I have not made over $600 per year mystery shopping in fees before the 2004 tax year. Reimbursements do not count in your earned money and so my accountant had advised me not to include the amounts in my taxes. Last year was the first year I dedicated an office, computer and equipment to MSing.
I record the money received during the year and this time of year I find especially stressful. I am ready to close out the year, but I still have payment outstanding, $358.13. Of that I plan on receiving $84 before the end of the year, but realize I may not.
This time of year I have to convert my current spreadsheet to a new spread sheet. I use basically ten columns on an Excel spreadsheet that I fill in for all assignments (up to four more for specifics):Date of shop, MS Company, Business, Cost/Reimbursement/Fee, Type of Payment Expected (Check, PayPal, Direct Deposit), Expected Date of Pay (Which I change to the actual date of payment when I receive the money), Miles to the Shop and the Address of the Shop. The Cost is totaled by the formula “=SUM(E70:E245)” which totals all the money I spend while shopping. I include everything I spend on the shop. Sometimes I leave out purchases I would have made for myself anyway, especially onthe shoe shops it seems. I do this type of formula also for the Fee and Reimbursement (I also add in Referels, Comps and Bonuses). I then have a total that is “=SUM(G246,H246,I246,J246,F246)-E246″ basically, all my incomes minus my costs. I look at that total as howI am doing for that calendar year - money out & expected income also. I take that total however, and subtract what the accountant told me to deduct for mileage, .$36/mile. This usually leaves me in the negative on the year. (I look at it this way, I will go to the mall, weather for a “shop” or not - so I might as well be paid!) This is a write-off, losing money on my business, so the accountant says.
I run a more visual record of my incoming payments by the month in a Excel line graph format so I can compare to the previous year. This does not take into account the money out, but indicates the amount I am bringing in and helps me set reasonable goals for MSing income per month.