how to pay yourself?

Hello everyone,

We are new to the O/O world. Hubby recently went O/O and leased to Crete, He was an employee with them. He's still doing dedicated with them. He is leasing the truck from them. So far so good.. but I have a question.

How do you show your income? For yourself? Not the business? Also, I need to find some type of software where we can print paystubs at least to show our family's income.

He gets statements weekly from Crete that show his gross amount, and then after his truck payments, insurance, fuel, all that stuff comes out, it shows amount owed to operator. The thing is... this is going into a business checking account he opened in his name for the "business".

His plan for us, was to calculate our total expenses needed weekly for bills and such, and then pay himself out of the business account to cover our personal bills (by transferring this into our family's personal checking account).. but how can we show this on paper for tax time and for other companies that need to see proof of income?

For example, since he's went O/O we lost our health insurance, I am currently seeking insurance for our family (we have 2 small children) but in the meantime I am going to apply for state funded insurance for them and they have to have proof of income, and it's based on income. So therefore, I can't take them the statements from Crete, cause that is not necesarrily all personal/family income...some has to be set aside for the business...

any adivse? Thanks. (I think I may be making this more complicated that it needs to be)

 

Well we have an accountant, and she is dealing with that... and I will check with her tomorrow. I was just curious how others do it as well.

He is set up with a tax ID number for the business under his name.. not sure what that means.. but he didn't do any LLC or Inc. or anything because our attorneys said it really wouldn't make a difference. He hasn't even officially named the business (on paper or in writing anyway)

 

He is paying for the truck.. it is in his name, he pays all taxes, tags, title, and such... he is leased to the company.

So I am just wondering if companies will accept a "paycheck" from himself to himself like that... and if just showing a copy of a check is good enough proof...

 

So what's the point of getting the EIN and ID number for the business and setting up a business account then if it's all the same? I know for one, we done it to keep all business expenses seperate from personal.. that's why we want to pay ourselves a weekly paycheck after he gets paid from Crete, to show our income, and have that as personal spending (for family bills etc.) and then to also leave money in the business account to build up funds if needed for breakdowns, supplies, oil changes, and such..

 

yea your right... I am stressing for nothing tonight... He's done all the talking with her and everything.. I think it's my day to sit down and have questions answered.. lol..