 Groups: Member
Joined: 9/8/2009 Posts: 65
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Since I read Zazzle's policy:
"Note: There is a minimum threshold of $25 to be paid automatically. If you have less than $25 balance after one month of sales, we will hold your funds for future use, or you may request a payment via PayPal."
I knew we could request payment through paypal which in my opinion, isn't worth the time.
What I didn't know is if you make a purchase you can apply your current earnings toward that purchase.... and in effect, you will get paid early (before the $25 wait).
This also works very well if you are using Zazzle as a drop ship, (collecting the order elsewhere (other website, auction site, amazon, etc.) and then keying the order in through your zazzle store). -- This can eliminates the need to process zazzles commissions in your accounting records. Just reduce your "cost of goods" sold to the price you are paying through zazzle.
*If the purchase is for yourself, then the applied earnings must still be recorded as commissions received. Don't have the IRS come a calling...
But, I never knew you could apply earnings to purchases... nice~
Tracy
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 Groups: ProSeller
Joined: 10/6/2008 Posts: 3,387
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it is only reported to the IRS if your earnings for the year are over $600
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 Groups: Member
Joined: 9/8/2009 Posts: 65
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Oh, Yes. Good reminder. Glad you added that~
I would even go with the lower figure of $400 as a guide, see IRS Self-employment tax form, Schedule SE "If less than $400, do not file this schedule; you do not owe self-employment tax..........."
I was thinking very positive, assuming everyone would make enough profit to have to file
~don't forget to check the whole: Are you a "hobby" or "business" IRS sections too
Tracy
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 Groups: ProSeller
Joined: 10/6/2008 Posts: 3,387
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at $600 they are required to send tot he IRS and send you a 1099 in the US, they request your SSN/TIN/EIN when you reach $500 and will hold your checks you until it is received at that point
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