Fifty tips on how to slash household budget

MONEY is one of life's greatest tools. It can buy convenience, freedom, fun experiences, memorable events, and all sorts of things that make life more comfortable.

But it also can also be frittered, scattered, lost, wasted or spent on big-ticket items that have small-ticket value.

Why spend so much of your life working if you don't use your earnings in a way that makes you most happy?

Household living costs are rising sharply, so it's time to stop and look at how you spend your money. You may be wasting a lot, so here's a list of 50 ways to save it.

PERSONAL FINANCES

1. Before you can save you must work out how much money you have and how you spend it. You need a realistic budget. Budgeting tools are available at all bank websites.

2. Do a credit card check. Visit infochoice.com.au or canstar.com.au to find out if there are better offers. If you want a credit card with a rewards program, expect to pay for it with interest rates around 20 per cent.

3. Don't be fooled by marketing that says "90 days interest-free". This only applies if you pay off your card in full every month. Avoid penalties when you forget to pay on time by setting up a direct debit to your card.

4. If you can control your credit card use, don't stop using it but be smart, AMP financial planner Tony Rigby says. A good loyalty program can give you some nice rewards.

5. Be wary of using a redraw facility for everyday bills unless you are making extra repayments. It makes no sense to pay off quarterly council rates bills over a 30-year loan.

6. Check out a mortgage offset account. Non-bank lenders, credit unions and building societies can often be cheaper than many of the big banks.

7. Package all personal finance accounts under one roof to get a fee discount.

PROTECT YOURSELF

8. Check your credit file. Banks, retailers and credit providers use the data to determine whether to lend you money, and errors on the file can cost you. Phone Veda Advantage on 1300 762 207, or visit mycreditfile.com.au.

9. With home insurance, you can often lift your excess to reduce the premium, says Ian Berry Insurance spokesman Paul Modra. Just be aware that if you have a claim, you have to cop the high excess.

10. Read the policy to see what you are covered for and what is excluded. Most insurers will only offer a replacement to the agreed value.

11. Look at combining policies with one insurance provider. "You may then be eligible for a multi-policy discount," Modra says.

12. Do not treat your insurance renewal as simply another bill. Compare and possibly save with another insurer. Update your policy. ASIC says 80 per cent of people are under-insured.

13. Having income protection insurance is vital. Life insurance is cheaper through your super fund.

14. Financial advisers can make big commissions out of life insurance, so ask for disclosure before buying a policy.

CONSUMER TIPS

15. Mobile phone charges are competitive and change frequently, so review your call spending and check with your telco for a better deal. Consider a mobile cap plan, but beware of higher calls charges.

16. Store charge cards have high interest rates worse than most credit cards. Always pay them first.

17. Use cash or debit cards instead of credit. Cash may make you think twice about breaking a $50 note.

18. Reduce the number of credit cards you have. Police Credit Union marketing manager Christie Brock says this will save on fees and maximise rewards program benefits.

19. When shopping with your card, try to use the "credit" option where possible, says Brock (pictured). "This can save on transaction fees."

HOUSEHOLD

20. Don't buy lunch, take your own. Make your own sweets and puddings, and make your own cleaning products from vinegar and bicarbonate of soda.

21. Set airconditioners to 24C and consider home insulation. Take four-minute showers or less. Use the bath infrequently to save water and install a water tank.

22. Use energy-saving light bulbs and only illuminate areas where you need light.

23. Don't pass up a good cup of coffee but avoid expensive takeaways. Buy a coffee plunger. At $15 for a bag of your favourite coffee, you'll get about 21 cups from it, saving about $50.

24. Buy birthday and Christmas presents early, perhaps during the mid-year sales.

25. Don't take your children shopping, as it can end up costing you money.

26. Try shopping online and don't be swayed by merchandising stands.

27. Always haggle when you are out shopping.

28 .Why are you paying for expensive obstetric cover with your health fund if you are not planning to have children? Go online to iselect.com.au and compare to see if you are getting the best rate available.

29. Ensure fridges run well as they account for a large portion of a household's energy use because they are always on. A top star-rated fridge can save up to $450 over its lifetime.

30. A half-filled dishwasher uses the same amount of energy as a full load, so fill it to capacity before each wash cycle.

31. Microwaves and pressure cookers are more energy-efficient than ovens. Thaw frozen foods fully before cooking, and keep the oven door closed.

32. When cooking vegetables, use only enough water to create steam. Select the correct pot size for your hotplates. Cook with the lid on. Use a kettle to boil water instead of the saucepan.

33. Use energy-efficient whitegoods. Fit an AAA-rated low-flow shower head. Fix leaking taps. They can waste hundreds of litres of hot water. Use cold water in the laundry when possible.

34. Use a monthly power equal-payment plan to ease the pain of paying bills. To do this, Work out your average spending using previous bills, add 10 per cent to cover increased costs, then set up a monthly direct debit to the utility company.

35. Do the same with your telco or consider paying an extra $5 or $10 a month to your phone company.

TRANSPORT

36. Your car is a huge drain on finances so choose the model wisely. Use supermarket petrol discount coupons.

37. Don't accept the first insurance quote you get for your car. Compare prices for compulsory third-party policies offered and at rego renewal time.

38. Maintain your car. Have the motor oil, oil filter and air filter changed regularly. Avoid hard acceleration and braking when driving.

39. Walk instead of taking the car. If you regularly use public transport, buy a weekly, monthly or quarterly ticket. Avoid taking taxis.

40. Car pool to work. If your child plays in a team, organise a driving roster among the parents. In the CBD, use free bus services.

GARDENING

41. Plant what you like to eat. Start with the easy-to-grow vegetables. Water and weed often.

42. Visit recycling depots for timber and ironwork. Make a compost bin. Plant fruit trees, citrus and pawpaws. Get a worm farm. Take home cuttings from established trees.

SHOPPING

43. Over-60s should ask for a seniors discount everywhere they go. Look for vouchers that give you extra discounts, such as hotdockets.com.au.

44. Buy cleanskin wines. There are some good-quality varieties around. Brewing your own beer saves money. A beer kit and concentrate from Coopers Brewery produces 23 litres of beer for about $18, compared with $100 to buy a similar volume of commercial beer. Befriend your local bottleshop manager who may sell you a cheap carton when it is getting close to its use-by date.

45. Don't buy milk at the service station it's much more expensive.

46. Write a grocery list and be selective. Buy your groceries in bulk. Private labels or no-name brands are generally much cheaper at the supermarket.

47. Eat before you shop. Don't go shopping if you are depressed you spend more on the wrong things. Scanner errors are common, so keep a close eye at the checkout.

48. Gym memberships average $20 a week so unless you are a regular, it is not value for money. Get walking, because it's the cheapest exercise. If possible, don't buy bottled water tap water is free.

49. If you're thinking about a holiday, the internet has last-minute hotel deals, but airfares are cheaper in advance. Book online to get discounts. Flying mid-week is cheaper.

50. Self-catering is an affordable option for travellers, but camping is the best budget holiday. CBD hotels can often be very cheap over Christmas and Easter.

Read more: http://www.news.com.au/money/money-matters/ways-to-slash-household-costs/story-e6frfmd9-1226069887471#ixzz1OYgm0Tsn

How do you handle conflict?

How do you handle conflict?

Every so often we are presented with aggression. Someone has taken offence to something we have done or said, or perhaps we're being held accountable for something we didn't even do. Sometimes it's all due to the other person having a very bad day and you being in the vicinity at the time.

In a perfect world everyone would get along at all times. Differences of opinion would be interesting facets of personality that we'd laugh about and move onto the next discussion. Disagreements would be settled amicably and we would all just get along.

We all know that this isn't the world we live in. Competing priorities and stressed out co-workers and customers lead to conflict and aggression, which is sure to arouse some emotion in the recipient. If you respond to aggression emotionally then it becomes conflict – a highly charged exchange that will most likely cause pain on both sides.

So when presented with aggression what are the potential responses? And what is your typical reaction?

Overt aggressive response

Returning fire is a defensive mechanism aimed at moving the aggression from you to someone else. Unfortunately this can also escalate the situation.

An overt aggressive response is not only a displacement of aggression from you to someone else, it typically involves the displacement of blame. If you blame the person you are addressing then the conflict will escalate, most likely into unprofessional territory that you'll later regret. If you blame a third person then you will most likely alienate your relationship with that individual, or betray their trust. In summary, the overt aggressive response is a maladaptive reaction, especially at work.

Covert aggressive response

The covert response is often referred to as being passive aggressive. The intention of aggression is to relieve tension within yourself and invariably direct it elsewhere. The passive aggressive individual may seemingly accept criticism on the surface, but then act aggressively in all non-verbal activity. Phones may be slammed (although not as effective with mobiles), there may be huffing and puffing, loud sighing, nasty looks, lack of co-operation and general impatience. The covert aggressive response sends a message to all that "I'm angry". It's just done without words.

Passive aggressive responses usually come from people who lack the communication skills or assertiveness to express displeasure or discuss issues that have upset them or that they do not agree with.

Passive response

Some people choose not to respond at all. They accept aggression as being part of the workplace and seemingly "take it on the chin" and simply carry on with their day. They may have grown up bottling their feelings. It may be with a bowed head and sunken shoulders, but this type of response tends to be internal. The person that does this often takes the aggression as personal criticism, and takes it seriously. While this approach may let you keep your job and you will avoid any type of explosive situation that may burn bridges – the unhealthy outcome is that your self-esteem will suffer.

Calm and direct response

The best and healthiest reaction to aggression is a calm logical response. This avoids escalation. Some people have the ability to absorb, or deflect the aggression in favour of addressing the logic of the issue. Emotion is replaced with fact-finding and discussion. This response disarms the aggressor, whether they be a colleague or customer, as it stops being an issue of "me versus you".

The emotions are addressed as the calm and direct response investigates the reasons for the aggression, and looks for ways to ease and understand it. This approach is best as it leaves the aggressor seeing their own behaviour and maybe even feeling a little foolish, and will leave your own respect intact and possibly enhanced.

Organisations creating conflicting goals

Departments within an organisation often have different priorities – a natural starting position for a conflict and aggression to surface. As managers fight and argue over resources the conflict is clear and understandable – but that doesn't really provide a solution.

When conflict arises within a team, or across teams the best resolution comes from returning to the position of shared vision. What do we agree on? What are we both striving for? If we remind ourselves of an aligned path it helps to avoid conflict and overcome differences.

A successful manager will, in this situation, arbitrate the conflict with an emphasis on the central vision. If the overarching purpose of the project, strategy or organisation is reinforced, both parties will walk away with a better understanding of what is expected of them and the support they will be afforded in achieving these expectations.

We all have a choice about how we react and it makes for a great workplace when everyone can remain rational, factual and aligned to an agreed vision.

10 ways to beat the stress attack

“No matter how successful, thriving, or seemingly secure any business appears, there are no longer periods of calm seas for leaders in any industry,” he writes.

Menkes has based his book on interviews with 60 present and retired CEOs and analysis of data from the performance reviews of 200 high-performing candidates for CEO roles in major corporations. He has come up with three key strategies to lead effectively in an environment of constant stress and complexity.

1. Be a realistic optimist

Menkes’ first rule of thumb is to practice realistic optimism. “People with this trait possess confidence without self-delusion or irrationality,” he says.

2. Have a clear sense of purpose

According to Menkes in Better Under Pressure, effective leaders have a crystal-clear idea of what they are working towards, they find complex problems invigorating, and love inspiring their staff and themselves to work effectively. This mindset keeps stress at bay.

“Their level of dedication to their work is a direct result of the extraordinary, remarkable importance they place on their goal,” he says. And having professional goals is fundamental, giving them a sense of purpose. “That goal is their master and their reason for being,” says Menkes.

The CEO of consulting firm ChangeLabs Peter Sheahan lives by these principles. He sets three-year goals for revenue, markets and profitability; sets annual strategic imperatives and quarterly priorities. This strategy is backed by weekly planning, rather than daily.

“It gives you enough perspective to stay aligned to your plans, and still enough detail to ensure you know your activities for that week,” he says. Sheahan never sets more than five annual imperatives, to avoid overload. “The value of the bigger picture goals is that in the middle of a peak in stress, you can step back and assess how things really are.”

3. Find order in chaos

No one is going to do their best thinking in a state of high anxiety. Sheahan agrees with the stress-busting value in being able to manage disorder and identify what needs to be worked on to move forward.

“If we don’t, tension and stress levels spiral quickly,” says Sheahan. “I find my tension builds when I am uncertain what I am working on, and more specifically unsure what my clients or teams expectations of me are.”

Beyond Menkes’ three big stress busters, there are other approaches to stress management that are proven to keep stress levels under control.

4. Think long-term

Craig Errey, managing director of business technology consultancy PTG Global, works with clients including the Federal Government and Virgin Blue. Experience has taught Errey the value of the long-term perspective.

“This week might be crap, I’ve got cashflow issues because customers aren’t paying fast enough, but on average things will even out,” he says. Errey learnt the benefits on a long-term view through the Global Financial Crisis. “It’s about prioritising, focusing on the longer term. Through the GFC, we didn’t forcibly fire or downsize; we focused on product and customers and kept an even keel.”

5. Remember the woolly mammoth

When we are stressed, our heart rates increase, our adrenalin glands secrete adrenalin, our hormone levels increase, our blood pressure increases, our breathing changes and we start to sweat. Heath and fitness coach Amelia Burton has been training CEOs, ladies who lunch and everyone in between for more than 14 years; one her most high-profile recruits is MasterChef’s Matt Preston. In Burton’s experience, people cope with stress differently. A housewife can be more stressed out than a globetrotting 100-hour-a-week M&A lawyer; it all depends on how they manage stress.

Burton uses the analogy of the caveman under stress, deciding whether to fight the woolly mammoth or flee the scene. “The body is meant to fight or flight,” she says. In those days when the woolly mammoth is taken care of, the body could relax and return to normal. Nowadays, with constant stress, it is harder to turn off the symptoms of stress. Burton prescribes high-intensity exercise (“something that gets you out of breath”), followed by a cool-down (telling your body the woolly mammoth has gone and you can relax). This turns off the stress.

6. Understand there are simple strategies to avoid “choking” under pressure – like humming

Chicago-based Sian Beilock uses a diverse range of testing methods including functional Magnetic Resonance Imaging (fMRI) in her research, to understand the brain science behind performance. Her laboratory at Chicago University is investigating what makes people choke under pressure. (Greg Norman, are you listening?) “Companies are really operating in a period of prolonged stress,” she says.

Beilock has been studying people doing a range of stressful tasks, written tests, memory exercises, public speaking and even golf putting. “There are lots of similarities between hitting a golf putt and giving a pitch to clients. Both activities can fail if people think about it too much,” she says. They fall into the trap of analysis paralysis. Beilock’s bestselling book, Choke: What the secrets of the brain reveal about getting it right when you have to, has implications for anyone wanting to boost performance under stress.

Beilock’s techniques to avoid choking have a lot to do with how our working memory functions. The research includes testing how distraction techniques such as whistling or humming can help a person avoid choking. Even spending just 10 minutes writing down worries can make a dramatic difference to the outcome of a stressful test. “Doing things that prevent you from over attending, trying to deconstruct everything you are saying, can be beneficial,” she says. So start humming.

7. Identify what you can and cannot control

For Errey, this GFC was his third major economic downturn. “I cannot control the economic climate; there is no point worrying about it in a way that is unhealthy,” he says. Instead, he will concentrate on metrics within his control. “What our sales effort look like, what our working capital look like, what my people doing,” he says.

8. Exercise and diet are fundamental

During the MasterChef Australia series, Matt Preston’s health and fitness coach Amelia Burton finds it excruciating to watch her cravat-sporting client tucking into yet another piece of deep-fried pork belly or smashed strawberry pavlova with double cream. When Preston turns up the next morning for his training session, Burton will have planned an extra punishing regime to combat the calories from last night, often forgetting that the show is taped weeks ahead and Preston had stuck to his soup for dinner regime.

Preston is typical of so many: working long hours, with travel obligations that leave them vulnerable to fatty, salty, sugary foods. She prescribes high-intensity exercise to break the cycle. Even after one session, Burton sees how much “looser” Preston is. From there, new habits form such as ditching the fourth coffee and switching to herbal tea. “A lot of executives have such a competitive streak. I tap into that,” she says. “Then you get the big transformation.”

9. Know your stress limits

A simple test of how stressed you are is to see how shallow your breathing is. Pace one hand on the abdomen, the other high on the chest. See where the movement is. It should be in the belly, the centre of healthy, deep breathing. “In correct diaphramic breathing, the upper hand shouldn’t move,” says Burton.

Other classic signs of stress include:

• anxiety and panic attacks
• stiff neck and shoulders and rapid heart rate
• craving fatty, sugary or salty foods
• excessive weight gain or loss
• 4pm slump and reliance on sugary drinks
• irritability, mood swings and insomnia
• physical breakdown, from a bulging disc to heart attack
• using alcohol or drugs to blow off steam
• infertility

According to Burton, a little bit of stress is okay, particularly if it is managed with exercise, sleep and eating well. From her experience, a person’s job does not determine their stress levels. “I worked with the CEO of McDonald’s, and he was always calm and relaxed. Then I would be training a housewife who was at meltdown. Stress is a personal reaction to a personal situation. Some people cope better with stress than others,” she says.

In an attempt to get everything done, Sheahan says, “we massively overestimate what we can achieve, and massively underestimate life's ability to interrupt us. So do less, better. Have fewer goals and priorities. Less scheduled activity every week. And nail the big ones.”

10. And there’s always the boxed set or…

Sheahan cracks a box set of The West Wing or Boston Legal when he needs to unwind. “They are my escape,” he says. Craig Errey has a secret weapon against stress. The devout atheist has a thing for renaissance polyphony, in particular the Tallis Scholars (click here).

Dean Homicki, the CEO of thriving tactile indicator firm DTAC, might be on to something when he says that “old-fashioned is the new fast lane” when it comes to stress. “Just being still, or say growing a garden, or maybe even the extreme action of a quiet stroll.” It might sound old-fashioned but it works.

5 Steps to Help Your Small Business Save Money in 20112011

It’s the New Year! Time to make all those resolutions about losing weight and walking the dog… but how about taking some quick steps early in January that might save your business money throughout the entire year?

Here are five steps my management team is taking to save us money in 2011:

1. Set the tone.

Your team will take their cues from you, so meet early with them and remind them of the importance of being frugal this year. Getting everyone focused on intelligent thriftiness at the beginning of the year can pay dividends as the year progresses. Remind the team of simple actions they can take to save money, like asking for discounts when purchasing goods and services for the business.

There is nothing wrong with asking; and if you don’t ask you can’t save!

Let them know they should turn off their computers when they leave the office at night to save money on electricity. Then solicit ideas on areas where the company can economize. It’s all about setting the tone and getting your employees bought in.

2. Check subscriptions and recurring charges.

The beginning of a new year is a great time to review your monthly expenses. Small, recurring charges can add up over the course of 12 months. Make sure you are still using all of the subscriptions that you see billed on your corporate card – everything from magazines to cloud services to trade group memberships. If you are not using the product, cancel! And if you are planning on using the service for the entire year try to get an annual plan. Companies often offer discounted annual memberships.

I realized that I had signed up for a couple of services on a monthly basis so I could “test” them – and I had forgotten to buy the annual plan when I started using them regularly! Pull out a couple of your last few credit card statements and looks for savings.

3. Plan for taxes.

It’s never too early to talk with your accountant about tax strategies for the new year. I know you’ll be spending way too much time with your accountant come April, but why not make April 2012 a little better by making sure you are taking all the right steps from the first month of January?

4. Create an expenditure plan.

As a competent business owner, you probably already know a large percentage of the big expenditures you’ll need to make in the coming year. And you likely also have a decent idea of when you’ll need to make these purchases. Put all this down in a spreadsheet, and estimate the dollar amount and the purchase date. Getting all the items on paper will help you visualize your big cash outflows for the year, and will help you prepare to make more intelligent purchasing decisions.

I find that if I know I’m going to need to make an important expenditure in June, I start looking for deals in March – and can often find discounts, sales or items on eBay. Also, if you know what you are going to need, you will be more thoughtful in how you react to coupons and special offers you get from your vendors.

Finally, remember that the account managers who serve you are likely working on quarterly commissions. If you can pull forward your purchase by a few weeks to the end of a quarter, you may be in a much better negotiation position. But you can’t do any of this unless you plan ahead!

5. Check out Anita’s e-book on small business money saving tips!

She lists 75 ways your business can save money and prepare for growth. You’ll find great ideas from saving money on stamps by using your bank’s check payment feature to taking advantage of your kids’ latent tech skills.

10 Old New Rules for Business EmailsMarketing Tips

What do you think: Are we all underestimating the importance of email? Maybe because it gets lost in spam, or because of alternative channels in twitter, LinkedIn, and Facebook? A smart person reminded me recently that email is the backbone of social media.

And in a recent post on business etiquette in the American Express OPEN Forum, small business expert Steve Strauss wrote:

“Email is now the dominant form of business communication and should be treated as such. Some uniform policies help everyone stay on track.”

I say that even with the “e” in front of it, it’s still mail. It is your business communication. It’s not just sales. And our being immersed in quick-and-careless text communications doesn’t mean we shouldn’t pay attention to our own emails. And if you’re going to do it – and face it, you are – do it right. I think my list here is nothing we don’t all already know, but we may need the reminders. I hope this helps:

1. Keep it short. We’re all busy. Most of us are skimming our emails, looking for the key points, and trying to get in and out of them quickly. I’ve never written anything that wasn’t more useful when cut to half its length.

2. Make the subject line a summary. This one seems obvious, but scan your own emails and you’ll find most of the subject lines are haphazard at best. We have threads that grow like snowballs attached to the subject of the first message, a subject that has long since been changed. We have come-on subjects like headlines, trying to trick us into reading further. Don’t sound like a spammer. Describe your message in your subject line.

3. Start and end with “you.” This is one of the fundamentals of business letter writing: Address your reader’s self interest. Start your first paragraph with the word “You” and include something like “you asked me…” or “you wanted… ” or “you mentioned” or “you need.” Start your last paragraph with “you” again and stress what your reader will get out of doing whatever it is that you’re asking.

4. Only one topic per message. You’ll find your actual results of emails go way up when you break your emails into a single message for each topic. Those additional messages you’d like to include are much more likely to get lost. Break the messages up.

5. Use appropriate tone. Be careful and be correct with tone. Sarcasm, parody, and irony are hard to put into cold hard black and white text. Tones are very easily misunderstood. Don’t ever write an email that could be misinterpreted and forwarded on to somebody out of context. Never write an email that would be embarrassing if quoted.

6. Don’t send extra copies. It’s a message, not an archive or a vault. We all hate those cover-your-backside extra copies going all over email to anybody who might vaguely someday accuse you of not having sent something, or handled something, or followed up. Send your email to the people it’s intended for, and nobody else.

7. Respect spelling and grammar. Use a spellchecker at least, but recognize as you do that spellcheckers don’t catch a lot of glaringly bad errors. Using “there” for “their,” for example, or the very common confusion of apostrophes and plural, as if every plural word needed an apostrophe. Try this google search or my personal favorite, 10 common misspellings at oatmeal.com. These errors to do your communications what a big piece of spinach caught in your teeth does to your smile.

8. Remember it’s not private. Your company email belongs to the company, and your personal email can get called up in court. People who want to and know how can snoop in email. Never write in email anything that is embarrassing to you or your recipient, inappropriate, bigoted, illegal, or stupid.

9. Email isn’t for arguments. Angry words are not biodegradable. Never argue in email. Walk down the hall or get on the phone. I’ve learned this myself the hard way, thinking my brilliant use of the English language could somehow make a point better than I could with old-fashioned talk. It never does. Email almost never wins a point or stops an argument. It almost always makes things worse, not better.

10. Mind those threads. Most of our email software builds long emails like kids build snowballs rolling downhill. Each new email is gathered up below in the thread. Is there anybody out there who hasn’t at least once realized in dismay, too late, that you’ve accidentally emailed a long thread that included too much information or some embarrassing comment about somebody along the way. Don’t you hate it when that happens? And then, aside from that problem, there is just the plain glut of useless information as every new email in the thread includes all of the previous emails. Think of how much sludge we’re sending through the pipeline. Does everybody need to be reminded in every email about everything that was said in all the related emails?

How Much Money do Small Business Owners Make?

Economic Trends

November 15, 2010

By Scott Shane

Many people are curious about what the average small business owner earns. The IRS Statistics of Income provides some data on the average income of sub chapter S corporations and sole proprietorships, which helps to estimate small business owners’ earnings.

In the table below, I show the income and sales of the average sub chapter S Corporation in the latest year the data are available. The figure shows that the average S corp generated about $100,000 income on about $1.5 million in sales in the last year before the Great Recession.

While the income of the average S corp was less than seven percent of its sales, there was wide variation across major industry sectors on this measure. Income only equaled about two percent of sales for sub chapter S corporations in retail, but almost 55 percent in management of companies, and almost 29 percent in mining. Similarly, wide industry differences can be seen in the average income of these businesses, ranging from only a little more than $28,000 in other services to $692,000 in management of companies. In fact, in four industry sectors – utilities, manufacturing, mining and management of companies – the average Sub Chapter S Corporation is making its owner rich by President Obama’s standards, generating more than $250,000 in income in 2007.

Click to see larger image

More financially successful entrepreneurs tend to form sub chapter S corporations, and less successful ones tend to run sole proprietorships. The IRS Statistics of Income data also show how well the average sole proprietorship performed.

As one would expect, the numbers are much lower than for the average sub chapter S corporation. In 2008, the average nonfarm sole proprietorship had revenues of only $58,256 and net income of only $11,696.

But, as with subchapter S corporations, the the variance across industries in income and revenue is quite large. Because there sole proprietorships are more common than S corps, the IRS provides industry numbers at a much more fine-grained level for sole proprietorships. The IRS figures show that,in 2008, the average revenue of a sole proprietorship ranged from $11,862 for unclassified establishments to $1,073,406 for coal mines, and average net income ranged from -$47,455 for coal mines to $117,685 for dentists’ offices.

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ความคิดเห็นที่ 7 ค่าเย็บแผล จากคุณ : ลุงแอ็ด เขียนเมื่อ : 18 ต.ค. 53 09:03:45

ความคิดเห็นที่ 8 ค่าเย็บแผล 1 จากคุณ : ลุงแอ็ด เขียนเมื่อ : 18 ต.ค. 53 09:04:20

ความคิดเห็นที่ 9 ค่าเย็บแผล 2 จากคุณ : ลุงแอ็ด เขียนเมื่อ : 18 ต.ค. 53 09:04:43

ความคิดเห็นที่ 10 ค่าเย็บแผล 3 จากคุณ : ลุงแอ็ด เขียนเมื่อ : 18 ต.ค. 53 09:05:10

ความคิดเห็นที่ 11 ค่าเย็บแผล 4