Get ready to plan your taxes in a smarter way that will help lower any worry and confusion you may have about the money you owe for income taxes.
You will set aside a certain portion of each payment you receive to save up for your income taxes.
Set up a tax savings bucket
You have control over how much of your payments goes into this savings bucket, and can update it or withdraw from it at any time.
In the top navigation menu, select Finance > select Balance
Find your savings buckets > select Create Bucket
Enter your tax savings rate
Work with your financial advisor to decide what this rate should be
Select Create tax bucket
How transactions appear after creating a bucket
The transaction amounts in your transactions table will show:
The amounts after processing fees are subtracted
The amounts before any savings bucket amounts are subtracted
For example, if you set up a savings bucket with a rate at 10%, receive a payment for $150, have 3% in processing fees for the transaction, and have no other savings buckets set up.
Your Transactions table amount would show $145.50 for that transaction
$150 minus $4.50 (the 3% processing fee)
$14.55 would be added to your tax savings bucket
10% of the transaction amount (your smart tax rate) after processing fees
$130.95 would be added to your available balance
The transaction amount after processing fees and tax savings bucket withholdings
You can view exactly how much of each transaction went to your tax savings bucket by selecting that transaction from your transactions table.
Manage your tax savings bucket
You can manually change your savings percentage, stop or resume saving, or transfer funds into and out of this bucket.
In the top navigation menu, select Finance > select Balance
Find your savings buckets > select the triple-dot icon
From here, make your changes to the tax savings bucket
Use the Bucket Actions table below to learn more about your options
Select Save Changes
Bucket actions
Bucket action | Description |
Change savings % | Increase or decrease a bucket’s savings percentage. |
Stop saving for taxes
Resume tax savings | Temporarily stop saving and keep the money in your tax bucket, or resume saving if you previously paused. |
Move to available balance | Move the entire amount from this bucket to your available balance and either keep or stop saving.
You can only transfer the entire amount held in the bucket to your available. Partial transfers aren’t currently available.
If you stop saving, this bucket will be deleted, though you can start again with a new bucket at any time. |
Transfer to | Transfer funds into this bucket from your available balance. You can transfer up to your total available balance. |
Still have questions? Feel free to send us a message by clicking the Question Mark icon on any HoneyBook page. Our team is always happy to help!
HoneyBook is a software company, not a bank. Banking services are provided by Lincoln Savings Bank, Member FDIC. HoneyBook Visa Debit cards are issued by Lincoln Savings Bank, Member FDIC. HoneyBook is not FDIC insured. FDIC insurance only covers the failure of an insured bank.