Please Explain These Deposits....(said the tax man)



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Tracking personal finances

The article is but the tip of the iceberg when it comes to tracking personal finances. Using Quicken or something as capable to track one's finances not only provides documentation & explanations for transactions, but can enable the user to correct bad personal spending habits.

Peter Budreski more than 2 years ago


Really, depositing cash? Cash is the last strong hold of the untraceable. My advice w/cash...small amounts go into the wallet. Large amounts into a safe deposit box.

Christy Bertani more than 2 years ago

The Tax Man Knoweth All -

You better be good, you better not cry, you better watch out, I'm telling you why....the 'tax man' knoweth all things....and a cash policy like that will get you in trouble in a hurry.

Murph more than 2 years ago

Monetary gifts received

If any amounts coming in were monetary gifts, such as wedding presents, it's an excellent practice to record who gave how much and what form (cash or cheque/check, let's say) that gift took. At the very least, it's a great way to keep track of "thank you" cards that were sent. But more than just being polite, this record could serve as backup for the aforementioned "tax man."

Esther Friedberg Karp more than 2 years ago

Monetary gifts

Esther, that's absolutely what I was getting at. In fact, I just remembered that somewhere I have a form for gifts called a 'Deed of Gift' where the parties agree something is a gift. Another challenge is family loans, under 18, over 18, and the attribution rules. Clients don't understand why you want to see the loan documents and whether the interest was actually paid by 30 days after the calendar year end.

Eileen Reppenhagen more than 2 years ago

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