Business insurance is a crucial investment for tarot readers because it is made to safeguard a business owner’s financial resources.
This post will discuss general liability insurance, which is the primary insurance protection for tarot readers, as well as alternative coverage options that are appropriate for this industry.
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Do tarot readers require insurance?
Our tarot card reading insurance was created with your line of work in mind. Depending on whether you operate on a freelance or mobile basis, or work from a business location, this gives you a number of essential covers as standard.
Public liability insurance is arguably the most significant coverage that comes as standard. This is strongly advised for all businesses since it pays out in the event that one of your work-related actions injures a third party or damages their property. Public liability insurance makes sure you wouldn’t be held financially liable even for something as easy as pouring a hot drink over a customer’s phone, which might lead to a costly compensation claim. We pair this with malpractice insurance, which takes care of any lawsuits pertaining exclusively to your professional services as a tarot card reader. You will also get protection against financial loss and product responsibility. Further down the page, you can view everything that is by default covered by your policy.
These are the covers that a tarot card reader will most frequently require. However, you can also add any other optional coverages you desire to your policy. This is your option, and it will ultimately be influenced by the particulars of your business and work environments. Consider including employer’s liability, which is actually a legal obligation for any business owner who adds even one additional employee, if you employ others to work for your mobile tarot card reading service, as an example.
As a tarot reader, am I required to pay taxes?
You’ve heard the urban legends and the glitz: Working in tarot full-time may seem glamorous, but doing so part-time seems simpler and less dangerous.
The truth is that while working part-time as a tarot reader may be less risky than going full-time, it still requires effort. more labor than you might imagine.
Theresa Reed, a full-time tarot reader, is a rarity in this industry, as I’ve already stated. The majority of tarot readers work part-time; she is the exception, and I am the rule.
Part-time tarot reading has consequences, including the misconceptions people have about what I do and the truth.
Many theories have been put up as to why the majority of tarot readers work part-time. In fact, I’ve personally experienced some of those conjectures, such as the idea that readers who read part-time are cowards who purposely postpone making the switch to full-time reading. Going half time can occasionally be a deliberate choice based on the love of two or more passion careers. That’s how it turned out for me: I couldn’t really decide between editing and tarot because I enjoyed them both equally.
The truth is that giving up my tarot company would be SO MUCH EASIER for me. Yes, I do. Even if I could practice tarot as a hobby, I believe it would be disrespectful to the high regard I have for the deck if I were to do so in ANY WAY BUT A PROFESSIONAL manner. I am a part-time tarot reader for this reason. Yes, you must pay me; yes, you must schedule an appointment; and yes, it ANNOYS me when individuals approach me at my reading desk and ask, “The best!
I’ve discovered that as a part-time reader, there is an expectation from prospective clients that I am “Despite being very clearly stated on my website, my policy against same-day or emergency readings is rarely followed. I am available around-the-clock. Due to the fact that full-time readers determine their own schedules, I have discovered that the same expectation applies to them as well.
I keep a strict eye on and control my schedule since I read on the side. All of my office hours are reserved because my day job as a Senior Copy Editor comes first. My personal life and my husband come second to my day work. The remainder is allocated to my tarot business, which is treated as a legitimate business with regular appointment times (evenings and weekends).
What appears to be rigidity (a packed schedule) actually gives me freedom and lifts my burden of worry.
Not all differences from a full-time reader really exist. For my company, I still owe taxes (just like a full time reader would ). I still have to keep track of everyone’s schedule. I still have the pleasure and honor of getting to know people and experiencing their lives in a way that I wouldn’t otherwise get to. Any information shared during a reading is still completely confidential and private to me.
Once you have me across the table from you with your deck in hand, my existence is not all that dissimilar from that of a full-time reader in many ways. The benefit of working a full-time job other than tarot is that my employer takes care of my retirement and health insurance, so I don’t have to worry about such things. I don’t have to be as concerned during the “I can count on the income from my full-time job during hard times when people are less interested in having a tarot reading.
The motivation to market myself and my tarot business is entirely up to ME, which is the other side of the coin. I don’t possess the “such a hunger that a full-time tarot reader would continue to put themselves out there. Ironically, I still have that appetite, and it motivates me to do a lot of the same things a full-time reader would do to advertise themselves, like conduct interviews, create this blog, read at events, and unapologetically pass out my business cards to people!
Additional sobering facts regarding tarot reading on the side are as follows:
You still have to pay taxes, let’s face it. This may depend on the amount of money you earn from your tarot business that crosses the line from hobbyist to professional, but in all honesty, just speak with an accountant and submit your taxes with Uncle Sam accordingly.
There will be times when you have to decide between your full-time job and your part-time job, so face the facts (spoiler alert: the full time gig usually wins out).
Reality check: You will have to negotiate the challenging situation of having coworkers from your full-time job ask you for a reading (and occasionally, they’ll visibly protest when you tell them your fees!).
Check your assumptions: Tarot conferences, decks, travel, and similar expenses still require money. You might be utilizing income from your full-time job to pay for your part-time tarot job, so you’ll need to watch out that your outgoing expenses don’t exceed your inflow of funds. This brings us full round to taxes: maintain track of your spending and income so that you have plenty of records to refer to come tax season.
As a result, managing a full-time day job, a full-time marriage, and the tarot world with all of its rewards and drawbacks while also doing a part-time job is a difficult balancing act. Do I think it’s worthwhile? Oh, yeah! In a perfect world, I wouldn’t exchange it. But the golden rule Theresa instilled in me years ago still stands true: run your company like a business. even if it’s only part-time.
Does insurance apply to astrologers?
Astrology is a relatively low-risk career, but you still need to safeguard both your personal and professional interests. People are more willing to go to court nowadays to seek compensation, and the number of lawsuits made against therapists is rising. The cost of our liability insurance coverage is a tiny fraction of the potential expense of a claim, yet the unexpected can and occasionally does happen.
Do insurance policies cover psychics?
American psychics often spend between $350 and $750 annually on general liability insurance covering $1 million in damages.
The average cost of general liability insurance for various industries is shown in the chart below:
The cost of your coverage will depend on a number of factors. These comprise you:
- number of personnel
- Limitation per instance
- Broadly speaking, the limit
By obtaining general liability insurance as a component of a business owner’s policy (BOP) rather than separately, you might be able to get it at a lower cost. A BOP is a more complete option that incorporates other types of protection, including property and business interruption insurance.
How much do tarot readers make a living?
I did my reading at my Connecticut home and a few nearby stores. A basic reading costs $50 for 30 minutes. My readings are entirely present-oriented. The cards serve as a tool to show you the elements that must be taken into account while making a choice. They draw attention to potential advantages, obstacles, supporters, and opponents. A good reading can support previous decisions and direct your future decisions.
How can you begin reading tarot cards for a living?
The first step is to understand the meaning of the cards. The next step is to engage them in conversation. The only way to learn, in Tea’s opinion, is to perform readings for otherswhether they be real people or fictitious ones. “According to Tea, the art of tarot reading involves linking the cards and developing a greater intuitive grasp of how they might interact with one another in a spread.
Tarot reading is compared by Ferguson to speaking a language. “A certain number of classes are allowed. Ferguson advises that the only way to become proficient is to dive right in and that you should let people know you’re a beginner if you’re reading for them.
Ironically, giving yourself a reading might occasionally be even trickier than giving someone else a reading. “According to Potter, maintaining objectivity is difficult. “Be open-minded to whatever comes through before doing a reading for yourself.
What industry do tarot readings fall under?
Knowing your NAICS Code is the first step to filing your Schedule Cs, or IRS Form 1040, which is the schedule a sole proprietorship, or your small firm that isn’t incorporated as a corporation, submits to record revenue and losses. Any business, regardless of its structure, will be given an NAICS Code.
The IRS and other government organizations will catalog your business using the NAICS Code (North American Industry Classification System), which is the federal standard for business classification. Psychic services are typically categorized under NAICS Code # 812990. (See this; conduct a search for “ESP (Psi services.) I would anticipate that the majority of tarot experts, particularly those who advertise their services as psychic, would use NAICS #812990 ” (also titled “All other personal services).
Both “All other professional services,” NAICS Code # 541990, and “Other personal services,” NAICS Code # 812190, are acceptable categories for your tarot business. Both codes are also applicable to tarot practitioners who provide intuitive, spiritual, or life coaching services or who teach tarot. Since writing makes up the majority of my tarot work and writing is how I am paid for it, I classify as a writer “Individual performer, writer, or artist, NAICS code 711510.
Choose the Code that most accurately describes what you do if your professional tarot business combines some of the aforementioned aspects, as it most likely does.
You require tarot cards to operate a professional tarot business. The good news may be the best ever. Your recent purchases of tarot decks are now deductible as tax-deductible capital expenses. And if you want to run a professional tarot business, you need more than one deck since you need a variety of decks to pick from for each customer and each query. Just keep in mind that the IRS requires exclusivity; for more information on this issue, go here; this means, for instance, that your personal reading decks that you never use for professional readings won’t count.
Tarot readers require tarot reading cloths, incense, candles, crystals, and gemstones (yep, we’re going with that; we require these as part of our professional services; what, you didn’t know that?) Yes, all of theseitems are now suddenly tax deductible in order to effectively perform our tarot readings. Everything you need to create a private place for your tarot reading “atmosphere as a qualified reader are currently tax deductible. All of your business’s capital expenses, such as stationary, office supplies, computers, website hosting fees, and Internet service providers, are tax deductible.
Again, the main criterion is exclusivity. It’s acceptable if you don’t use your home Internet service provider exclusively for your tarot business; just figure out what proportion of your usage is related to your tarot business. Keep in mind that reading tarot websites, going to tarot forums, and communicating with clients or potential clients via email are all now considered business expenses. It is market research and professional growth to read tarot blogs and visit tarot forums. So. What proportion of your home Internet access is used for your tarot business, taking all of this into account? 50 percent or so? Yeah? Then you can deduct 50% of your Internet bill from your taxes.
As a tarot reader, I’m presuming you now have a home office or other area in your home where you conduct business. Tax deductions apply to home office usage. On how to calculate it precisely, you should speak with a tax expert, but these are the fundamentals. There are two approaches: the usual approach and the streamlined approach.
As of this writing, the simplest option is to deduct up to 300 square feet of your home at a rate of $5.00 per square foot. Consider that your professional tarot business occupies 300 square feet of your house. You can claim $1,500 in tax-deductible expenses each year. If you only use 150 square feet, the cost is $750.
The standard procedure is to compute the dollar cost of that based on the actual expenses of your home, which you must be able to demonstrate with records, and to establish the percentage (percent) of your home that is used.
Consider that your lease agreement and rental payments serve as proof that you are paying $2,000 per month in rent for a 1,200-square-foot apartment. Say you use 150 square feet of the 1,200 square feet for your tarot readings and other professional tarot services. This is the desk area where you conduct your Skype readings, arrange your playing cards, write most of your tarot blog posts (which is a component of your marketing and branding efforts), etc.
Therefore, you’re using 12.5% of your rental property to provide business tarot readings. Your rental fee is $250, or 12.5% of it. Oh, and by the way, these are all offered solely as examples. I’m bad at math. The computations could have been completely off. Please only make the major point of this.
You are free to choose between the standard approach and the streamlined way, according to the IRS. Do the arithmetic for both approaches using your particular business scenario, and then choose the one that will benefit you the best.
Keep in mind that in order to claim a deduction for home office use, the space in question must be used solely for business purposes. It is not considered if not. So you can’t utilize your family room, for instance, especially if your family is using it. The only exception to this rule is if you use that area of your house for storage or business purposes. For instance, you might keep all the equipment necessary for your tarot reading services there, along with your deck of tarot cards. Tax deduction for that. Visit this page for further details.
Every time you drive around town for tarot-related services or professional engagements, you should be keeping track of your mileage. The mileage accumulated for traveling to and from tarot classes contributes toward continuing education requirements for tarot professionals. Of course, traveling to and from tarot readings counts. Start keeping track of your mileage while you drive to and from restaurants, pubs, and other locations where you’ll be doing tarot readings to the public. Driving to and from tarot conferences, psychic fairs, and other expert tarot reading events all counts. Parking fees and most other travel expenditures are tax deductible (since you are now a professional tarot reader, you can now deduct hotel stays and plane tickets for attending tarot-related events).
You multiply the miles by 56 cents per mile when it comes to mileage (at least as of this writing; note that the dollar amount changes year to year). This translates to $140 in tax-deductible business expenditures if I drove 250 miles to and from a psychic expo where I was providing tarot readings. You should keep a log of your business mileage in your car’s glove box. Here’s my free download that includes a sample log table (you can find it under the Tarot Worksheet Downloads tab on this website).
This is also enjoyable. Entertainment costs that you pay for in the regular course of operating your tarot business are deductible. Most businesspeople and professionals must occasionally entertain clients and potential clients, thus those costs are deductible as entertainment expenses. For tarot professionals, entertainment costs can include a luncheon with a colleague, mentor, or mentee. It might be a gathering of all the local tarot readers at a classy eatery.
Just keep in mind that the cost of the entertainment must be reasonable and that it must be something that the majority of tarot readers would do as part of growing and maintaining their tarot business. There must have been significant conversation about tarot and tarot business at that gathering, and it must be directly relevant to your professional work as a tarot reader. But, seriously. Most tarot readers will find these requirements to be easy to follow.
Remember that all of the expenses you incur for tarot conferences, psychic fairs, tarot professional association dues and other related membership fees, tarot classes, purchasing tarot books (to further your tarot education), and other educational books you purchase to develop your tarot business are tax deductible professional expenses.
Keeping a ton of records is crucial. Save all receipts going forward that have anything to do with your work as a tarot professional. I maintain my data in file folders and a filing cabinet, but I’ve seen small enterprises get by with little more than a shoebox. Whatever functions. To be able to prove every item you’ve claimed as a business expense is the goal. Observe contracts, billing statements, canceled checks, invoices, and receipts.
Keep flyers or well recorded information on the who, what, where, when, and why of a specific expense as a last resort. That is usually appropriate as well. Additionally, if the expense is less than $75, you won’t typically be arrested for lack of documentation.
These tax-deductible company expenses play a big role in explaining how and why so many of these large firms that you hear about and who are supposedly making tons of money lawfully pay no taxes. Even though the majority of tarot professionals won’t be working on that scale, knowing these fundamentals will still be quite helpful.
Psychic readings are they taxable?
For instance, in order to charge anyone for their services, most jurisdictions mandate that psychics obtain an occupational license; additionally, they must pay taxes on the income earned from those services; and in a select few, they must submit to background checks and licensing examinations.
What kind of enterprise is astrology?
Retail establishments, but they also offer education, are astrology businesses. They specifically assist in promoting the mystique of astrology to clients and market astrology-related products. Tarot or psychic readings may also be provided by an astrology firm.
How successfully you market your astrology business and draw clients will determine how profitable it is to operate.