Let’s Talk About Expenses
Jun 22, 2022
When you become an exotic entertainer, you have to pay for many things that I bet you didn’t know could be written off on your taxes as long as you are an independent contractor or have set yourself up as an LLC (limited liability company). This is the position you want to be in. When you are an independent contractor, you are a “business of one” in the eyes of the government. This means you are one person who runs their own business. But wait, how am I running a business when I work in someone else’s establishment?
Technically, as an independent contractor, you are not an employee to the establishment you work for. They “hired” you to work for their club and to do a certain job. But, you make your own schedule, and you have to “tip out” the House Mom and certain others that work there as well. In many situations, depending on the establishment you are working in, you have to pay to entertain that night. That’s another business expense. You have many expenses as an exotic entertainer, and therefore, you have a business. If you have expenses to keep yourself up and running, you have a business.
First off, did you know that you can write off your outfits that you wear on the job? Did you know you can write off manicures, pedicures, hair appointments, cosmetics, and gas for your car, and meals? These things get deducted during tax time as expenses to run your “business.” Anything that is an “expense” gets written off, meaning that they will not tax you on any of that income spent on “expenses.” So, you will not be taxed on that money. This is a major benefit to you, as an exotic entertainer.
Anytime you get your hair done, even if you’re just going into the salon for maintenance on a color or hair length, it can be written off as an expense. When you get your nails and toes done, it’s an expense that can be written off. When you buy makeup, you can write it off as an expense. When you buy a new outfit, or a new pair of heels it can be written off as an expense. When you tip the House Mom, or tip a bouncer, or the DJ, those are all expenses.
The bottom line is, when you are not capitalizing on ensuring that these things get written off, you are losing tens of thousands of dollars a year, because you’re paying taxes on money that you don’t have to pay taxes on. As exotic entertainers, we have learned the tips and tricks to maximize our cash flow and minimize our liabilities. You run a business, and you need to maximize what you can. And then, take it a step further and actually invest your money into cash producing assets such as real estate, stocks, or mutual funds.
Thanks for reading!