Forums: Discussions for entrepreneurs and small business.

I am trying to figure out how to pay for bills that are used by both
personal and business purposes- i.e - phone, internet, electric, etc.-
Any suggestions out there?

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CMARK

Hi Mark,

You should be able to get your answers reading pub 583, Business Use of Your Home.  IRS has guidelines for you to follow.  Hope this helps.

 

Click on link: http://www.irs.gov/publications/p583/ar02.html#d0e1506

In addition to that, you might want to read, Publication 587 (2006), Business Use of Your Home

http://www.irs.gov/publications/p587/index.html

Bree

If you want direct answers (pub 587)

To find the business percentage, compare the size of the part of your home that you use for business to your whole house. Use the resulting percentage to figure the business part of the expenses for operating your entire home.

You can use any reasonable method to determine the business percentage. The following are two commonly used methods for figuring the percentage.

Thanks Bree- But do you pay them each month out of business or
personal?

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CMARK

It is a good rule to keep you personal separate from your business to avoid conflict.  Be sure to keep supporting docs for your business activity.   

Bree 

bree,

awesome contribution. thanks for your support of CMark - that`s what this community is all about!!!

rich


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Rich Sloan , Co-Founder, Chief Startupologist, StartupNation

Your so weclome Rich!  Love, love, love this site "Startup Nation"!  So sweet!  Im so new to the site and love the overall support and it intention for everyone who wishes to brave the world of business. 

Respectfully,

Bree

Cool! plz spread the word. we want 10s of millions of people here, not just 100s of thousands!!!

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Rich Sloan , Co-Founder, Chief Startupologist, StartupNation