Planning for 1099 work
BaseA big payment just landed.Now what?
Taxes, a card, a car loan, an old balance you can probably negotiate. Game Plan shows you what to pay, in what order, and what is left for you.
Money lands in a lump. Every claim on it lands at the same time.
The tax bill wants its share. So does the card, the car, and the balance from the old apartment.
What is left for you is the number nobody works out.
One payment, laid out top to bottom.
Available
$29,158
- Tax reserve$7,289.50
- Discover$2,000
- Car loan$3,000
- Old apartment$15,000
- Left for you$1,868.50
$1,868.50 left for you
Sample figures, computed by the planner itself.
The tax reserve comes off the top.
1099 income arrives with nothing withheld, so the plan sets aside a share of every taxable payment before anything else. The share is your own Tax Reserve rate, taken from the payment before expenses.
Not all money in is income. Mark a loan, a gift or a reimbursement as not taxable and it skips the reserve.
It knows what is coming.
A payer who has paid you on a steady schedule shows up as an expected deposit, worked out from your own income history. Plan on confirmed money only, or confirmed plus expected.
Expected money is always labelled Likely or Possible and drawn apart from money received, so the two never blur.
Test a settlement before you call.
Mark an old balance as negotiable and its slider runs anywhere below the full amount. Try a figure and see the ratio and what is left for you change as you drag.
The planner also states what settling can cost later: forgiven debt over $600 is generally reported on Form 1099-C and treated as taxable income.
See what is left before you spend it.
Planning only. Hatchly does not move money. The tax reserve and payoff order are suggestions based on the numbers you entered, not tax or financial advice.