MSI Press Blog

  It is Tuesday. Monday's madness is over, and Wednesday will take us over the hump, so Tuesday it is--for some serious discussion with authors. Tuesday talks mean to address authors in waiting and self-published authors who would like to go a more traditional route or who would at least like to take their steps with a publisher by their side.  This week we look at whether an author should set up a formal business or simply treat writing as a side gig, That, of course, depends. It depends on an author's income level, long-term goals, and risk tolerance.  Here’s a breakdown of the  pros and cons  of formalizing a writing business versus staying a sole proprietor and paying taxes on royalties. Option 1: Treat Writing as a Side Gig (No Formal Business) If you earn royalties from book sales but don’t set up a separate business entity, the IRS considers you a  sole proprietor by default . You report book income on  Schedule C  of your personal tax retu...

It is Tuesday. Monday's madness is over, and Wednesday will take us over the hump, so Tuesday it is--for some serious discussion with authors. Tuesday talks mean to address authors in waiting and self-published authors who would like to go a more traditional route or who would at least like to take their steps with a publisher by their side.  This week we look at whether an author should set up a formal business or simply treat writing as a side gig, That, of course, depends. It depends on an author's income level, long-term goals, and risk tolerance.  Here’s a breakdown of the pros and cons of formalizing a writing business versus staying a sole proprietor and paying taxes on royalties. Option 1: Treat Writing as a Side Gig (No Formal Business) If you earn royalties from book sales but don’t set up a separate business entity, the IRS considers you a sole proprietor by default . You report book income on Schedule C of your personal tax return and pay self-employment tax. ✅ P...