Do Exotic Dancers Pay Taxes?

Hi everyone, since it's tax season I wanted to go over a question that is often asked. This one is about taxes and stripping and how does that work? Well, sit down tax nerds because I’m going to give you the ins and outs and how to make the most of your deductibles, and when to seek professional help. Obviously, I am not a professional accountant (but see this super awesome video). So if you do need tax help outside of this general post on commission 1099-based pay maybe hire a pro here.

 YES with a resounding YES YES YES YES YES YAAAASSSSS strippers pay taxes. Technically most people always pay taxes in the form of sales tax but in Texas where I live you also don’t have a state income tax. For those with both see my advice above.

         In Texas, you do still file federal income taxes and that is your reported income on 1099. For dancers, you receive this information probably in some form of a printed paper packet that you signed along with a bunch of disclaimers. Sometimes this is a DocuSign, you’ll just have to look.

         DURING TAX SEASON THE DOOR GIRL IS YOUR BEST FRIEND. There I said it. The managers will not be able to give you advice. They do not keep track of when you work and have no idea about the paperwork typically. Door girls (or whoever did your hiring packet) are the ones that know the most about your income and shifts worked. You will want/need this information before you file. You can request your previous year's 1099 and sometimes be able to add/subtract claimable income before they even file (this is ideal).

So how do you go about knowing how to file, what to ask for from the club, and what to claim,  - get you’re your glasses and coffee:

1.     First thing, you will need to get information from all the clubs you worked at. I usually started this process November or December so I could get them all in time for the spring filing. Also remember clubs you may have visited or worked just a few nights, anything over $600 earned would need to be reported – if the club keeps track.

2.     Second, throughout the year – I would save all of my receipts for deductible items related to my work. For a list of common stripper deductions please click here. Nowadays, there are apps on the phone that will record this info for you and make it super easy. I don’t recommend the shoebox method which is what I used when it was all paper. (Ikr I’m super old shhhh).

3.     Understand how dance dollars work – this is where you need to ask your club what they report. Some clubs only report dance dollar earning or a portion, some report the whole thing. Clubs also will send out 1099’s reporting this income even if you didn’t know they kept track. Anything earnings over $600 have to be reported.

4.     Not all clubs will have this info. Some establishments don’t track income at all. Keep that in mind because you might have to just guess or keep track on your own.

5.     The clubs that do keep track usually have a system in place when you clock out at the end of the night. Some places have tap screens to clock out and there you can claim your $ or put # of dances, etc. This is where it gets tricky. You can claim as much as you want. If you know that you are trying to prove income for loans, housing applications, etc. you will want to have this number be accurate, yes you will have to pay taxes on it but it is not as much as you think. It will pay off, in the long run, to have a higher income so you can prove that stability year over year.

6.     Also, clubs will keep track of HOUSE FEE’s you need this for your deductions. This is a big one, especially for some dancers that live in cities with very high house fees. You can ask for a list from the club or clubs that you worked at. I also tried to keep track on my own with a journal or phone app but that can be hard. So just ask the door girl if they keep track and like if you work a lot get them every month if you are sporadic once or twice a year. That way you know what you are spending on house fees. (See my post about how to get cheaper or free house fees here).

7.     After you have all this information you will need to file a return for each club individually. You should be able to get these from the club or mailed to you by the end of January. Clubs are notoriously slow to send these out if they do at all. It will be up to you to track it down, honestly.

8.     The actual filing process is the same as any other 1099 contract worker. The only difference is the process of getting the return. You will claim your income and fill out taxes normally.

9.     Deductions are important. If you make over a certain bracket, you will want to itemize your deductions and not do the standard deduction. So, keep that in mind.

10.  Lastly, I broke even each year on taxes. Especially when I was in college. If you are savvy and understand how it works, it makes it so much easier. Just follow these steps each year and see the list of deductions!

Exotic dancers do pay taxes but I’ll admit when I first started dancing I didn’t file or care about it at all. As I got older and started to need to prove income it became important to file. Not only for verification, it’s good to see your financial health and how much money you made from each club. It was also nice to see the house fees at the end of the year and all the receipts from the stripper store.

Love & glitter,

BW  

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