Business

Talks about Mommy Ginger’s business tips and advice for momtrepreneurs. She shares valuable knowledge on topics like branding, marketing and consumer insight.

Bloggers and Taxes

Bloggers need to pay taxes.

Today, I’ve been seeing a lot of news that bloggers, filmmakers, digital workers and freelancers need to pay taxes. Frankly, I’m not shocked. This has been the rule in the Philippines since years ago.

I’ve been blogging for more than a decade now and when I started earning and accepting revenue for my blog, that’s when I started paying my taxes. I started paying my taxes since 2013 (7 years ago). So this news today that bloggers need to pay taxes isn’t really shocking.

Advantages of Paying Taxes

Other bloggers wonder why I get to haggle on my rate and this is because I can issue an official receipt. The reason why bloggers who pay taxes can negotiate for a better rate is because companies can book this as an expense. Imagine paying thousands of pesos and you can’t declare the amount they pay bloggers as a deductible expense? That’s basically thousands of pesos going down the drain for the companies.

Another thing is that I loved that it was so easy for me to get a Visa going to Japan 2 years ago. I pretty much had every requirement in the check list that the agency had. No sweat applying for VISA.

There are a lot more benefits like securing loans, credit cards, HMOs, etc.

How to get started

First thing’s first… don’t panic. Collate all the requirements that you need. If you don’t know what the requirements are, feel free to email bizreg@taxumo.com and they will give you a super comprehensive list of requirements. Taxumo helps process BIR registration for Php 4999 (discounted from Php 6000) until July 31, 2020. You need not go to the RDO and register; they will process it for you.

Aside from the processing fee of Taxumo (you can also do it yourself, too, if you have the time), here is my own breakdown of the actual cost.

The Actual Cost of Registration

In this article from Manila bulletin, they indicated that the only cost are Php 500 for registration fee and Php 30 for Documentary Stamp.

From my perspective, here is an approximation for costs:

Php 530 – BIR Registration and Doc Stamp

Php 2500 – Approximation of your Official Receipt (first ten booklets … yes, they need to be 10)

Php 200 – Manual Ledgers (really depends on how many BIR would require; oftentimes only two books for Professionals and 4 books for Sole Proprietors)

Php 200 – Notary for my SPA since I had Taxumo do it for me

Php 350 – Occupational Tax Receipt and Barangay Clearance

Php 250 – Delivery back to your place of all the documents (approximation since depends on the distance from Taxumo)

Php 2000+ – Payment for DST2000 if you are renting.

Total will be approximately Php 6,030. Again, this is an approximation of the costs. So Taxumo will ask for an advance of around Php 5750.

To help educate the market on BIR registration and Taxation, Taxumo is doing an Ask – Me – Anything Community Roadshow. If you are a community admin or founder, feel free to contact Taxumo via customercare@taxumo.com.

For other resources, please see these links from my other blogger friends:

https://www.topazhorizon.com/2019/03/freelancers-professionals-small.html

If you have questions about bloggers and taxes, please feel free to message me in the comments section. Search for more articles on taxes and BIR registration on this blog… I have lots! haha!

Woman in Business While Being A New Mom

Photo by Gustavo Fring from Pexels

Being a woman in business has never been easy. We’ve had to fight for the right to work in the first place, fight for safe working spaces that are free from sexual harassment, fight for equal pay, and fight for respect. The fight for true equality in business may be far from over, but with more than 9 million businesses in the US now owned by women and more women opening businesses than men in the Philippines (*Philippine Statistics Authority report), we have made undeniable progress and have forged a path for future generations of women to follow. 

When it comes to business women there’s always one topic that recurs time after time – how do women balance the running of their business with being a mom and a parent?

The reason why this topic comes up so often is that being a mom and a parent can be hard, but just because it is hard, doesn’t mean it’s impossible. After 9 months of pregnancy, the experiences of childbirth, and surviving the first few months caring for a newborn baby, women aren’t in the same position as men when it comes to jumping back to work, but these differences don’t make us any weaker than our male counterparts, no, in fact, our ability to overcome our biological differences makes us stronger. So if you are currently feeling overwhelmed as a new parent but are rearing to get back to your business, then here are some tips to help you balance things as a new mom. 

Give yourself some support

As a woman in business, there can often be this overriding feeling that we need to prove ourselves, leading us to try to do too much. You may be a supermom, but even superheroes have “back-ups”. Make sure that you put some support in place to help you with your workload at home and at work. This could be having a family member or friend help you with childcare, utilizing a cleaner so that it’s one less thing on your mind, using a recipe box service so that you and your partner need not worry about grocery shopping or dinner, or even outsourcing some of your simple work tasks so that you can focus on the ones that matter most. Using the services of a virtual headquarters or virtual office, sometimes abbreviated to a VHQ, can be a great way to free up your time, handling your incoming phone calls and screening them so that you only need to speak to the people that matter. 

Schedule in time to just be a mom 

When you own a business, it can be very difficult to switch off, putting pressure on your mental health and potentially impeding the valuable time that you have as a family. Many new moms feel guilty about going back to work, so to give your brain a rest and to allow you to just focus on being a mom, try scheduling in some time each day for you to switch off from work, put your phone down and enjoy the unadulterated pleasures of being a mom.

If you are working from the office, then this could mean scheduling time in the mornings and evenings, but if you are working remotely then you have more flexibility to schedule in family time throughout the day. By scheduling in free-family time, you will begin to feel less guilty about the time you spend at work and will start to feel as though you are achieving a more realistic sense of balance. 

Don’t be afraid to allow your family and business lives to mix 

Although scheduling separate time for family and business is very important, you shouldn’t be afraid to let the two mix. With more women in business than ever and antiquated attitudes to business changing, it is now more widely accepted that family and business sometimes have to mix. If you can’t schedule childcare and have an internal meeting, make it known that your child will be joining you for the call, let them see you in action as a businesswoman and not just as a mom. If you need to travel for work, then so long as you are able to, then there is nothing stopping you from taking your child with you for the trip. Many clients like to see a family-friendly attitude within the businesses they choose to work with, so embrace the fact that you are both a mom and a businesswoman, and don’t feel as though having children is ever something you need to hide. 

So there you have it – a few tips to help you in the first few months of life as a mom and a woman in business. Balancing being a mom and a businesswoman may not be easy, but nothing worthwhile ever is. 

How Businesses Can Thrive in this New Landscape

There is no doubt that businesses all over the world are reeling from the impact of the Coronavirus pandemic. With millions of people currently being advised to stay at home as much as possible, companies need to be agile and adaptable to survive. I, personally think that most businesses now are asking “now what?”. They’re asking how businesses can thrive in this new landscape. If you run a business, and you’re looking to work towards a more stable and profitable future, here are some tips to help you thrive in a new landscape.

Go online

While many businesses have been hampered by having to close physical premises (we’ve just moved into a full work-from-home scheme), some have seen an increase in traffic, customers and sales as a result of offering online services. People are spending more time online than usual, and they’re also using websites to place orders and find details of companies providing services in their local area.

If you don’t already have a website, you don’t offer an option to order or buy online, or you don’t accept web or phone payments, now is the time to consider making changes. If you run a store, for example, you could look into marketing your products online and setting up a local delivery service, or you could offer customers the chance to order and pay online using systems like those available from Total Merchant Services.

For businesses to thrive in this new landscape, it’s also useful for businesses to use online marketing techniques to drum up interest while offices, stores and showrooms are shut. Using SEO, PPC and social media marketing, you can drive traffic to your website, create high-quality leads and increase conversion rates.

Photo by Andrea Piacquadio from Pexels

Communicate

One of the most crucial aspects of navigating uncharted waters is keeping in touch with customers and clients. Keep people in the loop and let them know what kinds of services and products you’re selling and how they can continue to support you during and after the Covid-19 crisis. If you’re now offering online services, for example, let your customers know how they can find your website, what they can buy and which delivery or collection options are available to them.

Use social media to promote your products and services, but also to reach out, keep channels of communication open and inform followers of any news or updates. At this time, customers may have questions and queries about placing orders or visiting a store or an office, so it’s critical to check your emails and social media comments and reply promptly.

Diversify

The pandemic has created difficulties for businesses across all sectors, but it has also opened doors. Demand for some products has soared, for example, and many companies and brands have emerged in a positive light after supporting relief services or measures designed to benefit those on the front line.

If you’re looking to make the most of a negative situation, diversifying may be an option. Could you turn towards creating and selling a different type of product or change the way you provide services? Gyms are an excellent example. While clients cannot train at a facility at the moment, they can tune into virtual sessions, register for online classes or enroll in one-to-one personal training sessions delivered by video call. 

Image by mohamed Hassan from Pixabay

Global lockdowns have impacted businesses in almost every country, and there is no doubt that the landscape is very different now. To thrive, it’s vital to be adaptable, flexible, resourceful and innovative.

All About Business Registration with the BIR

The Bureau of Internal Revenue just announced recently that anyone who is earning income, especially those who are earning via electronic means, should be registered with the BIR. They discussed in detail business registration with the BIR in this circular RMC 60-2020.

Part of the list of types of business mentioned by the BIR are the following:

  • businesses earning via electronic means
  • Partner sellers and merchants
  • Payment gateways
  • Delivery channels
  • Internet service Providers
  • and other facilitators

All business owners shall update their business registration document with the BIR and their status no later then July 31, 2020.

Business owners, aside from business registration, are all encouraged to voluntarily declare all past transactions when declared and paid before the said date.

For all newly registered businesses, too, you are also required to have and do the following:

  • Issue Official Receipt or Invoice for every sale
  • Keep registered Books of Accounts and accounting records of business transactions
  • Withhold taxes (if applicable)
  • File required tax returns
  • Pay correct taxes on time

BASIC REGISTRATION GUIDELINES FROM THE BIR

Which RDO should you register with?

In general, register with the RDO in the city where your head office is located or in the city of your residence if you are an individual or self-employed tax payer.

If I don’t have TIN?

You have to get a Tax Identification Number first before registering your business.

What if I have a TIN but I haven’t registered any business yet?

Please register your business using Form 1901 of the BIR in the RDO within the correct city of the place of business.

If you need the list of requirements, feel free to head on over to https://www.taxumo.com/business-registration/ The complete list is there for Individual tax payer (whether you are a Non-Licensed professional like a consultant, freelancer, etc. or a Licensed Professional like a doctor, etc. or a Sole Proprietor like an online seller, etc.)

What are the requirements to get a Certificate of Registration?

How do I know if I am completed business registration with the BIR?

You will know if you are completely registered with the BIR if you have a Certificate of Registration or Form 2303, An Authority to Print form (this is so that you can have ORs and Invoices printed by accredited printers) and stamped books of accounts.

If you are based in these locations, Taxumo offers a service where they can process the registration for you:

  • All parts of Metro Manila
  • Rizal
  • Laguna
  • Cavite
  • Tarlac
  • Batangas

If you have questions, please feel free to reach out to bizreg@taxumo.com.

Hope this helps!