How to Show Proof of Your Income
Self-employed people cannot take part in some activities without showing proof of their income, you can read more here, or visit this website to know more about these information. For instance, today, if you want to move into a new apartment, the real estate agents will ask you for proof of income, you can read more now on this homepage. Besides the real estate agents and firms, the lending facilities also must ask their clients for proof of income before approving the loan. So, even the self-employed individual must show proof of their income before they can access some services in the field. These are some of the various ways one can use to show proof of income.
Bank statement. One of the effective way to show proof of your income is by using bank statement. Even if you are self-employed, the savings you have, has been going to the bank, and the institution has all the record since the account was opened. So, if a real estate agent or a lending institution ask you of proof of income, do not worry, use your bank statement. Getting bank statement is easy, you can contact your banking service providers, or get it online via the bank’s app.
Another important document you can use to show proof of income is your tax return. Each year, all the citizens of different states are required to file the tax return. The tax returns shows a person’s earnings for the whole year. Tax return document is one of the documents that is accepted in many institutions as proof of individual’s income. So, in case you want to borrow money from any institution, one of the best document to use as the proof of income is tax return paper. Getting your tax return document is easy, you can get it online from your portal at the revenue authority website.
You can also use the pay stubs and W-2 if self-employed. Many people think that it is only the civil servants that can use pay stubs and W-2 system, but the reality is that even the self-employed individuals can use it to pay themselves. It is advisable that instead of taking time filling out 1099, or directing payments to your bank account, it is better to pay yourself using W-2. After paying using W-2, it is possible to generate pay stubs weekly or monthly. The documents generated weekly or monthly from pay stubs can be used as proof of income.