So shouldn't there be an invoice?
> I think I would want an invoice to show my E & O in the event a claim is filed on this free work. That would give show exactly what work I preformed.
I don't see any harm in submitting an invoice, but I don't see it as proof of anything, either. It's up to the plaintiff, not the defendant, to prove that a negligent act was committed. The insurance carrier steps in when they're notified that a claim has been filed, and that's when the process of gathering evidence begins. An invoice is just another piece of paper added to the pile.
I would say for most of us a bill for a net amount of zero creates no income, therefore no income taxes.
Licensed Land Surveyor
Finger Lakes Region, Upstate New York
You can do four free jobs and one which you request a reduced fee. They will remember the fee job and not notice the discount. I have personal experience there.
I personally instigated the chapter to do three jobs for free and in the third year I requested a reduced fee for the the fourth job (which they probably think is BS cooked up by me) then I finished a fifth pro-bono job for free because the original surveyor disappeared. Anyway that was the year they finally got around to honoring the chapter but there was a different president so she got the credit (I don't blame her, it just came down that way) and I got a lesser honor as a discount (but not free) provider. The CEO of the non-profit made a big deal how the chapter did it for free. I don't think he knew I finished another job all on my own for zero, nothing, not one dime.
Oh well, I'm not bitter about it though.
I even talked the Sacramento County Surveyor into checking a Record of Survey for the $150 deposit only, Sac County is not flexible at all that way.
It is not a wash
You are doing it right, do it yourself and never charge that organization at all. Don't do it for accolades because you won't get any. Never sprinkle paid jobs in there because now you are perceived as a vendor even if you do 100 for free and one for money.
Bear Bait,
Two questions: 1)Are you using cash or accrual accounting? 2) Is the $3000 your cost (ie wages and overhead) or what you would charge a for profit client (ie wages, overhead and profit)?
For my point lets say you are using cash accounting and the $3000 is your cost to do the job. In cash accounting over the year there are two columns, first is income and the second is expenses. At the end of the year you look at total income and total expenses for the year not for the individual jobs. So for the year you will have $3000 more in expanses against your income. That is your "deduction".