If you're an OnlyFans creator, you might be wondering, "Do I need an LLC for my OnlyFans business?" As your OnlyFans account grows, considering the legal structure of your business becomes crucial. Forming an LLC (Limited Liability Company) is a strategic step to not only add credibility but also offer significant advantages.

You’re anxious about how much you’ll owe if you file your taxes. What if it’s way more than you can pay right now? What if it’s more than you were expecting? Don’t panic! You can set up a payment plan to pay off your taxes over time instead of all at once. You can do this for both state and federal taxes, you’ll just need to apply for them separately.

The topic of money can be intimidating and anxiety-inducing, especially if you have not had the privilege of being taught financial literacy. In fact, your relationship with money, good or bad, is most likely passed down from your parents.

As a tax accountant specializing in the adult industry, most of the clients I’m speaking with are young women, many coming from generational poverty. Young women and femme individuals, especially BIPOC, are statistically disadvantaged when it comes to financial literacy, and Gen Z as a whole is the least financially literate of the current generations. Let’s talk about it.

Let’s say Tax Day (April 18th) is approaching faster than you expected - or maybe it’s already passed. Are you totally f*cked? Believe it or not, the IRS is actually kind enough to allow taxpayers to file for a 6-month extension! Let’s talk about how you can get more time to get your sh*t together.

Let’s talk about the new age of public tax accounting.

When you think of the phrase “tax firm”, what comes to mind? If you’re a client, probably a stuffy office, suits, intimidating paperwork, and a lot of anxiety. If you’re an accountant… probably the same, actually. It’s 2023, folks, and the world of accounting has a lot of catching up to do. This year I formed my partner firm, Prisma Tax Group, because I see a path forward in the future of accounting. Here’s how we’re doing it.

If you're self employed there's a pretty good chance you've heard a lot of buzz surrounding the 1099-K and third party payment platforms over the last year. The IRS has flip-flopped on it's decision to mandate the issuance of a 1099-K to any independent contractor who earned over $600 throughout 2022.

Before we get into this, let's back up a second. WTF is a 1099-K and WTF is a third party payment platform?

Filing taxes as an Onlyfans content creator is a new journey for many entrepreneurs. I hate to be the bearer of this news but the answer is no, OnlyFans cut is not a write-off. The 20% cut taken on behalf of OnlyFans is for hosting your content and making it widely available to viewers across the globe. Since the cut is taken out before your 1099-NEC is issued, it’s not part of your earned income. In other words, you’re taxed on your net cash-outs from the platform and not from your gross cash-outs. Since their cut happens before you pay yourself into your bank account you’re not able to deduct it again, it’s already been taken out.

Still a tad confusing? No worries, I’ll break it down a bit further. 

If you are operating as a small business, you should have a separate account for that income stream. This will help you when it comes time to bookkeeping and save you from dreadful tax audits. 

Let's look at why you should open a separate bank account and what option is best for you. 

The world is ever-evolving and with a global pandemic still going strong, people now, more than ever, have transitioned into different ways of making money. Has your home become your office and your laptop transformed into your portal for income? These just turned from personal to business expenses.