Starting in September, my wife will be teaching nutrition and fitness at an Austin-based chain of daycare facilities. She will be paid on a contract basis. Although this will only be a part-time position this year, she will try to expand it to a full-time role by bringing in other facilities the next year and beyond. If things go well, she hopes to employ other trainers, too.
Any thoughts on how she should set this up? Should she create an LLC, an LLP, or remain a "sole proprietor" for now? Would she need to do anything to create a sole proprietorship?
We have identified someone to babysit our kids on afternoons when she works, as well as act as a substitute trainer should my wife or one of our kids get sick, etc. Can this person be an "employee" of any business entity we set up? Are there tax advantages we need to consider in that regard? What about fuel costs, wear and tear, etc. on my wife's vehicle? I could see her logging an additional 80 - 100 miles per week, which could add up to $2K or so per year at $0.585 per mile (or whatever the going rate is).
She might also need to take out liability insurance. How do we determine whether or not this is true?
Any other pitfalls we need to be aware of? Thanks in advance for any advice . . . this has rapidly transformed from an exciting opportunity into a dull, throbbing headache, and we want to avoid making the common mistakes.
Any thoughts on how she should set this up? Should she create an LLC, an LLP, or remain a "sole proprietor" for now? Would she need to do anything to create a sole proprietorship?
We have identified someone to babysit our kids on afternoons when she works, as well as act as a substitute trainer should my wife or one of our kids get sick, etc. Can this person be an "employee" of any business entity we set up? Are there tax advantages we need to consider in that regard? What about fuel costs, wear and tear, etc. on my wife's vehicle? I could see her logging an additional 80 - 100 miles per week, which could add up to $2K or so per year at $0.585 per mile (or whatever the going rate is).
She might also need to take out liability insurance. How do we determine whether or not this is true?
Any other pitfalls we need to be aware of? Thanks in advance for any advice . . . this has rapidly transformed from an exciting opportunity into a dull, throbbing headache, and we want to avoid making the common mistakes.
