Ways You Can Show Proof of Your Income
Self-employed people cannot take part in some activities without showing proof of their income, you can read more here, or visit this website to know more about these information. For instance, if you want to rent new apartment, some real estate firms will insist of having your proof of income, read more now, or click this page. Apart from the real estate agents, and companies, you cannot request a loan from any financial institution without showing proof of your income. Therefore, even if you are self-employed, you must find ways to show proof of income to gain access to various services in the market. In this article, you will learn some of the various ways you can use to show proof of your income.
Bank statement. One of the effective way to show proof of your income is by using bank statement. Even if you are not employed by the state authorities, if you have been saving some money from in your account, the bank has all the records to act as proof of all the transactions. Therefore, you should not be stranded if you have been asked to show proof of your income by any organization, the easy way is use the bank statement. Accessing your bank statement is not difficult, you can get a print one from your banking service provider, or download online from the bank’s website or app.
Another important document you can use to show proof of income is your tax return. Each year, all the citizens of different states are required to file the tax return. The return will show a citizen’s income for the whole year. So, the tax return document is one of the legal things one can use to show proof of income. For that reason, do not worry if you want to borrow a loan from any lending institution an asked for proof income, use your tax return paper. Getting your tax return document is easy, you can get it online from your portal at the revenue authority website.
The easy way you can use to show proof of your income is by paying yourself if self-employed using pay stubs and W-2. Majority of people think that only individuals employed by the government should use pay stubs and W-2, but even the self-employed people can pay themselves using this system. Many self-employed people are advised not to worry themselves with filling 1099, or directing payments to personal accounts, instead, they can use W-2 to pay themselves. The good thing of using W-2 is that you can generate pay stubs every week or month. The documents generated weekly or monthly from pay stubs can be used as proof of income.