Accounting help!

[jaylupa]

I have a question. Do you need to be a registered business? I am running privately and have not registered yet. Do I need to before tax time?

[elipamu]

Well I'm running it privately but I just want to have the income from the business separate from my own income..so I'm paying my salary monthly. And then do the taxes separate as well.

[AllenScantland]

Hi, I don't think you're incorporated, so any income you earn will be yours as a self-employed business, completing the T2151 with your tax return. It's important to collect your revenue and expenses, and to attribute home related expenses to the business. I do this for my wife and my own business. You can get an accounting package but a spreadsheet does the job too.

If you want to track the income and expenses separately from other income then start with an accordion folder to file your paperwork (invoices, receipts, bills).

[AllenScantland]

Jaylup, Check your with your province's legislation: http://www.child.alberta.ca/home/1159.cfm It may depend on the size of your daycare and the services you provide.