September 2021 Income At-A-Glance
Gross Income for September: $280,391
Total Expenses for September: $15,428
Total Net Profit for September: $264,963
Difference b/t September & August: +$41,110
% of net profit to overall gross revenue: 94%
Why We Publish An Income Report
This monthly income report is created for you, Fire Nation!
By documenting the struggles we encounter and the successes we celebrate as entrepreneurs every single month, we’re able to provide you with support – and a single resource – where we share what’s working, what’s not, and what’s possible.
There’s a lot of hard work that goes into learning and growing as an entrepreneur, especially when you’re just starting out. The most important part of the equation is that you’re able to pass on what you learn to others through teaching, which is what we aim to do here.
**We’ll receive a commission on the affiliate links below. If you click on my affiliate link and sign up for the products and services I trust and recommend, then I will earn a commission.
Josh Bauerle’s Monthly Tax Tip
What’s up Fire Nation, my name is Josh Bauerle. I’m a CPA and the Founder of CPA On Fire, where we specialize in working with entrepreneurs to minimize their tax liability while keeping them in line with the ever-changing tax laws.
I’ve been working with JLD & Kate at Entrepreneurs On Fire for years now, and they’ve included me in these monthly income reports with unlimited access to all their accounts so I can verify that what they report here is complete and accurate.
And because they believe in delivering an insane amount of value to you, my job doesn’t stop at the verification level; I also provide a new tax and accounting tip every month!
Josh’s September Tax Tip: The true tax benefit to real estate (con’t)
Last month we discussed the tax treatment of selling assets such as rental properties.
I had several people offer a very good follow up question: what if the home is your personal residence – is that tax treatment the same? Do you owe taxes at all?
If you have followed these tax tips at all the last few years you already know what I’m going to say… it depends!
Like most tax questions, there are a lot of particulars involved in getting to the answer. But the good news is, for many people selling your personal home, even at a very high profit, is entirely tax free.
If the home you sold was your primary residence for at least two of the last five years and your profit (to figure out your actual profit just take your net sales proceeds after all selling fees and subtract what you bought it for plus any updates you did) is less than $500,000 if married ($250k if single), then you will pay no taxes on the proceeds.
It’s a pretty substantial amount of money to make tax free!
So what happens if you sell the house after living there for only a year?
Well, the answer again is: it depends.
It’s possible you could qualify for a partial exclusion, as long as your excuse for moving is an IRS approved excuse!
Here’s a list of reasons for moving before the two year threshold the IRS typically accepts.
- A change in your place of employment that puts your new job more than 50 miles from your home.
- Health problems that require you to move.
- Any other change in circumstance you couldn’t have foreseen when you purchased the house, such as: a death in the family, birth of twins or multiples, loss of income, or a change in marital status.
If you can stick it out in your home for two years or more, or if you qualify for the exclusion, then selling your personal residence tax free can be a way to quickly boost your net worth!
In fact, some people purposefully move every two years or so just to capitalize on this tax free income.
Just make sure you are following the rules involved, talk with your tax professional, and you can turn one of the biggest transactions most people ever have into a completely tax free stream of income!
As always, please feel free to contact me if you’d like to discuss what would be best for YOUR business. I LOVE chatting with Fire Nation!
David Lizerbram’s September Legal Tip
Podcast Name Conflicts
A question we get all the time is: “Someone else has the same podcast name as me – what do I do?”
In order to answer this, we need to discuss trademark law.
Quick review time: a trademark is anything that identifies you as the source of goods or services. Trademarks commonly include brand names, product names, logos, and tag lines.
In this case, the question is about the name of your podcast. That’s your trademark.
Or is it?
The #1 most important tip is this: in the U.S. and many other jurisdictions, trademark rights go to the first person to use that mark for similar goods or services.
That means if someone else has already used that name—or a similar name—for a podcast, he or she is going to have superior legal rights even if he or she never registered the trademark. Not to mention the rules in Apple Podcasts and similar podcast services. Those services won’t allow you to upload a podcast if the name is already taken.
And if the other podcaster discovers that your name is identical or similar to theirs, they can submit a form to have your podcast taken off of the service.
The best practice is to avoid using a podcast name that’s either identical to or very similar to a pre-existing podcast. This is true even if the two podcasts are about totally different topics. All podcasts go through the same feeds in Apple, Google, and so on. So in that sense, all podcasts are the same type of “goods or services” for trademark purposes.
There’s an important “but” here.
While a trademark can last forever—which is one reason why they are so valuable (think of Coca-Cola)—trademark rights can also be lost.
The rule is simple: use it or lose it. If you haven’t used your mark “in commerce” for three years, you are generally considered to have abandoned the mark. That means that someone else who has used the name may have lost their exclusive right to that name if they’re no longer podcasting.
However, you should be careful when adopting a previously-used trademark – there are some pitfalls here, so unless and until you consult a qualified trademark lawyer, you’re best advised to stay away from brand names that have been used before in that context.
Two other commonly misunderstood points:
- Owning a domain name does not necessarily give you rights to use that name as a trademark for your goods or services (podcasting, in this case). The same goes for social media handles and so on.
- The law generally treats words or phrases that sound similar as the same trademark. So if your podcast shares a name with another podcast, but you spell yours differently, you still have potential trademark issues. The names have to be visually and audibly different, which makes particular sense for an audio medium, if you think about it.
Have more podcast law questions? As it happens, I’ve written an ebook called Podcast Law, which you can get for free at the website PodcastLawGuide.com – enjoy!
What Went Down In September
Funnel Hacking Live
Funnel Hacking Live was an event for the books! Not only have live events been a bit, well, ON HOLD recently, but the ones that have taken place have been a little different. Understandably so.
Not Funnel Hacking Live.
Run by Russell Brunson and the ClickFunnels team, FHL was like a “welcome back to the world” event, with the kind of excitement, enthusiasm, and next-level content that you would hope to experience at every event.
My presentation was:
How to Create, Grow, and Monetize Your Podcast: The Funnel Hackers Way
and here is my entrance…so cool!
Dog ownership and entrepreneurship
It has been a year and half since we welcomed our Goldendoodle, Gus, into the family. And it has been an eventful 18 months to say the least!
We wanted to bring Gus into this month’s income report because the longer we have him around, the more we realize that the benefits of dog ownership go way beyond what some may think.
And this is coming from someone who never thought they’d be a dog owner!
Gus has helped us improve in so many areas.
He has helped us practice new levels of patience, introduced us to a new way of seeing the streets of Palmas, and he’s shown us that it’s actually quite easy to change your mood with a wagging tail, a smile, and a kiss!
While getting a puppy is no walk in the park – and our training still continues to this day – Gus has been nothing short of incredible.
He’s always there, he’s always excited to see us, he’s always ready to take on whatever you bring his way, and he never turns down a good swim around the pool, or a snuggle on the couch.
We knew we weren’t the only ones who felt this way about bringing a pup into the family, so we chatted with Sarah Walker, founder of dogfooddesire.com to ask if she had any stats or research on dog ownership and peoples’ moods.
Turns out, she does!
Sarah shared 3 reasons why every entrepreneur should own a dog.
Take it away, Sarah!
1. Dogs reduce stress
Nobody needs to emphasize how much stress comes along with being an entrepreneur. Some may agree that it is much harder to maintain your business than to start it.
And constant stress increases the levels of cortisol released in our bodies, a chemical compound produced to help us stay alert and active. Essentially, cortisol helps us prepare for fight mode.
Having too much stress in your life makes you produce a steady amount of cortisol at all times, causing you to always be thinking about or working on something at all times.
Feel like your mind is constantly racing, or like you’re unable to stay calm?
We know a furry little friend who can help… a dog!
Your dog will help you contain your anxiety and decrease the stress hormone in your body. This means you will be able to relax better, and have a good night’s sleep, too.
Every time you cuddle, play, or hug your dog, it will allow your body and mind to relax, and your heart rhythm will become steadier.
These positive impacts of having a dog will have long-term positive effects on your health. In fact, research shows that living a happy and calm life adds years to your life.
2. Dogs help you socialize better
If you’ve ever come across a dog owner, then you’ve probably noticed they’re pretty obsessed with talking about their cute pets.
This is how they end up making loads of friends, because let’s face it: dogs are a fun topic!
Welcoming a dog into your home means welcoming a fresh start! You automatically have something new to talk about apart from business and work, so you can interact with other people more often and more easily who also have dogs.
Not everyone can talk about business, but everyone can talk about dogs!
And who knows… maybe you’ll end up making a great business connection with that new pup owner at the park!
3. Dogs are a perfect friend
Once you have a dog, it’s obvious what perfect and loyal friends they are.
In fact, dogs are known to be the best form of therapy. You can have all kinds of human friends in your life, but having a furry friend is different.
Your dog will not leave your side, staying next to you all day, cuddling and playing with you, and lifting you up when you are down.
They’re also there to welcome you with wagging tails and sloppy kisses every single time you walk through the door. And that’s a warm welcome you’ll never get tired of!
Thanks, Sarah, for sharing the 3 reasons why every entrepreneur should own a dog. We agree!
If you’re interested in bringing home a furry friend, but aren’t positive it’s the best idea right now, give it a try!
Look online for animal shelters and organizations in your local area that might be looking for temporary homes for rescue pups. Fostering a dog is a perfect way to get a feel for whether you could see yourself as a dog owner long-term, plus, you’re helping a pup in need!
You could even be the one to raise your hand the next time your friend asks if you’d be willing to help up sit while they jet for the weekend.
Product/Service Income: $272,153
TOTAL Journal sales: Total Journals Sold 216 – $6,965
The Freedom Journal: Accomplish your #1 goal in 100 days!
- Total: $2,137 (76 Freedom Journals sold + 1 Digital Pack)
The Mastery Journal: Master Productivity, Discipline and Focus in 100 days!
- Total: $1,864 (53 Mastery Journals sold + 1 Digital Pack)
The Podcast Journal: Idea to Launch in 50 Days!
- Total: $2,964 (85 Podcast Journals sold)
Podcasters’ Paradise: The #1 Podcasting community in the world!
- Recurring: $10,774 (102 recurring)
- New members: $4,667 (11 new members)
- Total: $15,441
Real Revenue: Turn your BIG IDEA into Real Revenue
- Total: $150
Podcast Sponsorships: $249,536
Free Courses that contribute to the above revenue:
Your Big Idea: Discover your big idea in under an hour!
Free Podcast Course: Create and launch your own podcast!
Funnel On Fire: Create a funnel that converts!
Affiliate Income: $8,238
*Affiliate links below – if you click on my affiliate link and sign up for the products and services I trust and recommend, then I will earn a commission.
Resources for Entrepreneurs: $4,851
- Audible: $65
- Bluehost: $0
- Click Funnels: $4,082
- CovertKit: $35
- Coaching referrals: $669 (email me for an introduction to a mentor for overall online business or a Podcast focused mentor!)
Courses for Entrepreneurs: $1,021
- Tony Robbins & Dean Graziosi: $1,021
Resources for Podcasters: $415
- Podcasting Press: $55
- Splasheo: $50
- Libsyn: $161 (Use promo code FIRE for the rest of this month & next free!)
- Repurpose House: $45
- UDemy Podcasting Course: $104
Other Resources: $1,951
- Amazon Associates: $87
- Other: $1,864
Total Gross Income in September: $280,391
Business Expenses: $13,731
- Advertising: $157
- Affiliate Commissions (Paradise): $119
- Accounting: $1,123
- Cost of goods sold (Journals): $1,220
- Consulting: $118
- Design & Branding: $0
- Dues & Subscriptions: $119
- Donations: $175
- Education: $215
- Legal & Professional: $56
- Meals & Entertainment: $0
- Merchant / bank fees: $657
- Amazon fees: $2,755
- PayPal fees: $258
- Office expenses: $584
- Community Refunds: $194
- Promotional: $244
- Travel: $744
- Virtual Assistant Fees: $4,875
- Website Fees: $118
Recurring, Subscription-based Expenses: $1,697
- Adobe Creative Cloud: $100
- Boomerang: $50 (team package)
- Authorize.net: $40
- Bonjoro: $45
- Cell Phone: $187
- Google Suite: $34
- Internet: $40
- eVoice: $10
- Infusionsoft CRM: $241
- Insurance: $89
- Libsyn: $153
- Linktree: $6
- TaxJar: $19
- Taxes & Licenses: $523
- Zoom: $100
- Xero: $60
Total Expenses in September: $15,428
Payroll to John & Kate: $15,900
Wondering what we do with all of our net revenue? We share all in our April 2017 Income Report :)
Total Net Profit for September 2021: $264,963
Biggest Lesson Learned
In September Entrepreneurs On Fire turned 9!
After 9 years in business, we’re realizing now more than ever how far we’ve come. How many lessons we’ve learned. How much has changed online. And how grateful we are for YOU, Fire Nation!
Taking that leap into entrepreneurship is tough, and so many businesses struggle to gain traction and momentum. We don’t take for granted the combination of hard work, dedication, drive, focus, support – and luck – that has helped us get to where we are today.
Perspective is critical. Taking time to look at how far you’ve come and to re-evaluate where you’re headed can make a big difference in so many areas. And it might even give you space to see a pivot or opportunity you wouldn’t have otherwise.
Running a business isn’t just about always having your head down. It’s about being aware and in synch with your vision, and making sure your daily actions are in alignment with where you say you want to be in six months, 12 months, three years from now.
Don’t lose sight of that. Never lose sight of the lifestyle and future you want.
Alright Fire Nation, that’s a wrap!
Until next month, keep your FIRE burning!
~ Kate & John
Note: we report our income figures as accurately as possible, but in using reports from a combo of Infusionsoft & Xero to track our product and total income / expenses, they suggest the possibility of a 3 – 5% margin of error.