New Tip Legislation May save you Big in taxes

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On this episode, I was joined as always by Jim Collison, and we had the pleasure of welcoming Ralph Estep from AskRalph.com—the Content Creators' Accountant—to dive into recent changes in how the IRS handles tips for content creators. Ralph walked us through the new law allowing up to $25,000 in tip income (like Super Chats, Buy Me a Coffee, etc.) to be excluded from income taxes in 2025, provided you track it properly. We talked about the importance of keeping tip income separate from memberships or other payments where the customer receives something tangible or access in exchange.

We also took questions and comments from our live chat about accounting software, prepping for taxes, and even how certain types of Patreon support could possibly qualify as tax-free tip income under this new law (with a big emphasis on always consulting your own accountant!). Whether you’re using Super Chats, Patreon, or other support methods, this tax year might look a little different.

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Video Version (unedited)

Mentioned In This Episode

School of Podcasting
https://www.schoolofpodcasting.com/join

Podpage
http://www.trypodpage.com

Home Gadget Geeks

https://www.homegadgetgeeks.com

Content Creator's Accountant

https://www.contentcreatorsaccountant.com/

Podcaster Hall of Fame

https://www.podcasthof.com

FEATURED SUPPORTER: Dr. Craig Van Slyke from AI Goes to College

Generative artificial intelligence systems, like ChatGPT, are transforming the world of higher education. AI Goes to College covers the latest developments in generative AI as they relate to higher ed. Each episode is filled with insights and practical tips that you can use to navigate an AI-enabled world. 

Check it out at aigoestocollege.com

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