Business Checking Account
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- seed
How many of you have a separate business checking account for freelance work and do you think it is a good idea?
- capn_ron0
i do. it keeps it all separate, and you can start a savings account to save for taxes. Plus if you need to entertain a client, you just use that account. I find that my business credit card keeps everything simple and on one account. Then I just pay the credit card with the business bank account.
- rodzilla0
same here.
- seed0
I was told that if you ever have a tax issue that it can be a simple record that keeps them from going into your personal finances.
- eegrek0
Keep it separate. It's easier for taxes, accounting, and life in general.
- seed0
For that purpose can it just be two personal checking accounts? I dont think I really need a 'business' account since I don't have a DBA. All checks are to my name anyway.
- skelly_b0
either way, just keeping it separate is the important part. If you ever setup a corporation or LLC, it is required.
- mirrorball0
I have a separate account but I never use it. Only thing that ever comes out of it is my national insurance, my accountant said they don't care where the cheque comes for my tax as long as i pay it anyway.
- former20
set it up, only takes a few minutes. You can instantantiously transfer funds (of any amount) back and forth between accounts, too (which I do all the time)
- seed0
Thanks for the info. I set one up yesterday. It is just a personal checking account. I didn't think I needed an actual 'business' account as mentioned above.
It is also cool to be able to access both with the same login and transfer online.
Do any of you write many checks from your business accounts? I can't think of many reasons to other than maybe paying subcontractors.