As Tax Day — Wednesday, April 15, 2020 — rapidly approaches, have you wondered about finding an easier way to determine your annual gross income? Woodbine, Md., farrier Gary Faulkner has a simple method that he uses.
“My accountant has me put all of my deposits into one bank account,” he says. “Then I take out a certain percentage of the money that I receive for shoeing horses and put it into another account. Some are set aside for taxes and shoeing supplies.”
The remainder is earmarked for living expenses. Yet, by depositing the initial amount into one account, the bank is providing an important service.
“The bank is basically tallying up your yearly gross income,” Faulkner says. “At the end of the year, you just tabulate 12 months worth of your bank deposits, and that’s how much you made. It uncomplicates a headache. Doing the paperwork and trying to figure out all of this stuff can be a pain. So, it’s a brilliantly simple way of doing it.”
Do you have a simple record keeping system that other farriers can benefit from? Share it in the comments section.
For more tips and insight from Gary Faulkner, read “Maryland Farrier Remains Successful by Adapting His Practice” in the March 2020 issue of American Farriers Journal.