Posted by Charles_CA on 8/9/05 11:59am
Msg #57838

A point to ponder

I remember when I became a notary thinking that $10 (CA) a signature was not a lot to be charging for the effort involved. In the intervening time I also have followed some of the threads in these pages and there is a lot of concern about how much one should get paid. Now having a some what convoluted mind (Charm knows what I'm talking about ;)) I was thinking how to reconcile the various types of jobs within the notary corral.

Have any of you in California (you in other states can check this also with your appropriate fees) looked at you notary journal and added up the number of signatures multiply them by the $10 fee and then take the amount of money you made signing and divide it by the number of signings. I bet in some instances you are working below what the state thought you should be. I know those who are taking the $50 signings are working substantially below this. I'd be curious to hear any of your reactions, thoughts, rants etc.

Best regards,
Charles

Reply by missy_socal on 8/9/05 12:08pm
Msg #57840

Charles,

I understand your point, but in my opinion it kind of evens out in the wash...at least for me.

Sure, you get those PIA refi's with a ton of notarized docs, but those seem to balance out the packages with just one or two notarizations where you can zip in and out.

Reply by Art_MD on 8/9/05 12:18pm
Msg #57842

The $10 max is, in general, set for doing one document. i.e. someone needs a bill of sale notarized. I don't think that it was ever intended to be applied to loan signings.

As an aside, CA notaries, and those in other states with high max. fees, have an advantage over many states. If you do 10 notorial acts and the closing paid $100, then theoretically, the $100 fee is for the notary work. This $100 is SE tax exempt. Savings = $15.70. If a state allows a $2 max (some are $.50), then only $20 would be tax exempt and SE tax on $80 would be $12.56. Effectively, compared to some states CA signing agents are getting up to a 15.7% higher pay.

Art

Reply by Charles_CA on 8/9/05 12:50pm
Msg #57847

Re: A point to ponder, good wayof looking at it

Good point Art. The tax advantage needs to go into the equation. However, as I tell many of my real estate clients who buy property for the tax advantages, you hve tomake money first befroe you an advantage of the opportunity. That begs another question: how many notaries actually file a long form 1040 as a result of their notary work????

Best regards,
Charles

Reply by patti-ca on 8/9/05 1:12pm
Msg #57853

Re: A point to ponder, good wayof looking at it

What does the long form have to do with it...SE tax is applied long or short form...and a notary should be completing a schedule C to take advantage of their deductible expenses. There are many points to ponder, and one should think long and hard about what it costs to earn a living at this...Due to many radio ads...I'm sure many are really going into this business with blinders on

Reply by Merry_CA on 8/9/05 1:18pm
Msg #57858

Re: A point to ponder, good wayof looking at it

You are so right Patti... Just from reading the posts on this forum it is very obvious that many notaries are only operating at the "hobby" level. I really can't understand why someone would invest the money that it takes to get started in and to maintain operation as a NSA and not even know where your "break even" point is!

Reply by Sol Cal on 8/9/05 1:19pm
Msg #57861

Re: A point to ponder, good wayof looking at it

What is an SE tax? What does SE stand for? What is a shedule C? I have tons of questions regarding Notary Public and Signing Agents. I just got my commission and I am kind of left in the dark. Can you give me some pointers about loan signing services. Do I have to take a class for it or learn more material after I get my commission? Let me know what you think.
I would greatly appreciate it if you would respond or anyone who reads this blog. Thank you

Reply by Merry_CA on 8/9/05 1:21pm
Msg #57862

Re: A point to ponder, good wayof looking at it

Read msg. 33325! Then read every (EVERY) message on this board starting with #1. I'll bet that 99% of your questions will be answered.

Reply by NY_TaxLady on 8/9/05 6:21pm
Msg #57920

Re: A point to ponder, Charles

It is not a long form that you need. It is a schedule C if you want to take deductions against your Notary work.

Reply by Stephanie_CA on 8/9/05 3:21pm
Msg #57895

Re: A point to ponder...that is a HUGE advantage Art n/,m

Reply by Dogmonger, Ca on 8/9/05 3:22pm
Msg #57896

Charles if not, you should be doing this anyway

to find out the amount of notary income that is exempt from Feder Self Employment Tax. Come Tax time you need all of those notariziations you can get to help offset the tax on your income:-)

Reply by Anon on 8/9/05 6:43pm
Msg #57927

I agree with you, but the fact is that the these companies that hire us control the pricing, and someone above them controls the funds, and so on...

I was called by a signing service the yesterday and asked to do a signing for an email doc loan. The guy asked me my fee, ans I told him I get $75 for edoc loan. He said, I'm sorry, but we don't pay less than $100. I hope that's OK. That is the 1st time that ever happened to me. How cool is that? I mean he could of gotten away with paying what I told him, but he didn't. When I got the confirmation email 5 minutes later, the email said the company pays twice a month.

I just hope it is true cause that almost never happens. You know what they say! If it's too good to be true, it probably is. I don't theink so though. Anyway, this guy said that they will have their own web site where notaries can go and register for the signing service and everything.

Today is the 9th, and he said I will get mailed out on the 15th. I hope he being honest with me.

Reply by Charles_CA on 8/9/05 11:17pm
Msg #57971

I'm sorry guys and gals, the question was rhetorical

The long or short form question was pretty much rehtorical. I suspect from some of the posts that many of the people asking questions are the 1040 EZ types. And it was a veiled reference to the depth of business sense I see. I really didn't intend for the thread to go off into taxation. If you are fillng out he C form youare obviously doing the long for 1040 and we each have our own demons come April 15th.