Dollars & Sense

By Carol ToppEducation Parenting Kids & Family

Dollars & Sense episodes

March 26, 2020Closing Your Homeschool Group During COVID-19
Has COVID-19, the novel corona virus pandemic, caused your homeschool group to close, suddenly? How did you make the decision to cancel your program?
Carol Topp, the HomechoolCPA is joined on today’s podcast by Doreen Browning, co-moderator of the I am a Homeschool Group Leader Facebook group and Jamie Buckland, Classical Program Consultant.
Listen as Carol, Doreen and Jamie discuss:
Making hard decisions to close your homeschool program.
The benefits of having a team help you make quick decisions under stress
What to do if there is pushback about your decisions.
Future decisions about re-opening.

Join the Facebook group for homeschool leaders: I am a Homeschool Group Leader. 1200+ homeschool leaders offer ideas, encouragement and respectful exchange of ideas. https://www.facebook.com/groups/72534255742/

Jamie Buckland, the Classical Program Consultant is available for phone consultations regarding starting and running a classical homeschool group. Contact her at https://jamiebuckland.net/

Featured Product
Webinar: Starting an Academic Homeschool Program
Are you interested in starting a homeschool program with a classical and academic focus? Jamie Buckland started Appalachian Classical Academy (ACA) after running a for-profit classical community. Now she is the Executive Director of ACA. She explains how ACA is set up with not one but two boards to run the Academy as a nonprofit organization!
Jaime and Carol teamed up to present a webinar on the ABCs of Starting an Academic Homeschool Program. You can benefit from their combined knowledge in this webinar (and you’ll get several helpful resources as well). http://homeschoolcpa.com/how-to-start-an-academic-homeschool-program/
The post Closing Your Homeschool Group During COVID-19 appeared first on Ultimate Homeschool Podcast Network.
16 min
March 19, 2020Speech and Debate Club – Unsure of Its Setup?
Carol Topp, the Homeschool CPA, is frequently asked by small homeschool groups if they are setup up correctly.
Do they owe taxes?
Do they need to be a nonprofit corporation?
Henry writes, “Can a small homeschool education club focused on speech and debate be categorized as an “unincorporated association” and therefore not apply for recognition by the IRS and not file taxes?
Less than $2,000 pass through the club to pay for insurance and facilities…
This club formed in 2015 and I joined last year and become the director this year. I am wondering if we are structured correctly…”
Listen to Carol’s reply to Henry’s questions on today’s episode of the Homeschool Leader podcast.
Can the Speech and Debate Club be a 501c3?
Do they need to be a formalized entity?
Should they get an EIN?
What should they do to be structured correctly?
Do they owe taxes?
In the podcast, Carol mentioned how a small nonprofit like Henry’s club can self-declare 501c3 tax exempt status. Carol has a few blog posts on self-declaring 501c3 tax exempt status and the filing the IRS annual notice, Form 990-N:
https://homeschoolcpa.com/how-to-get-added-to-the-irs-database-and-file-the-form-990n/
https://homeschoolcpa.com/irs-form-990n-faq/
Featured Product
In the podcast I mentioned my book The IRS and Your Homeschool Organization

Does your homeschool group need to pay taxes? Could they avoid paying taxes by being a 501c3 tax exempt organization? Do you know the pros and cons of 501c3 status? Do you know what 501c3 status could mean for your homeschool group?
I have the answers for you in my book The IRS and Your Homeschool Organization. The information I share in my book has been helpful to homeschool support groups, co-ops, music and sports groups and will help you understand:
The benefits of 501c3 status
The disadvantages too!
What it takes to make the IRS happy
What your state requires
Why your organization should consider becoming a nonprofit corporation
What is the difference between nonprofit incorporation and tax exemption
IRS requirements after you are tax exempt
The webinar Create a Nonprofit for Your Homeschool Community is also helpful.
The webinar is 90 minutes and covers:
The difference between a business and a nonprofit
What are the advantages and disadvantages of being a nonprofit
Forming a board: who can be one it, what do they do, etc.
Creating bylaws
Drafting a budget
Setting up a bank account
Forming a nonprofit corporation in your state
The timeline to get this all done
The expense to accomplish this

The post Speech and Debate Club – Unsure of Its Setup? appeared first on Ultimate Homeschool Podcast Network.
13 min
March 05, 2020Conflict of Interest: Paid Teachers as Board Members in a Homeschool Group
Conflict of Interest: Paid teachers as board members in a homeschool group
A homeschool leader is concerned about a conflict of interest if she wants to be a board member and paid teacher.
Jessica, who wants to start a homeschool co-op emailed HomeschoolCPA Carol Topp this situation:
“I have a question about the conflict of interest issue. Three ladies and I would like to incorporate to teach classes together and form a co-op. If we are the three board members, then does that mean we cannot profit by also teaching? Do you have any article that clarifies that?”
Listen as Carol explains:
The conflict of interest between being on the board and being paid by a nonprofit
Inurement and self-dealing
Why it is not a good practice for nonprofit to have paid staff also serve as board members.
Three options Jessica has:
Form a 3-way partnership (a for-profit business)
Have a separate, independent board that hires teachers as staff
Grow the board so the majority is not paid teachers
Featured Product
In the podcast I mentioned my webinar Create a Nonprofit for Your Homeschool Community
What are the advantages and disadvantages of being a nonprofit?
Forming a board: who can be one it and what do they do?
How hard is it?
What are the steps to take?
How fast can it get it done?
How much will it cost?
I have recorded a webinar to answer all these questions and more!
Create a Nonprofit Organization for Your Homeschool Community

The post Conflict of Interest: Paid Teachers as Board Members in a Homeschool Group appeared first on Ultimate Homeschool Podcast Network.
15 min
February 20, 2020Set Up Homeschool Family as a Charity
Carol Topp, the Homeschool CPA is sometimes asked if a homeschool family can be a charity. Sometimes a homeschool spouse wants to set up a business and hire their spouse to homeschool their children.
Can this be done?
Are there tax breaks for doing this?
R.A. writes, “I would like some preliminary information on setting up a 501(c)(7). I would like to set up my homeschool (my wife and 3 kids) up as a charitable organization. We have been homeschooling for 12 years.”
Here’s her reply to these situations on today’s episode of the Homeschool Leader podcast.
Can R.A. set up his family as a charitable organization?
What’s a 501c3?
What’s a 501c7?
What’s the difference between a 501c3 and a 501c7?
Why your family cannot be a nonprofit
Why you shouldn’t hire your spouse to homeschool your children.
In the podcast, Carol referenced a few sources from the IRS:
A nonprofit tax exempt organization must serve a public good, not the private interests of the founder or his family. The IRS is very clear on this point. https://www.irs.gov/charities-non-profits/charitable-organizations/exemption-requirements-section-501c3-organizations
501c7 Social clubs must be formed for exempt purposes. Serving only your family is not an exempt purpose. See: https://www.irs.gov/charities-non-profits/other-non-profits/social-clubs
Carol has a few blog posts on this idea:
Incorporate yourself and write off homeschool expenses
Can my family’s homeschool be a nonprofit?
Is my homeschool a nonprofit?
Featured Product
In the podcast I mentioned my book
The IRS and Your Homeschool Organization
Does your homeschool group need to pay taxes? Could they avoid paying taxes by being a 501c3 tax exempt organization? Do you know the pros and cons of 501c3 status? Do you know what 501c3 status could mean for your homeschool group?
I have the answers for you in my book The IRS and Your Homeschool Organization. The information I share in my book has been helpful to homeschool support groups, co-ops, music and sports groups and will help you understand:
The benefits of 501c3 status
The disadvantages too!
What it takes to make the IRS happy
What your state requires
Why your organization should consider becoming a nonprofit corporation
What is the difference between nonprofit incorporation and tax exemption
IRS requirements after you are tax exempt
The webinar Create a Nonprofit for Your Homeschool Community is also helpful.
The post Set Up Homeschool Family as a Charity appeared first on Ultimate Homeschool Podcast Network.
13 min
February 06, 2020Paying Volunteer Teachers
A homeschool leader asks if the way her group pays volunteer teacher is legal.
Holly, a homeschool group leader emailed HomeschoolCPA Carol Topp this situation:
“I need guidance on the method with which our organization’s volunteers are paid teacher fees. We are collecting cash from all the members for their children’s class fees, and redistributing it to the teachers for their class payment.
Apparently this is being done to simply the process and so members do not have to write checks. I am concerned this is an illegal practice.”
Listen as Carol explains
Whether this is legal
Are these teachers really volunteers?
Should the teachers be employees or Independent Contractors?
What Holly’s organizations needs to do regarding paying teachers
A simpler option
Featured Product
In the podcast I mentioned my book
Paying Workers in a Homeschool Organization
Are you paying workers in your homeschool organization?
Can a volunteer be paid?
Should a worker be treated as an employee or independent contractor?
Do you know the difference?
Homeschool leader and CPA, Carol Topp, has the answers to your questions in her book Paying Workers in a Homeschool Organization.
This 130 page book covers paying workers as employees or independent contractors. There are also chapters on paying volunteers and board members. It includes sample forms, tips and advice to help you pay workers in accordance with the IRS laws to help your organization pay their workers correctly. Written specifically for homeschool organizations.

The post Paying Volunteer Teachers appeared first on Ultimate Homeschool Podcast Network.
13 min
January 23, 2020Q&A: Do I Give Classical Conversations a 1099-MISC?
Carol Topp starts a new feature: Q&A with HomeschoolCPA in her podcast for homeschool leaders. In this first Q&A session, she is asked by a Classical Conversations® Director if she needs to give Classical Conversations® Corporation a 1099-MISC for the licensing fees she pays them.
It’s an excellent question and Carol Topp, CPA explains the purpose of the 1099-MISC, who needs to get one and why.

In the podcast Carol mentioned an online service she uses to prepare her 1099-MISC statements, Yearli.com. If you use this referral link you save 15% and Carol makes a small commission.

In the podcast Carol mentioned her book Paying Workers in a Homeschool Organization. This 130 page book covers paying workers as employees or independent contractors. It includes sample forms, tips, and advice to help you pay workers in accordance with the IRS laws to help your organization pay their workers correctly. Written specifically for homeschool organizations and businesses.

Featured Product

CC Directors and tutors may find Carol’s latest book Taxes for Homeschool Business Owners to be useful this tax season.

And she’s giving it away for free, but only in January 2020!
The ebook is 60 pages long and contains information on:
Business Start Up
LLC status
Tax Deductions
Tax Forms
Sample Tax Returns
Self Employment Tax
Paying Yourself
Paying Others
Businesses Using Churches
Should My Homeschool Program Be a Nonprofit?
This ebook is a great resource for:
Tutors or teachers for a homeschool program paid as an Independent Contractor
Classical Conversations®Directors
CC tutors
Coaches, musicians, artists, etc. hired to teach at a homeschool co-op

Get your copy of the ebook Taxes for Homeschool Business Owners today Homeschoolcpa.com/TAXESHSBIZ

The post Q&A: Do I Give Classical Conversations a 1099-MISC? appeared first on Ultimate Homeschool Podcast Network.
14 min
January 09, 2020Free Ebook: Taxes for Homeschool Business Owners
Are you a tutor, teacher or CC director of a homeschool business? You might be very confused about your taxes.
Carol Topp, the HomeschoolCPA, has a book for you! And she’s giving it away for free, but only in January 2020!
The ebook is 60 pages long and contains information on:
Business Start Up
LLC status
Tax Deductions
Tax Forms
Sample Tax Returns
Self Employment Tax
Paying Yourself
Paying Others
Businesses Using Churches
Should My Homeschool Program Be a Nonprofit?
This ebook is a great resource for:
Tutors or teachers for a homeschool program paid as an Independent Contractor
Classical Conversations®Directors
CC tutors
Coaches, musicians, artists, etc. hired to teach at a homeschool co-op

Get your copy of the ebook Taxes for Homeschool Business Owners today (all it costs is your email)
Homeschoolcpa.com/TAXESHSBIZ

Featured Product
Carol Topp, CPA also offers a recorded webinar that explains the details of preparing a tax return called “Tax Prep for Homeschool Business Owners.”
It will be very helpful (in addition to the ebook).
The cost to view the 90 minute webinar is $10. Purchase the Tax Prep Webinar for $10
The webinar recording covers:
IRS tax forms for a sole proprietorship: Schedule C and SE
Self-employment tax
How to pay yourself
Tax deductions common to homeschool business owners
New tax deduction for 2018! Look out for this one. It’s terrific!
Two sample tax returns. Yes, I walk you through two sample tax returns, so you can see how everything looks.
Common mistakes to avoid
Purchase the Tax Prep Webinar for $10
The post Free Ebook: Taxes for Homeschool Business Owners appeared first on Ultimate Homeschool Podcast Network.
11 min
December 12, 2019Do It Yourself Application for 501c3 Status
Do It Yourself Application for 501c3 Status – Carol Topp, the HomeschoolCPA enjoys sharing her knowledge via webinars including these three she mentions on the podcast:
Create a Nonprofit Organization for Your Homeschool Community: This first webinar explains the differences between running a business and a nonprofit. Carol explains boards, budgets and Bylaws and Nonprofit Incorporation for your homeschool group.
501c3 Application: This second webinar explains what is needed to apply for 501c3 tax exempt stats and who is eligible to use the 1023-EZ. Then Carol takes you through the IRS Form 1023-EZ line-by-line and offers tips and advice from her experience.
IRS and State Filings: This third webinar addresses what comes after your 501c3 application including the IRS Annual Information Return Form 990 and common state filings.
Here’s a list to all of HomeschoolCPA webinars including a free one on Financial Reports for Homeschool Groups.
These webinars are great for:
Homeschoolers just starting a homeschool group
Homeschoolgroups that have been in existence for a while, but never applied for 501c3 tax exempt status
A group that learns its 501c3 status was revoked for failure to file the IRS for 990.
Why is Carol sharing her secrets?
She repeats herself a lot to clients!
Some homeschool leaders don’t have a lot of funds. They can DIY and save money.
Some people love visual learning with webinars
Listen to more episodes of this podcast here!
Featured Product
Are you a Do-It-Yourself (DIY) person? Since you are a homeschool parent, you likely are!
So maybe you’re ready to apply for 501c3 tax exempt status for your homeschool group all by yourself (with a little help).
Carol Topp, the HomeschoolCPA has a three-webinar set to help you form a nonprofit, apply for 501c3 status and maintain it!
This 3-webinar set includes:
·      Create a Nonprofit Organization for Your Homeschool Community
·      501c3 Application for Homeschool Nonprofits
·      IRS and State Filings for Homeschool Nonprofits
(click each title for details)
The 3-video set plus resources, ebooks, checklists, etc. It sells for $50
Buy the 3 webinar set (and all the extras) today.

The post Do It Yourself Application for 501c3 Status appeared first on Ultimate Homeschool Podcast Network.
14 min
November 14, 2019 Top 10 Tips for Homeschool Leaders: Insurance & Record Keeping
Homeschool leaders sometimes wonder when they need an insurance policy. And what type of policy do they need?

In this episode Carol Topp, CPA discusses the various types of insurance a typical homeschool group might need. Additionally, homeschool leaders get a few tips on record keeping and reimbursements for expenses.

This is the final part of a 5-part series on Top 10 Tips for Homeschool Leaders, a workshop given to homeschool leaders in Wichita, Kansas

Each episode can be found at HomeschoolCPA.com/Podcast. In the 5 part podcast series Carol will cover:
Episode # 180 Board duties
Episode # 181 Bylaws
Episode # 182 Preventing fraud
Episode # 183 Paying Workers
Episode # 184 Insurance and Record keeping
Find more Homeschool CPA episodes here!

Featured Product
Webinar on Financial Statements
In the webinar Carol mentioned record keeping, reimbursements, and financial statements. To help homeschool leaders, especially treasurers, Carol has a free webinar on Financial Reports for Homeschool Groups. She shows you good, bad and really ugly financial reports!
Watch the webinar (no cost) here.
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The post Top 10 Tips for Homeschool Leaders: Insurance & Record Keeping appeared first on Ultimate Homeschool Podcast Network.
15 min
October 31, 2019 Top 10 Tips for Homeschool Leaders: Paying Workers
Lots of homeschool groups hire and pay teachers to conduct classes. Sometimes these teachers are homeschool parents, but sometimes they are professional instructors. Homeschool leaders have a lot of questions about paying teachers and other workers.
Topics in this episode include:
• Independent Contractor or employee
• The factors the IRS considers in classifying workers
• What if parents pay teachers directly?
• How paying teachers affects your church host
• Can Independent Contractors receive tuition discounts
This is the fourth part of a 5-part series on Top 10 Tips for Homeschool Leaders, a workshop given to homeschool leaders in Wichita, Kansas.
Each episode can be found at HomeschoolCPA.com/Podcast. In the 5-part podcast series Carol will cover:
Episode # 180 Board duties
Episode # 181 Bylaws
Episode # 182 Preventing fraud
Episode # 183 Paying Workers
Episode # 184 Insurance and Record keeping

Featured Resource:
Paying Workers in a Homeschool Organization
Are you paying workers in your homeschool organization?
• Can a volunteer be paid?
• Should a worker be treated as an employee or independent contractor?
• Do you know the difference?
Homeschool leader and CPA, Carol Topp, has the answers to your questions in her book Paying Workers in a Homeschool Organization.
This 130 page book covers paying workers as employees or independent contractors. There are also chapters on paying volunteers and board members. It includes sample forms, tips and advice to help you pay workers in accordance with the IRS laws to help your organization pay their workers correctly. Written specifically for homeschool organizations.
The post Top 10 Tips for Homeschool Leaders: Paying Workers appeared first on Ultimate Homeschool Podcast Network.
18 min