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Are there any implications to withdrawing $1000 a month?
 

So I receive about $500-$1000 a month in Friends and Family Payments on PayPal but I am afraid to withdraw it cuz of taxes or so... My withdrawal limit is $1000 a month. Would it be safe to withdraw $500-$1000 per month without any troubles? I am moving to the USA soon.

Re: Are there any implications to withdrawing $1000 a month?
 

Welcome to the forums - all the best as you master stealth :thumb:

Friends and Family payments receiving is dangerous, especially repeatedly and ESPECIALLY if from active paypal accounts making sales....

What you are doing is risky - you might be able to withdraw low amount to start or you may get limited....cannot be 100% sure until you try (low amount of $50 or so as a first step)

Re: Are there any implications to withdrawing $1000 a month?
 

That is not what i am asking about but thanks for the reply! Im talking about Taxes and if the IRS will do something if i keep withdrawing $1000 a month. Would I have to like report this?

Re: Are there any implications to withdrawing $1000 a month?
 

Generally, you should be more concerned about accounting for your sales income going INTO PayPal, not so much w/d'ing to your bank account.

But, as Rsot indicated above, F&F payments may place your account at risk.

The amount you can "safely" withdrawal depends on so many factors, such as age of the account, source of funds, case/dispute history, amount you have on deposit, etc. etc.

That said, you should easily be able to take out $1000 on a well aged, seasoned account, whereas on a new one you could be limited for anything over $100. It really depends.

Re: Are there any implications to withdrawing $1000 a month?
 

You would need to speak to a financial professional then about taxes - scope of forum is not really about tax advice...

Re: Are there any implications to withdrawing $1000 a month?
 

Listen, you DO need to worry more about the "friends and family" payment coming in to your account. If paypal sees that you abuse that they limit your account where you can't even touch the money, are you going to be more worried about taxes or the money itself?

In terms of taxes.... when the money hits your account, it's recorded whether you transfer it out or not. In this case, your better bet is to speak with a CPA.

Re: Are there any implications to withdrawing $1000 a month?
 

He's obviously trying to use F&F to avoid adding bank accounts.

He's going to be limited and lose all his money, regardless of what he does.

Lots of F&F payments are the kiss of death.

Re: Are there any implications to withdrawing $1000 a month?
 

You only get limited if you received F&F and have someone dispute a F&F payment. PayPal thinks you're trying to avoid the 21-day hold and fees by getting them to send money as friends and family. Trust me, I have a bunch of accounts receiving multiple friends and family payments per day and they're still going strong. Just make sure no one disputes F&F payments and you're good.