Sources

Every source we cite

Last checked against official sources: 2026-10-19

Every fact on TheLaunchSheet, the official page it comes from, that page's own update date (when it shows one), and the date we read it.

What we saySourceSource updatedWe checked
The IRS issues EINs free of charge. If you apply online and the application is approved, you get the number immediately. The online application must be finished in one session and expires after 15 minutes of inactivity. It is for businesses whose principal place of business is in the U.S. or U.S. territories, and the responsible party needs an SSN or ITIN.IRS: Get an employer identification numbernot shown on page2026-10-19
The self-employment tax rate is 15.3%: 12.4% for Social Security and 2.9% for Medicare.IRS: Self-employment tax (Social Security and Medicare taxes)2026-06-272026-10-19
You usually must pay self-employment tax if your net earnings from self-employment are $400 or more. Generally, the amount subject to the tax is 92.35% of your net earnings.IRS: Topic no. 554, Self-employment tax2026-09-242026-10-19
2026 business standard mileage rate: 76 cents per mile for expenses on or after July 1, 2026 (Announcement 2026-11, citing higher fuel prices); 72.5 cents per mile before July 1, 2026 (Notice 2026-10).IRS: Standard mileage rates, and Internal Revenue Bulletin 2026-29 (Announcement 2026-11)2026-07-282026-10-19
Whether a worker is an employee or an independent contractor depends on three kinds of facts: behavioral control, financial control, and the type of relationship. No single factor decides it; the key is the right to direct and control how the work is done.IRS: Independent contractor (self-employed) or employee?2026-05-192026-10-19
License and permit requirements depend on your business activities and location. Zoning is usually controlled locally and can apply to home-based businesses. Most states require you to register a DBA (trade name) if you use one. Taxes on employment insurance and workers' compensation insurance vary by state.SBA: Launch your business (licenses, permits and registration)not shown on page2026-10-19
General liability insurance protects against financial loss from bodily injury, property damage, medical expenses, libel, slander, defending lawsuits, and settlement bonds or judgments. Professional liability covers malpractice, errors and negligence for service businesses. Home-based business coverage can be added to homeowner's insurance as a rider. SBA advises buying the insurance that's required by law first, then insuring against things you couldn't pay for on your own.SBA: Get business insurancenot shown on page2026-10-19
In Texas you collect state and local sales tax on the amount you bill for cleaning. Tax is due on the charge to clean a home, office, warehouse, garage, restaurant or any other building. The only exemption for household work is for a person who is an employee of the household, not a subcontractor such as a maid service.Texas Comptroller: Cleaning and Janitorial Services (Publication 94-111)not shown on page2026-10-19
Texas cleaning businesses must pay tax on all soap, cleaners, chemicals, supplies and equipment used to perform their services. Items transferred to the customer as part of a taxable service (such as toilet paper, paper towels and hand soap left for the customer) can be bought with a resale certificate.Texas Comptroller: Cleaning and Janitorial Services (Publication 94-111)not shown on page2026-10-19
Every LLC that is doing business or organized in California must pay an annual tax of $800, due even if the LLC isn't doing business, until it's cancelled. The first payment is due by the 15th day of the 4th month after filing with the Secretary of State. The first-year exemption applied only to tax years beginning in 2021 through 2023.California Franchise Tax Board: Limited liability companynot shown on page2026-10-19
The fee for filing Articles of Organization for a New York LLC is $200.New York Department of State: Forming a Limited Liability Company in New Yorknot shown on page2026-10-19
Most New York LLCs must publish their Articles of Organization (or a notice of formation) in two newspapers, designated by the county clerk, for six consecutive weeks, then file a Certificate of Publication with a $50 fee. Not doing this within 120 days suspends the LLC's authority to do business.New York Department of State: Forming a Limited Liability Company in New Yorknot shown on page2026-10-19
Individuals, including sole proprietors, generally have to make estimated tax payments if they expect to owe tax of $1,000 or more when they file their return.IRS: Estimated taxes2026-09-252026-10-20
2026 estimated tax due dates: April 15, June 15 and September 15, 2026, and January 15, 2027. If you file your 2026 return by January 31, 2027 and pay the rest of the tax you owe, you don't need to make the January 15 payment.IRS Taxpayer Advocate Service: Making estimated tax payments; IRS Publication 505 (2026)2026-04-302026-10-20
Keep tax records for 3 years in most situations (longer in specific cases, such as 6 years if you under-report income by more than 25%). Keep employment tax records for at least 4 years after the tax is due or paid, whichever is later.IRS: How long should I keep records?2026-06-302026-10-20
Report payments for services to a non-employee on Form 1099-NEC when they total $2,000 or more in the calendar year, for payments made after December 31, 2025 (the threshold was $600 before).IRS: Form 1099-NEC & independent contractors (FAQ)2026-10-162026-10-20
Employers must complete and sign Section 2 of Form I-9 within 3 business days of an employee's first day of work for pay (by the first day if the job lasts less than 3 days).USCIS: Completing Section 2, Employer Review and Attestationnot shown on page2026-10-20
You can generally figure business car expenses with the standard mileage rate or actual expenses. To use the standard mileage rate for a car you own, you must choose it in the first year the car is used in your business; for a leased car, you must use it for the whole lease if you choose it.IRS: Topic no. 510, Business use of car2026-10-092026-10-20
A sole proprietorship is easy to form; you're automatically one if you do business without registering as another kind of business. Its assets and liabilities aren't separate from yours, so you can be held personally liable for the business's debts and obligations. An LLC protects you from personal liability in most instances, but LLC members are considered self-employed and must pay self-employment tax. Sole proprietorships can be a good choice for low-risk businesses and owners who want to test an idea first.SBA: Choose a business structurenot shown on page2026-10-20
There are four ways to register a business name: an entity name protects you at state level, a trademark at federal level, a DBA gives no legal protection but might be legally required, and a domain name protects your website address. Each registration is legally independent.SBA: Register your businessnot shown on page2026-10-20
Florida's general state sales tax rate is 6%. Businesses providing taxable services must register to collect sales tax; the Department's examples of taxable services include interior nonresidential cleaning services.Florida Department of Revenue: Florida Sales and Use Taxnot shown on page2026-10-20
Georgia taxes the retail sale of tangible personal property and certain services. Most services are exempt; the services Georgia does tax include accommodations, in-state transportation of individuals, admissions, and charges for participation in games and amusements.Georgia Department of Revenue: What is subject to sales and use tax?not shown on page2026-10-20

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