The Propeller - It's December - Time to hunt for deals and hidden treasures! - 12-1-2024

Stop Confusing “Busy” with “Effective”

Far too many people spend their lives caught up in a whirlwind of tasks, appointments, and to-do lists, believing they’re making progress. Spoiler alert: they’re not.

Here’s the truth bomb: Being busy is not the same thing as being effective.

Actually, being “busy” can often be the opposite of being effective. It’s like running on a treadmill for hours and bragging about how far you’ve traveled. Meanwhile, the people who are actually effective – they’re out there, walking calmly toward real destinations – and achieving what matters.

Why Results Are All That Matter

Think about it: the only thing that truly counts is what you produce. Not how frazzled you look. Not how many hours you clocked. And definitely not how many times you announced to anyone within earshot how “busy” you’ve been.

When you make a big deal about your busyness, you don’t come across as hardworking or important. You come across as:

Unfocused: Running around with no clear direction.
Disorganized: Juggling tasks you haven’t prioritized.
Ineffective: Because results, not effort, are what really matter.

For anyone who’s been stuck on the hamster wheel of “busy,” here’s the good news: you don’t have to live that way.

How to Switch from Busy to Effective

Ready to escape the trap? Here’s your game plan:

Know What You Want: Take inventory of your goals. What do you actually want to accomplish? Be specific. “Make more money” isn’t a goal – it’s a vague wish. “Increase monthly income by $2,000 in 90 days” is clear and actionable.

Make a Plan: Once you know your target, map out how to get there. Identify the key steps that will have the biggest impact. Cut out fluff that doesn’t move the needle.

Execute Relentlessly: Action beats intention every time. Start knocking out the priorities on your plan. Adjust as you go, but keep your eyes on the results.

The Difference Between Winners and Losers

Here’s the real kicker:

Losers focus on being busy. They fill their schedules to feel productive, as if multitasking their lives into chaos will impress someone.

Winners focus on being effective. They maximize their time, tackle priorities, and achieve meaningful outcomes.

The best part? You get to decide which group you belong to.

Tech Tip for Effectiveness

Feeling overwhelmed? Let tech work for you. Apps like Microsoft Onenote and Microsoft to-do can streamline your goals and tasks into visually appealing workflows. Pair them with time-blocking in your Microsoft Outlook calendar to ensure you’re spending time where it matters most.

Remember: being effective isn’t about doing everything—it’s about doing the right things well.

Who wants to go on a treasure hunt?

Okay, this is not tech or finance related, but it’s still cool.

This dude apparently is hiding $2M in 5 treasure chests across America. He wrote a book with maps and clues — whoever finds it keeps the treasure.

Get your copy of the book There’s Treasure Inside here: https://amzn.to/4150k6X

Finance: Key Updates on IRS 1099-K Reporting Requirements for 2024

The IRS has announced significant changes to the 1099-K reporting threshold for 2024, which will impact small business owners and entrepreneurs who use platforms like Venmo, PayPal, CashApp, and Stripe to accept payments. Here’s what you need to know:

What is Form 1099-K?

Form 1099-K is used to report payments received through third-party settlement organizations (TPSOs) for goods or services. This includes online business transactions and in-person sales processed through these apps or marketplaces like eBay and Etsy and if you sell on Facebook marketplace and accept payments usiong the above payment methods. (If you sell on Ebay – even if it is junk from your garage, this means you will be paying tax on the amount of money you make from the sale!)

What’s Changing?

2023 Threshold: Payments exceeding $20,000 AND 200 transactions triggered a 1099-K.
2024 Threshold: Payments exceeding $5,000, regardless of the number of transactions, will require a 1099-K.
Future Changes:
- 2025: Threshold drops to $2,500.
- 2026: Threshold drops to $600.

Even if your total gross sales don’t exceed the federal threshold, note that some states may have lower thresholds requiring earlier reporting.

How This Affects Small Business Owners

This change means more small businesses, freelancers, and side hustlers will need to report income from these platforms. If you’ve been operating casually or are new to managing business taxes, it’s time to get serious about tracking your earnings.

Key Implications:

Increased Scrutiny: More entrepreneurs will receive 1099-K forms, which means the IRS will have better visibility into your earnings.
Tax Filing Prep: If you receive a 1099-K, but the amount reported is incorrect (e.g., personal reimbursements from roommates or friends), you’ll need to correct this on your tax return.
State Compliance: Stay updated on your state’s reporting thresholds to avoid surprises.

What if the 1099-K Information is Wrong?

Mistakes can happen. For example, if a roommate reimburses you for rent through Venmo and it’s reported as income, here’s what you can do:

Contact the issuer listed on the 1099-K to correct the error.
If no correction is issued, you can zero it out on your tax return:
- Enter the amount on Schedule 1, Line 8z as “Other Income.”
- Deduct the same amount on Schedule 1, Line 24z as “Reimbursement.”

Tips for Entrepreneurs to Stay Ahead

Keep Records: Maintain detailed records of all business and personal transactions to avoid misreporting.
Separate Accounts: Use separate payment accounts for business and personal transactions to minimize confusion.
Consult a Tax Pro: Work with a CPA or tax professional to ensure compliance and maximize deductions.

The Bottom Line

As the thresholds decrease in the coming years, this change highlights the importance of proactive financial management. Entrepreneurs and small business owners who rely on payment apps for transactions must prepare to document and report earnings accurately to avoid penalties or complications during tax season.

Start implementing best practices now to safeguard your business and stay compliant!

Also, remember if selling items in person, cash is king!

Would you like more tips on handling taxes or navigating small business and entrepreneurial changes? Let me know!

Cyber Monday

Cyber Monday is one of the best days of the year to score incredible deals on everything from electronics to household essentials. Retail giants like Amazon and Walmart pull out all the stops, offering deep discounts on popular tech gadgets, smart home devices, and accessories. Whether you’re eyeing a new laptop, upgrading your smartphone, or investing in the latest wearable tech, this is the time to snag it at a fraction of the cost. By shopping online, you can take advantage of flash sales, bundle offers, and exclusive discounts without leaving your home. Pro tip: Make a list of your must-haves in advance, compare prices, and act fast—those deals won’t last long!

Here are some of great deals that I like:

Amazon has all sorts of great deals. Here is a special page that I found that offers some of those best deals. This particular link is only available to Amazon insiders… don’t let them know I shared it! 🙂 https://amzn.to/41aoCMI

For my readers that are pilots (I know there are a lot of you…) PilotMall.com is running some great deals. Some are calling Neil crazy for all the crazy good deals he is offering! Check them out here: https://www.pilotmall.com/collections/limited-time-sales

Mint Mobile is offering some great deals. $15/month for your Mobile phone service. I have been using Mint Mobile for several years now and have always had a great experience. They use the T-Mobile towers, so you know they have great service all over the country and even international covereage. Sign up using this link and you will get a free month! http://fbuy.me/uPIjX

Where do you like to get your best Cyber Monday deals?

Good luck surviving December – may your shopping bags be light, your deals be epic, and Santa cover the rest

This is re-published from the weekly email sent by Leonard Mack entitled The Propeller. To subscribe, visit https://www.LeonardMack.com/subscribe and read it every Sunday evening.

This intellectual nourishment is intended for informational purposes only. One should not construe anything herein as being legal, tax, investment, financial, or other advice.

My rule is this – I have no advice to give, only experience to share. I have no interest in being a guru or telling people what they should do. Rather, I share my own experience because there is no right or wrong. Your mileage may vary.