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Cabling Side Job 2
- Thread starter mk81596
- Start date
franklin97355
Technical User
This will all depend on what state/county you plan to work in.
The answer is "42"
The answer is "42"
need to look at licensee and insurance ..
the fact that your doing it "on the side " doesn't end liability or change licensee requirement
taxes vary by state but if you charge for service here , you need to collect sales tax . the fact thats it a "side job " doesn't matter
off course any income is subject to income and ss tax
by side job do you mean you will be servicing your employers customers on your own taking the business from him ?
the fact that your doing it "on the side " doesn't end liability or change licensee requirement
taxes vary by state but if you charge for service here , you need to collect sales tax . the fact thats it a "side job " doesn't matter
off course any income is subject to income and ss tax
by side job do you mean you will be servicing your employers customers on your own taking the business from him ?
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1
- #4
I have done it.
I cable for my company and the propreitary equipment we install. So a side job was easily definable if they did not buy my company's products.
I got a few jobs after running an ad in the paper.
In VA I had to have a class C contractors license.
In KY I had to have a business license\tax id.
(Neither very expensive but made me legal)
Insurance is negotiable. You can let the customer know that you do not carry insurance in your contracts and make that a selling point for being cheap. Which means they will carry it while you are on site. (document this in the contract and you should be ok) Basic contractor insurance is not expensive if you are going to jump into this seriously.
Its the first step to stepping out on your own. Good luck.
Bo
Remember,
If the women don't find you handsome,
they should at least find you handy.
(Red Green)
I cable for my company and the propreitary equipment we install. So a side job was easily definable if they did not buy my company's products.
I got a few jobs after running an ad in the paper.
In VA I had to have a class C contractors license.
In KY I had to have a business license\tax id.
(Neither very expensive but made me legal)
Insurance is negotiable. You can let the customer know that you do not carry insurance in your contracts and make that a selling point for being cheap. Which means they will carry it while you are on site. (document this in the contract and you should be ok) Basic contractor insurance is not expensive if you are going to jump into this seriously.
Its the first step to stepping out on your own. Good luck.
Bo
Remember,
If the women don't find you handsome,
they should at least find you handy.
(Red Green)
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1
- #5
dagwoodsystems
Programmer
In California, any job that bills less than $500 does not require a license. However, I'm with skip555 in that you should probably have some kind of protections in place.
At least in California, a state approved license training center will run you between $1,200 and $1,800, depending on what bells and whistles they offer. Most guarantee that you will pass the test, and trust me, you WILL learn a thing or two (especially since about half the test covers the legal stuff about business). The more expensive ones will handle your test fees, state paperwork and all that junk. The one I went to included a state-required bond of $10,000 for basic covereage. I chose this path so that I could get going immediately without a second thought. The whole thing will take you eight weeks if you work it straight through...just a couple of hours on a Saturday for formal training, then regular visits to take practice tests.
When all is said and done, you'll want to frost the cake by incorporating your business. If you don't know any friendly attorneys, there are online places like legalzoom.com, where you can expect to become incorporated for around $500. God forbid you ever get sued; but if it happens, they'll leave your house and other personal belongings alone.
Trust me. This is all good advice.
At least in California, a state approved license training center will run you between $1,200 and $1,800, depending on what bells and whistles they offer. Most guarantee that you will pass the test, and trust me, you WILL learn a thing or two (especially since about half the test covers the legal stuff about business). The more expensive ones will handle your test fees, state paperwork and all that junk. The one I went to included a state-required bond of $10,000 for basic covereage. I chose this path so that I could get going immediately without a second thought. The whole thing will take you eight weeks if you work it straight through...just a couple of hours on a Saturday for formal training, then regular visits to take practice tests.
When all is said and done, you'll want to frost the cake by incorporating your business. If you don't know any friendly attorneys, there are online places like legalzoom.com, where you can expect to become incorporated for around $500. God forbid you ever get sued; but if it happens, they'll leave your house and other personal belongings alone.
Trust me. This is all good advice.
dagwoodsystems
Programmer
To answer your question more directly: In California, you can do little piddly jobs...$250 here, $400 there and do so legally without a contractor's license.
Any company you do business with regularly (even if it's less than $500 at a time) will eventually send a Form 1099 MISC to you and the IRS, which states the total non-employee income you have earned from that company.
Knowing that, you can help yourself in advance by keeping mileage records and receipts for all expenses such as parts, parking and the like. Let your tax person handle the rest.
And what if you never receive a Form 1099 MISC from anyone? Well, that's between you and your priest. My personal opinion is to always be honest with this stuff. If you're in business--REALLY in business--then you are "for profit". You can make a very decent living as a cable guy without having to lie to the government. Be agressive with your taxes, but don't commit fraud.
Any company you do business with regularly (even if it's less than $500 at a time) will eventually send a Form 1099 MISC to you and the IRS, which states the total non-employee income you have earned from that company.
Knowing that, you can help yourself in advance by keeping mileage records and receipts for all expenses such as parts, parking and the like. Let your tax person handle the rest.
And what if you never receive a Form 1099 MISC from anyone? Well, that's between you and your priest. My personal opinion is to always be honest with this stuff. If you're in business--REALLY in business--then you are "for profit". You can make a very decent living as a cable guy without having to lie to the government. Be agressive with your taxes, but don't commit fraud.
Protection is good advice. Incorparate ASAP.
License if needed by State. In Michigan none is required, yet.
Permits. Many States are requiring this . Michigan just did it.
Taxes. Michigan is starting a service tax. Sales tax is an issue. If you buy you material wholesale you pay no tax. You need to charge tax on the final cost to the customer. If you pay the tax at the time you purchase you can claim it on to taxes as credit.
Insurance. At least 1 million in coverage.
Consider becoming a partner with a RCDD.
Find a business mentor. Try
And if you make it big, don't forget your buddies here that gave you your first advice.
Good Luck
License if needed by State. In Michigan none is required, yet.
Permits. Many States are requiring this . Michigan just did it.
Taxes. Michigan is starting a service tax. Sales tax is an issue. If you buy you material wholesale you pay no tax. You need to charge tax on the final cost to the customer. If you pay the tax at the time you purchase you can claim it on to taxes as credit.
Insurance. At least 1 million in coverage.
Consider becoming a partner with a RCDD.
Find a business mentor. Try
And if you make it big, don't forget your buddies here that gave you your first advice.
Good Luck
dagwoodsystems
Programmer
Good advice from GMgerry. And I'll give a second vote to score.org.
Most new business owners feel they can skip their profit margins "just until" they get established. Do a good job for a fair price, not a fair job for a low price.
Know yours costs, keep them under control and shoot for the 30% GPM "gold" standard.
sell price = cost divided by 1-GPM%
example $2500 cost at 30% GPM equals $3571.43 sell price.
Regards
Peter Buitenhek
ProfitDeveloper.com
Know yours costs, keep them under control and shoot for the 30% GPM "gold" standard.
sell price = cost divided by 1-GPM%
example $2500 cost at 30% GPM equals $3571.43 sell price.
Regards
Peter Buitenhek
ProfitDeveloper.com
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