Okay, for you ladies (or gents) selling on e-bay, I have a question... Are you set up as a business, with a tax number and all? How much does this all actually entail? It's something I'm interested in doing and would just like to know exactly what I'm in for. Thanks.

-- Laurie in WI (trad_cath_mom@hotmail.com), April 20, 2001

Answers

Response to Stay Home Moms Can Earn Money Too--Two!

I sold on ebay last year, and I did have to fill out a Schedule C and SE on our taxes this year. I didn't have to have any tax number other than my SS#. Schedule C just shows profit or loss from business, and schedule SE was to pay self-employment tax on the profits (15%).

As far as actually running the auctions, I would definitely suggest buying a good quality digital camera if you don't already have one. I think most things sell better if you have a picture to show what it looks like (well I guess it depends on what you're selling, but still..). The camera was really my only start-up cost. I use honesty.com for image hosting, but there are also several others that are free.

If I can help further, please let me know.

-- Tracey in AL (trjlanier@cs.com), April 20, 2001.

Response to Stay Home Moms Can Earn Money Too--Two!

Hello Laurie, I started selling things on Ebay without a digital camera. When I earned enough money in profit, I took that money and bought a good quality camera with it. If you decide to get a camera, get one with a zoom lense as it will help your tremendously with tiny objects such as coins or jewels and such. I can photgraph everything else well with my digital camera but, for small items I borrow my friends who has a zoom and it really does make a difference in clarity. When I sell on Ebay, I go to a similar item that is already being auctioned and compare it with the item that I want to sell. You will usually know by the bidding and the amounts about how much your item will sell for. If you start your bid too high you may not get any bids...likewise if you start it too low you my not make any profit. Another think to consider is your charges for shipping and handling. When I buy on Ebay I look at all of the items up for auction that are the same. I decide to bid on the item according to the shipping cost of it. Some people will ship priority only and that is sometimes higher. Others will ship only with insurance and that is of course higher too. The best way I have found is to ship actual shipping cost and offer to go priority and insurance if the bidder wants them. Good luck on your new enterprise and I hoped that I have helped you a little with it. Sincerely, Ernest

-- http://communities.msn.com/livingoffthelandintheozarks (espresso42@hotmail.com), April 20, 2001.

Response to Stay Home Moms Can Earn Money Too--Two!

I sell on eBay just to make a little extra money so I can stay home with my son. I don't charge any sales tax or file any special taxes. I look at this income basically the same as any money I would make at a yard sale. I can average $100 - $150 during a week, putting up 10-20 auctions during that week. I sell kids clothes and toys, some from my own son, others I find for a great deal at a yard or clearance sale. That's pretty much all I sell, because I know a lot about that area. I don't have auctions up every week. I try to do something every two weeks or so, but have gone a month or more with out posting a thing! I agree a digital camera makes it REALLY easy to load up pictures. I use honesty.com to host my pictures and I don't pay a thing for that service. I guess if you start getting into making big bucks, you'd have to claim it, but I do it on a pretty small scale, enough for groceries, the car payment, birthdays or whatever comes along. I think this is a perfect "job" for a stay at home Mom (or Dad). It is easy to learn, easy to do and you can decide when you want to work. Feel free to e-mail me directly if you have any questions, I have had so much fun with this and can't say enough about it!! I'd be happy to help you get going! Amy

-- Amy (amya@cstone.net), April 20, 2001.

Laurie,

We've been selling on eBay for 4 years, sort of full time for the last year. Sometime the fees drive me crazy,but if you don't sell really low-cost items it's not too bad.

We file as self-employed,and we have a tax ID number so that we can buy wholesale. We're selling vintage glass beads and mosaic tiles- the things we already use ourselves for our jewelry and artwork- so we just use a scanner now.

You can find some great items at yard/garage/estate sales, as well as bulk stock at closeout sites.

It's a great way to work at home and be able to spend time with your family.

Let me know if you need any help getting started.]

Good Luck!

-- Kristin, in La. (positivekharma@aol.com), April 21, 2001.

I already have all that stuff... Been running my own businesses (several different ones over the years) for a long time.

A buddy of mine tried to sell me on ebay a while ago, but I haven't used it yet. He had some tips, though...

He told me not to bother getting a 'page' for a couple reasons. First off, they cost you - even if you don't sell. Secondly, they are required to send you a 1099 - which is fine if you sell a lot, but not so good if you only sell a couple things.

If you sell 'by the item', you are not sent a 1099, but then it is up to you to keep all the records. It costs less to sell that way, as you (HE SAYS, I don't know) only pay on items that do actually sell. You don't have to maintain a site, either.

I know for a fact that he did things this way to avoid paying taxes, and have always been a little leary of that. I would LOVE to avoid taxes, but am not sure this is the way to do that. He makes quite a bit of money this way. Also - this guy is a County Sheriff (back in IL). So - take this as you will.....

-- Sue Diederich (willow666@rocketmail.com), April 23, 2001.