Add Photography Gift Certificate Template Digital Signature with airSlate SignNow

Add countersignature Photography Gift Certificate

three awesome good afternoon thank you for  joining me today we are going to do a   free little training about how to handle  gift cards and or gift certificates in   your photography business there's a couple  things around this that you should be aware   of and I definitely get a lot of questions  on how to handle these and so today I'm just   going to kind of walk through a little  presentation and take your questions and   help you guys out here so without further  Ado let me go ahead and share my screen just let me know that you guys can see that okay perfect so gift cards gift certificates  there's a couple things you need to know   um I know that this is pretty common especially  during the holiday time and so I just want you   to be aware of how these work so first of all  somebody comes and buys a gift certificate or   a gift card from you and the thing I really want  you to know is that even though they're purchasing   it and technically it's income like they're  giving you money right but all that's really   going to do is go into your bank account and  increase your asset of cash right your cash is   Cash is going to increase I'm speaking about this  in in bookkeeping terms just to help you and then   we can reiterate you know but I wanna that's  gonna increase your cash and actually goes on   your balance sheet and that liability becomes  a liability and that's because now let's say   somebody bought a 500 gift card from you now you  are liable for 500 in services at a future date   you haven't earned that income yet so you don't  want to pay taxes on income you haven't earned   yet because let's say they never use it or let's  say that I mean because companies have this right   think of targets or these big box stores they  have huge accounts for gift cards people never use   then there's a point later on where maybe it's  you do this once a year and you go ahead and you   count that as income so somebody doesn't you know  I don't know I guess a year would probably be kind   of short but you put a time period on like I'm  selling a gift card if somebody doesn't use it   over five years I think is what a lot of stores  use then they go ahead and they account that as   income as a photographer you have to set something  for yourself then you'll count that as income at   that time um the 500 and then you'll claim it on  that year's taxes does that make sense let me know   in the chat and the next thing I want you to know  about gift cards is that they are not taxable okay   so somebody is coming and purchasing a 500 gift  card I'm going to use the 500 example through   this whole...