Schedule C and an example of a deductible expense.
In the last couple of weeks I’ve read sex workers on Facebook and Twitter talking about the difficulties they had in getting an apartment, qualifying for a car loan, and signing up for health care because they didn’t have any proof of income. “I don’t get paychecks,” the sex worker might say (unless she is an employee), “So how can I prove how much money I make?” I read dancers telling other dancers to get a strip club manager to write a letter estimating what she makes in a week, and while that might work to buy a car at You Work—You Ride! it won’t help with big leasing companies or the bank.
What will help is having a copy of your tax return. Even before you file it, make a copy of your completed return to have on hand for any occasion that requires proof of income. It doesn’t have to be complicated; if you take a look at the Schedule C and panic at all the deduction categories, if you don’t save receipts for anything, if you haven’t filed in years, if you’ve never filed during your sex working career, just remember this: don’t panic. You can do this. All it is is counting money and adding and subtracting it.
Well. And paying it. That part is no fun. But if you’re filing as a self-employed person, you’re supposed to pay quarterly estimated taxes, which is somewhat better than paying one chunk in April, and hey, at least you don’t have to get depressed looking at a deduction on a paycheck every couple of weeks. OK, it’s unpleasant. There’s really nothing less fun to do with your money than send it to the IRS other than using it to pay for car repairs or dental work.
We are not accounting or tax professionals here at Tits and Sass but I, for one, am a career stripper who had her own tax missteps in the past (the part where I pretty much forgot to file the entire time I was in college) (and I was in college for a long time). If I could get straightened out, so can you. Let me be clear that I’m not urging anyone to pay taxes for any other reason than to make their own life easier. I do, however, want to emphasize how it can make your life easier: [READ MORE]