This is kind off the subject but this thread reminded me of something I overheard at a post office. A couple of the postal clerks were talking and one guy said he did not have a bank account or credit cards. He was asked how he paid bills etc. he said he cashed his paycheck for cash then paid all his bills with post office money orders and paid all purchases in cash. That was a few years ago and probably wouldn't work nowadays since most businesses use direct deposit now
If you deposit sums of cash under $10,000 (or over $10,000 for that matter) you may well be entrapped by this vile government practice.
Since leaving cash around your apartment is also not a very safe practice, and Bitcoins are still very iffy in my opinion, it leaves the question as to where to deposit the cash you come home with.
I would suggest investing in a safe deposit box but if people have better suggestions, here's the place to make them.
Probably having a few bank accounts might help. Coming in regularly with large somes of $ looks fishy so spread it around and get to the bank regularly so the amount of the deposits are not so gigantic. Bars and restaurants and other cash businesses make cash bank deposits regularly and they use those official looking vinyl envelopes with zippers. Safe deposit boxes are only so big so they'll have to be emptied at some point. Buy money orders and mail them to your broker. Good post.
Cash in a safe deposit box will lose out to inflation over the long run.
I'd buy gold coins. Pretty safe to transact if you don't do high volume.
You can buy money orders at the post office for up to $1000 each. Unlike money orders from the bank, western union, or the corner store, money orders from the post office are unique in that they never expire, and there is never a service fee if you don't redeem them right away. If they are lost, they can be replaced if you have proof of purchase.
If you don't want to put money in the bank and you need to make a pile of cash disappear, just convert your cash to postal money orders, make them payable to yourself, then hide them. To convert them back to cash, you can take them to any post office, as the post office will cash their own money orders for you.
Cash transactions of $10,000 that occur in the same day have to be reported to the IRS. So buy no more than $9,000 in money orders per day from the same post office, if you want to be UTR.
As a side note, if you have cash that you want to take abroad, buy international money orders instead from the post office. They can be redeemed in over 100 countries.
with money orders from random sites. Many convience stores do or at least used to. I had a customer at my legit business... he had a cash type business... He always paid with money orders from different places. That reduces the money you need to hide... to your savIngs...
I'd suggest you have accounts in several different banks... Hiding cash in your residence (if anyone finds out) makes you a target for thieves, home invasions & robberies.
BTW, you should be paying your taxes. I suggest you call yourself an entertainer or some such & use an accountant or one of the small business bookkeeping services.
According to the article, to seize your account they must only allege that you are trying to evade the $10,000 reporting requirement. If you make a lot of cash deposits, I'd suggest that you occasionally make deposits over $10,000 and then pay taxes on your entertainment earnings, as others have suggested. If you pay all your bills in cash, then you probably won't need to deposit more than $10,000 a month. But if you have a good month or two, you might consider making a big deposit just to prove that you aren't trying to avoid the $10,000 limit.
It seems like it is much easier to seize someone's account if they make lots of $9,000 deposits than it is to make a case against them based on deposits over $10,000 that are reported.
As much as it is a PITA, I'd try to make frequent smaller deposits. I would, as I said earlier, divert money for bills by use of money orders, stamps & envolupes... I would declare my self an entertainer, keep records for tax purposes (I don't believe hotel roms are generally deductable expenses, so reason to keep those records). Lot's of help gets paid in cash, like tips.
My biggest concern would be strong arm robbery, if you become known/suspected to keep cash around.
Declaring income is okay.
Not declaring income is just begging to be investigated, fined, and sent to prison.
The US Bureau of Labor Statistics has an occupational classification that many providers can likely use, called "27-2031 Dancers", when filing taxes or making cash deposits in a bank.
http://www.bls.gov/soc/2010/soc272031.htm
With that job code above, making cash deposits is within the expected mode of operation for an exotic dancer. The banks will still file a Currency Transaction Report (FINCEN 104) for deposits over $10k as they do every day on many transactions. They've filed on me for pulling cash to buy a car, and for depositing that amount back in at a later date.
https://www.ffiec.gov/bsa_aml_infobase/documents/forms/Form_104.pdf
http://www.irs.gov/pub/irs-tege/fin104_ctr.pdf
The performer is expected to pay typical income taxes on the declared income, but at that point the funds are able to openly traverse the banking system both domestic and abroad.
If the feds decide to charge someone (even me) with civil asset forfeiture because they can't charge me with a crime but want to punish me anyway, then the Institute for Justice would be my first stop for directions on how to fight it.
https://www.ij.org/bad-apples-or-bad-laws
If feds do declare civil asset forfeiture then they may confiscate all your funds within the financial system and leave you to twist in the wind as you wait for your day in court - meanwhile you can't pay a mortgage, buy groceries, gas, car payment, or your legal fees. It's worthwhile, in my opinion, to keep several month's worth of expenses separate from a bank account - be it cash in a safe deposit box, a home safe, a trusted friend, or traveler's checks in similar locations. Doesn't matter who you are or what you do; until this wretched practice is revamped, the risk is relatively high for those who deal in cash, but also relatively easy to mitigate.
I hope providers have good accountants and tax advisers to keep things straight. Also good to have set up a pre-existing business relationship with a lawyer (personal will, trust, etc) in case you ever need to make that call. He may refer you to a specialist, but the time saved can be huge.
You're right. And fixing problems is easily double the cost of meeting someone beforehand. Sure a lawyer may cost you $300-500 per hour. But the $500 upfront may save you 10x500 later on.
Just as an example, the preparation and filing of a civil complaint (not including filing fees) generally runs between $5,000 and $10,000 depending upon the complexity of the case. What if 1 or 2 hours of an attorney's time could have avoided the lawsuit? Is it worth $1,000 then? Lots of people who've been sued will tell you it is.
Criminal cases are no less money, and often more because more is involved. So don't be penny-wise and pound-foolish.
that is one of the first places the govt looks as movies have the mafia holding extremely large sums of money there plus my lawyer told me that they keep an eye on how often you visit your box.
best idea.........gift cards and hide them well. or money orders or just get to spending the money on loved ones if you make 75k and are declaring 25k as a house cleaner
You can also make quilts and paint on large canvases/picture frames to be given to your family in case of death.
I did my backing at a local credit union... the credit union system collapsed & was siezed by the state. Eventually, years later, everyone was made whole...
I'd been caught with several hundred dollars in cash that I had not deposited which is what we lived on until our next payday.
Yes, I have a class B fire safe, which came home from my store. Mostly keep tax returns, titles & other paperwork. I eliminated the safety deposit box... paid for moving the safe.
Does this apply to small deposits like under $1,000.00? What's the largest amount you can deposit without hassle? I think if you buy money orders and send them to a brokerage account, even if you don't buy stocks or equities you can still get interest. Are we all at risk? I mean I save up my cash slowly and keep it stashed in order to hobby. If I got caught with $1,000.00 would I be in trouble? I hate our government ruled by the idiocracy.
She saves her cash in a safe in her apartment, then when she needs to pay bills, she buys money orders and mails those to the bank (mortgage), or utility, or whatever. She pays cash for any retail purchases she makes, and buys pre-paid CCs for things like Amazon.
It's a pain in the ass sometimes, but she doesn't have to hassle with banks.
And yes, she does pay her taxes as well (or so she tells me)
Mr. Fisher is exactly right use cash not CC for purchases not large purchases like cars but everyday purchases. Pay your bills in cash where possible or money orders. The key is to spread it out and don't be careless.
It's a pain in the ass sometimes, but she doesn't have to hassle with banks.
And yes, she does pay her taxes as well (or so she tells me)
This is kind off the subject but this thread reminded me of something I overheard at a post office. A couple of the postal clerks were talking and one guy said he did not have a bank account or credit cards. He was asked how he paid bills etc. he said he cashed his paycheck for cash then paid all his bills with post office money orders and paid all purchases in cash. That was a few years ago and probably wouldn't work nowadays since most businesses use direct deposit now