Book$ about Money / A short list ♡ and some guiding ideas

If you wish to see the list only, scroll down. :)

First, I wished to share some thoughts about books on money….

I love when people ask me about good books on money! And then immediately get confounded … for 2 reasons.

1 - Because most of the books I read are a bit older, and I can’t fully remember if they feel modern enough now. (I stopped reading books on this topic, once I got enough knowledge, and found my own good relationship with money.) I’m sure there are great ones out that that I just don’t know about!

2 - Most importantly, because it really depends on what you’re looking for! There are so many aspects to working with money! I can answer this best when we have a little conversation first. (In fact, feel free to hit me up for a free 20 min Zoom chat.)

The best books on money, are the ones where: you like the tone, it gives you the knowledge you’re seeking, and motivates you to make some changes! Avoid books that feel too daunting, make you feel behind, or that you’re doing something wrong. Or define a protocol that feels too strict.

Below is a list of money topics.

I list them out, to offer you as menu, in case you’re still figuring out what you want to learn.

Also, I wish to point out that … there are many ways to “be good” with money. Though in our society, women have been steered to only one corner of this skill set: budgeting, saving money, being thrifty, paying off debt. Here are more ways to be good with money, that might get you a bigger bang for the buck!: earning more, feeling worthy and empowered, building wealth, being literate with our money systems.

These are the most common topics people are asking about:

  • How to control or direct your spending (budgeting)

  • Ways to save more

  • How to get out of debt

  • Investing, growing wealth

  • Retirement

  • Adulting money skills, building some basic money literacy and know-how

  • Basic bookkeeping and accounting for business

I would love to get these topics on people’s radar too:

  • Get fired up to earn more ~ how to feel worthy

  • Learn what your thriving life costs, and put a price on it

  • How to earn more

    • If you work for yourself, design your rates to earn enough+, If you have an employee job, find a way to ask for more

  • How our money system is a bit whack, and you’re great!, but it’s still good to know how to play the game

  • How your taxes work, so you can factor them into plans

  • Feeling better about money, building a more peaceful relationship, being empowered

  • How to work with people in the Finance world (financial advisor, accountant, etc.)

List of Money Books

I wish I had more modern books to offer you! If you find any that you love, please let me know.

Feminism and building wealth

I haven’t read these, but this is where I’d start today

Financial Feminist: Overcome the Patriarchy's Bullsh*t to Master Your Money and Build a Life You Love
Tory Dunlap

Perhaps heck out Suze Orman books

All-around Money Skills ~ Getting out of debt and building wealth

#7-Figure Net Worth: Modern Wealth Blueprint for Black Americans
by Brielle Mabrey

Your Money or Your Life: Transforming Your Relationship with Money and Achieving Financial Independence
by Joe Dominguez and Monique Tilford
This is an oldie, but goodie. Though the program is kinda strict.

Adulting Money Skills with a Narrative

I Survived Capitalism and All I Got Was This Lousy T-Shirt: Everything I Wish I Never Had to Learn About Money
by Madeline Pendleton

Charging enough if you’re self-employed

Sections of these books cover how to charge more.
If you follow this guidance, it’ll pay for the book in no time!

Unstuck: Method + Magic for Stepping Into your Worth
by Roxie Jane Hunt

How to Become Self-Employed in Seattle: A Guidebook, Companion, and Reference
by Jenny MacLeod (yours truly!)

Working with money if you’re self-employed

Accounting Made Simple:  Accounting Explained in 100 Pages or Less
by Mike Piper

Profit First: Transform Your Business from a Cash-Eating Monster to a Money-Making Machine
by Mike Michalowicz
This book is overpromises (it could have been an article)…however, it’s got some great strategies around using bank accounts.

Feeling better about working with money

The Soul of Money: Transforming your Relationship with Money and Life
by Lynne Twist

Thank you for reading! I’d love to hear which books you found helpful, whether from this list, or beyond. Good luck in your journey! And way to go for building up your money skills! I think it’s one of the most beautiful, simple, radical acts as a Feminist!

♡ Jenny

Estimated Quarterly Payments (EQ$) to the IRS / Just the Basics

The WHY behind EQ$

The IRS is a Pay-as-You-Go tax system. We're required to send in 4 estimated payments throughout the year ... then, it's True Up time when we actually file our taxes. If we overpaid, we'll get a refund. If we underpaid, we'll owe more. 

Good news!

  • Once you know what you’re doing … it only takes about 5 minutes!

  • It can feel really satisfying, like you’re a BOSS of your business.

  • It makes Filing Taxes in April a lot nicer.

A Few Quick Facts about Sending in EQ$

  • When we send in an EQ$, it’s simply sending in money. It’s not filing taxes. There are no numbers to report. We just send money and make sure it’s attached to our name and tax ID.

  • If sending by check, there’s just a small voucher. If online, just a few fields to fill out to verify your identity.

  • You can send payments online, or via snail mail. Click here to read more.

  • IMPORTANT - if sending payments online, see note below.

  • It's fine to use your SSN with these payments. (Even if you have an EIN.)

  • The Due Dates are not even!  (Weird, right?)

DUE Dates

April 15
June 15
September 15
January 15

Note - When these dates fall on the weekend or holiday, they will shift to the following business day.

To Send in or Not Send In….

  • If total tax for the year (related to your biz profit) is $2000 or less, then the IRS says that we do NOT need to send in payments.

  • If total tax for the year (related to your biz profit) is $2000 or more ... we're required to send in payments.

  • If we send in partial payments, or none at all, we might have to pay a penalty. Usually these are a few hundred dollars or less.

How Much to Send

The IRS offers a complex way to calculate your EQ$. I offer simpler alternatives. Three different methods to choose from. Click here for the NEW worksheet with instructions.

IMPORTANT NOTE / If Paying Online

IF you pay online, and use a 3rd party, be sure to choose "Personal Taxes"
Why? Because your business does NOT pay taxes, you pay personal taxes on the income you earned through your business....

 

Well those are all the basics on EQ$. It might feel intimidating at first … but it really gets easier over time!

Finding Your IRS Numbers - Notes and FAQs

This is a brand new post … I’ll keep adding to it throughout March 2023


Some General Notes

  1. The IRS taxes you on profit.

  2. To formula to finding this is: GROSS SALES - Biz EXPENSES = PROFIT

  3. To show this work, the IRS asks us to fill out a Schedule C, a type of “Profit or Loss Form”.

  4. The Schedule C is only 2 pages, and not that hard!

  5. In reality, we don’t fill out the form … if we file ourselves, we’ll enter the numbers into software or a website (like TurboTax, FreeTax, H&R Block).
    OR, we’ll give our numbers to our tax preparer.

  6. The Schedule C gets added to your personal IRS taxes. You don’t have to do a separate tax return. (Isn’t that great?)

  7. Did you know … your business doesn’t pay any IRS taxes? You are paying personal taxes … on the money you earned from your business.

  8. When you are self-employed, you’ll be paying 2 types of tax. Income tax (what you’ve been paying your whole life) and Self-Employment tax.

  9. Business deductions, write-offs, business expenses - all mean the same thing.

What can I write-off? / What can I claim? / What is a business expense or deduction?

Almost everything you spend on your business - can be a deduction. It’s just a matter of what amount, and what category. The IRS uses the phrase, “ordinary and necessary”.

Quote from the IRS:

“To be deductible, a business expense must be both ordinary and necessary. An ordinary expense is one that is common and accepted in your industry. A necessary expense is one that is helpful and appropriate for your trade or business. An expense does not have to be indispensable to be considered necessary.”

What about something that is part for business, party for personal … like my cell phone, or my laptop?

These are referred to as Shared Use items. The basic strategy is to calculate - or decide - on what percentage is for business, and claim that amount. The default is 50/50, though you can split them other ways as well.

So, if you buy a new computer for $1800, and claim 50% for business, you would claim $900 as a business expense.

Let’s say your phone bill is split between your business, personal, and 2 other people. You could say that 25% is for business. Then take 25% of the total phone bill for the year as a deduction.

Does it matter what category I put things in?

Sorta no, sorta yes.
As long as you claim things only one time, you’re generally fine. The category doesn’t change the taxable amount. And if you’re paying the right amount of tax, you’re good.

Putting things in the reasonable categories does help though! Part of the risk factor for getting audited - is - do these expenses line up for this type of work.

What if I don’t see a category that fits?

You can either pick the closest category, that might make sense.
OR, make an “Other” category, and give it a label.

For example, I have checking account fees, for $84 a year. I could maybe put it into the “Office” category, though it’d be a stretch. So instead, I put it into “Other - Bank Fees”.

How do I handle mileage?

answer coming soon

What about a home office deduction?

Sometimes you can take a deduction for your Home Office. Additionally, you can deduct furniture and items used in your office. (Note, very often, the home office deduction doesn’t add up to that much. The simplified method generally yields a savings of $100 - $300 when all said and done.)

 A – Home Office Deduction.

First, check to see if you meet the criteria:

  • Used exclusively for business – meaning no other activities take place there

  • Used on a regular basis

  • For the purpose of making a profit

  • Principle place of business

If yes, there are two methods:

Simplified Method: Calculate the square footage of your home office. Add this number when filing (with software or accountant.) Generally, you’ll get $5 per square foot as a deduction.

Actual Expenses Method: This is complex, and beyond my scope. The basic idea is that you calculate the percentage of your home that is your office. Say it’s 8%. Then, you add up all home expenses – mortgage/rent, utilities, insurance, etc. – then take 8% of those costs. I think.

 B - Furniture and items

All or most things you buy for your office can be deducted – like chairs, rug, couch, artwork.

What do I do with the 1099 forms I received? What’s a 1099-NEC? And 1099-K?

1099 forms are a family of forms that track - whenever we get paid. There are different suffixes, here are some examples:

  • 1099-INT … interest you earned from a bank or investment

  • 1099-DIV … dividends you earned

  • 1099-NEC … income from “Non-employee compensation”

  • 1099-MISC … income from “Miscellaneous source”.

These are the forms you get PAYERS, and are straightforward to work with.

  • 1099-NEC (non-employee compensation)

  • 1099-MISC (miscellaneous)

These might come from businesses that hired you, programs you’ve contracted with, insurance companies, people you supervise. You’ll need to input all the data from these forms into the tax software, or give to your accountant. These count as part of tallying up your gross sales.

You may also get 1099-Ks, these come from payment PROCESSORS:

You might get these from Square, Stripe, Venmo, PayPal, etc. These are a little trickier, as the amount reflected in the 1099-K may overlap with other income. Be sure to get guidance on how to enter these when filing.

What if I didn’t receive a 1099 form?

Short answer: You still report the income, whether or not you received the form.

Longer answer: Ask the person/business if they sent one. Or look up on online. If they submitted one to the IRS, it can be a problem if you don’t report it. If they did NOT submit one, you’re in the clear. It’s the responsibility of the Payer to complete the form….

Accountants + Tax Help for Therapists

Hey there,

Here’s a list of Accountants and Financial folks especially collected for therapists. Most of these names come from Bethany Bylsma of the famed + super fun Therapy Godmothers. Friends of mine, offering all types of support for therapists setting up, or running, a private practice.

Also, hey, would you like to learn more about IRS taxes - either to file yourself. Or, to help you work with an accountant in a more empowered way? Check out Taxes + Snaxes, with Yours Truly as a Guest Presenter. Online or in-person workshops (in Seattle).

:) Jenny

Heard
Offering wholistic services - with accounting and bookkeeping combined
joinheard.com/pricing

MaClean Wealth
Retirement and Income Planning
macleanwealthplanning.com/team

TLDR
Extra support for new therapists
tldraccounting.com/accounting-for-therapists/

Nth Degree CPAS
Taxes and help with cash flow 
nthdegreecpas.com/

+
Wise Mind Financial
Money Coaching, by a trained therapist
wisemindfinancial.com

Do you know any great Accountants or Bookkeepers?

This is a great question. Also, it is the #1 question I receive through email … so I decided to keep a full answer here for you - that I can update regularly.

Short answer - yes! I know some amazing folks.
Longer answer - they are often booked! So I’ve keeping a list of both people I know, and names I’ve heard of.

(I’m always on the lookout for more awesome people in the Financial world, so if you find any, please let me know.)

Additionally, here are some general tips:

  • If none of these work out, ask all your friends and family … and get a list of names.

  • Try to meet at least 3 - for some type of initial consult. You will learn a little bit each time, and you’ll get a sense of the various communication styles. And what you like and don’t like.

  • Keep in mind - this is an equal power situation. You are the client, you’re an expert on your biz and your personality and work style. They are the expert of filing taxes and numbers. Be sure it feels good to talk with them and work with them.

  • If you want someone who will teach you things, ask them specifically if they like explaining how taxes and bookkeeping work.

  • For Accountants, be sure to ask if they file city and state taxes too! Many accountants do not.

Note: If you’re a Therapist - please see this list, specially collected for you.

/ / / / /


Patty Kelley, CPA and Katherine Griswold, MBA
portumbooks.com
Taking new clients, focus on small business. Offering full bookkeeping services, preparing documents for taxes, consulting, Quickbooks advising, and more!

Luke and Amy Weissgarber
ltwcpa.com/
Based in Bothell, just moved up from Texas. Recommended by trusted CPA, actively looking for clients.

Valerie Moseley, CPA
valeriemoseleycpa.com
Available for consults: self-employed, S-corps, interesting tax situations, etc.
Limited openings for perfect-fit clients

Jocelyn Muhl, CPA
northseattleaccountant.com
Accounting services include time for questions
Available for consults, and perfect-fit clients

Lindsey Gaughn, CPA
gaughanlindsey@gmail.com
Available for consults, bookkeeping and accounting services
Email to get in touch

Hipster Money / Alexandra Perwin, CPA
hipstermoney.com
Usually booked … sometimes available for consults, new clients who are perfect-fit

Clear Sky Money Matters / Emily Zillig
emilyzillig.com
Bookkeeping, money coaching

Sadie Frederick / Bookkeeper
sadieaccounts.com
Specializing in small Seattle nonprofit clients (also a long-time client of mine)

Something Different Accounting
https://www.sdacct.com
Loved their ad and vibe on Facebook

Courtney McNeff
freetracaccounting.com/our-team/
Recommended on Facebook, by self-employed friend. Sr. Accountant and Owner of Freetrac Services, LLC.

Justin Bourn, CPA
wzbcpa.com/team/justin-a-bourn/
A client said he’s friendly and easy to work with. Now the co-owner of this company. I hope to meet him some time.

Heather Lowrey
Wisemindfinancial.com
Money coach and bookkeeper. Has worked a ton with therapists, also is a therapist. I met her briefly, very friendly. She might have people to recommend.

♥

Good luck with your search! … and please do let me know if you find any great people to add to this list.
Jenny Girl Friday

PPP Loan - Info + FAQs 2021

**This is an On-Going Blog Post - and will be updated as new information is discovered.**

Apply for a PPP Loan!
... as soon as you can.
Ideally this week.

Because it is 100% forgivable,
if you do a little paperwork.
The value is 2.5 x your average monthly profit.
The program was designed with you in mind

♥

Read on for FAQs ... and please let me know if you get one! ...or what happens.

Check out this Info Sheet > > >

Includes a chart for keeping track of your Paycheck Schedule. Recommend printing back-to-back if possible. Click on either image to get the 2 page PDF.

The Basics

PPP = Paycheck Protection Program
It is part of the federal relief efforts, through the Small Business Administration.

Although we technically don't have Payroll (as a sole proprietor or single-member LLC) ... we're still invited to apply! We are still allowed to get help. For us, it's considered "owner recompensation".

> > The first step is to get in touch with your bank or credit union.

> New application deadline: May 31, 2021

> You will apply for the Funds through them.

> You'll receive the Funds.

> Then, later, you'll apply for the "Forgiveness" with the bank's help.

> When asked how many employees are in your business, some banks will instruct you to say 0 and others will ask you to say 1. Check with them! (Technically, you're the owner, not an employee. But some banks need a number 1 in there for the formula.)

> The only form you should need ... is your 1040 Tax Return from 2019 ... with your Schedule C - this will show what your business profit was. (Which equals your "payroll".) If you see request for other forms, ask the bank!

FAQs

Who can apply?
Anyone who owns a business, including self-employed folks. Even though sole proprietors and single-member LLCs don't technically have a "payroll", we are still allowed. The rules have been extended so that our profit = payroll.

What is the basic overview?
You apply through your bank ... who goes to the SBA to get the funds. Once the funds arrive, the bank may ask for more documents from you. Use the money to "pay yourself". Then, follow your bank's instructions for the Forgiveness Application. Once you pass that process, you do not have to pay it back.

What paperwork is required?
Usually, an online application through your bank. Then, submitting your 1040 Tax Form from 2019. It's possible some banks will take a Profit and Loss Statement from 2020. Then, the Forgiveness Application - I don't know what is on there, but I've read that it is simplified this round.

I tried before, but didn't get it ... is it worth it this time?
This time, more money has been allocated ... it is way more likely that you can secure the funds this time.

I work seasonally, is there anything I can do to boost my loan amount? (The formulas don’t reflect what was truly lost.)
Yes! Some banks have special steps for seasonal workers. Ask someone at your bank or credit union about this. One reader was able to apply as a seasonal work and received about $7000 instead of $4000 (with the classic application).

I have an EIDL loan ... is that an issue?
Yes and no. As far as I understand it - If you used EIDL loan to pay yourself a regular paycheck, then this will count against how much money you can get from the PPP ... but you can still get the PPP! You can use the PPP funds to pay off your EIDL loan (which is not forgiven). Also, if you used your EIDL loan for other things - like rent or business bills - you can get the full PPP loan for your "payroll". Again, ask your bank!

Hmm ... I feel like other businesses need it more than me ... wouldn't I be taking money away from them?
We all need support. If you get the PPP funds, and pay yourself, you can ensure that you'll remain a stable and secure part of our economic system and community. Plus, you can use your personal funds to support the small businesses you wish to support! And/or donate to causes you care about.

My business has been steady, so maybe I don't need it. Do you have thoughts around that?
Yes! Many people I know (including Yours Truly) have been able to continually work ... but it's been exhausting, and some of us are starting to hit a wall. If we hit a wall, then our businesses come to a total standstill - without sick pay or disability insurance. The PPP funds can allow you to throttle back a bit, if you've been working steadily. Also, keep in mind, the spirit of this is to "protect" your payroll. Who knows what will happen in the next 6 - 12 months. I, for one, could use some security moving forward.

I got the first round of PPP ... can I apply again?
Yes, you can apply again ... with some extra paperwork. You'll need to demonstrate a 25% drop in income ... for a particular month. For example, if you can show you made $4000 in February of 2019 ... then, only $3000 in Feb of 2020, that would suffice. Again, ask your bank!

I heard about the Special Window to apply, where women or minority-owned business are getting additional funds … What if I already received the PPP loan, can I get these additional funds?
Sorry, at this time, there is no retroactive pay available. Keep asking at your bank, in case this changes.

Do I have to space out the paychecks to myself? Or, can I take the money all at once?
It's possible you can take it all at once. I've been seeing the term Owner Compensation Replacement - referring to this idea. Ask you bank or credit union if this applies to you.

What is the best way to handle the funds, to get the forgiveness?
Put all of the loan funds into a separate Savings or Checking account. Open a new one if you need to. Then, choose a schedule to "Pay" yourself - by transferring your "paycheck" to a personal account. OR, write yourself a check. It's very important that the "paycheck" goes into your personal account. What we're trying to avoid, is using the PPP monies for other costs. Use the chart above to keep track.

What am I allowed to spend the money on?
You must use 60-100% of the PPP money for "payroll" costs. There are a few other approved things - benefits, rent, utilities, operational. Ask your bank.

Am I allowed to use it to pay taxes?
If you are a sole prop or single member LLC ... technically, you, as a person pay taxes (not your business). So, after you give yourself a Paycheck (into your personal account), you can send in IRS estimated taxes from those monies. Having said that, you may NOT use them for city or state taxes - those are taxes your business pays.

I work by myself, I thought Self-Employed people didn't get Paychecks or have Payroll.
You are absolutely correct! Technically, we have profit or an owner draw. Having said that, the PPP Loan is including us, and equating our "profit" with our "payroll".

What happens if it’s not forgiven?
It stays a loan with a 1% interest rate. I think you may also defer payments, but am not totally sure about that yet.

What if I’m too worried about not getting forgiven … so it makes me not want to apply, because that would be way to stressful?
Suggestion, get the loan, go through the steps of paying yourself AND save all in Personal Savings. Apply for Forgivess asap, if you get it, cool! Keep the money. If you don’t get forgiveness, then you can pay it back. It would have been a hassle, I get it …but know this, they want us to have the money to stay employed and to stimulate the economy. So, they’re trying to make it as easy as possible for us.

Want to talk to a real person about this?
Scott Kim is at Verity Credit Union ... and helped one of my clients, Dr. Annie Roepke, a resiliency expert, go through the process. He shared that he's willing to be a resource to NON-Verity Members. I'll be reaching out to him this week.
What?! Amazing!


♥ Scott Kim,
Community Branch Manager at Beacon Hill
scott.kim@veritycu.com
206.641-2864

Bottom Line

This program was created with you in mind!
It is here to support small businesses through the rocky waters of the pandemic, and post-pandemic world.

Get help! Help is available!

For a few hours of paperwork and research, you can receive 2.5x $$ what you earn in a month ... to keep for Free.
Please do let me know if works for you! I'd love to hear how many readers do this. All the best and luck to you!

Good luck to you,

Jenny Girl Friday

P.S. I work for tips! If you this article helped you in any way, please consider leaving a tip in the TIP JAR. Thanks! :)