How to Provide Evidence 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, today, if you want to move into a new apartment, the real estate agents will ask you for proof of income, you can read more now on this homepage. Even the financial lending institutions in the field will ask for proof from any client requesting for loan. So, even the self-employed individual must show proof of their income before they can access some services in the field. In this article, you will learn some of the various ways you can use to show proof of your income.
First, you can show proof of your income by the use of bank statement. One way you can use to show proof of income is by the use of bank statement. Even if you are self-employed, the savings you have, has been going to the bank, and the institution has all the record since the account was opened. Therefore, if you want to rent an apartment or request loan from any financial institution, you can use your bank statement to show proof of income. Getting bank statement is easy, you can contact your banking service providers, or get it online via the bank’s app.
Use your tax return. Each year, all the citizens of different states are required to file the tax return. The tax returns shows a person’s earnings for the whole year. Tax return document is one of the documents that is accepted in many institutions as proof of individual’s 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. If you want to get a tax return document, it is simple, download it from your portal at the website of the revenue collection authorities.
Also, you can use pay stubs and W-2 to pay yourself if self-employed, and use the records as proof of income. Most people think that only civil servants can use pay stubs and W-2, but the truth, even self-employed individuals can use this system to pay themselves. It is advisable that instead of taking time filling out 1099, or directing payments to your bank account, it is better to pay yourself using W-2. The good thing of using W-2 is that you can generate pay stubs every week or month. So, the documents you will get from this system can act as your proof on income when needed by your lending institution, or real estate agent.