NicciT

hi guys - me again

so i want to start my own business (along the lines of avon) but i want to know it this is ok before i have my EAD as its not actual employment, but it is income. I would get a 10-99 form at the end of the year and commission paychecks each month but no employment contract.

Any advice - can i do this or do i have to wait?

Noorah101

If you are generating income, you are supposed to wait until you have an EAD in hand first.

That said, if you'll be self employed (meaning you don't have to submit an I-9 employment verification to an employer), you can probably work and it would be forgiven by USCIS if they come to find out about it.

Rene

NicciT

great thanks - i prob won't actually earn anything until i get my EAD anyway so that prob would be avoided!

Noorah101

If you want to get the account set up, buy the inventory, make appointments, and talk to clients, you can do all that now. Might be better to have your EAD in hand before actually making a sale.

Rene

NicciT

Yeah its likely to be around 2-3 months before i can start earning an income and i've been told i'll have my EAD within 60 days by the USCIS yesterday but thanks for the advice!

NicciT

Its a little like Avon or Jewlry parties where u do parties at others houses

sir_eccles

Don't forget to do taxes, for which you'll need an SSN.

The taxes for freelance and self employment can be tricky as there aren't any withholdings by your employer every month so you'll either be paying a big lump sum at the end of the year along with possible penalties for not paying during the year or paying quarterly estimated taxes (look to set aside a good chunk of cash 25-50% of income). Suggest talking to an accountant to check your particular position.

NicciT

good advice thanks so much i will def do this!!

Noorah101

Nicci,

Once you get organized in your business, if you need a sample spreadsheet to keep track of income and business expenses, I have a very good one that I use for my husband's self-employment business. It's already separated out with the categories the way they need to be presented to a tax preparer.

Let me know via PM and I'll send it to you.

Rene

NicciT

Thank you so much Rene I will def be in touch re that once i've got all the wheels in motion - shouldn't be too long i hope but that will be a great help - thank you again x

Family_Guy

Not strictly true. To file taxes you need an ITIN for which you do NOT require a SSN in fact not having a SSN is a positive factor when applying for a ITIN.

Everyone including illegals is required to file taxes.

jeffreyhy

Not having a SSN is not sufficient - to get an ITIN one must be not eligible for a SSN.

If one does not have an SSN, but is eligible to apply for a SSN, then one must apply for the SSN. They cannot get an ITIN.

Regards, JEff

Family_Guy

True, however based upon the OP he is not eligible at this moment in time for a SS#

I admit this is not an area that I have great knowledge of but can he not get an ITIN on that basis???? I know I did.

Noorah101

How do you come to this conclusion? The OP never even mentioned Social Security Number. She never even mentioned what visa she's here on, although I can make an educated guess. So how can you know she's not eligible for a SSN?

If someone is not eligible at all for a SSN, then yes, they can get an ITIN on that basis. However, the OP seems to be eligible for one (as far as I can tell), so therefore cannot get an ITIN.

Rene

Rete

Please be sure to apply to your city for a business license. They are inexpensive and only a sheet of paper but it is necessary to have. The license will allow youto work from your home, will define your business and will be helpful in claiming much needed State and Federal Income business deductions from your income tax filings.