Tax season can be extremely stressful for many independent contractors because many are not sure how much they are going to owe the IRS. Independent contractors do not often have taxes taken out throughout the year because they are paid by individual clients rather than a large corporation. The contractors then need to submit their wages to the IRS and pay for the taxes after the year has passed.
If you are an independent contractor and have found out you owe more money than you anticipated, the following guide can help you figure out how to get the money you owe with a cash advance:
Determine the True Amount Owed
Once you get one cash advance from the lending company, it can be very difficult to get any more money from them because you will still owe them money. Take the time to figure out how much money you owe in both state and federal taxes before attempting to get the loan to ensure you get enough money to cover everything you owe.
Know the Loan Agreement Fees
When you get a cash advance, there are fees associated with the advance. You may have to pay a specific amount of money as a flat rate for the loan or the company could require you to pay interest on the loan. The interest rate for the loan will more than likely be quite high, but if you plan to pay the money back quickly and need it badly, it may still be the best option available to you.
Get the Money Right Away
When you get a cash advance, the money can be deposited directly into your account. This allows you to call and pay the IRS over the phone or online right away. Being able to pay the IRS quickly will give you peace of mind and ensure that you do not risk jail time or have to pay additional fees to the IRS.
You will have a little while to pay back the loan so that you do not become overly stressed about the repayment process. Be sure to make your payments on time and in full though. There are some companies that require you to put up something valuable as collateral for the loan, if you default on it, the company can then repossess the item that you put down as collateral, which could cause you to lose something very precious to you.
To learn more, contact a company like Payday Express with any questions you have.
When I got my first credit card, I had no idea how to manage my money. I made a lot of mistakes that I later regretted and had to spend many years rebuilding my credit. I didn't realize that even one mistake can cause serious damage to your credit score. I did a lot of research into money management and credit repair options and put the effort in to rebuild my credit. This site is a compilation of the things that I've learned and the steps that worked for me. Hopefully the information here can help you to avoid some of the struggles that I faced.