Taxes seem to be an area that really scare a lot of side hustlers. But you don’t need to worry about taxes, what you need to do is simple - hire a CPA. If you don’t hire a CPA then you absolutely should worry about screwing up your taxes because there is a lot of room for error and those errors could be life threatening to your company. Think of taxes as a life threatening thing for your side business, if you had a life threatening illness or injury you would go to the doctor. In the same way taxes can turn into a nightmare that will ruin your business if you don’t have a great CPA. Screwing up on your taxes is an unforced error though, you don’t have to run into tax trouble, you can simply hire the right professional.
Typically we are looking for ways to save precious cash in the early days of a side hustle, but this is not an area where we would try to pinch pennies. Just to give you some idea of the different possible taxes that could be relevant for your side business, you could potentially owe:
There are just too many ways to screw this up! So there are a couple of ways to find a good CPA:
Focus on growing your side business and perfecting your product or service and let a professional help you stay compliant with your taxes. If you have any questions about finding a CPA or if the one you have is good enough, let us know!
Here at Side Hustle University we serve as a course guide that is focused on encouraging you to create your own side hustle. We are committed to giving you the best opportunity to identify, shape, and build your business from the ground up. We encourage you to check out our website to learn more about how you can become the side hustler you've always wanted to!