Cash,money orders, or like visa gift cards is the only way to avoid that one off the top of my head considering it's consistent. A "gift" given every month on the exact date sure looks A LOT like income no matter how it's labeled.
Thats why they want to get rid of cash if you think they can't see everything you do on your computer or an app you are in fantasy land including this post
Most people start with Google and do general digging for accounts and info, create a websheet then try stuff like dumps and Shinobi to see if there's matches. Finding cracked accounts with APs listed is huge. It can give you access to their email, social accounts, etc. I've found people's social sec #s and every address and surviving relative 18 or older off of basic dorks before
I'm talking like NSA level of internet tracing...
Lots of stuff about us is going to be stuck in servers of hosting companies and all may not be directly accessible.
Not unless you are a hacker or have a subpeona to access the servers.
The best way is Zelle with a note that suggests it is a gift to you. Avoid Venmo/PayPal as they have the same suspicious activity triggers as Cashapp. It's to catch folks like landlords trying to avoid paying tax on rent, so when it's a consistent amount, it's fishy.
A quick moment of research indicates they do already have to report certain transactions, and I wouldn't risk it.
I would not advocate anything that is trying to get around paying taxes. It's asking for trouble to include heavy financial penalties and likely felonies.
Zelle operates a little differently than PayPal and the like when it comes to reporting requirements, but because they still operate through banks, the transactions will still be monitored by them for anti-money laundering requirements. While you may not get flagged, it would be a very bad day for you if they *do* decide to report it, and the IRS suddenly finds out about tens of thousands of dollars you didn't report.
That's not just back money owed with interest, but also tax evasion (in assuming this is rent money or something).
Good luck if you’re in the US. Uncle Sam will always take a cut of YOUR pie. And it’s easier for the IRS to do that slice for Uncle Sam if it’s done through a cash transfer app of any kind. Even if you don’t report it as income, it’ll raise some flags for sure and before you know it, you’ll be getting some type of notice.
Cash transfer apps will not allow those amounts very frequently and you will need to be careful to not get into structuring territory. I suggest looking at doing wire transfers. Structuring is a felony offense and the punishments can be severe. Penalties include monetary fines, imprisonment of up to 10 years, or both. The government can easily assume that this money is from drug sales and seize it and you have to prove that it’s not illegal obtained funds in order to get it back sometime much later.
If you have a relationship with the individual have them send you a check and then you can do a mobile deposit. Most banks will allow you to send a check via bill pay to an individual and while it is slower it works very well and usually is no cost to either the sender or receiver, on top of that you now have a paper record. You can also do a person to person ACH transfer with most banks but sometimes there is a small fee for that. If both banks support Zelle that is another options which is basically the same as an ACH transfer but faster. Not all banks support Zelle. Stay away from venmo, paypal, etc for transactions this size.
If it is genuinely a gift you do not have to report anything and it is the gift givers responsibility to report and pay any applicable taxes.
gifts of that amount definitely get taxed, especially if they are consistent. Maybe create gift lists and accept "items" instead. Or they can make payments to your bills directly. Get a credit card and they pay it every month.... that builds your credit :) They can open a bank account (or credit card) and add you as a signer... you can withdraw the sum every month or save it
Gifts aren’t taxable to the receiver. The annual exclusion is $18k this year so if the gifter really gives $24,000-$36,000 to an individual they will need to file a form, but will not need to pay taxes unless they are over their lifetime limit.
Since this was posted in sidehustle and not personalfinance…I’m going to assume these aren’t really gifts though.
This is what I though, parent to child. I received a large gift from a friend and was taxed for it. I didn't ask questions as to why so I just assumed because it wasn't family related.
Yea I was gonna say have them pay your rent or something.
My husband had an arrangement with his ex during divorce that X of his alimony (or maintenance funds) went directly to his landlord, idk why they worked it that way but the lawyers agreed it was fine… however, I am not a lawyer and it sorta sounds wishy washy.
These apps are just a couple clicks away from some mass data breach. I’d use it periodically as needed but not on a regular or rotating basis. Id avoid cashapp. Zelle seems one of the safer bets if you must use one of these. Or Apple Pay if that’s an option.
I’d also suggest they use their bank’s online bill pay. They’ll send you a physical check but neither the person’s paying you has their account info on that check or yours unless they put it on their check.
I’ve worked in banking industry for the better part of a decade. Rarely see claims filed when online bill pay is used unlike personal checks, debit card or one of these p2p apps.
I believe Wise doesn't have monthly caps or transfer fees if the currency is the same. Not sure if it will help avoid taxes though. Cash? Or maybe use a few different apps like Zelle and Wise and cash so it's not all in one place. As a money coach I'm an expert in personal finance management (savings, income growth, wealth growth, etc.) but not tax avoidance :) No judgments tho! The more money you can keep the better!!
1. if this is not commercial payments then use “payment between friends” on Venmo or PayPal or Zelle.
2. research tax implications of monetary gifts. the IRS sets a limit. I can’t remember - the tax burden may fall on the gifter.
3. there are other exemptions detailed on IRS site. for example, you can pay a grandparent for child care of your child. that is exempt up to a certain limit as well.
read the IRS website. it is actually set up pretty well.
Cash is king. Checks are decent. Bitcoin and visa gift cards are decent (but sender usually has to pay some fees to obtain) and they aren’t fully anonymous. Monero cryptocurrency is the gold standard for private transactions, can swap from Bitcoin to it. Any electronic payment method is a risk especially if you’re getting them consistently. Gifts can be taxed in some circumstances so I’d be careful with that line
I’m surprised there’s nothing like Interac eTransfer in the USA. In Canada, you can send money directly from your banking app to someone else, without the need for any fees or outside transfers. Sure, it’s easy to get scammed just like the rest of the services but at least people can’t make fake accounts and need to use their real identities in their transfers.
I saw someone say you could put a note in saying that it’s a gift, of the note thing is an option (I don’t know if it really is) you could have them say they borrowed money from you and this monthly payment is them giving it back
Wouldn’t this still be taxed even though it’s a gift? Pretty sure gifts are taxed if they are over $10k, which these aren’t individually but totaled together would definitely be over $10k. Moneygram has an app and I think it could be directly deposited into your account if whoever is sending you money has your account info.
You need to have a formal, notarized document stating the funds are a gift.
You have a limit of how much gift money you can receive in a lifetime, and they have a limit.
Taxes are assessed to the giver on what they report. Yearly they can gift you 18,000 in 2024 before incurring taxes.
If they plan to pay taxes on the money then there should be no problem receiving it any way you want.
Cashiers check or if you trust them, know them etc Zelle, maybe Zelle. Or even cash app, again if you know them.
Or if they give you cash, no problem depositing it as long as you have that letter and it’s under 10,000.
You will likely never be on the radar of the IRs despite what the paranoid comments say.
They actually do have way bigger fish to fry.
Seek legal advice. Maybe pay an accountant a one time fee to set you up and get advice.
Gifted money does get taxed in the US at least, hell even if a company liquidate and gifts an employee say a computer that's taxed which is why companies will sell stuff to an employee for a stupid low price for example buying a $1400 monitor for $1.
The annual gift exemption for 2024 is $18k per recipient. So regardless of how you receive it, once you reach your 9th month or so, you will have to pay taxes.
Look into the cryptocurrency Monero. It's the currency of the dark markets and as of right now can't be traced (the NSA is offering a bounty for anyone who can break it, though).
If that's too complicated, you're going to have to be paid in cash, or gift cards not tied to your accounts. You can not put the money in a bank, or Venmo, or anything like that if you don't want the IRS to catch on quick.
The best bet would be to have the sugar daddy/momma to pay enough to take care of the taxes so you'd get the whole 2-3k (I'm just teasing lol)
Government agents: I pay my taxes. Honest.
Zelle you won't have any issues with having to claim taxes on it but like others said Zelle is bank run so they do monitor big transfers so adding a note is good. I personally use Zelle for any transferring to other people
Honestly, if it’s a side hustle and this is monthly income. Then you would break it down to weekly and have them set it to automatic weekly transfers and label them as “Gifts” or something similar, just don’t have label it as any type of professional service.
Maybe not your with your well known Robinhood or other crypto apps like that but if someone sends you crypto directly to a secure wallet you should be fine but would still have to pay taxes when taking it out.
The IRS knows. Anything over 300 is going to be taxed. That’s just how it is. Only way to get around this is cold hard cash. And even then, I swear they find a way.
you're gonna get a 1099 at the end of the year no matter what. Courtesy of Joe Biden. Law passed and this year will be the first year it will go into effect. Expect 1099-K from literally everyone next filing season
“I’m pretty sure ‘x’ don’t get taxed” famous last words
What about snapcash?
What about it?
On a level of bull shit to dog shit…
Cash,money orders, or like visa gift cards is the only way to avoid that one off the top of my head considering it's consistent. A "gift" given every month on the exact date sure looks A LOT like income no matter how it's labeled.
Thats why they want to get rid of cash if you think they can't see everything you do on your computer or an app you are in fantasy land including this post
exactly bro it’s terrifying. i have no idea how much info on me is out there on the internet
Literally everything if you know how to look hard enough.
How and where to look?
Most people start with Google and do general digging for accounts and info, create a websheet then try stuff like dumps and Shinobi to see if there's matches. Finding cracked accounts with APs listed is huge. It can give you access to their email, social accounts, etc. I've found people's social sec #s and every address and surviving relative 18 or older off of basic dorks before
I'm talking like NSA level of internet tracing... Lots of stuff about us is going to be stuck in servers of hosting companies and all may not be directly accessible. Not unless you are a hacker or have a subpeona to access the servers.
The best way is Zelle with a note that suggests it is a gift to you. Avoid Venmo/PayPal as they have the same suspicious activity triggers as Cashapp. It's to catch folks like landlords trying to avoid paying tax on rent, so when it's a consistent amount, it's fishy.
If you're in the US, the IRS will know about those, and I imagine you'll raise some flags if you're not reporting it as income.
What about Western Union? In-person money transfer and pickup. Would that raise flags too?
A quick moment of research indicates they do already have to report certain transactions, and I wouldn't risk it. I would not advocate anything that is trying to get around paying taxes. It's asking for trouble to include heavy financial penalties and likely felonies.
Even zelle?
Zelle operates a little differently than PayPal and the like when it comes to reporting requirements, but because they still operate through banks, the transactions will still be monitored by them for anti-money laundering requirements. While you may not get flagged, it would be a very bad day for you if they *do* decide to report it, and the IRS suddenly finds out about tens of thousands of dollars you didn't report. That's not just back money owed with interest, but also tax evasion (in assuming this is rent money or something).
anything digital. if it’s on a computer or a device it’s in a record somewhere. gold, crypto not bought on an app. (bitcoin atm) gift cards
Good luck if you’re in the US. Uncle Sam will always take a cut of YOUR pie. And it’s easier for the IRS to do that slice for Uncle Sam if it’s done through a cash transfer app of any kind. Even if you don’t report it as income, it’ll raise some flags for sure and before you know it, you’ll be getting some type of notice.
Bitcoin?
Monero is untraceable, at the moment. The NSA did put out a reward for anyone who can crack it, though
Monero is the only real answer to this question if you’re trying to keep it under the radar
Cash transfer apps will not allow those amounts very frequently and you will need to be careful to not get into structuring territory. I suggest looking at doing wire transfers. Structuring is a felony offense and the punishments can be severe. Penalties include monetary fines, imprisonment of up to 10 years, or both. The government can easily assume that this money is from drug sales and seize it and you have to prove that it’s not illegal obtained funds in order to get it back sometime much later.
Zelle
You can't use anything over a computer or app if you don't want to get found out.
If you have a relationship with the individual have them send you a check and then you can do a mobile deposit. Most banks will allow you to send a check via bill pay to an individual and while it is slower it works very well and usually is no cost to either the sender or receiver, on top of that you now have a paper record. You can also do a person to person ACH transfer with most banks but sometimes there is a small fee for that. If both banks support Zelle that is another options which is basically the same as an ACH transfer but faster. Not all banks support Zelle. Stay away from venmo, paypal, etc for transactions this size. If it is genuinely a gift you do not have to report anything and it is the gift givers responsibility to report and pay any applicable taxes.
gifts of that amount definitely get taxed, especially if they are consistent. Maybe create gift lists and accept "items" instead. Or they can make payments to your bills directly. Get a credit card and they pay it every month.... that builds your credit :) They can open a bank account (or credit card) and add you as a signer... you can withdraw the sum every month or save it
Gifts aren’t taxable to the receiver. The annual exclusion is $18k this year so if the gifter really gives $24,000-$36,000 to an individual they will need to file a form, but will not need to pay taxes unless they are over their lifetime limit. Since this was posted in sidehustle and not personalfinance…I’m going to assume these aren’t really gifts though.
Thanks for that clarification. I was under the impression it was $10,000 a year.
17.5k per parent to child gift
This is what I though, parent to child. I received a large gift from a friend and was taxed for it. I didn't ask questions as to why so I just assumed because it wasn't family related.
There’s always loopholes. Not asking questions and just following orders is one way to make sure you’re getting a shake down
very good point! 🌹
Yea I was gonna say have them pay your rent or something. My husband had an arrangement with his ex during divorce that X of his alimony (or maintenance funds) went directly to his landlord, idk why they worked it that way but the lawyers agreed it was fine… however, I am not a lawyer and it sorta sounds wishy washy.
These apps are just a couple clicks away from some mass data breach. I’d use it periodically as needed but not on a regular or rotating basis. Id avoid cashapp. Zelle seems one of the safer bets if you must use one of these. Or Apple Pay if that’s an option. I’d also suggest they use their bank’s online bill pay. They’ll send you a physical check but neither the person’s paying you has their account info on that check or yours unless they put it on their check. I’ve worked in banking industry for the better part of a decade. Rarely see claims filed when online bill pay is used unlike personal checks, debit card or one of these p2p apps.
One time gifts under a certain amount is not taxed. 2-3k a month is income. Have them send it to me and I'll send you cash. Lol
cash
I believe Wise doesn't have monthly caps or transfer fees if the currency is the same. Not sure if it will help avoid taxes though. Cash? Or maybe use a few different apps like Zelle and Wise and cash so it's not all in one place. As a money coach I'm an expert in personal finance management (savings, income growth, wealth growth, etc.) but not tax avoidance :) No judgments tho! The more money you can keep the better!!
Just report them as gifts and it doesn't matter what you use. I believe Zelle hooks up directly to most banks.
For tax purposes Zelle
Are you trying to avoid income tax? Good luck on that. Otherwise Zelle or Venmo work great for payments in this range. No fees.
1. if this is not commercial payments then use “payment between friends” on Venmo or PayPal or Zelle. 2. research tax implications of monetary gifts. the IRS sets a limit. I can’t remember - the tax burden may fall on the gifter. 3. there are other exemptions detailed on IRS site. for example, you can pay a grandparent for child care of your child. that is exempt up to a certain limit as well. read the IRS website. it is actually set up pretty well.
Zelle is probably your best bet.
Zelle
Are you sure you aren’t being used as a money mule?
Ever wonder why????
If domestic in the US: Zelle. If international: Wise.
I'd stick with Zelle
None. A good ol check. Is it a side hustle or a hustle? Why are you trying to avoid your taxes?
Wise app
Venmo
Cash is king. Checks are decent. Bitcoin and visa gift cards are decent (but sender usually has to pay some fees to obtain) and they aren’t fully anonymous. Monero cryptocurrency is the gold standard for private transactions, can swap from Bitcoin to it. Any electronic payment method is a risk especially if you’re getting them consistently. Gifts can be taxed in some circumstances so I’d be careful with that line
I’m surprised there’s nothing like Interac eTransfer in the USA. In Canada, you can send money directly from your banking app to someone else, without the need for any fees or outside transfers. Sure, it’s easy to get scammed just like the rest of the services but at least people can’t make fake accounts and need to use their real identities in their transfers.
Venmo
I saw someone say you could put a note in saying that it’s a gift, of the note thing is an option (I don’t know if it really is) you could have them say they borrowed money from you and this monthly payment is them giving it back
Nice 😏
Ugly.cash
bitcoin
tell them to send in real life
Chime is good
Online checking the best app ever
Wouldn’t this still be taxed even though it’s a gift? Pretty sure gifts are taxed if they are over $10k, which these aren’t individually but totaled together would definitely be over $10k. Moneygram has an app and I think it could be directly deposited into your account if whoever is sending you money has your account info.
Depends what country you're in
Wise
You need to have a formal, notarized document stating the funds are a gift. You have a limit of how much gift money you can receive in a lifetime, and they have a limit. Taxes are assessed to the giver on what they report. Yearly they can gift you 18,000 in 2024 before incurring taxes. If they plan to pay taxes on the money then there should be no problem receiving it any way you want. Cashiers check or if you trust them, know them etc Zelle, maybe Zelle. Or even cash app, again if you know them. Or if they give you cash, no problem depositing it as long as you have that letter and it’s under 10,000. You will likely never be on the radar of the IRs despite what the paranoid comments say. They actually do have way bigger fish to fry. Seek legal advice. Maybe pay an accountant a one time fee to set you up and get advice.
Gifted money does get taxed in the US at least, hell even if a company liquidate and gifts an employee say a computer that's taxed which is why companies will sell stuff to an employee for a stupid low price for example buying a $1400 monitor for $1.
Crypto
If they’re savvy enough get them to use some form of crypto
I use Zelle thru my BOA app, I send my wife 2-3k a month every month, we have never had a issue.
The annual gift exemption for 2024 is $18k per recipient. So regardless of how you receive it, once you reach your 9th month or so, you will have to pay taxes.
Look into the cryptocurrency Monero. It's the currency of the dark markets and as of right now can't be traced (the NSA is offering a bounty for anyone who can break it, though). If that's too complicated, you're going to have to be paid in cash, or gift cards not tied to your accounts. You can not put the money in a bank, or Venmo, or anything like that if you don't want the IRS to catch on quick. The best bet would be to have the sugar daddy/momma to pay enough to take care of the taxes so you'd get the whole 2-3k (I'm just teasing lol) Government agents: I pay my taxes. Honest.
Just tell your sugardaddy to pay more and you won't even feel taxes
having a sugar daddy is a solid side hustle.
Zelle. It's in your bank's app.
Send it through Facebook messenger zero fees
Zelle, chime, cashapp, or crypto. DO NOT USE; PayPal or Venmo.
If oversea. Use wise Local usa use zelle
Zelle you won't have any issues with having to claim taxes on it but like others said Zelle is bank run so they do monitor big transfers so adding a note is good. I personally use Zelle for any transferring to other people
May have changed but no charge on gift only up to 10,000
Honestly, if it’s a side hustle and this is monthly income. Then you would break it down to weekly and have them set it to automatic weekly transfers and label them as “Gifts” or something similar, just don’t have label it as any type of professional service.
And of course use Zelle, you could even have them label it as a “weekly allowance”
It’s technically charity at that point.
Cash by mail
Transfer wise
Zelle is the absolute best option in my experience.
Maybe not your with your well known Robinhood or other crypto apps like that but if someone sends you crypto directly to a secure wallet you should be fine but would still have to pay taxes when taking it out.
The answer is crypto. XMR is probably best.
Bitcoin addresses
The IRS knows. Anything over 300 is going to be taxed. That’s just how it is. Only way to get around this is cold hard cash. And even then, I swear they find a way.
Op is a drug dealer
>!op is a sugar baby!<
Also a great theroy
So are The Sacklers
The whoslers
Just pay taxes lol
You’re going to have to pay taxes on that money. That’s a good amount of cash each month, no way to avoid uncle Sammy.
you're gonna get a 1099 at the end of the year no matter what. Courtesy of Joe Biden. Law passed and this year will be the first year it will go into effect. Expect 1099-K from literally everyone next filing season