Ways You Can 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 example, there are many real estate agents that ask for proof of your income before searching for an apartment for you, view here for more. Apart from the real estate agents, and companies, you cannot request a loan from any financial institution without showing proof of your income. Therefore, even the self-employed people are affected and must provide a legit proof of their income to access various services in the field. These are some of the various ways one can use to show proof of income.
Bank statement. If you want to show proof of your income to any institution, one of the best things to use is the bank statement. Even if you are not employed by the state authorities, if you have been saving some money from in your account, the bank has all the records to act as proof of all the transactions. Therefore, you should not be stranded if you have been asked to show proof of your income by any organization, the easy way is use the 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. The law of different states in the world, requires every adult citizen to file tax return. The tax returns shows a person’s earnings for the whole year. So, the tax return document is one of the legal things one can use to show proof of income. For that reason, do not worry if you want to borrow a loan from any lending institution an asked for proof income, use your 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. Majority of people think that only individuals employed by the government should use pay stubs and W-2, but even the self-employed people can pay themselves using this system. Therefore, instead of filling out a 1099, or directing payments into your bank, you can 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.