The Whitsdom Press

Category: Finances

  • SNAP Benefit Delays and New Rules Affecting Texas Families

    Let’s be real: grocery shopping feels like a luxury these days. Whether you’re working a full-time job or hustling two part-time gigs, watching the price of a dozen eggs climb higher is enough to stress anyone out. If you’re one of the many hardworking Texans who rely on the Supplemental Nutrition Assistance Program (SNAP) to help keep food on the table, you need to pay attention to two major updates happening right now in October and leading up to November 1st.

    The Immediate Crisis: SNAP Benefits Delay Due to Government Shutdown

    First, let’s talk about the immediate, frustrating news: The federal government has ordered Texas to delay November SNAP benefits due to the possibility of a government shutdown and a gap in funding.

    This delay leaves many families in limbo, especially those in the “ALICE” category—people who are Asset Limited, Income Constrained, and Employed. These are people who are working but still don’t earn enough to handle high costs without help. Right now, there is no clear timeline on when the funds will be released, meaning families are sitting in a tough spot while they wait. If the shutdown continues into November, your food assistance is absolutely at risk.

    The Big November 1st Rule Change

    Even if the shutdown resolves, major, permanent changes to SNAP eligibility rules are kicking in on November 1st across Texas. This is all thanks to new federal law tightening work requirements for able-bodied adults without dependents (also known as ABAWDs).

    Here are the two key changes you need to know about starting November 1st:

    1. Older Adults Need to Work: The age requirement for work rules is expanding. Able-bodied adults up to 64 years old must now show they are working at least 20 hours a week to receive SNAP benefits for more than three months in a three-year period. Previously, the age cutoff was lower.
    2. Parents of Teens: The age for the child-care exemption is changing. If you are caring for a child, you are generally exempt from the work rules. However, the age limit for this exemption is being lowered from 18 to 14. This means that if you are a parent of a teen who is 15, 16, or 17 years old, you may now be required to meet the 20-hour-a-week work requirement to keep your benefits.

    What You Should Do Next

    These changes are serious, and it means thousands of Texans will need to adjust their schedules or find a second job just to keep their families fed.

    Your best move right now is to reach out:

    • Call your case worker immediately to understand how the new November 1st rules affect your household specifically.
    • Dial 211 to get connected to Health and Human Services and other community resources in your area.

    For working families, SNAP is a lifeline, not a handout. Stay informed and don’t hesitate to contact the appropriate resources to make sure you and your family are ready for these big changes.

  • The Working Poor of 2025

    Across America in 2025, many working people are facing a crisis. Even with full-time jobs, rising costs of living, high rent, and expensive groceries are pushing families to the edge. Layoffs are happening in multiple industries, leaving people without steady paychecks. For some, this means falling behind on bills, skipping meals, and even facing homelessness.

    The Struggle of the Working Class

    Many hardworking men and women wake up every day, go to work, and still cannot make ends meet. Rent continues to climb, utility bills are higher, and groceries cost more than ever. A simple trip to the store can drain a paycheck. Even saving money has become almost impossible when most of your income goes toward survival.

    Parents are stressed about how to keep food on the table for their children, while single adults often juggle between paying rent or buying groceries. For too many people, “living paycheck to paycheck” has turned into “living bill to bill.”

    The Comparison: Food Stamps and Section 8

    At the same time, frustration grows among working people who see others receiving government assistance. Families on food stamps and Section 8 often get hundreds of dollars in groceries and pay reduced rent, sometimes as low as $400 for housing.

    For workers struggling without help, it feels unfair. They may work 40–60 hours a week but still cannot afford the basics, while others who qualify for benefits seem to live with less financial stress. This creates tension and raises questions about how the system is built.

    Why Saving Money Feels Impossible

    Financial experts always recommend saving money, but the reality for many working Americans is different. When rent, electricity, gas, childcare, insurance, and food take up most of a paycheck, there is little to nothing left to save. Let’s really break it down. A $60,000 yearly salary in 2025 is not the same as $60,000 in 2005. $60,000/year salary in 2025 with $1750/month rent, car payment, utilities, etc…and if you have kids…there may be times you’re managing a household with $100 to stretch until the next payday after you pay your bills.

    Emergencies such as car repairs, medical bills, or job loss can quickly push a working person into debt—or worse, homelessness. For those already on the edge, one layoff or one missed paycheck can mean sleeping in their car or asking relatives for help.

    What Can People Do to Prepare?

    While the system feels unbalanced, there are still steps working people can take to prepare for hard times (and yes I’ve tried a few of things…some are a personal choice, believe me):

    1. Cut Non-Essential Spending – Review subscriptions, eating out, or unnecessary purchases. Even small cuts can add up. I let go of about 5 subscriptions and have saved $100/month since then. Yes, Netflix was one of them. 😒I still have Peacock to watch Real Housewives.
    2. Side Hustles and Extra Income – Freelancing, gig work, or part-time jobs can bring in extra cash. While exhausting, it can provide a safety net. When I was laid off about a year ago, I took on side gigs in tutoring, college advising through a company outside of the US, and even played games on Freecash.com. (No, seriously I earned $200 for playing games through that app. Definitely helped with groceries.)
    3. Build Emergency Savings (Even Small) – Even if you can only save $20 a paycheck, it can grow over time and help with unexpected bills.
    4. Seek Local Support – Food banks, nonprofit rent assistance, and churches sometimes provide help to working families who don’t qualify for government programs.
    5. Stay Informed About Benefits – Some people assume they won’t qualify for help, but rules change. Even workers can sometimes get partial assistance.
    6. Community Support – Sharing housing, carpooling, or creating food co-ops with neighbors can help stretch resources.

    A Growing National Problem

    The reality is that homelessness is no longer just an issue for the unemployed. More and more working Americans are finding themselves homeless or near homelessness. As bills rise and paychecks don’t keep up, the struggle will only continue.

    The question remains: How can a society reward hard work if working people cannot afford the basics? Until changes are made in wages, housing costs, and access to fair assistance, many will continue to feel left behind.

  • The End of CFA Franc: Africa’s Economic Revolution

    For many years, France controlled a lot of money from African countries through a system called the CFA franc. This currency was tied to the French treasury and the euro. As a result, African countries had to send a big part of their reserves (savings) to France. In return, France had control over African money policies, and many critics saw this as unfair. Some even called it a “colonial tax” because wealth was flowing out of Africa instead of being used at home.

    Now, things are changing. Many African nations are breaking away from this system. They are saying no more to sending their money and resources to France, and instead keeping it for themselves. This is a huge shift in power and economics, and here’s why it matters.

    More Economic Control

    By leaving the CFA franc system, African countries now have the chance to make their own decisions about money. They can set their own interest rates, decide how much of their currency to print, and control their own reserves. This builds independence, also called sovereignty, because no outside country is telling them what to do with their money.

    More Money for Development

    Before, large sums of money were kept in French banks, out of reach of African governments. Now, that money can stay in Africa. This means more funding for schools, hospitals, roads, and jobs—things that directly help the people. Instead of sending wealth overseas, African countries can invest in themselves.

    Fairer Trade and Stronger Currency

    The CFA franc was tied to the euro, which made African goods more expensive on the world market. By moving away from this system, African exports like cocoa, oil, and coffee can become more affordable. Other countries will find it easier to buy these goods. This makes African products more competitive, helps local industries grow, and creates new jobs for young people.

    Breaking Colonial Patterns

    For a long time, the CFA system was seen as a leftover from colonialism. It kept Africa in a dependent position while France benefited. By ending it, African nations are breaking free from that old pattern. They are choosing to keep wealth in Africa and use it to lift their own economies.

    Real Examples

    Countries in West Africa, for example Ivory Coast, Senegal, Mali, Niger, and Burkina Faso, are replacing the CFA franc. They will use a new currency called the Eco. In Central Africa, nations like Cameroon, Gabon, Congo, Chad, and the Central African Republic are taking steps. They aim to control their own reserves. They are moving away from the old system.

    At the same time, some African governments have told French troops to leave their countries. This shows that independence is not only about money—it’s also about politics and security.

  • August 2025 Business & Nonprofit Grants

    Hello, Lady Entrepreneurs!

    Are you ready to take your business to the next level? Finding the right support can make all the difference, and this list is your launchpad for success.

    Below, you’ll find a curated collection of incredible grants, accelerator programs, competitions, and free resources designed to help your venture grow. Whether you’re a startup with a bold new idea, a nonprofit making an impact, or a small business looking to scale, there’s an opportunity here for you.

    As you look through the list, pay close attention to the application deadlines—many are just around the corner! Take a moment to find the programs that best fit your mission and goals. And thanks to the Bank of America Institute for Women’s Entrepreneurship at Cornell University for sharing these resources!

    Here’s to finding the perfect boost for your business!

    🌎 GLOBAL OPPORTUNITIES

    🌍 AFRICA-SPECIFIC OPPORTUNITIES

    🇨🇦 CANADA-SPECIFIC OPPORTUNITIES

    🇬🇧 UNITED KINGDOM/IRELAND SPECIFIC OPPORTUNITIES

    • ACORNS: A program for women starting businesses in rural Ireland. Applications are open until September 22.
    • Innovate UK KTN: A website where you can search for government grants available in the UK for all types of businesses.

    🇺🇸 UNITED STATES-SPECIFIC OPPORTUNITIES

  • Student Loan Collections Are Back: What Borrowers Should Do Now

    After a three-year pause, the U.S. Department of Education is restarting harsh measures to collect defaulted federal student loans. Actions like seizing tax refunds, garnishing wages, and withholding Social Security benefits will resume, ending a temporary halt put in place during the COVID-19 pandemic. Here’s what borrowers need to know—and how to protect themselves.

    Why Are Collections Restarting Now?

    During the pandemic, the government paused most aggressive collection tactics to ease financial strain on borrowers. But as federal relief programs wind down, the Education Department is shifting back to pre-pandemic rules. Officials argue this move is part of a “return to normal,” but critics warn it could push already struggling borrowers deeper into hardship.

    “Beginning May 5, the department will begin involuntary collection through the Treasury Department’s offset program, which withholds payments from the government — including tax refunds, federal salaries and other benefits — from people with past-due debts to the government,” the department said in a statement. Wages will be garnished following a 30-day warning, it added. — NBC News

    How Does This Affect You?

    If your federal student loans are in default (meaning you’ve missed payments for at least 270 days), you could face:

    • Tax Refund Offsets: The government may take your federal tax refund to repay your debt.
    • Wage Garnishment: Up to 15% of your paycheck could be withheld.
    • Social Security Garnishment: Monthly benefits may be reduced (applies to older borrowers).

    What Can You Do to Avoid Collections?

    Don’t panic—there are ways to get out of default and stop these penalties:

    1. Loan Rehabilitation: Agree to make nine affordable monthly payments (as low as $5) over ten months. Successfully completing this removes the default from your credit report.
    2. Consolidation: Combine your loans into a new Direct Consolidation Loan. You’ll need to either make three on-time payments or enroll in an income-driven repayment plan.
    3. Contact Your Servicer: Reach out to discuss options like payment pauses, reduced payments, or alternative plans.

    Critics Raise Concerns

    Advocates for borrowers argue that restarting these tactics ignores the ongoing struggles many face. “Taking money from Social Security or wages could devastate families still recovering from the pandemic,” said one nonprofit representative. They’re urging the government to expand relief programs instead.

    Stay Proactive

    If you’re at risk of default—or already there—act now:

    • Visit StudentAid.gov to explore repayment plans.
    • Call your loan servicer to discuss solutions.
    • Consider free help from a nonprofit credit counselor.

    The Bottom Line

    While the return of collections is stressful, borrowers have tools to fight back. Addressing the issue early can help you avoid penalties and regain control of your finances. Stay informed, explore your options, and don’t wait—the sooner you act, the more you can protect yourself.

    Have questions or tips to share? Drop them in the comments below!

    Note: This article is for informational purposes only. For personalized advice, consult a financial professional.

  • US-China Tariffs Rise to 104% Impact

    If you’ve heard the news about “tariffs” but aren’t sure what they are or why they matter, you’re not alone. Let’s break down what’s happening in simple terms.

    President Donald Trump holds up a chart of “reciprocal tariffs” during a “Make America Wealthy Again” trade announcement event in the Rose Garden at the White House on 4/2/2025 in Washington, DC.

    What’s Going On?

    Starting today (April 9, 2025), the U.S. government will impose a 104% tax on many products imported from China. This tax is called a “tariff.” It acts like a fee added to goods made in China that are sold in the U.S. The White House says this move is a response to China. China refused to remove its own taxes on American products.

    The jump to 104% didn’t happen overnight. First, the U.S. already had smaller tariffs (taxes) on Chinese goods. Last week, President Trump announced a new 34% tariff, which combined with existing taxes brought the total to 54%. When China didn’t back down, the U.S. added another 50%, leading to the 104% total.

    Why Is This Happening?

    The White House argues that China has treated American businesses unfairly for years. These tariffs are meant to pressure China into changing its policies, such as taxing U.S. goods or favoring Chinese companies over foreign ones. Officials claim the goal is to protect U.S. jobs and reduce America’s reliance on foreign goods, especially for essentials like medicine and technology.

    China, however, isn’t staying quiet. They’ve vowed to “fight till the end” and called the tariffs “blackmail.” In response, China announced its own 34% tax on American products, set to start Thursday.

    How Will This Affect You?

    Higher Prices
    Products made in China—like electronics, clothes, and appliances—could cost significantly more. For example, a pair of running shoes made in Vietnam might jump from 155 to 220. Even bigger price hikes could hit iPhones, which are mostly made in China. One analyst estimates a U.S.-made iPhone might cost $3,500 if production shifts to avoid tariffs.

    Stock Market Swings
    The tariff announcement has already caused wild swings in stock markets. Companies like Apple saw shares drop nearly 5% on Tuesday as investors worried about rising costs and slower sales.

    Shortages or Delays
    Some retailers are slow to fill orders or are increasing prices. Shoppers are buying extra everyday items because they worry about shortages or price increases soon.

    Can Companies Avoid These Costs?

    Some businesses are scrambling to move production out of China, but it’s not easy. Apple, for instance, makes most iPhones in China and is trying to shift some work to India. However, experts say relocating factories to the U.S. would take years and drive up costs even more. Other industries, like car manufacturing, face similar challenges. Canada, for example, plans to tax U.S.-made vehicles in retaliation, creating new hurdles for automakers.

    What’s Next?

    The White House says it’s open to “tailored deals” with countries willing to negotiate. For now, though, everyday shoppers might feel the pinch as prices rise. Whether this move strengthens U.S. jobs or backfires with higher costs and trade wars remains to be seen.

  • $600k+ in Funding Opportunities for Black, LGBTQ+, Women-Owned Businesses This Week

    Source: Kat Gabrielle, Founder of The Well Work, a community-rooted organization committed to advancing Black women and Non-binary founders in business by providing access to funding, growth, and opportunities. 

    The Well Work x Justworks – Just Thrive Program: The program offers up to $6,000 to existing businesses. These businesses must have at least 50% ownership by marginalized founder(s) and 2 W-2 employees. Deadline is rolling. | https://lnkd.in/gCEybcgV

    Village Capital | US Women in Tech Accelerator: $25,000 in grant funding, 1:1 coaching, and accelerator program. It’s for full-time founders who identify as a woman, including cisgender, transgender, and non-binary individuals. Deadline: January 31, 2025 | https://lnkd.in/gM-UgJUt

    Rogue Women’s Fund: Actively looking for women-founded seed stage tech companies to invest $350k -500k operating within B2B SaaS, Enterprise, or select B2B2C models in various industries | ✉️ DM me for more info [ 📌 VC INVESTMENT, NON-GRANT]

    Lenovo | The Evolve Small Initiative: $25,000 in grant funding for historically marginalized, disabled, and woman-owned small businesses located in Atlanta, Chicago, Dallas, Houston, Los Angeles, Miami, San Diego, Toronto, Washington, DC, or Vancouver, Deadline: February 17, 2025 | https://lnkd.in/gNqka3Sg

    Athene | Black & Brown Business Summit Pitch Competition: $50,000 in grant funding. This competition is for small businesses. They must be 51% minority-owned. The deadline is January 31, 2025. | https://lnkd.in/gWuD3B35

    Hello Alice x DoorDash | Restaurant Disaster Relief Fund: $10,000 in grant funding for restaurants impacted by natural disasters, severe weather events, or major infrastructure failures, Deadline: Mar 03, 2025 | https://lnkd.in/ge43MN8e

    Start your 2025 on the right foot by investing time in your goals to achieve greatness!

  • 💰 $200k+ in Funding Opportunities for Black, LGBTQ+, Women-Owned Businesses

    Source: Kat Gabrielle, Founder of The Well Work, a community-rooted organization committed to advancing Black women and Non-binary founders in business by providing access to funding, growth, and opportunities. 

    👉🏽 The Well Work x Justworks – Just Thrive Program | Up to $6,000 to existing businesses that have at least 50% ownership by marginalized founder(s) + 2 employees, Deadline: Rolling | https://lnkd.in/gCEybcgV

    👉🏽 InDrive | Aurora Tech Award – $85,000 in cash prizes for women founders of IT businesses, Deadline: November 21, 2024 | https://lnkd.in/gQnyhafg

    👉🏽 Verizon | Digital Ready Grant – $25,000 in grant funding x trip to the SuperBowl for SMBs, Deadline: November 22, 2024 | https://lnkd.in/g23saiMC

    👉🏽 Fearless Fund x JPMorganChase | Get Venture Ready Cohort – $30,000 in grant funding + 12week Intensive Program for WOC, Deadline: December 15, 2024 | https://lnkd.in/gCwWgZ4P

    👉🏽 Swiss Foundation | Shine UK Incubator – £30,000 in funding + a 6month immersive learning, biz coaching + more for early-stage social impact companies, Deadline: December 1, 2024 | https://lnkd.in/gjTiRjMj

    👉🏽 FedEx x Hello Alice x GEN | FedEx Entrepreneur Fund x Boost Camp – $10,000 in grant funding + 12week accelerator, Deadline: December 13, 2024 | https://lnkd.in/gbiVa_xt

    👉🏽 Hatch Enterprise UK | Southwark Pioneers Fund – £5,000 in grant funding + 4.5month accelerator for underrepresented entrepreneurs, Applications open now | https://lnkd.in/gHaFqacj

    🧰 Founder x Small Business Tools, Discounts, and Resources from our Partners
    👉🏽 QuickBooks Small Biz x Solopreneur Suite – Save 30%! | 🔗 https://lnkd.in/g66wgeVV
    👉🏽 Fiverr – Access skilled freelancers to help grow your small biz | 🔗 https://lnkd.in/gxSt9jxJ
    👉🏽 Circle – Build an engaged community with Circle’s all-in-one platform for memberships, content, course creation, and engagement tools | 🔗 https://lnkd.in/gC5U2hFT

    Start your 2025 on the right foot by investing time in your goals to achieve greatness!

  • Pros and Cons of Returning to School in Today’s Job Market

    In today’s fast-paced job market, the decision to go back to school isn’t as straightforward as it once was. Economic trends are evolving. Job market shifts are occurring. There are also alternative learning opportunities. Because of these factors, earning a degree may or may not be the best option. Here’s a look at both sides. This will help you decide if going back to school is worth the investment in 2024.

    Pros of Going Back to School in 2025

    1. Access to Higher-Paying Jobs and Career Growth
      • Many fields, especially those in healthcare, data science, engineering, and cybersecurity, offer higher-paying roles to degree holders. These industries are projected to keep growing. Advanced degrees can also lead to better job security and promotion opportunities.
      • Fields like nursing, software development, and environmental science have continued resilience, often requiring specific qualifications only a degree can provide.
    2. Skill Building for an Evolving Job Market
      • Today’s employers seek professionals with skills in AI, data science, renewable energy, and digital marketing. A degree program can offer a structured path to mastering these new technologies and skills.
      • Older adults looking to enter emerging industries like tech, green energy, or mental health often benefit from formal training. This training helps bridge skill gaps and secure desirable roles.
    3. Financial Aid Opportunities
      • Federal financial aid programs are available for eligible students. These include Pell Grants and scholarships. They can reduce the total cost of going back to school. Specialized grants exist for adult learners, veterans, and women in STEM fields.
      • Some degrees in areas like public service, education, and healthcare may qualify for loan forgiveness. These areas may also qualify for income-based repayment plans. This makes it more feasible to manage tuition costs.
    4. Professional Networking and Validation
      • College environments offer valuable networking opportunities. These include connecting with industry professionals, professors, and classmates. These connections can open doors to job opportunities, mentorship, and internships.
      • Completing a degree signals to employers that you’ve met a recognized standard in your field. This achievement can provide a competitive edge.

    Cons of Going Back to School in 2024

    1. High Tuition Costs and Debt Concerns
      • Tuition prices continue to rise, and student loan debt has reached over $1.7 trillion in the U.S., creating significant long-term financial burdens for graduates.
      • Federal aid may not fully cover tuition. Many students rely on private loans with higher interest rates. This reliance adds to financial stress after graduation.
    2. Opportunity Cost and Lost Income
      • Going back to school, particularly full-time, can mean reduced income. It can lead to fewer hours for a job. There is also the strain of balancing school and work.
      • Time spent away from family, personal projects, or business ventures carries an opportunity cost. This cost is often overlooked and can be significant.
    3. Uncertain Job Outcomes in Some Fields
      • Degrees don’t guarantee jobs in every industry. Fields like arts, humanities, and certain social sciences offer fewer high-paying jobs. The return on investment may be lower than in other fields.
      • High-demand industries have more roles. However, layoffs, budget cuts, and shifts to remote work mean job security might be elusive even with a degree.
    4. Rise of Affordable Alternative Programs and Certifications
      • Certificate programs and bootcamps offer focused, job-ready skills in fields like tech and business. They often take a fraction of the time and cost it takes to earn a degree.
      • Many employers now value hands-on experience from alternative certifications in areas like coding, project management, and data analytics. They value these just as much as formal degrees.

    Affordable Learning Alternatives for Adult Learners

    For those looking for a more affordable route, there are several alternatives to a traditional degree that cater to adult learners, providing targeted skills and qualifications:

    1. Community Colleges and Trade Schools
      • Community colleges offer affordable certifications in healthcare, IT, and skilled trades. There are many other programs too. Many programs last only a few months to a year. Many students also qualify for financial aid, making this a cost-effective option.
    2. Career Bootcamps
      • Bootcamps are designed to equip students with practical skills in areas like coding, data science, UX design, and digital marketing. Many bootcamps provide flexible payment options, deferred tuition, and job placement support.
      • Top Programs: General Assembly, Flatiron School, and Springboard.
    3. Google Career Certificates (Coursera)
      • Google’s certificates in project management, IT support, and UX design are self-paced. They are recognized by leading companies. The cost is approximately $234 to complete over six months on Coursera.
    4. Microsoft Certifications and LinkedIn Learning
      • Microsoft offers certifications in popular programs like Azure and Power BI. LinkedIn Learning provides a vast selection of affordable courses. The courses start at around $39 per month and include a one-month free trial.
    5. Online Platforms for Technical Training
      • Sites like Codecademy and Udacity offer accessible courses in coding. They also provide training in data science and other high-demand skills. Costs typically range from $10 to $400 per month.
    6. Amazon Technical Academy
      • Amazon’s rigorous, free training program prepares students for software engineering careers, often leading directly to job placement at Amazon.
    7. State Workforce Development Programs
      • Many states offer low-cost or free training in IT, business management, healthcare, and advanced manufacturing. They provide these through community colleges or workforce centers.
    8. Affordable Online Courses: Skillshare, Udemy, and Khan Academy
      • Platforms like Skillshare, Udemy, and Khan Academy offer thousands of courses on business, design, and other practical skills. Many of these courses can be completed at a low cost or for free.

    Factors to Consider Before Going Back to School

    1. Evaluate Your Career Goals
      • Research your industry and the necessary skills for your ideal role. A degree might be essential for certain paths but not as relevant for others, particularly in freelance and tech fields.
    2. Compare Financial Aid vs. Loans
      • Consider your eligibility for grants, scholarships, or employer reimbursement. Carefully assess loan repayment options based on your potential post-graduation income.
    3. Degrees vs. Certifications
      • In many tech-focused and skill-based careers, a certification or bootcamp may provide job placement quicker. They often result in less debt. This is especially true if you already have work experience.
    4. Consider Hybrid and Online Learning Options
      • Many programs offer online or hybrid formats. These formats allow students to work while studying. This reduces opportunity costs and makes the schedule more manageable for busy adults.

    Final Thoughts

    Earning a degree can open doors, but it comes with significant trade-offs. For some, it’s a gateway to career growth and higher salaries. For others, alternative certifications might be the faster path. They might also be more affordable. Consider your industry, weigh the costs, and think about the impact on your personal and professional life. Make an informed choice. This approach guarantees success in today’s job market. This is true whether you choose a degree or an alternative.

  • Understanding the BOI Report: A Guide for New Business Owners

    So, you’ve just started your own business—congrats! That’s a huge step, and you’re probably learning about a lot of new things, including something called the “BOI report.” This article will break down what it is, why it’s important, and what you need to do about it, all in simple terms.

    TikTok post with more information about the BOI Report

    What is the BOI Report?

    BOI stands for Beneficial Ownership Information. It’s a report that helps the government know who really owns and controls a company. Even if someone isn’t listed as the owner on paper, if they benefit from the company or control it in some way, they need to be reported.

    This report is part of a law aimed at preventing bad stuff like money laundering (hiding where illegal money comes from) and financing terrorism. Basically, the government wants to make sure companies aren’t being used to hide anything shady.

    Who Needs to File a BOI Report?

    If you own a business, you might need to file this report. Here’s a simple way to know if you need to file:

    • You own 25% or more of the company: If you hold a significant piece of the company, you count as a “beneficial owner.”
    • You control the company: Even if you don’t own 25%, if you have a lot of say in what the company does, you might still need to file.

    So, if you’re the main person running your business, you’ll probably need to file a BOI report.

    What Form to File and When?

    As of now, the specific form and filing system for the BOI (Beneficial Ownership Information) report are managed by the U.S. Department of the Treasury’s Financial Crimes Enforcement Network (FinCEN). The official FinCEN website where you can find more details is: https://www.fincen.gov/boi. The specific form will ask for details like:

    • Your name
    • Your address
    • Your birthdate
    • Your role in the company

    There is NO FEE to this application and the deadline to file this report is January 1, 2025.

    What Happens If You Don’t File?

    If you fail to file the BOI report or provide false information, you could face significant penalties, such as a fine up to $500 for each day that the report is late or incomplete.

    Why Do You Need to File a BOI Report?

    Filing the BOI report is about transparency. It’s a way for the government to keep track of who is behind different businesses. By filing, you’re showing that your business is legitimate and that you have nothing to hide.

    Conclusion

    Starting a business is exciting, but it also comes with some important responsibilities like filing a BOI report. Remember, this report is about being open and honest about who owns and controls your business. It helps keep everything above board and builds trust with your customers and the government.

    If you’re ever unsure about what to do, don’t hesitate to ask for help from someone who knows the ropes, like a mentor or a professional. The more you learn now, the easier it’ll be to navigate the business world as you grow!