@emily_j_88: Well I made $45,000 last year but I definitely don't have $45,000, how is that possible? Well, $45,000 may have entered your account...but didn't you have expenses? Things like: 🖥 - A website 📝 - Supplies ☎️ - Phone bill 🛜 - Internet 👨‍🔧👷‍♀️👩‍🍳 - Maybe you paid employees or contractors All those things have to come out before you get "paid". Whatever is left? That's yours! Whether you have elected to be a S-Corporation for tax purposes and get a paycheck or you're a sole proprietor, the money left at the end of the year is yours. You can reinvest it, leave it in the business bank account for future expenses, or pay yourself a little bonus. But, before you do that - make sure you know where you're at for the year business tax wise and personal tax wise because that money you pull out...not an expense. Always contact your tax professional or accountant before moving money from your business to yourself to avoid surprises come tax time 🫡 #taxtips #taxesforsmallbusiness #Mondaytips #accounting

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