Hi
I have two full time kids and a part time kid ( 3 full days a week) starting Next Tuesday.

All parents pay me in cash every Friday.

Should I be depositing the money and then withdraw it to show a record of payment?

I use the money now for our groceries/gas/spending and any gifts we might need.

I will be handing our reciepts. Are the reciepts enough for the government to prove earned xxxx of dollars in 2012.

I am so worried I will get audited.
I also keep grocery reciepts and any other reciept that could be daycare related.

This is the first time I am claiming income as self employed and I want to ensure I am doing it correctly