As I recently crowned myself “The SEO Side Hustler”, announcing that in 2018 I had 5 SEO-based side hustles that earned a minimum of $1,000 each, I knew that title would come with a potential downside:
This month when my wife and I would file our taxes for last year’s income, instead of getting money back from the IRS as we have every single year we’ve been married, it would be a very real possibility we could actually owe several thousand dollars instead of receiving that as a return.
When I said that I had 5 side hustles last year that earned a minimum of $1,000 each, the thing is…
For some of those side hustles, it was a bit more than a thousand dollars… or even a lot more.
I had never made that much in side income before. It was never an issue or a concern for the years prior.
The problem is that my superhero power of finding random ways to make money from my SEO skills didn’t mean that I automatically knew anything about being prepared for the taxes I would owe on that money.
It was a bit intense last Saturday morning, walking into H&R Block, knowing that in just an hour, we would know our fate; for better or worse.
Forty-five minutes into our consultation, it was looking as if we were going to owe about a thousand dollars; which wouldn’t have been awful.
But fortunately, and I would even say miraculously, our H&R Block representative found a couple more items that had not been considered yet as tax write-offs; like how I mainly use my phone for managing my side hustles, and the fact I have a room in my house dedicated exclusively to my side hustles, serving as my office.
Plus, our H&R Block representative helped us get set up on a system where we are now able to easily pay back 25% of my side income earnings in advance each quarter, so that there’s no reason for anxiety in paying those taxes next February.
At the 55 minute mark into our hour-long consultation, it was confirmed: Even after the consultation fee for H&R Block, we would still get a few hundred dollars back!
Our sense of relief was actually greater than our sense of celebration.
And it was perfect timing, as that money would ultimately end up covering our “24 hour parent staycation” that began the moment we left the moment we drove out of the H&R Block parking lot.
Stay tuned for that…