It’s Tax Time – Again?

It’s Estimated Tax Time!

We always want to make sure that we keep our awesome Shoeboxers prepared for tax time. And, it’s coming up! Yes, you read that right… Estimated taxes are due on June 15th. Read below for what you need to know:

Taxes-Due (Photo Credit BigStockPhoto.com)
Taxes Due Again? But it's not April yet!

What are estimated taxes?
The IRS requires that you pay your taxes as you earn money. For people who work for an employer, those taxes are taken out of their paychecks on an ongoing basis as “withholding tax.” But for self-employed people like you, you may need to pay estimated taxes each quarter to keep up-to-date with your tax bill from Uncle Sam.

Didn’t I just pay taxes?
This is the most confusing part, since the June 15th deadline for estimated taxes is only 2 months after annual taxes were due in April. We don’t know why the IRS does it this way, but your estimated taxes are due on: Q1 = April 17, 2012, Q2= June 15, 2012; Q3 = September 15, 2012; Q4 = January 17, 2013. Sorry, we’re just the messenger!

Do I have to pay?
Many freelancers and other self-employed people do have to pay. But, there are some complicated rules determining who pays and who doesn’t, based on your personal situation. Read this helpful article to discover the nitty-gritty details.

How much do I have to pay?
Because your Q2 estimated taxes are due before the end of Q2, the good news is that you only have to pay taxes on your profits for April and May – just 2 months worth of profits! If you have an accountant that you work with year-round, you should probably just ask them, and maybe learn a bit more about this whole “estimated tax” business.

Another alternative is using Outright, one of our partners. It only takes a few minutes to sign up for a free account and link your Shoeboxed and other business accounts to Outright. The tool will then pull together an overview showing an approximation of how much you should pay in estimated taxes.

Overall, don’t stress too much about estimated taxes! Using Shoeboxed and other resources such as Outright or your accountant will ensure that you are organized and ready for tax time in no time (no matter how many tax times Uncle Sam decides to throw your way).

Stay Organized!

The Shoeboxed Team

Announcing our Brand New Integration with Wave Accounting!

You asked, we listened! Shoeboxed is now integrated with Wave Accounting, the fastest-growing small-business accounting application in the world.

Wave Accounting logo

We agree with Wave: Shoeboxes full of receipts are a pain, and that’s why we created Shoeboxed in the first place. Like some accounting applications out there, Wave eliminates manual data entry by pulling data directly from your bank or credit card feeds. This is great for keeping track of your cash flow, but it’s not enough for full-blown, audit-proof accounting. Why? Because you need the receipts, silly! Lucky for you, the Wave Accounting integration with Shoeboxed solves that problem very elegantly.

You see, your bank or credit card only knows where you spent money, but not what you spent it on. A 50-dollar charge at a Shell Gas station could be for gasoline (deductible as Auto / Fuel) or for beer and chips (harder to justify as a deductible business expense). If the Tax Man ever has a question, you just need to show him the receipt that goes with that bank transaction – if you can find the little piece of paper, that is…

Enter Shoeboxed + Wave Accounting.
Fast, easy small business accounting. Wave Accounting is made for small businesses and solo entrepreneurs, accountant approved, and 100% free. Wave slashes the time you spend on accounting and bookkeeping, and saves you money every day. Since their launch in November 2010, they have won over hundreds of thousands of small business owners in 200+ countries around the world!

With Wave Accounting, you can connect your bank account or credit card to pull data automatically and eliminate manual data entry. Then, you can also connect your Shoeboxed account to pull receipt data (and the image of the original receipt) into Wave Accounting.

If Wave detects a Shoeboxed transaction that seems to be in their system already, they will let you know, and you can either merge them (with the attached receipt), or just replace the less complete one (sorry, bank feed, but I want my receipts where I can see them).

Why Wave?

  • It’s free. Wave is 100% free, not just a free trial. And to make it even better, Wave customers get special deals on everything from computers and credit cards to office supplies.
  • It’s easy to use. Connect your bank account, credit card and Shoeboxed. The result is no manual data entry, full audit protection, and you don’t even have to know anything about accounting!
  • It is the best accounting integration Shoeboxed has. The de-duplication feature is what really sets this integration apart. Don’t worry about having the same transaction in your accounting system twice. Bank feeds are great, Shoeboxed is better, and you can have both without making an accounting mess!

Check out all their features here, or sign up for free here.

PayPal Now Available as a Payment Type

Hey Shoeboxers,

You asked, and we delivered! We now offer PayPal as a payment type for your receipts in Shoeboxed.

PayPal as a Payment Type in ShoeboxedFrom now on, any PayPal receipts that you submit to Shoeboxed for processing will have PayPal listed as the payment type! If you already have PayPal receipts in your account, you can change the payment type for those receipts to PayPal by clicking on the receipt in your account and selecting PayPal from the drop-down menu next to “Payment types.”

Power tip: Want to get your PayPal receipts and invoices into your Shoeboxed account even faster? Try our new Web Clipper for Google Chrome!

If you have any feedback or questions about PayPal or other payment types please reach us 24/7 at help@team.shoeboxed.com or give us a shout on Twitter @ShoeboxedHelp.

We’ll be sure to keep you in the loop as we release new features and upgrades!

Stay Organized,

The Shoeboxed Team