Now Reading
Putting off things I don’t understand

Putting off things I don’t understand

I tend to put off things that I don’t understand. One of the reasons I dilly-dallied around on opening up a business checking account was because I didn’t know how I would pay myself if I did that.

I’ve had business checking accounts in the past, but they weren’t for sole proprietorships, so it was easy to determine the circumstances under which money would be distributed.

But with a sole proprietorship, well, all profit is my money. But if I take it out, and then I need to buy something for the business, I’ll have to put it back in again. (I know, not the worst thing in the world.) But what’s the point then of a separate account, if I’ll basically be handling things the same way I did when it was all in my account except with more paperwork?

I didn’t know. And I still don’t know.

Obviously I’ve been putting off figuring it out. The answer is probably something ridiculously simple, but…ugh.

Avoiding thinking about stuff that we’re unsure of is not uncommon, but it can be costly. So I’ll compromise and add figuring this stuff out to my calendar now. At least it will finally get done soon.

See Also

 

 

View Comments (2)
  • As somebody whose (self-employed) “day job” is being a tax accountant, here are my thoughts:

    The main advantage to opening up a business checking account when you’re operating as a sole proprietor is to make things easier (specifically, recordkeeping).

    If you think that it’s actually going to make your life less convenient, don’t do it.

  • Doh, too late! I know it’s not required by the IRS for sole proprietorships, but unfortunately it is required by someone I want to do business with. Oh well.

Leave a Reply

Your email address will not be published.

© 2020 BLUNTMONEY. All Rights Reserved | Disclaimer

Scroll To Top