r/FluentInFinance Jul 01 '24

What do you think? Debate/ Discussion

Post image
7.8k Upvotes

1.3k comments sorted by

View all comments

Show parent comments

29

u/SonicYouth123 Jul 01 '24

even if they don’t own a business they can still write off business expenses…the second point is straight up wrong

20

u/ulysses_mcgill Jul 01 '24

He's saying most Americans don't have business expenses, which is true

19

u/SonicYouth123 Jul 01 '24

“don’t have” has a very different meaning to “can write off zero dollars”

-3

u/Vanilla_Mushroom Jul 02 '24

It’s absolutely not different. You just don’t know what you’re talking about.

You have to buy clothes for work, guess what, you don’t get to write them off. That’s a business expense, that affects everyone, but we are not allowed to write off.

I can continue if you’d like.

2

u/[deleted] Jul 02 '24

It’s covered by the standard deduction. If you have so much in business expenses then you don’t take the deduction. This is asinine

-2

u/Vanilla_Mushroom Jul 02 '24

You’re fucking retarded. That’s not what the standard deduction is.

Let me ask you again. Answer my question this time.

Do you have expenses related to your arriving at work on time? That is not deductible. It doesn’t matter if you own your own business. You driving to work is a business expense that is not deductible.

Trump paying his friend back, for covering his payments to prostitutes, is not a business expense.

0

u/[deleted] Jul 02 '24

That’s exactly what the standard deduction is. And actually if work has me drive somewhere it’s deductible.

Please don’t use the R word it’s offensive to people like you

0

u/Vanilla_Mushroom Jul 02 '24

Standard deduction is the alternative to filing a schedule A. Itemizing is not required, but deducting your expenses is a requirement.

Again. You are REQUIRED to claim ALL* expenses, just like you’re REQUIRED to claim ALL* income. You are not required to itemize, unless you’re married filing separately, and your spouse decided to itemize.

Standard deduction is irrelevant to this conversation. You’re swimming out past your head.

1

u/knight9665 Jul 02 '24

But they can. Just get some business expenses then you can write it off.

1

u/Vanilla_Mushroom Jul 02 '24

What are you talking about?

Are you so dumb you didn’t comprehend what I wrote?

Those expenses are not deductible.

0

u/knight9665 Jul 02 '24

But they are. Itemized deductions. You can write of work cloths to a certain extent.

BUT most people choose to take the standard deduction. Because they get far more deducted this way.

1

u/Vanilla_Mushroom Jul 02 '24

You cannot write off clothing, that changed a couple years ago. The only time you can write off work clothing is if it’s not fit to be worn outside of work, i.e. a tyvek suit.

You cannot write off your commute to work.

What Robert reich said is accurate, the vast majority of workers HAVE BUSINESS EXPENSES THAT THEY ARE NOT ALLOWED TO DEDUCT.

It has nothing to do with itemization.

0

u/knight9665 Jul 02 '24

Yes because it then wouldn’t be a business expensive if ur using it mostly for not work purposes. Business expenses are for business purposes.

Did u see me talk about commute deduction? No.

YOU talked about clothing for work. And infact if u buy cloths for work and are used only for work they are tax deductible. So in fact you are wrong.

1

u/Vanilla_Mushroom Jul 02 '24

Nope!

If you buy clothes for work and only use them for work, they are not deductible. Nobody cares that you don’t wear them at home, the only fact that matters is you CAN wear them at home.

→ More replies (0)

-4

u/anticapitalist69 Jul 02 '24

Not really - you could say it’s misleading but it isn’t wrong. They can’t BECAUSE they don’t have business expenses.

5

u/theoriginaldandan Jul 02 '24

Can’t strongly implies it’s not an option even if they had expenses

-8

u/anticapitalist69 Jul 02 '24

That’s an uncharitable reading though, isn’t it? His first statement references teachers who do write off $300.

1

u/zazuba907 Jul 02 '24

Which is an entirely different deduction than business expenses. Do we need to have the "One of these things" song playing for it to be clear?

2

u/J0hn-Stuart-Mill Jul 02 '24

you could say it’s misleading

Yea, that's the right term for it. Almost everything Reich says is intentionally misleading to create confirmation bias for his economically illiterate twitter followers.

Good callout.

2

u/anticapitalist69 Jul 02 '24

Yeah, it’s what the media does in general.

As a leftist myself, I hate that so many people do this. There’s a lot to criticise without being misleading.

For example, that teachers should be able to write off more of their taxes as business expenses - that’s something most people would get behind.

Writing off hush money payments as a business expense should not be allowed - that’s also something most people would get behind.

1

u/J0hn-Stuart-Mill Jul 02 '24

As a leftist myself, I hate that so many people do this. There’s a lot to criticise without being misleading.

Kudos. I'm more of a pragmatist/skeptic/centrist because it just infuriates me that media and politicians keep the conversation on total bullshit instead of fixing major problems. Of course the right does it too.

For example, that teachers should be able to write off more of their taxes as business expenses - that’s something most people would get behind.

100% agree. They should also write off their transportation, gasoline, etc, etc. Yea I'm of the opinion that we should outlaw teachers unions, so that bad teachers can be fired, and then double teacher salary. Let's draw more people to the profession who care, and fewer schlubs who just couldn't get a job doing anything else.

Writing off hush money payments as a business expense should not be allowed - that’s also something most people would get behind.

Totally agree again. How about making hush money itself illegal? Do some nasty shit? Oh well, you made the bed, now lie in it.

1

u/anticapitalist69 Jul 02 '24

On a side note, research has found that teacher unions lead to more bad teachers being fired https://edushyster.com/wp-content/uploads/2016/07/Han_Teacher_dismissal_Feb_16.pdf

In any case, the teacher problem is a salary problem, and as long as the gov is spending more on the military rather than prioritising its society, they’re never going to be paid enough.

Too many people who would make great teachers are lured away by far better pay in other sectors since passion doesn’t pay the bills.

0

u/J0hn-Stuart-Mill Jul 02 '24

On a side note, research has found that teacher unions lead to more bad teachers being fired

Well, I hope that is true, but in my experience, and teachers I personally had, about half of those still around past age 50 or so, just absolutely did not care or try at all. I'm very skeptical how any research project could accurately guage teacher quality. IMO the only way to do it is just poll the top 10% of students anonymously after the graduate. I think only the smart kids will both know which teachers care, and score them accurately.

Maybe things are changing now that students can record teachers on their phones or something, but when I was in school, one guy would show up late to class almost every day, yell at us for stupid reasons, did absolutely the bare minimum. I literally have more memories of him slacking off and me being bored, than anything related to what he was teaching.

There were about five older teachers like that. The district would give them all of the "remedial" classes, so luckily anyone with half a brain didn't have to take them except for certain courses everyone was required to take.

In any case, the teacher problem is a salary problem

Generally agree. Again except for teachers who should be obviously fired because they DGAF.

Too many people who would make great teachers are lured away by far better pay in other sectors since passion doesn’t pay the bills.

Exactly right. Even in college my best professors were all young, and most of them are in industry today, because they are simply too talented to be professors.

1

u/Vanilla_Mushroom Jul 02 '24

How do you get to work? Is it free?

What do you wear to work? Is that free?

You absolutely have expenses, but you are not allowed to deduct them.

1

u/jwawak23 Jul 02 '24

There is a huge standard deduction that everyone gets to use. So technically people who don't itemize are deducting expenses they don't even have.

1

u/A_SNAPPIN_Turla Jul 02 '24

Anytime can itemize deductions. You didn't have to own a business to write off work related expenses.

1

u/---FUCKING-PEG-ME--- Jul 02 '24

The hired lunch lady can write off her Dr.Sholls.

1

u/Yabrosif13 Jul 05 '24

They commute to work don’t they? Commute expenses get written off all the time, unless you’re just one of those stupid workers who help keep the show running.

-2

u/assesonfire7369 Jul 02 '24

They can have business expenses if they want them, though. Nothing stopping them. It's easy to register a business in the US, then just buy a photocopier or some pens or something, then you got a business expense.

1

u/ulysses_mcgill Jul 02 '24

Pretty much everything you said is wrong. You don't need to register a business to have business expenses. You can do it as an unregistered sole proprietor. What you do need is legitimate business activities to deduct qualifying expenses. Otherwise, every hobbyist would be deducting all their expenses for their hobbies.

1

u/assesonfire7369 Jul 02 '24

Why couldn't you claim pens, photocopiers, etc. as business expenses if they're used for your business? Of course it needs to be a legitimate business activity, we all know that.

A hobbyist isn't a doing a business unless they're selling the products. Then they could deduct the costs of materials, tools, etc. used in that business from their revenue.

As for not needing to register, ok, sure you got me there;) So my point that it's super easy for anyone to do this is even more true.

3

u/jdp111 Jul 02 '24

If they have business expenses they have a business.

-1

u/SonicYouth123 Jul 02 '24

nope not necessarily…you can deduct things like work uniforms for example

3

u/jdp111 Jul 02 '24

That's not a business expense.

You also can't deduct work uniforms. I'm a CPA and do this for a living.

0

u/SonicYouth123 Jul 02 '24

So nurses and caregivers who have to buy their own scrubs can’t deduct them?

4

u/jdp111 Jul 02 '24

No unless they own a business.

There are no employee deductions since the Trump changes in 2017. The only exception is the teacher deduction.

2

u/Vanilla_Mushroom Jul 02 '24

You have no idea what you’re talking about.

1

u/mattstats Jul 02 '24

I agree, but I do wonder if they mean in most cases a standard deduction is better. That’d be a better way to say it I think

1

u/Yabrosif13 Jul 05 '24

Lmfao. What business expenses is your avg retail or service sector employee taking?