Hello! Thanks to everyone who replied to the fork storage question, it was really helpful to see photographs.
Now for another issue. We may get funding/reimbursement for rehabbing bikes, then distributing them in a free bike program. There is currently not enough time or space in the shop to do this during regular shop hours.
What we thought to do was pay mechanics an hourly or per bike stipend to come in when we're closed and work on the free bikes. What sort of things do we have to keep track of/worry about in regards to the money. There could be any number of people working on the bikes and I would hate to, tax-wise, consider each of them an employee, especially when the per year total would probably be a few hundred dollars at most. Is it enough to keep track of who we paid and where the money went and put the onus on our mechanics to report it on their personal tax return?
Thanks! Brian
Urban Bike Project of Wilmington -a 501(c)3 non-profit bike shop- 1908 N. Market Street (entrance is in the parking lot behind the building) Wilmington, DE 19802
Hours: Thursday 6:30-9:00 Saturday 1:00-4:00
Visit us online at http://urbanbikeproject.org
If you call them independent contractors, yes, but they'll pay more
than they would if you put them on the payroll.
Rachael
Sent from my iPhone
On May 6, 2009, at 10:04 AM, "Urban Bike Project Wilmington, DE" <urbanbikeproject@gmail.com
wrote:
Hello! Thanks to everyone who replied to the fork storage question,
it was really helpful to see photographs.Now for another issue. We may get funding/reimbursement for
rehabbing bikes, then distributing them in a free bike program.
There is currently not enough time or space in the shop to do this
during regular shop hours.What we thought to do was pay mechanics an hourly or per bike
stipend to come in when we're closed and work on the free bikes.
What sort of things do we have to keep track of/worry about in
regards to the money. There could be any number of people working
on the bikes and I would hate to, tax-wise, consider each of them an
employee, especially when the per year total would probably be a few
hundred dollars at most. Is it enough to keep track of who we paid
and where the money went and put the onus on our mechanics to report
it on their personal tax return?Thanks! Brian
Urban Bike Project of Wilmington -a 501(c)3 non-profit bike shop- 1908 N. Market Street (entrance is in the parking lot behind the
building) Wilmington, DE 19802Hours: Thursday 6:30-9:00 Saturday 1:00-4:00
Visit us online at http://urbanbikeproject.org _______________________________________________ Thethinktank mailing list Thethinktank@bikecollectives.org To unsubscribe, send a blank email to TheThinkTank-leave@bikecollectives.org To manage your subscription, plase visit: http://lists.bikecollectives.org/listinfo.cgi/thethinktank-bikecollectives.o...
On Wed, May 6, 2009 at 7:04 AM, Urban Bike Project Wilmington, DE urbanbikeproject@gmail.com wrote:
Is it enough to keep track of who we paid and where the money went and put the onus on our mechanics to report it on their personal tax return?
Yes, pretty much. You should be able to fly under the radar on this.
Your volunteers are contractors, not employees.
You will report the annual payment to each contractor on a Form 1099. Copies are given to the contractor and the tax agency. However, I'm pretty sure you can skip this step for contractors who were paid less than $600. Consult a professional in your area to be sure.
Those 2008 Form 1099s were due earlier this year. I missed the deadline. Our accountant advised me to NOT submit the forms late, as this will cause the IRS to fine us now. In case of an audit, they might catch and fine us the same amount later. Our defense: "Oops. I thought those had been filed."
I hope the IRS doesn't read ThinkTank.
Head's up, everybody! Our federal Form 990 taxes are due May 15. Yours may be too. It's helpful to keep up on this stuff if, say, you'd like to receive grant money.
Dave Bourgeois Treasurer, Bici Centro of Santa Barbara
participants (3)
-
Dave Bourgeois -
Rachael Spiewak -
Urban Bike Project Wilmington, DE