Profit First Makes Estimated Tax Payments Easier

Let’s be honest - no one likes to pay taxes.

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We all work hard and want to keep our money. But taxes are a necessary part of life so the government, military and first responders can do their jobs.

As a business owner, we get the “joy” of paying taxes on the profits of our company.

For profitable companies, your tax preparer should be giving you estimated taxes to pay quarterly.

The traditional due dates are:

  • 1st Quarter – April 15

  • 2nd Quarter – June 15

  • 3rd Quarter – September 15

  • 4th Quarter – January 15

Due to COVID the 2020 dates have been changed to:

  • 1st Quarter – July 15, 2020 (New extended deadline, changed from April 15, 2020)

  • 2nd Quarter – July 15, 2020 (New extended deadline, changed from June 15, 2020)

  • 3rd Quarter – September 15, 2020

  • 4th Quarter – January 15, 2021

By using the Profit First cash methodology you are allocating money to your tax account with every dollar that comes into you company.

That means when one of these dates comes along, you have the money sitting in your account. There is relief to know that when these checks need to be written, you have the money waiting for you!

“You will actually reduce some of the pain you feel when paying estimates because now this very same day each quarter, you also will take that profit for yourself, above and beyond your salary.”

-Profit First by Mike Micahlowicz

The magic of Profit First is that the same day you pay the government you also take YOUR profit distribution. So while Uncle Same gets his money, so do YOU!

If the thought of cutting your tax checks brings stress because you don’t have the money set aside. Let’s talk!

Profit First is the answer to relieve this stress!

Profit, BusinessPam JordanComment