flyangel2 2 #51 December 30, 2004 So you are bringing in some money. I would suggest putting yourself on a budget in order to find some insurance for your rig since your skydiving is what brings in your income. But that's just me, I like to know that my stuff is protected and I don't want to worry if something were to happen to it, how would I replace it.May your trails be crooked, winding, lonesome, dangerous, leading to the most amazing view. May your mountains rise into and above the clouds. - Edward Abbey Quote Share this post Link to post Share on other sites
WFFC 1 #52 December 30, 2004 QuoteEven more reason to make sure your rig is insured since your only means of income depends on it. Separte kind of insurance in most cases then. If you're using the equipment for enjoyment (e.g. not making money), than it would generally be covered, just make sure to ask. If you're using th equipment to make money (e.g. put food in your mouth) then you'll have to take out a business policy which can be more expensive.----- ~~~Michael Quote Share this post Link to post Share on other sites
flyangel2 2 #53 December 30, 2004 If the rig is used as a business expense, then does the person have to claim that income? If the rig is just used as hobbies, then you don't have to claim the income? I think it would depend on how the JMs is paid. I hear there are some skydiving operations that pay the JMs and staff and take out taxes. If that is so, then that money has to be claimed. There are also some DZs that pay their JMs and staff as Independent Contractors and then the JMs and staff are responsible for reporting income to the IRS. If the money is given in jumps, or not claimed by the DZO then no taxes have to be paid. Is that all correct?May your trails be crooked, winding, lonesome, dangerous, leading to the most amazing view. May your mountains rise into and above the clouds. - Edward Abbey Quote Share this post Link to post Share on other sites
PhillyKev 0 #54 December 30, 2004 Any income, no matter what the source "has" to be declared. Whether you can get away with not doing so is a separate matter. "If the money is given in jumps, or not claimed by the DZO then no taxes have to be paid." What do you mean by "have to"? You're legally required to. Quote Share this post Link to post Share on other sites
flyangel2 2 #55 December 30, 2004 Quote"If the money is given in jumps, or not claimed by the DZO then no taxes have to be paid." What do you mean by "have to"? You're legally required to. Okay, for example. You work so many hours at the DZ in the office. You make X amount of money. You make Y amount of jumps, in which the money for the jumps comes off your account. Later in the week you need some cash, so the DZO writes you a check. Come the end of the year when it's time to claim income, you only claim what was on the check. You earned the money by the hours you worked in the office, but you took some money off the books to make a skydive, yet that amount isn't on the check. How is that dealt with?May your trails be crooked, winding, lonesome, dangerous, leading to the most amazing view. May your mountains rise into and above the clouds. - Edward Abbey Quote Share this post Link to post Share on other sites
kansasskydiver 0 #56 December 30, 2004 QuoteEven more reason to make sure your rig is insured since your only means of income depends on it. Nah, I just don't want to actually go and get a job<--- See look, pink dolphins DO exist! Quote Share this post Link to post Share on other sites
cloudseeker2001 0 #57 December 31, 2004 QuoteQuoteMy rig is included in my Renters Policy mine is included in howeowners insurance mine too. "Some call it heavenly in it's brilliance, others mean and rueful of the western dream" Quote Share this post Link to post Share on other sites
Kris 0 #58 December 31, 2004 QuoteHell, if he's going to be on the slopes I might just have to come to see it too *ears perking up* Ski trip?Sky, Muff Bro, Rodriguez Bro, and Bastion of Purity and Innocence!™ Quote Share this post Link to post Share on other sites
skycat 0 #59 December 31, 2004 you wanna come and play with us too?Fly it like you stole it! Quote Share this post Link to post Share on other sites
kansasskydiver 0 #60 December 31, 2004 Actually if you own a business and don't make more than $5000 a year it's considered a loss. This is how my it's reported on my taxes as well as my webdesign and other sources of income. Our DZ is a club through the university we have no staff, no one gets paid money really. Our JMing is all paid in jumps that the students buy and pay the jumpmaster with a ticket, then the video work is paid directly to me<--- See look, pink dolphins DO exist! Quote Share this post Link to post Share on other sites
Kris 0 #61 December 31, 2004 Quoteyou wanna come and play with us too? Oh hell yeah!Sky, Muff Bro, Rodriguez Bro, and Bastion of Purity and Innocence!™ Quote Share this post Link to post Share on other sites
PhreeZone 20 #62 December 31, 2004 When and where? Also how bad is rental going to set me back for boots and a board? I really want the step in bindings, but if they only rent the others I already have boots.Yesterday is history And tomorrow is a mystery Parachutemanuals.com Quote Share this post Link to post Share on other sites
skycat 0 #63 December 31, 2004 Well if you are nice to me when you come to town I'll drive you to a local store which is much cheaper than at the resort. Fly it like you stole it! Quote Share this post Link to post Share on other sites
BillyVance 34 #64 December 31, 2004 Mine's on my homeowner's policy"Mediocre people don't like high achievers, and high achievers don't like mediocre people." - SIX TIME National Champion coach Nick Saban Quote Share this post Link to post Share on other sites
WFFC 1 #65 December 31, 2004 QuoteWell if you are nice to me when you come to town I'll drive you to a local store which is much cheaper than at the resort. Me thinks this thread is starting to be hijacked. Should be polite and start another... I'm still wanting to ground launch my canopy off A-Basin at some point. Will wait till I get settled and then go for it from there. ----- ~~~Michael Quote Share this post Link to post Share on other sites
skycat 0 #66 December 31, 2004 hey slow boy, I already did. Fly it like you stole it! Quote Share this post Link to post Share on other sites
flyangel2 2 #67 December 31, 2004 Like here. Wondered where you were.May your trails be crooked, winding, lonesome, dangerous, leading to the most amazing view. May your mountains rise into and above the clouds. - Edward Abbey Quote Share this post Link to post Share on other sites
WFFC 1 #68 December 31, 2004 QuoteIf the rig is used as a business expense, then does the person have to claim that income? Yes (example - Tandem Master/Vidiot/AFF I) Note: The IRS will allow a business to write off up to $100,000 (I think this changes to $125k in '05, but check with your tax advisor) in business expenses without having to justify the expense. Business expenses include: computers, cameras, canopies, altimeters, whatever. QuoteIf the rig is just used as hobbies, then you don't have to claim the income? Correct (example - manifest staff) QuoteI think it would depend on how the JMs is paid. I hear there are some skydiving operations that pay the JMs and staff and take out taxes. If that is so, then that money has to be claimed. right again - Example would be a club where the JM gets compensated with a free jump. There is a big distinction between getting a free jump (donating your time) and getting $25-$35 for the jump (part/fulltime employment) QuoteThere are also some DZs that pay their JMs and staff as Independent Contractors and then the JMs and staff are responsible for reporting income to the IRS. Not exactly. The business owner writes the independent contractor (IC) a check to the IC's company (in my case, GP, LTD), then the business owner (DZO) does not need to submit a 1099 Misc to the IRS - It's a line item expense in the accounting records. Business owner (DZO) retains the tax ID of the company he paid for services rendered. And actually, I don't think the business owner needs to retain the tax ID, just the check record that he payed XYZ, Inc. No reporting to the IRS is needed as long as the accounting records are good. The IC's company has payroll or otherwise and reports the income info as paid out by the company to the employee of said IC's company. (I may have to rewrite this if it doesn't make sense) If the check is written directly the the IC (say Mary S. and not Mary S. Inc.), then the business owner gets your SS# and submits a 1099 misc to the IRS. QuoteIf the money is given in jumps, or not claimed by the DZO then no taxes have to be paid. Correct, this is how Jeff did it when we worked at the DZ.----- ~~~Michael Quote Share this post Link to post Share on other sites
flyangel2 2 #69 December 31, 2004 So, depending on how Chris is paid from his DZ which is a club and he doesn't get paid, but he said he counts that as income, will determine what kind of insurance he should get for his rig.May your trails be crooked, winding, lonesome, dangerous, leading to the most amazing view. May your mountains rise into and above the clouds. - Edward Abbey Quote Share this post Link to post Share on other sites
ChileRelleno 0 #70 December 31, 2004 Renters policy covers all my belongings wherever they may be. ChileRelleno-Rodriguez Bro#414 Hellfish#511,MuffBro#3532,AnvilBro#9, D24868 Quote Share this post Link to post Share on other sites
slug 1 #71 December 31, 2004 QuoteGrant, it's true, once you file a claim your insurance will go up. But in the long run I think it's worth it. I have a $500 deductible, and two rigs and lots of other sport related items. If my house should burn down, I think paying the $500 is well worth having all that other stuff replaced Not a insurance agent but we rec'd a six figure settlement from our insurance company Cost of Insurance coverage didn't increase. And we weren't cancelled R.I.P. Quote Share this post Link to post Share on other sites
slug 1 #72 December 31, 2004 QuoteSo, depending on how Chris is paid from his DZ which is a club and he doesn't get paid, but he said he counts that as income, will determine what kind of insurance he should get for his rig. Insurance companies play hardball worse than the IRS IMO not a good idea to have insurance that you can't collect on due to a failure to communicate. Insurance companies don't like to pay. Give them a excuse and they will take it. R.I.P. Quote Share this post Link to post Share on other sites
WFFC 1 #73 December 31, 2004 QuoteSo, depending on how Chris is paid from his DZ which is a club and he doesn't get paid, but he said he counts that as income, will determine what kind of insurance he should get for his rig. If Chris gets a 'check' as payment, and uses his rig to secure such payment, it's a business policy that he'll need. Not sure I entirely understand how he gets compensated with nothing but claims as income?----- ~~~Michael Quote Share this post Link to post Share on other sites
PhillyKev 0 #74 December 31, 2004 QuoteHow is that dealt with? If you happen to get caught? Probably fines and/or imprisonment. Quote Share this post Link to post Share on other sites
DrewEckhardt 0 #75 December 31, 2004 Quote Grant, it's true, once you file a claim your insurance will go up. My camera helmet was stolen at Quincy. Rather than accepting the number I paid for the camera the insurance company insisted on talking only with the local electronics retailers. The settlement using local prices minus the deductable covered what I paid - about $1500 (about 15X my annual premium) and change. While my insurance may have gone up it wasn't an interesting number. Quote Share this post Link to post Share on other sites
