Now that everyone has received their 1099s, what did everyone make total for 2010? More or less than previous years?

30% less then 2009 but 2009 was crazy good !

I only received a 1099 for about 25% of the work that I did.

Guess I'm going to be showing some huge business losses this year

I made slightly more. My reo was way down but my bpo volume was way up so it worked itself out.

If you use a EIN #, they don't have to 1099 you BUT they will report the numbers to the IRS. It's your responsibility to account for your income when using a EIN and report as "other income" or you will be burned down the road.

EIN = employer identifcatiopn number, right?

Who is an employee doing BPOs? I thought each of us were independent contractors. You should not have an EIN.

Q4 kept me from equaling 2009 income. Thus I was down about 10% in comparison to that year. I only do BPOs.

A little higher, but almost entirely REO, the BPOs are handed off. Considering the robo-signing fiasco and the number pushed into this year I'm delighted.

Incorporated under a Professioanl Association P.A and issued a business EIN # for tax reporting income.

off 10%

Up 23%. Did more REO's and less BPO's.

(F)EIN, you as the employer, not employee. TIN, taxpayer ID number. Same difference. They are one and the same when it comes to 1099s.

If you are a bonafide employee, the company will send a W-2 and use your social.

Linda

Today I got a 1099 from AM company for utilities, rekey I had paid. They are saying this is miscellaneous income. To me it's not income, but reimbursement. My commissions go under brokers tax ID, but broker does not want to fool with paying utilities, ect, so I pay them under my tax ID. What am I missing???? How can reimbursement be income?

Why don't you just write off the expense to the income and you have zero?

Does anyone received 1099 from LS?

They only send it to the IRS.

I have never heard of this practice before.

It's always been that way with them. I have been with for 5 years. Not one yet. If you did not keep track, you can e-mail accounting and they will send you the payment totals for 2010.

They're breaking the law........if you make $600 or more, they have to provide a 1099.

Yup. The only exception is if you're a corporation. Chances are, if you're not getting one, neither is the IRS.

Linda

If Ls is Landsafe I always get one from them

I keep getting them even though I am a corporation, and it irritates me to no end.

I tried a different approach to BPO's last year. My order count was down by 16% and I made an additional 11% over 2009........apparently, it paid off. My first 4 months of sales for 2010 caused an upswing in total commissions that exceeded 2009......not a bad year........no complaints here......

Cinloo - oh the lovely tax issues with reo. Here is how my account has me dealing with it. Add up all reimbursements (not commissions or BPO payments) from all companies you worked for, even the ones that did not send you 1099s, then add up all expenses you paid - including anything you bought - rolls of paper towels for the plumbing leaks, light bulbs - anything you use for your reos, and add up all re-keys, utilities, anything that cost you money. It will not add to your income, in fact, if you are like me, you are gonna end up with money you paid in 2010 that you have not yet gotten back. I do it like this: I have one checking account for all reo money and expenses. I add up all the deposits, and then go through and subtract the tons of bills I paid. My account would love it if I would use quick books - but lets be real - I would never stay on top of an additional program. Talk to your accountant. If you got a 1099, it is reported to the IRS as income and it needs to show up on your taxes. Just take the deductions for expenses, and you will be fine.

Are you saying that if the company does not issue you a 1099 that the income is not being reported to the IRS ? Many do not 1099. Please tell us more on this subject.

Linda, So if you are a corp and you don't get a 1099 from a vendor, is the income reported to the IRS ?

Some vendors do issue 1099's to corps and some don't.

What's the scoop ?

Here is an article on the 1099 issues:

The responsibility for filing the Form 1099 is on the organization paying for your services. It is your responsibility to report all income you received (whether or not covered by a 1099) and to correctly handle any Form 1099 you do, in fact, receive. If they don't issue you a 1099 don't file one for them, just report the income (e.g. if you are sole proprietor for federal tax purposes just include the income on your Schedule C).

When it comes to an LLC and 1099 forms what matters is the federal tax status of the LLC. If the LLC files its federal taxes as a partnership or sole proprietorship than companies who retain the LLC as a vendor must file a Form 1099-MISC if they made payments to the LLC. However, if the LLC files as a corporation than certain business-to-business payments will not require a Form 1099-MISC.

For Federal tax purposes, an LLC business entity must file as a corporation, partnership or sole proprietorship tax return. Assuming you don't have any partners, then using Form 8832 your single member LLC can choose to be classified as either an association taxable as a corporation or disregarded as an entity separate from yourself, a "disregarded entity".

If your single-member LLC is a sole proprietor for federal tax purposes, you should file a Schedule C (or E, F, or J) with your personal return. If your LLC is a corporation, it should file a Form 1120. Form 1120 is the corporate income tax return, and there are no flow-through items to your personal 1040 from the LLC's corporate return. However, if the LLC filed as an S Corporation, it should file a Form 1120S, and you should report the corporate income, credits and deductions on a Schedule K-1 (Form 1120) with your personal return.

We were up slightly for 2010 for total income. We do mostly REO and only a handful of paid BPO's. Unit count was down on REOs but we made up for it in regular listings, short sales, and buyer conversions. We had a couple of large waterfront sales or we would not have been up for the year.

If you use LPS and have to pay the 5$ fee for each invoice do not forget to deduct that cost. Also, we do not process invoices under $10 due to $5 fee and staff time cost so do not forget to deduct the ones that you did not get reimbursed for including any that may have been refused.

Since companies you work for are paying a corporation not an individual or LLC (partnership or sole )they're are assuming your corporation keeps track of all your earnings so they don't have to issue you a 1099. (they just dont want to waste paper on you) lol but you still need to report all of your earnings even if they dont provide you with a 1099... Welcome to America

OverThe Edge, thank you for helping me. Really still don't undrstand how a reimbursement can ce calle income, but will leave it up to my tax preparer. Thanks!!!!

"what did everyone make total for 2010?"

all of you sneaky posters didn't answer the question, which is asking for total dollar amount, not a percentage. I earned 2.2 million in 2010.

Congratulations! I hope you saved some of that $$ Never know what the future holds.

OMGosh, Shana. Everyone's been wondering where you were. Now we know! You were busy in 2010!

Linda

That should make Obama happy, as he is roughly entitled to $770,000 (based on 35%). Thanks Shana for contributing to the U.S. Treasury in such a generous way!

http://en.wikipedia.org/wiki/Income_tax_in_the_United_States

Cinloo, your receipts/proof for the expenses you were reimbursed on evens out the 1099 as a cost of doing business, so it is a wash.

In all honesty, I'm up 10%, but will be reporting 60% less than I did last year. Shana is making up for the difference.

Good to see you around again Shana!

Independent contractors with EINs are not required to have 1099s reported to the IRS for 2010. This may change in 2011.


This is the answer from a IRS rep.

WOW, We have agents in our office who did not make that is Gross Sales Volume. Let alone 1099 income. We only did about X% of that in 1099 income. Congrats!!!!! You are blessed.

FYI. 1099 income means nothing. We have staff, advertising etc. What matters is how much you got to put into the bank.

*

Ditto ditty.

Im happy with what I do...and I seem to be getting better...but everytime I think Im getting a head...tax season rolls around and I get slapped down again...sigh...

I still do not understand why an independent contractor is getting an EIN. I have never used one, gotten one, seen one. I have been at this 11 years.

You can simply get a EIN when you create a professional association P.A. for real estate ( it's a corporation) . All earnings are reported to your EIN and not your SS. From there you do business taxes and your net profit is then reported on your personal tax return under your SS# saving you a huge tax self-employment tax. This is handy for those ( like myself ) that are 100% paid up and have full social security benefits already credited for the years you reported under your SS through w-2's. It's all perfectly legal.
All my relestate commissions from my broker and all BPO earning s are reported under my EIN #. It's OPTIONAL for the BPO companies to issue a independant contractor a 1099 using a EIN. Some do, some don't. It only takes the tax burden off them and places it on your business.
If they don't 1099 you it's "your responsiblity" to calculate and report as "other" income. In the IRS eyes you will be over reporting income , and that's ok to them.
If you really want to see what is being reported to the IRS you can send for your transcripts. If you do get 1099's you already know what's reported. It's possible a 1099 was reported to the IRS on you and you were not sent a copy or moved, etc.

Additionally. a 1099-misc reported to your SS # is self-employment taxed on the entire amount before expenses when you do your taxes. You will pay out the nose especially if mixed with w-2 incomes. If you don't have a EIN and do a business tax return, uncle Sam loves you.

2.2 million what ?











Costa Rican Colon's









.

BoneFish


"2.2 milliion what?".......You be my hero........lol.

I tried to find her web site and learn from it. I did some research in NV and could only come up with one name match to the name. I'm still researching through a couple of friends in Reno and Henerson NV since the party I located only has 9 current listings and the highest is under 200K. Given the average sale price in NV, one would need to handle between 350 and 400 sides. Unless it was pesos.

I use an EIN for my self directed 401k bank accounts and 1099's sent to my helpers. All payments from BPO companies are sent directly to me under my SSN#.

LOL, some of you people are hilarious. and by the way, not all of my income is derived from real estate. I'm diversified, with business interests overseas.

Bonefish seems to be intimately familiar with Costa Rican colons. As a result, I will refrain from inquiring as to Bonefish's secondary occupation. <snap>

Hey if we get to add side activities into this conversation and not just income from real estate - I had an awesome garage sale in April so I'm gonna add the $175 I made!! I'm planning another one on a much bigger scale this April - I clear out my house of all the crap I don't want so when the trash out guys come there won't be anything left to sell on ebay. I'm gonna call it a tax sale since what I make is gonna go to Uncle Sam. Not enough money in the coffe can to pay my taxes at this point so "Everything must Go"!!! I hate tax season. Is this a good time to bring back the idea of a flat tax?

Since this is a real estate forum, it was pretty apparent the question was directed towards real estate related income. Stock investments and income related to other activity didn't seem to fit in here. But overseas cound add some creedence to the Pesos theory. Bonefish, the Costa Rican one liner and the retort were both absolutely great. I would offer the comment that Costa Rica does use Pesos if my memory is correct.

gee whiz shana you busted me ...




yep I'm a currency trader

common sense dictates that a good businessperson will go wherever the financial opportunities are. if they are overseas, it would be foolish NOT to exploit those opportunities.

good vs exploit...I do not think I would care to do business with you...

I am tossing in coupons. My wife is a clipper. We save about $8 a week. Can you say $416 scamolies?

I get $3 back for my empty ink cartridges. At 2 per month tack on another $72 smackers.

I did about $365 in mail in rebates. Cha-ching.

I am adding the $853 to my total. That's gross of course, not net after expenses.

I prefer to think of my income in pennies however. So let's cal these side jobs a cool 853,000. And that is all stateside.

Boo Yah.

then you apparently don't understand capitalism.

Multiple answers were posted all related to real estate income and along comes one that states a questionable number and then back peddles claiming another source of income. 2.2 million, even at a 10% return, which is not that easy ROI in this economy, would indicate an initial investment of 22 million. Just some quick capitalistic math.
I believe many on this forum fully understand capitalism, many understand BS, and almost all can tell the difference. Save it for a more gullible group.

I will step to the plate. BPO's only

2008 119,000.00 2009 178,000.00 2010 128,000.00

97% from one company 3% other three.

2010 - $138k. P.S. I'm still dual career.

I stopped using coupons, but I did win a $50 gift card at our tradeshow. Do I have to report that?

2016 bpos las year...

total income this with sales, rentals and such--maybe 150-175k...
that is with my wife of course! there are some losses but i also gained 100k this year in my house so i guess it is all subjective!
about 1/2 what i did with flat fees.

what i am really amazed at though is how much many do make doing bpos..

for the average american--6 figures is a heck of lot of money...
i do remember the time i would have killed for 1/2 of that..
but i am just a po-boy from Indiana--where my mom has never made more then the low 20's.
i doubt that 80% of realtors break 30k. i do not think most americans make much more than 30k--

unless you are in poli-tricks of course--then you really get paid!hehe
good luck in 2011--home we all stay busy~

well, your fully understanding capitalistic math ignores the power of leverage, in your simplistic return calculation. This is inexcusable for anyone in real estate. uncommon success is more about identifying opportunities and staying ahead of the curve. Using economics terminology, this allows ABNORMAL profits. I would consider a 10% return a waste of my time and capital in business ventures. If you're content to take the leftovers the big players in the industry throw you...fine...I'm not.

Spoken like an agent with 9 active listings.
And the last to lines of my prior post remain.

Dont bother listening to her. Nobody else does.

Oprah listened. I agree, I let myself get baited.

anyone here can get 10-12 and even 15% on their money all day long.
if you are in real estate and have cash--hard money lending cannot be beat. a lot of solid guys are always looking for investors-but be careful, there are scammers.
i have guys doing very well and are very happy with that return.

one guy get his 12% and loves it..

for every 100k you get 12000 a year..
1 million?--just sit back and collect 120k minus taxes a year..
if i can stop making bad investments (mostly by paying dillweeds for crappy work)--i hope to make that my 'retirment' goal--
just fyi--
long term Plan C?

Since this is an RE forum what did you make in RE in 2010? Also, if you made 2.2 mil in 2010 why are you posting here and not on a beach somewhere? Also, since this was offshore income please give me your contact info as the IRS gives a 10% reward to those who report tax fraud.

Is "on the beach" and "I'm beached" not one of the same?....seems fitting.

Who kicked the rock she was hiding under???

TB.......

If you convert all of your money to pennies you can get a 300% return immediately, free of charge. You just need a place to store them. And shopping is a pain.

I forgot to add that your investment will never fall below it's face value.

Are those great terms or what?

Don't forget to get the pre 1980 ish ones. After then they took out more of the copper.

No fooling.

i forgot to mention the Glenn Beck -invest in Gold and guns program...

for those of a more 'evangelical' nature--never mind the whole false prophet/golden calf parables that heed an obvious warning to todays political environment---i see little chance of anyone getting through those golen gates anyway!! i have met few people who were not consumed with money and worthles crap--

so-BUY GOLD---you are not going to heaven any way....


maybe someone should tell FOX about the pennies thing---some people will 'buy anything'....

1099 reporting actually requires this, whether or not it is income or reimbursement. But on your own books, you would show that "income" offset by the expenses incurred for the preservation tasks. Should net to zero, meaning not actual tax liability if you have kept your books correctly.