🐽 Memory hogs: Sometimes, your system runs background apps that can tax your device’s CPU and RAM. If you’re on a Mac, check the Activity Monitor and turn off any CPU-sucking apps. On a PC, check Task Manager. Get in-depth steps here. Oh, you’re gonna be glad you did!
If you got paid more than $600 through PayPal or Venmo this year, you might get a tax form
We’re here with a friendly reminder that the government can and will tax you on your PayPal or Venmo transactions if they are over a certain amount. We told you earlier this year about the American Rescue Plan. Tap or click here for more details.
We don’t mean to alarm you, of course. Unless you’re being paid under the table, you will likely receive documents outlining your annual earnings. Still, though, it pays to know what’s ahead early on.
Read on for the full scoop on Venmo and PayPal taxes.
What should Venmo and PayPal users expect in 2023?
Don’t look now, but tax season is just around the corner. In October, the IRS released a statement urging anybody being paid through Venmo, PayPal, and other payment services to declare their earnings in anticipation of filing in 2023. Tax law now states that a single transaction exceeding $600 can trigger a 1099-K.
This income includes all part-time work, freelance work, side gigs or the sale of goods and services, regardless of whether they received Form 1099-NEC or Form 1099-K from their employer or client.
The good news is the IRS emphasizes that money received through third-party payment applications from friends and relatives as personal gifts or reimbursements for personal expenses is not taxable.
The above announcement serves as a reminder as the rules have changed slightly for income of this type in 2022. The American Rescue Plan Act of 2021 (ARPA) reduced the reporting threshold from $20,000 to $600, which may leave some individuals without the knowledge to file their taxes in full.
One result of this change is that we’re now required to pay more attention to even small transactions. What can you do to set yourself up for success in 2023?
Tax tips for anybody getting paid through cash apps
Tax season can be stressful, but tax software, like any of these industry-trusted brands, is ready and willing to help you sort through it all. Here are a few more tips for those using apps like Cash App or PayPal for payments:
- Keep track of all earnings separately, making verifying all income much easier when it’s time to file.
- Keep a log of all tax deductions, as well as a physical file of all your receipts.
- When in doubt, hire a professional, especially if you earn more than $36,000 per year through payment apps like these.
Incoming! 10 Russia-Ukraine war scams hitting your email, phone and social media
The Russia-Ukraine conflict is nearly 6,000 miles from our border, but it’s likely already affecting you here at home.
You probably see a hit to your 401K and financial portfolio. As those go down, gas prices are going up. Tap or click here for simple ways to find the best gas prices in your area.
How to earn $25 million a year on eBay
Linda Lightman started by selling her kids’ video games on eBay in the ’90s. Today, she operates a 100,000 sq. ft. warehouse with a dedicated team, all thanks to her eBay success. Plus, updates on Apple’s AI developments and tax credits for EVs.
EVs are cheap right now: You can score the Hyundai Ioniq 5 for $259 a month or lease a Nissan Leaf for just $20 a month (paywall link). How the heck? Dealer incentives. Leased EVs are classified as “commercial vehicles,” qualifying them for a full $7,500 tax credit, which gets passed on to you.
$7,500 instant discount on a new EV
A tax change means you don’t have to wait months and months for the credit — it now comes directly off the sticker price (paywall link). Here’s a list of cars that qualify.
True or false: The federal government is tracking payments to friends and family over $600
The deadline for filing 2021 taxes is coming up. Tax Day falls on Monday, April 18, 2022. Is your paperwork in order?
Tax deductions are not always clear-cut. You may miss an opportunity to reduce the amount of money you need to send to Uncle Sam. We went ahead and put together eight tax deductions to get you started. Tap or click here to check out our list. And there might be changes that impact you this year.
Tax filing deadline moved to July 15 - here's the best DIY software
Updated 03/20/2020 – Since everyone is preoccupied with the coronavirus pandemic, the U.S. government has decided to allow more time to file taxes. Secretary of the Treasury Steven Mnuchin announced the move via Twitter. Tax Day has officially been moved from April 15 to July 15 for all taxpayers and businesses. You can take this additional time to file and make payments without interest or penalties. (Scroll down to see the official tweet.)
🛰️ Get cheaper Starlink internet: Folks in one of the 28 U.S. states with “extra capacity” can get SpaceX’s Starlink dish for $200 off ($299, plus shipping and tax) and $90 a month for internet. That’s a huge discount — the dish is regularly $499 and the service is normally around $120 a month. If you’re considering Starlink, jump on it now.
California tests car tracking to tax your driving
California’s new road charge will track your mileage and charge you a fee based on how far you drive. Here’s my take in this short podcast.
Tax tip: How to deduct miles
Want to write off your trips? There’s an app for that.
Free filing: The IRS is testing a free tax filing tool called Direct File in 12 states. Finally! Of course, there’s a catch: It’s only for folks in certain areas with specific incomes. Want in? Check here to see if you’re eligible.
Tax dollars wasted on broadband services
Why waste taxpayer dollars on cable when satellite’s available? Here’s my take on why it’s time to switch, in 60 seconds.
Shocker about EV tax credits you have to hear to believe
Want to help fight inflation? The government says you should buy an electric car! In 60 seconds, I’ll break down all the details.
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Tax tip: Easy way to scan docs without a scanner
Ready to scan all of your receipts for tax time? Listen to this one-minute podcast to get it done in a snap.
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Watch out for child tax credit stimulus scammers
More stimulus money is coming in July and scammers are already working to rip you off. This time, they promise to help you extract the money from the IRS. Don’t fall for it!
Learn more about your ad choices. Visit megaphone.fm/adchoices
The U.S. Digital Dollar is coming
The White House will require all cryptocurrency transfers of $10,000 or more to be reported for tax purposes. Here’s the full story.
Learn more about your ad choices. Visit megaphone.fm/adchoices
Is it cheaper to drive an electric car?
Electric cars are becoming more and more common. Almost every car manufacturer makes a fully electric vehicle (EV) or a plug-in hybrid — a car that can run on electricity or gas.
You should be able to save on the cost of gas by having an EV or a plug-in. Tap or click here to learn more about how you save money on gas by going electric. But are electric cars actually cheaper to own?