One of the biggest milestones an entrepreneur dreams of is breaking the six-figure mark. When I first started my business, The Organized Money, to help people manage their budgets and debt, this goal felt out of reach. So when I unexpectedly crossed the threshold a few years ago, I was ecstatic.
But my excitement was short-lived. After sending my tax paperwork to my CPA, she informed me that I owed the IRS $10,000. How did this happen? It boiled down to how my self-employment business was set up.
Here’s what I learned and how you can avoid making the same expensive tax mistakes I made.
