In order to meet the IRS definition of a business (as opposed to a hobby) — I need to look at the revenue and expenses for each event (I can’t say in year XYZ I took in &5,000 and had $4,000 in expenses for a $1,000 profit on the year.
Thus, for each event I work–I need to stipulate on quotes and invoices the following:
1–Service fee (the cost of the company paying me to work the event)–Usually $200 per day
3–Meals and Incidental Expenses
4–Mileage per GSA rates
5–Lodging per GSA rates
6–supplies expenses exclusively for this event
7–capital expenses exclusively for this event
8–Any preferred customer discounts
This is why we need to have a discussion prior to a quote being submitted.
NOTE—special requests (e.g., chip timing) must be explicitly stated in the quote request which may increase the cost considerably.
When comparing quotes — A school-based enterprise is where you hire a crew from a nearby school (which I operated out of Monument Valley High School from 2001-2016). may not disclose this in he quote — All of the equipment is the school’s, and by state law (ARS 15-1105) not only is the host school responsible for paying the individuals for providing services, the school providing the equipment has to be compensated as well. I had our entry fee waived for the meet to meet this requirement
All in all, I can structure my fee schedule to be far below any school-based enterprise. Furthermore, I have never turned back an assignment. Three times in 2019-20 I filled-in for a school-based enterprise that turned back their assignment.