New Tip Legislation May save you Big in taxes

Send us feedback/questions via TextOn this episode, I was joined as always by Jim Collison, and we had the pleasure of welcoming Ralph Estep from AskRalph.com—the Content Creators' Accountant—to dive into recent changes in how the IRS handles tips for content creators. Ralph walked us through the new law allowing up to $25,000 in tip income (like Super Chats, Buy Me a Coffee, etc.) to be excluded from income taxes in 2025, provided you track it properly. We talked about the importance of keeping tip income separate from memberships or other payments where the customer receives something tangible or access in exchange.We also took questions and comments from our live chat about accounting software, prepping for taxes, and even how certain types of Patreon support could possibly qualify as tax-free tip income under this new law (with a big emphasis on always consulting your own accountant!). Whether you’re using Super Chats, Patreon, or other support methods, this tax year might look a little different.Sponsors:PodcastBranding.co - They see you before they hear youBasedonastruestorypodcast.com - Comparing Hollywood with History?Video Version (unedited)Mentioned In This EpisodeSchool of Podcastinghttps://www.schoolofpodcasting.com/joinPodpagehttp://www.trypodpage.comHome Gadget Geekshttps://www.homegadgetgeeks.comContent Creator's Accountanthttps://www.contentcreatorsaccountant.com/Podcaster Hall of Famehttps://www.podcasthof.comFeatured Supporter of the Week Glenn HebertCheck out Glenn's Horse Radio Network: Free Podcasts for Every Horse Enthusiasthttps://www.horseradionetwork.com/ Start a Podcast In Six Weeks Weekly classes. Come learn how to start your show (designed for people who have not launched). Grow Your PodcastAvailable to members of the School of Podcasting. Weekly meetings to grow your downloads, reach, and influence. Join today.PodMatchPodMatch Automatically Matches Ideal Podcast Guests and Hosts For InterviewsSupport the showBE AWESOME!Thanks for listening to the show. Help the show continue to exist and get a shout-out on the show by becoming an awesome supporter by going to askthepodcastcoach.com/awesome want a one time donation? Buy Dave a Coffee.