All Forum Posts by: Colleen F.

@Steven Hamilton II w-2 was what I thought at first but we don't have any employees other then him. It seemed like I would pay estimated taxes for a 1099 and file payroll reports for him for a w-2 even though he won't owe taxes. I thought it would be better to pay him from the LLC but it sounds like that is not the case.

@Shawn H. we file separately for the kids but that is due to the complexity of filing because they have a small amount of investment income. It keeps it cleaner. If they have earned income above a certain level you need to file separately. It is if they have only investment income you can put them on your taxes but I would check the cutoffs.

Any way to get another room out of it? For example 1 BR plus office by putting up a divider. Or if you get lots of artist types you could advertise the extra space as perfect for artists studio especially if you have good windows. That way you could get a bit more in rent. We have one space where we bought a divider and ran that transparent fishing line from the ceiling to keep it from getting knocked over (not a rental) but something low impact to keep the messy "office" private. In any case up the rent modestly higher between a one and a two BR, focus on the space and see what it gets you.

@Shaun Reilly while i get your point I have both invoices and documentation of payments. I am spending my spare time putting them in QuickBooks with attachments (who invented this double entry stuff anyway!) so I am keeping good records. I was audited twice early in life and I have first hand knowledge that you can count on the IRS being jerks no matter what you do. You just have to minimize their impact if you can.

For 1099 I am not disregarding them just commenting on the need for me to do the IRSs job in landlord role but not in the homeowner role.We mostly did work ourselves so I missed that these guys had to sign forms upfront therefor I don't have them. In any case when I find a new accountant I will hopefully get it figured out. guess you can get the EINs from somewhere and mostly its the roof guy....

In RI we contracted someone per removal insured for our multifamily. It is $50 for shoveling I think 150 feet of walkway and two landings (a step each). The plowing is 125 but it is a big loop.

Now I live next to Worcester and our plow guy (plowing only) charges 65 up to 6 inches and then some amount per inch thereafter. The driveway is long and a bit steep. We don't have him shovel. On plowing the best deal is to pay per plow. Shoveling it is a toss up. It is about doing it when it needs to be done. I can't comment on how this will work with this multifamily as it is the first year we have owned it. For Single families they do their own walks.

I would have bought black which I prefer on our last rental but despite holes in the walls and ceilings and half painted rooms it already had a big fairly new SS fridge albeit very dirty. We cleaned up the rest and got the stainless to match to save $. I figure SS is the latest version of avocado and expect one day it will be dated ...... White and black appliances in my opinion are timeless.

Cost depends.

For septic I advise to determine the year of construction or update of the septic, and if possible when was the last inspection. Sales usually require an inspection for financing so probably was one at the last sale that might help you date the system. if no one is using there isn't much to look for .. Here it would cost 30k in some areas for a new septic , less in others. (proximity to wetlands is a factor). If it is close to wetlands check the regulations on type of septic to determine if you are going to be on the high end.

For a well it is by foot and how deep they have to go for water, this is area dependent. How deep is a normal well in your area of purchase. I got a quote of around 5 thousand here but know it can be more expensive if you have to go deeper.

@Shaun Reilly roof is a capital improvement but it was just an example. The issue is 1099s which you would issue to anyone who does work including items that eventually wind up in the 'improvement" category. That is more about the contract paying taxes then me. If I give him a 1099 or don't it doesn't change my taxes (unless the IRS issues penalties for non-compliance in issuing those 1099's!)

I don't 1099 but one property is in a LLC, does anyone know if that changes the picture in the eyes of the IRS? I wouldn't have a problem doing the 1099s and will do what I have to never see the IRS again but retroactive paperwork is a bit of a pain ....

Its also a disconnect to me that someone does the roof on your house and its his responsibility to report the income but for a rental its your responsibility to 1099 his income

I am not sure how you get a handle on the market share. You need to find out how many of the proposed market are actually getting a per diem and not just being reimbursed for hotel. I used to travel regularly to NJ but the company only reimbursed hotels. Most I spent was weeks but some of my co-workers spent months. My brother also spent months in a hotel in Boston and they would not foot the bill for a short term apartment. There are some companies where they do per diem and independent consultants can do what they want so if you have lots of those in your area it would work.

What is your minimum stay? depending on this you would need to determine your budget needs to include housewares or also linens. Build in some replacement costs in your furniture budget, furnished rentals the wear and tear is mostly in the furniture. You will need to plan to replace couches, rugs, and curtains.

Finding people is also an issue. Identify good advertising sources. Relocation consultants? You would also need to build a model for comparing apples to oranges. How do you compare a 6 month tenant who is independent to a 4 month tenant who has a corporate payment etc.

Sounds interesting though.

Ok If it is too good to be true it usually is and that is what the October rent was. She paid rent between 9-12-13 and 9-29-13 for October in error? I guess she knew what she was doing. I think you might have been in the clear if you paid the deposit 30 days from possession on 10/29/13 depending on the early termination information in your lease. Now I am not sure if she has a case for the October rent but you might need some legal advise.