Camgirl beginner: what status to declare her income?

Are you a beginner camgirl or do you want to get started as a camgirl? Are you wondering about reporting your income? The answers to your questions are in this article.

What status to choose as a beginner camgirl?

Make it simple, choose micro-business

To declare your income you need to set up a business or company. There are a number of them: Sole Proprietorship under the real regime, Sole Proprietorship under the micro-business regime, Simplified Joint Stock Company, Unipersonal Simplified Joint Stock Company, Limited Liability Company, Unipersonal Limited Liability Company…

Each one has its own specificities and it is quite difficult to find your way around without the help of a specialist such as a chartered accountant. The choice will depend in particular on your family situation, your professional situation or even your projected turnover.

Very good but so what? So I’m going to tell you about a simple case, that of the novice camgirl. I’m not a CPA, but I had to look into it for my own personal case and the micro-entrepreneur status is ideal for a beginning camgirl.

The advantages of micro-business:

From a business perspective, what does a beginning camgirl look for?

• Low start-up costs.
• Simple, easy and fast business creation.
• More generally, administrative procedures as well as simplified accounting.
• No need to advance the social and tax charges. No income, no charge.
  <If possible, low social and tax charges.
  <And finally, low operating costs.

The status of micro-entrepreneur meets all these points and that is why it is chosen by the majority of people creating a business today. It is not suitable if the creator of the company wants to undertake with several partners or if the activity requires strong financial investments. But this is not our case.

The disadvantages of micro-business:

Are you looking for the disadvantages?

• This status does not entitle you to unemployment if you quit. But this is the case for all non-salaried workers. Obviously, if you are already unemployed at the time of the creation of your camgirl activity, you can benefit from all the aids to the creation of business: ACRE, cumulation of your Allocation of Return to Employment with your income of camgirl…
• The turnover is limited. For a service activity (which is our case), you can not exceed 70000€ per year, or an average of 5833€ per month. Counting about 25% of charge (the worst case, this point is detailed later), this makes you a maximum income of about 4300€ per month, which is already more than correct.

Nb: for information, the status of micro-entrepreneur is the new name of the status of auto-entrepreneur. However, you will see that many people still use the term auto-entrepreneur, including administrations.

The status of micro entrepreneur is therefore ideal, whether it is in addition to a salaried activity, as a main activity or even in combination with your Return to Work Allowance.

How much will it cost me?

At creation

It’s simple 0€! No statute to write with a lawyer, no share capital to deposit, the registration of your camgirl micro-business is free.

During the life of your business

You’re going to have to pay several contributions during the life of your business:

• Social contributions: this amount of social contributions is a percentage of turnover. The rate depends on the sector of activity and is 22% for the camgirl activity (services and unregulated liberal professions).

Note, no turnover = no social contribution to pay.

In addition, when you start an activity (camgirl or other), you can benefit from the ACRE: Exemption from the beginning of activity of creation or recovery of business. This device allows you to benefit from a reduced rate of contributions and social contributions during your first three years of activity. The amount of contributions is then only 5.5% the first year, 11% the second and 16.5% the third. At the end of your third year of activity, you switch back to the full rate, i.e. 22% of turnover.

• It is important to know that the first year, you are exempt from paying this contribution. Similarly, if your turnover is less than 5000€ whatever the year, you are also exempted.
• The income tax: there are two possibilities for the payment of income tax.
• Either you include your micro-entrepreneur income in the income of your tax household. In this case, you will have a tax rate on these incomes that depend on your tax situation (number of part, other income, salaried income …).
  Either you opt for the payment in full discharge of income tax when you create your micro-enterprise (during the 3 months following by sending a letter to the Ursaaf). In this case, the amount will be 2.2% of your turnover. This tax will be paid at the same time as your contributions.

An example to understand

In order to get it right, let’s take a simple example. You have just started your camgirl business and have earned £2456 on Chaturbate this month.

You will have to pay:

• Social contributions: 2456 * 0,055 = 135,08€ (only 5,5% because you benefit from ACRE, if full rate at 22%, the contributions would be 540,32€)
• The contribution to professional training (CFP): 2456 * 0.001 =2.456€
• The business property tax (CFE): 0€
• Income tax (if paid in full discharge): 2456 * 0.022 =54.032€

Thus, there will be left in your pocket: 2456 – 135.08 – 2.456 – 54.032 = 2264€.

So there is about 9% charge overall including tax (about 25% after the first 3 years and the end of ACRE). This is low compared to other types of businesses and keep in mind that these contributions open up your rights to social security, retirement and training.

How to open your micro-business

Open your micro business and extremely simple and fast. This process is done online in a few minutes.

Go to this address, click on declare my auto-business and fill in the various fields. The APE code generally used by camgirls is 9609Z “other personal services n.c.a”

Les obligations du micro-entrepreneur

The regime of my micro-enterprise was created to facilitate the process of creating and managing its activity. So there is much less obligation than for a “classic” business. Nevertheless, less obligation does not mean no obligation.

Keeping a register of receipts and purchases

Accounting for a micro-entrepreneur is limited to simply keeping a record of receipts and purchases. No need for an accountant, you just have to enter a new line for each revenue (=payment of the cam platform) or purchase mentioning the following information:

• the date of the collection (not the billing),
• the number of the invoice corresponding to this revenue,
• the name of the customer,
• the nature of the service rendered,
• the amount collected.
• the method of payment of the customer (= the platform): check, cash, credit card, paypal …

You can find pre-filled register templates on Amazon.

Open a bank account dedicated to professional activity

You must open a dedicated business bank account.

An important note, you are not required to open a business account. You can open a second personal account but it will be dedicated only to your micro-business. This is an interesting point, as “classic” personal accounts are usually cheaper than business accounts. Also think about opening an account in an online bank, you will have few fees.

Personally, I use Boursorama and I am extremely satisfied with it (free, simple, quick response to emails, phone app to check those accounts…).

Declare your turnover

You must declare your turnover, either monthly or quarterly depending on the option chosen, even if it is zero for the period. In this case, the turnover declaration must be completed by positioning the amount 0 in the “turnover” column of your declaration.

You can declare your turnover and pay your contributions by logging into your personal area at https://www.autoentrepreneur.urssaf.fr/

Note: from 1 January 2019, the declaration and payment of contributions must now be made dematerialised online

If you need to, you can find more details on the status of micro-entrepreneur on the website https://www.autoentrepreneur.urssaf.fr.

We also advise you to read our beginner’s guide to the camgirl.