Accounting Advice for newbie with a single family home

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Accounting Advice for newbie with a single family home

Luke Beltrand
Member since 2019 · 2 posts · 0 votes

Want to find the right info, having a hard time weeding through all the info out there. Don't want to do an LLC until i get more properties down the road. Do I just get a separate checking account to keep income separate or more easily organized? What are some things I need to be on the lookout for tax wise? Excited to be a part of the community and also to be in the real estate game!

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  • Roni E.Pro Member
    Specialist · Earth 2.0 · Member since 2019 · 598 posts · 271 votes
    7y

    This is not legal or tax advise. I would look at doing llc now so the lease is with the llc and if anything happens the tenant is not suing you. Then bank account for the property and try to do expenses for the property, like your bigger pockets  account or quickbooks license.

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  • Basit SiddiqiBusiness Member
    Accountant · New York, NY · Member since 2015 · 8k+ posts · 3k+ votes
    7y

    @Luke Beltrand

    Welcome to biggerpockets!

    It may be suggested to have a separate bank account for your real estate related activities. The reason for this is so that at the end of the year, you can quickly determine what is a business income/expenses versus personal activities.

    Deposits/withdrawals from a personal account won't potentially be used on your tax return.
    While items from your other account can be quickly recognized as income or an expense.


    You may want to consider using excel or an accounting software to be your record keeping.

    [email protected]917-280-8544
    Basit Siddiqi CPA4.880 Reviews
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  • Luke Beltrand
    OP
    Member since 2019 · 2 posts · 0 votes
    7y

    Thanks everyone!

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