Do you feel like you were meant to have a kick-ass career as a hairstylist? Like you got into this industry to make big things happen? Maybe you’re struggling to build a solid base and want some stability. Maybe you know social media is important, but it feels like a waste of time because you weren’t seeing any results. Maybe you’ve already had some amazing success, but are craving more. Maybe you’re ready to truly enjoy the freedom and flexibility this industry has to offer. Cutting and coloring skills will only get you so far, but to build a lifelong career as a wealthy stylist, it takes business skills and a serious marketing strategy. When you’re ready to quit just working in your business and start working on it, join us here where we share real success stories from real stylists. I’m Britt Siva, social media and marketing strategist just for hairstylists, and this is the Thriving Stylist Podcast.
What is up and welcome back to the Thriving Stylist Podcast. I’m your host, Proceva, and today we’re talking all about money. How to make more of it, what to do with it when you get it, how taxes work, how to stay organized, how to not have money sneak up on you. Basically, all the money stuff that we’ve never talked about in detail here on the podcast. I think I’ve talked about all of these things here and there throughout the show, but I’ve never had a singular episode where I could say, “Just come listen to this one.” And I, I really wanted to have one where it was like, if you, if you wanted to get your financial house in order, there was a place to go. This episode is for employee stylists, salon owners, independent stylists, studio suite owners, wherever you land in that, this one is for you.
I have tips and strategies for everybody. And we’re gonna talk about specifics. So sometimes I’m gonna say, you know, this tip is just for an owner, or this tip is just for a renter, or this chip is for just an employee, and then a lot is gonna be for everybody. And we’re gonna cover a lot of ground and a lot of bases. So if at some point in this podcast I’m talking about something that feels boring or irrelevant to you, maybe f- you know, fast forward 90 seconds, but there’s such a variety of topics. It’s like if you wanna get ahold of your money, really listen in and, and take notes. The funny thing about this industry to me is that we all got into this industry to make money. Like, we’re just like lying to ourselves if we say that’s not why. I understand it’s the coolest career because you get to be creative and meet amazing people and connect with the community and seriously change lives.
Like we have such a gift that we’re able to do that professionally. But emphasis on the professionally part, like if you don’t want to make money as a hairstylist, please mark all of your services at zero dollars and just do community service. If you’re like, “Well, I don’t wanna do that. I need to make a living.” I know this episode is for you. Like you have to be business knowledgeable in order to survive in this industry. This industry has one of the highest rates of turnover and honestly, most of it boils down to lack of financial understanding. And when we aren’t financially knowledgeable, we’re not financially motivated. We do a lot of self-sacrificing. We do a lot of things that make us feel like we’re being a bigger or better person, but end up just harming ourselves in the name of making other people more comfortable.
We do a lot of emotional financial decision making. This is going to be about logical financial decision making. It doesn’t mean that you can’t give back to your clients when you want to. It doesn’t mean that it’s so wonderful that we get to serve people in this creative way for a living. Absolutely. But we all got into this industry to make a living with it. And so really understanding how the money works and having a better relationship with it is the first step in improving your own lifestyle and your own financial position. So I’m gonna start with the basics and we’re gonna get a little bit more advanced as we roll. So first of all, I wanna talk about two different words that get tossed around a lot in the industry. Revenue versus income. They are very different things. Generally speaking, there is a correlation.
If revenue goes up, income should go up. The only reason why it wouldn’t is if expenses have also gone up, which does happen sometimes. But even if expenses go up, it should be in a healthy relationship to the revenue. And so a rising tide lifts all boats when revenue increases income should also increase. That being said, there is a difference between the numbers. Revenue is what you make, like what clients pay you. So in its simplest form, all of the services that you do, the money that the clients pay you for that is revenue. If you sell retail, the amount the client pays you to buy that bottle of shampoo is revenue. If you do a bride’s hair, that check that she writes you is revenue and that Venmo that she sends you is revenue. Income is what you keep. So revenue minus expenses equals income.
And then there’s pre-tax income and post-tax income. So the deeper you go down this rabbit hole, the more complex it gets. And the same thing with profit margin. There’s pre-tax, profit margin, there’s post-tax profit margin. So you can get as nitty-gritty in the details as you want to, and we’ll talk about reporting and record keeping later. But at the simplest form, understanding the difference between revenue and income is really important. Revenue is what your clients pay you. Income is what you get to keep. Expenses are all the things you have to pay to keep your business running. Okay? So if you are an employee, your relationship with those two numbers is very different, right? Revenue is still the services that you generate. That’s the same no matter how you work. Revenue is the money that you’re producing behind your chair, always. No matter how you get paid if you’re an employee, if you’re independent, revenue stays the same.
The income is the piece that’s different and the expenses are also different. When you’re an employee, the expenses are taken care of for you. Your owner has to figure out how to pay for all those expenses, and the way in which they do that is by holding back a commission split, or paying you an hourly wage, which is a portion of what you’ve done in the services, correct? So that commission that you keep or the hourly wage that you get would be your income. And it’s your pre-tax income before it hits your paycheck. And then your paycheck does all these deductions, which we’re gonna talk about in a second. And then that little check at the bottom or that direct deposit that you get is the actual post-tax income you keep as an employee. When you are independent, it works very differently, right? You have the revenue that comes in, the expenses that you have to pay, and then there’s what’s left over.
And the, what you do with that what’s leftover is really important. So we’re gonna talk about that. Let’s talk taxes for a moment. If you are an employee, before you start working somewhere, you should fill out a W4 form. If you are an employee and you’ve not been asked to fill out a W4 red flag, all employees must have a W4 filled out. So on that W4, you choose your tax withholding amount. Your employer doesn’t choose it for you. If they’ve chosen for you, also red flag. You always choose your own. This form has changed massively. 2020 is when a new variation of it came out. If you have not filled out a W4 since pre- 2020, let me tell you, now is the time. I had my entire team fill out the form all over again because the way in which the IRS withholds taxes has changed.
There used to be a system where it was like claiming deductions. So how, how many do you claim? I claim zero. I claim four. The way that that is done is different. So there’s a great calculator. If you go to IRS.gov/individuals/tax-withholding-estimator, there’s a tool from the IRS that helps you to understand what those deductions should look like to make sure that the amount that you’re keeping monthly is as accurate as you can possibly be. If you didn’t catch that URL, if you just do a Google search for IRS tax withholding estimator, it’s gonna come up too. So let’s talk about tax refunds and tax payments. A lot of employees pray for a big refund at the end of the year. My husband and I were those people as young people. I can remember we had this other couple we were super close friends with and, you know, your W2 from the previous year comes out January of the following year and the four of us would sit down and do our taxes together and we all prayed for a big, huge refund because we would use that money to go on a giant snowboard trip.
We did that for years together. And now I look back at that like financially naive group and I’m like, “Oh my gosh, we could have done that so differently and so much smarter.” But we loved that big refund and we called it like our savings account. It was like our vacation fund every year. When you talk to financial advisors, those who get a significant refund have spent an entire year giving the government a short term loan. Like you are doing the government a favor. When you get a big tax refund at the start of the year, it’s not a good thing. It’s not a flex. It means that the entire year you paid too much in tax. The federal government and sometimes the state government, depending on what you were doing, got to use that money. And the way that in which they use it, I mean, we’re not even going to go into all of that, but there’s micro investments that are made.
They’re able to accrue revenue and make moves on that that you could have been making yourself, but you don’t get to because you were allowing them to keep it for a year, a little bit at a time, month over month, and then you took what was left almost a full year later. We can be so much smarter with that money. So getting a big refund if you’re an employee is not a flex. It’s a sign of financial mismanagement. So what you want to happen is when you file your taxes as an employee, you want to owe a little bit, like a couple hundred bucks or get a refund back that’s a little bit, but you want it to be minimal. That is not your savings account. I’ll talk to you about creating your savings account in a minute and how to make that money work for you and, and make money for you, but you don’t want to have a big fat refund.
If you’re independent, your taxes are done differently. You’ll need to make quarterly tax payments. So quarterly tax payments are required for individuals and businesses with income if they expect to owe at least $1,000 in taxes. So most of you who are renting a booth, renting a suite, our salon owners have to make quarterly tax payments, not an option. So if you plan to pay at least $1,000 in taxes, which is the vast majority, you gotta make it. And you can’t claim, I didn’t know, you can’t claim financial illiteracy, it doesn’t work. So we gotta pay it. And I’m gonna share with you in a little bit of tool that’s gonna help to make that easier for you. But let’s talk about saving for taxes for a moment. So speaking about financial management, there’s lots of different ways to organize your money. The way that has always worked best for us is the profit first method.
It was founded by Mike McCallowitz. He is a best-selling author. He spoke at Thrivers Live 2020 to all of our members. We’ve been coaching to his method for over 10 years. It works really well. It’s the way I run my business revenue. There’s several different ways to do it. What I will say is the basic way the math is shared, I do think has to be massaged a little bit for our industry because of the way it’s set up, but the principle of it is very good. So he suggests four different bank accounts, profit, tax, owners pay, and operating expenses. I suggest at least five. Now, this is for independence. So if you’re an employee, you don’t need to do this. If you’re an employee, what’s great is you just get a paycheck. It goes into your bank account. Taxes are already withheld for you, like your finances are so much easier.
When we get into the investments, you can still take some of this into account, but you don’t need to do all of these different bank accounts. If you are independent, the bank accounts I suggest are income and expenses. So income would be every time somebody makes a payment to you through whatever your credit card processor is or Venmo or however you accept payments. All of that money never goes to your personal checking account, never goes to your personal savings account. It goes to your business income account, and it all goes to one place. Not multiple accounts, one, and it is not your personal bank account. I cannot emphasize that enough. Everything goes into income. From there, we do it every other Friday. Some people do it weekly. You take the money that’s in that income account and you divide it into other accounts based on appropriate allocation, which we’ll get to in a moment.
The other accounts that I like, stylists and salon owners to use are expenses, tax, profit, and paycheck. If you’re a salon leader, I also advise having an account called Team, which is where you fund your payroll. So in my business, we have team, expenses, tax, profit, marketing. Profit is not salon owner’s income. Instead, you would want your income as the salon owner to be determined by a great financial advisor or a CPA. That’s my best advice, but most will tell you that the owner of the business should make a reasonable paycheck, whatever that looks like. And, you know, we could get into, like, S Corp versus LLC and all that kind of stuff. That’s a different podcast for another day. We’ve actually talked about that. If you search Thriving Stylist Podcast, LLC or Thriving Stylist Podcast S Corp, you can see when we’ve talked about that before, but you wanna make a reasonable paycheck.
That’s not the same as the profit account. The profit account is the extra money that the business hopefully keeps every single month that can be used for unexpected expenses. In my business, it’s used to give my team bonuses at the end of the year. When we host our live events, one day this will change. When we’ve hosted our live events, we’ve never hosted one that’s profitable. They always cost us more. So we always end up in debt with our live events, but we’re able to use the profit in the business to pay for them. So profit is, generally speaking, in a healthy business, used to fund the business so that it continues to grow and thrive forward. It’s different than owner’s compensation, not the same thing. Okay? So how much do you fund into each account? That is definitely gonna change for every business. So in Mike McCalla, which is book Profit First, he says, 5% of revenue goes to profit, 5%, 15% tax.
I think that’s low, but we’ll talk about that in a moment. Owners pay 50%. I think that’s incredibly high. That would be for an owner who does not have any employees like a sole proprietor. But when we look at booth renters, it’s really only very high producing booth renters that are making a 50% profit margin. Most booth renters are not breaking $100,000 a year in services. So when I say most, I’m talking about somebody who’s not making six figures yet in services. Most who are under six figures in services who rent a booth are not pulling a 50% profit margin. Some are. Abs- freaking lowly some are, but it’s getting increasingly harder. So when he says 50% owners pay, it’s just becoming a lot more challenging, especially if we’re trying to put 5% in profit. So that, I think it’s a little bit wonky. And then 30% operating expenses, again, I usually see that a little bit higher as well, but it is gonna vary business to business.
The other thing is too, when you are a brand new business owner, your operations expenses percentage is gonna be much higher than somebody who is in demand, charging more, bringing in more. They’re gonna be able to command a higher margin, which means that their operating expenses would be lower. So the percentage in which to fund these accounts is going to change. So let’s get into saving for taxes then. Again, this is for independent stylists and salon owners. If you’re an employee, you don’t have to worry about this either. And I’m gonna share with you a really exciting number as to why there’s definitely a perk of being an employee when it comes to taxes. So I did a lot of research and what I found was that for most small business owners, they should be saving 25 to 30% of net income for federal taxes.
So that’s not gross income, it’s net. So your net income, remember we talked about revenue versus income. So revenue minus expenses is net income. So if you did $10,000 in services and spent $4,000 on expenses, your net income is $6,000. Okay? That’s what’s leftover. So 25 to 30% of net income is what’s suggested to be saved for federal taxes. If you’re in a state that does state tax, which not all do, that’s an additional five to 10%. Whoa, this adds up quick, right? And most financial advisors suggest a 5% buffer. Holy cow. So at the high end, we’re looking at a 45% savings of our net income for taxes, 45%. Now, if you’re not saving at the high end of saving suggestion, if you’re gonna save at the low end, we’re at 30% minimum, okay? So let’s say that we’re going to save for taxes high end, which is what I personally choose to do.
I don’t want to have an unexpected tax bill that I can’t pay. The penalties on that are brutal, brutal. And good luck negotiating with the IRS. If you get tax penalties, they are not forgiving. So let’s say you did $10,000 in services and you had $4,000 in expenses, so then you had 6,000 in net income. Same example I used a moment ago. From that 6,000, you would save 25 to 30% for federal taxes, so let’s do 30. That’s $1,800 set aside for federal taxes. State tax would be another 600. And then if you wanted to do the 5% buffer, that’s an additional 300. So of that 6,000 that was technically net income, 2,700 would be saved for taxes. Yikes. And this is the piece that I don’t think a lot of people talk about because it’s not like sexy or cute or exciting. It’s like brutal.
Part of the inspiration for this episode is I was in an industry Facebook group and somebody was saying, “Oh my gosh, I have to pay $2,000 a quarter for taxes for my estimated payments. How does anybody afford to do this? ” Well, this person would likely be paying way more than that per quarter. So a six-figure stylist would be paying significantly more. I know that $2,000 is a large amount of money. Whether you’re an employee or whether you’re independent, taxes are a huge expense, and it’s something I don’t think enough people talk about. Now, when you are employed, when you’re an employee somewhere, your employer, the owner, pays 7.5% of your employee tax. So it’s an immediate tax reduction to the employee that the business owner takes on. Like, as an owner, you pay so much in taxes. It’s almost unfathomable. When you’re employed, you do get a bit of a tax break there.
So the IRS does have a great form. It’s form 1040ES. It’s the estimated tax for individual’s form. It has a worksheet that helps you calculate how much you should be paying quarterly. If you have an amazing CPA, they can do that for you as well, but paying your quarterly taxes is not an option. If you think you’ll pay at least $1,000 in taxes and you’re an independent business owner. So then the question becomes, if I’m an independent business owner and the numbers that you shared with me made me sick to my stomach, how do I pay less than taxes? So I, this was years ago now. I had my first six figure tax bill. So I owed over $100,000 in taxes. I can’t remember at this point if it was an end of year, like an April thing or a quarterly thing. I don’t know.
And I was mad, like emotionally, visibly upset, not crying, but like angry. And I was on the phone with my CPA and he was like, “Well, you got a big one this time and it’s over $100,000 and I w- I was so angry. And he let me talk and talk and talk.” And then at the end he said, “Okay, totally hear you out. I will never sit in a room and listen to you do that again because it is such a gift and a blessing to have a $100,000 tax bill.” Somebody who pays a lot in taxes is doing a lot of revenue in business. And there’s people who would kill to have a tax bill like that. And it really gave me such a shift in perspective, like taxes suck. None of us like paying for them, but in so many ways it is a privilege to run a business where the taxes are high.
There’s a lot of people who don’t pay any tax at all because their business is under the tax threshold, which means they’re living like at or near the poverty level. And so I think often it’s always like, ooh, try to avoid taxes. If your business is spending everything that it makes so much so that you’re not paying taxes, it’s not always a flex. It’s probably more like a barely getting by. And it just really gave me a different, a different perspective on if you are somebody who pays a lot in taxes, congratulations. Like there’s people who would kill to be in your position, so just somebody to think about. With that being said, how do I pay less? So Michelle Cook’s CPA, a lot of you probably know this, I’m a huge fan of hers. She and I just met professionally and I respect her, I trust her, I admire her.
I personally think she’s the best CPA in the beauty industry and has been for a long, long time. She shares great resources all the time. She’s small business CPA on Instagram if you don’t follow her already. If you search for Michelle Cook’s CPA, she’ll come up. She creates lists of deductions that you can take. So some that you could be missing, booking software, digital ads, promotional items you give away as gifts to your clients, signs, business cards, cost of inventory, backbar. When you buy shears, client robes and capes, computers that you need, laundry detergent, towels, music streaming services. If you use your cell phone for business, a portion of your personal cell phone can be used as a tax deduction. Parking fees, if you pay to park where you work, you can deduct that. Business travel, like if you take a business trip to go see an educator, fully tax deductible, if you invest in education, fully tax deductible, obviously your rent, amenities that you buy for your clients, wifi, if you have utility bills, all of that, insurance, all of that can be deductions.
Now, one of the things I’m big on is not taking questionable deductions. I’ve been audited twice. I will share exactly what happened in those audits on a future podcast. We’re still in it 18 months later. And luckily we’re coming out the flip side. Totally fine. But as a business, it’s coming out totally fine. It’s taken 18 months. It’s painful, it’s brutal. With the adoption of AI by the IRS, audits are gonna happen more frequently. Like risky finances just are not worth it, so I would be really mindful of your deductions if I was you. Okay, so switching gears, let’s talk about how to increase income. So this is if you are an employee or an independent stylist. The stylist with the highest prices is not always the one making the most money. Something I talk about pretty openly is most of my one-to-one coaching clients who I never named publicly are very high, very high price point stylists or salon owners, very high, look extremely successful online.
At the point they’re reaching out to me for one-to-one coaching, something has gone terribly wrong. And the reason I share that is because not everything that you see is quite as it appears. And the smart businesses reach out to me for one-on-one coaching before things have gone tragically wrong. They can just see the writings on the wall and like, “Whoa, I don’t like the direction this is heading. Let’s have an intervention.” But not always, right? It’s not always the stylists who are doing extensions or vivids who are making the most money. The wealthiest stylists I talk to today, and by the way, my advantage is I get to see stylists end of year tax returns. Do you know that? People don’t have to share them with me, but we have something in Thriver Society called X Club and our students to join X Club show us proof of income.
So you know how like you go to other coaching businesses and they’ll be like, “I made more money coaching with blah, blah, blah.” We financially certify it through IRS record. So if you see a testimonial from us that somebody’s made more money, it’s like literally legally they did. And because of that, I do get to see what stylists make more money than others, and I would never publicly drop names, but it’s not always like the fanciest or the person who’s charging $1,000 a client at all. More than likely it’s not. Demand is what matters the most. The stylist who is well priced based on the pricing factors we coach to will always have more demand than somebody who’s overpriced or underpriced or using the wrong method or their branding isn’t clear or their marketing isn’t clear. Increase demand first. If you’re looking to increase your income, do not raise your prices.
Like seriously, please don’t. Increase your demand first. Once your demand is up, we don’t automatically increase your prices. If you’ve worked with me before, you’ve watched me coach people out of raising their prices and they can still make more money because we focus on the structure. So here’s something that’s interesting. If a stylist has an average ticket of $400 per client, we would call them out a stylist who charges high ticket. $400 per client, average ticket, that’s a lot of money. Generally, the stylist who’s charging that has a client in their chair for longer. Not always. There’s some stylists who charge $400 for a haircut. There’s some stylists who charge 400 for a root touch up. Absolutely. I’m saying generally. So if a stylist has an average ticket of $400 per client and the average client is sitting in their chair, call it three, three and a half hours, maybe they’re seeing two clients a day on average, let’s say they work four days a week, and let’s say that that stylist has 70% utilization, meaning they have some gaps in their day, but for the most part they’re booked.
They’d make almost $9,000 a month in services. If a different stylist had an average ticket of $150, so significantly less, more than 100% less, okay? Average ticket of 150 bucks, and let’s say they see four clients a day. Their average client is a cut in color, and the average ticket is 150. If that stylist has a utilization of 90%, they would make almost the exact same as the other person. So their average ticket is more than 100% less, but because their utilization is higher, they’re making the same amount. And I know that can be tricky, but it’s not always who charges the most wins the race. It’s the person who’s running the smarter business that wins the race, and demand always comes first if you’re looking to make more money. Like, improve your marketing, increase your demand, that is how you all win. We changed price point last, like, way down the line, okay?
So let’s talk about how to create real wealth or passive income. Passive income was, like, super trendy from probably, like, 2017 to 2022 or 2023, and then people realized that it was mostly scammy marketing, trying to convince people to, like, sell weird stuff on the internet for passive income. Anybody who is smart in business will tell you the only way to make passive income is to invest. There is no business that has passive income. Not, not at scale, at least. There’s some, like, kind of mediocre ones, I guess, but if you want to make real wealth with passive income, the way to do it is through investments. And investments are really interesting because you don’t have to invest a, a ton to have a huge rate of return. I wanna give you some numbers. So let’s say you made an initial investment of $500 into an investment account, and this can be a Roth IRA, a traditional IRA.
There’s a lot of ways to just open a investment account, meaning an account that you can invest into stocks or market funds or whatever. Lots of ways to do it. There’s high yield savings accounts too, but I don’t wanna get into that for a second. The rate of return on those has decreased pretty significantly in the last few years. So while they’re still good, better than not saving at all, they’re not what they used to be, so I’m not gonna dig too far into that. We have other episodes dedicated to that. I wanna talk specifically about investing, okay? So let’s say you open up an investment account and you put 500 bucks into it. Let’s say that you shift the way that you’re being taxed and you’re not overpaying in taxes, and instead you have $500 in a savings account and you put it into an investment account.
Perfect. Let’s say that you put an additional 50 bucks per month into that account. So $600 a year, you put $500 in the start and $600 per year. So we’re talking 11, $600 per year, $1,100 in the first year starts the investment, and you never put in more than $600 a year, 50 bucks a month, and you do that for 40 years. If that investment account is giving the average annual rate of return, you ha- would have put in $24,500 of your own money, and that account would have $288,000 in it. That’s passive income. All you did was put $50 a month into the account, it gave the average annual rate of return, and you had almost $300,000 in there. When you look at people who make real wealth, that’s how they do it. They’re investing very smart, and going back to, like, again, that naive foresome who was investing in snowboard trips, no regrets.
We had a lot of fun at the snowboard trips, but man, if I had just taken $200 of that and invested it, it would really be worth something today. That was 20 years ago. It would have been pretty incredible. And so really thinking about it doesn’t have to be this huge sacrifice on your personal life. A small investment has a huge payout, huge payout. Next, I wanna talk about the importance of a business credit card. The reason I’m talking about later in the episode is I don’t think it’s step one, but once you do have a good grip on your finances, you’ve set up the additional bank accounts, you are paying quarterly taxes, you understand how your finances work. I’m a huge fan of a business credit card. The way that we run our business is all of our business expenses go on a credit card, everything.
The credit card gets paid off in full actually twice a month, so it never carries the balance. We don’t pay any interest on it, but that credit card accrues points. The other thing that’s great is, and those points pay for most of our team One’s travel expenses throughout the year for events and education and all kind of things. It’s pretty incredible. The other thing that’s great about it too is if there’s a fraudulent account on our credit card, it never affects our bank account. It just hits the credit card. It’s immediately flagged. The money comes right back onto the card. We have a great relationship with our card at this point, so it happens instantaneously, and it’s pretty amazing. So there’s a lot of protections to it. There’s a lot of benefits to it, improves our credit score, like all the things. Having a business credit card that is not the same as your personal credit card, when you do have your finances in order is important.
Something to know about your business credit card. For the vast majority of you, it will impact your personal credit, the vast majority. So if you are somebody who struggles with credit card management, again, getting your financial house in order first, I’m not saying blindly, get a new credit card. But once you do really have a grip on your finances, the perks and benefits and security of it are pretty significant. So something to definitely look into. It also really helps too, like let’s say you’re having a slow week in your business, but you need to buy more color because next week is gonna be busy. You can put that on your credit card, float it, knowing that next week you’re gonna have this huge payout. So pay off the credit card, still fund all of your other accounts. It just gives you more purchasing power and more flexibility in your business.
Next and last, the importance of bookkeeping. So I cannot emphasize enough. I didn’t realize, honestly, until recently how many independent stylists do not use a bookkeeping software. That makes taxes a mess and it makes the chances of you overpaying incredibly high. It’s very easy to miss expenses when your business and your personal are coming out of the same bank account and when you don’t have solid bookkeeping. I’m a huge fan of QuickBooks self-employed. If you’re in Thrivers, you get a discount for it. The thing I like about QuickBooks is it does take a few hours to set up initially. All of your expenses can categorize themselves. You don’t have to do it manually. And then at the end of the month, you get a P&L. It tells you exactly how much you made, where money went, what expenses are deductible, like it does it all for you.
It’s so amazing. So I’m a big fan of QuickBooks self-employed. If you’re not using that, some kind of bookkeeping system and software, please don’t use a Google Sheet, please don’t use an Excel spreadsheet. Like seriously use a software. It makes all the difference, in my opinion. And don’t … If we are still somebody who just has like a pile of receipts in the center console of our car, please let this be the year that like we really get it all in order. I promise you’ll save money. You’ll have more deductions. Your taxes will be easier. If you do get audited, it’s gonna be as painless as possible. Like for all the reasons, it just, it makes so much more sense. Okay. I do still feel like this is kind of like an at a glance of financial literacy. If you have any additional questions or things you want me to dive deeper into, please leave me a rating and review on iTunes.
Let me know what you want to hear more about and I will do my absolute best to bring it to you so much love, happy business building, and I’ll see you on the next one.
