When Applying for an EIN, They Want my Social Security Number!

 

Homeschool leader, Paula, was applying for an EIN (Employer Identification Number) online, but the IRS website asked for her SSN (Social Security Number). She is reluctant to give it out. Should she be concerned?

Someone (the “responsible party”) must give their Social Security Number (SSN) so that the IRS can always trace leadership of a nonprofit (or a business) to a human being.

The IRS wants the name and Social Security Number of a specific individual it can contact if needed.

Requesting a name and SSN is also meant to prevent people from setting up dummy or scam organizations.

Listen to this episode (12 minutes) to find out more.

Featured Product:

Money Management in a Homeschool Organization

  • Does your homeschool group manage their money well?
  • Do you have a budget and know where the money is spent?
  • Do you know how to prevent fraud?

This 115 page book will help you to open a checking account, establish a budget, prevent mistakes and fraud, use software to keep the books, prepare a financial statement, and hire workers. Sample forms and examples of financial statements in clear English are provided.

Carol Topp, CPA

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Should Your Homeschool Group Be An LLC?

 

Have you heard of LLC status? It stands for Limited Liability Company status. Sounds like a good things, right? Doesn’t everyone want to limit their liabilities? Yes, they do! So maybe your homeschool group should be an LLC! Or maybe not!

The reason that most for-profit businesses obtain the LLC status is for limited liability. I organized my own sole proprietorship accounting practice as an LLC because I wanted limited liability and protection of my personal assets.

Becoming a Limited Liability Company (LLC) is a more complicated issue for nonprofit organizations. Most small nonprofits such as a homeschool co-op do not become LLC’s because the IRS has 12 conditions that must be met for the LLC to be tax exempt. For a nonprofit organization such as a homeschool co-op, nonprofit corporation status in your state brings similar protections of limited liability.

In this short podcast episode (15 minutes)  Carol Topp, the HomeschoolCPA, will share:

  • What does LLC mean?
  • What is limited liability?
  • How nonprofit corporation offers limited liability
  • Becoming a Limited Liability Company (LLC) is a complicated issue for nonprofits.
  • How the IRS views nonprofit LLCs

In the podcast Carol mentioned …

The IRS and Your Homeschool Organization

Does your homeschool group need to pay taxes? Could they avoid paying taxes by being a 501c3 tax exempt organization? Do you know the pros and cons of 501c3 status? Do you know what 501c3 status could mean for your homeschool group? I have the answers for you in my book The IRS and Your Homeschool Organization. The information I share in my book has been helpful to homeschool support groups, co-ops, music and sports groups and will help you understand:

  • The benefits of 501c3 status
  • The disadvantages too!
  • What it takes to make the IRS happy
  • What your state requires
  • Why your organization should consider becoming a nonprofit corporation
  • What is the difference between nonprofit incorporation and tax exemption
  • IRS requirements after you are tax exempt

Click Here to request more information!

Carol Topp, CPA

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Should a Homeschool Nonprofit Let Members Vote?

 

Should your homeschool nonprofit group let its members vote? There are many nonprofit groups that do not give their members a vote, but some do! What are the pros and cons or each arrangement?

In this short podcast episode (12 minutes)  Carol Topp, the HomeschoolCPA, will share:

  • Is it okay to not allow members a vote?
  • Sample bylaws can be found at   HomeschoolCPA.com/Samples
  • Can a board chose its own replacements?
  • How can a board get input from the membership?

In the podcast Carol mentioned …

 

Homeschool Organization Board Manual

Sometimes current group leaders have none of the important paperwork for their organizations. Homeschool board members should keep all their organization’s important papers in a safe and accessible place. Usually, a 3-ring binder works well.

Author and homeschool advisor, Carol Topp, CPA, has created a Homeschool Organization Board Manual. It is a template to create a board member binder. It has:

  • A list of important documents to keep in your binder
  • Section dividers so you can organize the important papers
  • Tools to help you run your meetings smoothly including
  • A sample agenda that you can use over and over again
  • A calendar of board meetings

Click Here for more information!

Carol Topp, CPA

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Does My Homeschool Group Need Directors and Officers Insurance?

Does My Homeschool Group Need Directors and Officers Insurance?

 

Does your homeschool group need to protect your leaders? Sure you do, so you may consider purchasing Directors and Officers (D&O) insurance.

In this short podcast episode (12 minutes)  Carol Topp, the HomeschoolCPA, will explain:

  • What is D&O insurance?
  • What does D&O insurance protect?
  • When to buy D&O insurance?
  • How does being a nonprofit corporation help?
  • Article on Insurance for Homeschool Groups.

In the podcast Carol mentioned …

Money Management in a Homeschool Organization

Does your homeschool group manage their money well? Do you have a budget and know where the money is spent? Do you know how to prevent fraud? This 115 page book will help you to open a checking account, establish a budget, prevent mistakes and fraud, use software to keep the books, prepare a financial statement and hire workers. Sample forms and examples of financial statements in clear English are provided.

Click Here to request more information!

Carol Topp, CPA

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Blurring Lines of What is Homeschooling

 

On the I Am a Homeschool Group Leader Facebook page, a lot of discussion happened around the topic of being an inclusive group (open at all) or exclusive group (limiting membership). Several homeschool leaders contributed the reasons for their group’s decision. Carol Topp shared those views in Episodes # 129 and #130 which you can find here:

Reasons to be an Inclusive Homeschool Group

Reasons to be an Exclusive Homeschool Group

In this episode of the HomeschoolCPA podcast, Carol Topp will share some of the reasons that some groups are exclusive (they do not allow public school students into their homeschool group) but it comes from a few people who are active in legislation or in their state homeschool groups. They have a different viewpoint that you may find insightful and interesting.

These state homeschool leaders mentioned:

  • The lines of what is homeschooling are blurring and state legislators may not understand the difference between traditional or independent homeschooling and public-school-at-home.
  • There are concerns about government control and oversight
  • There is a concern of being grouped with charter schools or public school funding and therefore be subject to more government oversight

 

 

In the podcast Carol mentioned the Facebook  group for homeschool leaders I am a Homeschool Group Leader. Join 400+ homescool leaders for ideas, encouragement and respective exchange of ideas. https://www.facebook.com/groups/72534255742/

 

Featured resource:

Phone Consultation with Carol Topp, CPA

You can learn a lot about running your homeschool group from the HomeschoolCPA podcast and website (and books) , but sometimes you just need to TALK to someone who understands homeschooling, running a group and the laws surrounding the finainces and operations of homeschool groups. Why not call Carol Topp, the Homeschool CPA, to set up a personal call?

Carol is happy to set up a conference call so several of your leaders can join in from their own homes. The call can be recorded or future reference or for those who are unavailable. This is Carol’s most popular service for homeschool leaders. It’s like having your own homeschool expert CPA on the phone!

Cost: $75/hour to nonprofit organizations.  $100/hour to for-profit businesses. $60 minimum.

Contact HomeschoolCPA, Carol Topp, CPA, to arrange a telephone consultation.

Click Here to request more information!

Carol Topp, CPA

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Reasons to be an Exclusive Homeschool Group

 

Is your homeschool group exclusive, meaning you limit who can join? Should public school-at-home parents be joining your homeschool group? Some homeschool groups desire to be more exclusive and have all members be “independent” or “traditionally” homeschooling.

 

On the I Am a Homeschool Group Leader Facebook page, a question was asked about the pros and cons of mixing homeschool and public-school-at-home students in your group-or, put differently, being inclusive (open at all) or exclusive (limiting membership). Many homeschool leaders contributed their experiences and reason for their group’s decision.You can listen to that podcast at

Reasons to be an Inclusive Homeschool Group

In this episode of the HomeschoolCPA podcast, Carol Topp will share some of the reasons that some groups are exclusive and do not allow public school students into their homeschool group including:

  • Leaders cannot serve everyone!
  • Overcrowding pre-schools or other activities in the homeschool group
  • Public school students have their own groups and support networks
  • It’s easier to be exclusive. There were too many disagreements in inclusive group
  • The group could lose a place in homeschool sports competitions if public school students are included

 

In the podcast Carol mentioned the Facebook  group for homeschool leaders I am a Homeschool Group Leader. Join 400+ homeschool leaders for ideas, encouragement and respective exchange of ideas. https://www.facebook.com/groups/72534255742/

Featured resource

Homeschool Co-ops:
How to Start Them, Run Them and not Burn Out

Need more information on how to start and run a homeschool co-op? Carol Topp’s book, Homeschool Co-ops: How to Start Them, Run Them and Not Burn Out  is packed with helpful tips and advice from other homeschool leaders.

Starting a homeschool co-op can be easy! This book Homeschool Co-ops: How to Start Them, Run Them and Not Burn Out will give you ideas, inspiration, tips, wisdom and the tools you need to start a homeschool co-op, run it and not burn out!

Click Here to request more information!

Carol Topp, CPA

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Reasons to Be an Inclusive Homeschool Group

 

Is your homeschool group open to including everyone (inclusive)? An inclusive homeschool group allows everyone to join regardless of their method of homeschooling and that includes students public-school-at-home students. Should public school-at-home parents be joining your homeschool group?  Some leaders grapple with the question of whether their group should be inclusive or more exclusive.

I the Facebook group I Am a Homeschool Group Leader  a question was asked about the pros and cons of mixing homeschool and public-school-at-home students. The discussion had many homeschool leaders contributing their experiences and reason for their group’s decision. In this episode of the HomeschoolCPA podcast, Carol Topp will share some of the reasons that leaders gave to allow public-school-at-home students in your group:

 

  • Openness to all regardless of their choice of homeschool methods
  • A desire to help everyone concerned about their children’s education
  • The parents feel like they are homeschooling and still need support
  • Public-school-at-home parents see the freedom that traditional homeschoolers have and many switch to traditional homeschooling.
  • The group feels that they are stronger together, especially when facing legislative battles

 

 

In the podcast Carol mentioned a Facebook  group for homeschool leaders, I am a Homeschool Group Leader. Join 400+ homeschool leaders for ideas, encouragement and respective exchange of ideas. https://www.facebook.com/groups/72534255742/

 

 

Featured resource

Homeschool Co-ops:
How to Start Them, Run Them and not Burn Out

Need more information on how to start and run a homeschool co-op? Carol Topp’s book, Homeschool Co-ops: How to Start Them, Run Them and Not Burn Out  is packed with helpful tips and advice from other homeschool leaders.

Starting a homeschool co-op can be easy! This book Homeschool Co-ops: How to Start Them, Run Them and Not Burn Out will give you ideas, inspiration, tips, wisdom and the tools you need to start a homeschool co-op, run it and not burn out!

Click Here to request more information!

Carol Topp, CPA

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No Parental Involvement. Is That a Good Thing?

 

A homeschool curriculum touted the benefit of their program to be “No parental involvement needed.” Is that a good feature or not?

In this short podcast episode (15 minutes)  Carol Topp, the HomeschoolCPA, warns homeschool leaders of the trap they can fall into if they don’t include parents in their homeschool program. 

In the podcast Carol mentioned …

Homeschool Co-ops:
How to Start Them, Run Them and not Burn Out


Have you ever thought about starting a homeschool co-op? Are you afraid it will be too much work? Do you think you’ll have to do it all by yourself? Starting a homeschool co-op can be easy! This book Homeschool Co-ops: How to Start Them, Run Them and Not Burn Out will give you ideas, inspiration, tips, wisdom and the tools you need to start a homeschool co-op, run it and not burn out!

Click Here to request more information!

 

Carol Topp, CPA

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Accountability: Do you need it?

 

“I’m looking at a homeschool program that meets twice a week because it will hold me accountable,” explained a mother of preschoolers interested in homeschooling. My question to her was, “Do you need accountability?” Maybe not!

In this short podcast episode (13 minutes)  Carol Topp, the HomeschoolCPA, explains her reply to this new mom considering a homeschool program for a very young child.

In the podcast Carol mentioned …

Homeschool Co-ops:
How to Start Them, Run Them and not Burn Out


Have you ever thought about starting a homeschool co-op? Are you afraid it will be too much work? Do you think you’ll have to do it all by yourself? Starting a homeschool co-op can be easy! This book Homeschool Co-ops: How to Start Them, Run Them and Not Burn Out will give you ideas, inspiration, tips, wisdom and the tools you need to start a homeschool co-op, run it and not burn out!

Click Here to request more information!

 

Carol Topp, CPA

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Good, Fast And Cheap: Can a Homeschool Co-op Be All Three?

 

A homeschool co-op offers drop-off high school classes and wants to remain high quality and low cost. The leader is struggling. I say she can’t offer all three: Cheap, good and fast (or convenient for parents). She’ll have to give up one of those goals to remain viable.

In this short podcast episode (12 minutes)  Carol Topp, the HomeschoolCPA, explains how she advised this homeschool leader.

In the podcast Carol mentioned …

Money Management in a Homeschool Organization
Does your homeschool group manage their money well? Do you have a budget and know where the money is spent? Do you know how to prevent fraud? This 115 page book will help you to open a checking account, establish a budget, prevent mistakes and fraud, use software to keep the books, prepare a financial statement and hire workers. Sample forms and examples of financial statements in clear English are provided.

Click Here to request more information!

Carol Topp, CPA

Save

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