ventures and investment vehicles is a worthwhile pursuit. The desire to see your money grow and to secure your financial future is normal and encouraged in most cultures. Is investing turning into something that is out of control? Is your pursuit to leverage your savings to make more money turning into an addiction that borders on something unhealthy?
The rush of having an investment pay off is exhilarating. The adrenaline rush that you get when you cash out along with all the other emotions that go along with seeing an investment through to its conclusion can be addictive. The nervousness of your entry into the market gets your heart beating. Your nervousness as you watch your investment by the hour and then the thrill when you see your money literally growing can rival any thrill imaginable in this world.
On the other hand, there are some of us that allow investing to rule our lives. An investment pays off and we feel like a winner. When an investment doesn’t pay off we feel like a loser and we begin to chase that emotion so fiercely that sometimes thought and reason leave us and we begin down the path to addiction.
If you find yourself checking hourly on your stock or the prices of gold or any other investment that you currently have money invested in then you might have a problem. You might try to rationalize this by saying that you’re keeping an eye on your investments but you probably already have sell orders and stops in place to take care of the need to keep an eye on your position every minute of the day. Obsessing about a stock or investment shows that you’re emotionally involved and a good investor removes all emotion from the investment decision.
Do you find yourself constantly looking for an edge or tips for hot stocks? This kind of behavior is similar to what goes on at a race track, wouldn’t you agree? While searching for an good investment and being an educated investor is wise, looking for underground news or tips on what is going to happen in your chosen market are signs that something is wrong. That feverish feeling overcomes you and you simply must find a winner. You are willing to do anything. You subscribe to clubs and mailing lists to find that sure thing and you chase that rush.
Most of us have one or two investment types that we prefer. We all have a knack for picking stocks, a feel for a certain currency pair or we enjoy investing in companies that we know a little bit about. If you find yourself chasing after profit and trying many different types of investments because someone told you that they know this particular investment is going to pay off then you might have a problem. Stick to investments that you enjoy learning about. Venturing off into uncharted territory when money is at stake is an unwise investment no matter where your information came from.
Lastly, if you find yourself using money that is earmarked to pay bills or that is put aside for savings or your child’s education then there is a real problem. Stealing money from savings accounts or other investments because you lost some money on your last investment or because you feel a need to make money is a sign that there is a problem. Lying or not telling a spouse or partner about your investments and thinking that you can return the money as soon as you cash out is your investment addiction talking and no common sense.
If any of these points strike home for you then you are encouraged to take a closer look at what you are doing with your investment activity. While it is a pleasant experience to make money through investing, it should never be something that is addictive or that you chase after. There are plenty of opportunities out there in investment vehicles that you are interested in. Learning about investing can be fun but chasing after money is always a bad move in investing.
Should You Choose a Home Based Business on the Internet Or eBay?
Most people today are aware of home based businesses and eBay. Many who are new to the Internet and want to start a home business have no idea of how or where to start. This will be a beginning.Let’s start with a home based business on the Internet; what is it and what do you need to start?You need a computer, basic Internet and computer skills, self-discipline, self-motivation and a willingness to be in a constant state of learning. Technical skills are needed, but if you are lacking in that area, you must prepare to learn and keep pace with changes and advancements in Internet and information technology. The best part is you will work from the comfort of your home.On the other hand, with an eBay business you don’t need technical skills. You will need only products to sell or auction. You can also work from home.There are pros and cons with both an eBay business and a regular home business. The question is which one is a better fit for you. It all depends on you, your skill set, your personality, your motivation and ultimately what you want to accomplish with your business.Here are some tips to help you decide if you’re better suited for a regular home based business or an eBay seller:You should choose an eBay business if you:o Have absolutely no computer skills. In other words, with eBay, you don’t have to know anything about web site design, HTML, search engine optimization or any other technical skill to get started. eBay provides all the easy to use tools you need to list your items for sale and start immediatelyo Realize that with eBay, you can skip a lot of the set-up process associated with a regular home business and get started almost overnight. You only need to spend a few hours a day of work on a weekly basis and you don’t have to spend much start up moneyo Want to start generating income almost immediatelyLet’s compare it to the alternative. You should consider starting with a regular home based business if you are:o Comfortable with and know your way around a computer. Keep in mind, you don’t have to possess any computer skills but it sure helps. It will shorten the amount of time you need to spend learning how to set up and market your business. If you don’t already have a working knowledge of the computer and the Internet, you will have to put in the time to learn.o Prepared to spend a lot of time with your business in the beginning stages, unless you have a strong working knowledge of computers and the Internet.o Self-disciplined, self-motivated, and willing to work harder than you did with your former traditional job.o Prepared to live without generating income from your business for at least 2 to 3 years.Now, armed with information on both a home based business and eBay, you can make an informed decision. However, dig deeper and get as much detailed information as you can about both businesses. Then decide which one is the better fit for you, based on your research.