Here is part two of my experience owing and paying off a $520,000 federal tax lien. I’ll be honest. Sharing this with you all has been hard. It’s embarrassing, but I’m sharing it in hopes that some of you can learn from my mistakes. I felt alone when I was going through this struggle but I found out I really wasn’t; many people deal with this and have made the same mistakes that I did.
Hiring a bookkeeper was key to me paying off my tax lien. I’m just not good with keeping track of the numbers. She helped me implement a system where I was putting a large percentage of my profit to taxes, and that’s how I eventually got the lien paid off. Your bookkeeper also needs to be giving you weekly reports on the numbers that are going to be propelling your business forward. Whether it’s marketing, podcast subscribers, email opt-ins, whatever it is that moves your business, you need to have a report of that.
Lessons I’ve learned:
- Don’t mess with the IRS. Pay your taxes and pay them on time. The federal government is powerful.
- Read the book Profit First. Implement it.
- Hire a bookkeeper or accountant. It’s tough to do on your own.
- It’s not about how much you make; it’s about how much you keep.
- If you are in trouble right now, face it head-on. It’s not going away. Don’t be too proud to ask for help.
The bottom line is you have to pay attention and be smart about your taxes. Don’t make the same mistakes I did. Know your numbers or hire someone who can help you figure them out. Get help if you need it. These episodes have been vulnerable for me to share, and I just hope someone can benefit from them and avoid the mistakes I made.
Listen and learn:
- Why I’m sharing my experience now.
- We started tithing, and it made a HUGE difference.
- Why you need to hire a bookkeeper.
Mentioned in this episode:
What are you thinking?
First off, we really love feedback, so please click here to give us a quick review in iTunes! Got any thoughts on this episode? We’d love to hear ’em too. Talk to us in the comments below.
Enjoy this podcast? Share the love!