Brokerage, lending & investing

Books and taxes for real estate wholesalers.

An assignment fee that landed after weeks of driving for dollars, an earnest money deposit that stayed tied up on a deal that fell through, skip tracing and direct mail costs, and a double close that ran through a title company. Gus sorts all of it, an accountant checks every transaction, and you get one number a month.

Book a call What we handle
  • From $197 a month
  • An accountant on every transaction
  • Cancel whenever
AprilExample month
$12,400
what you made

April brought in $12,400 in assignment fees across three contracts. The Elm Street deal's earnest money came back after the buyer fell through, so I moved it back out of the loss column.

  • Title co payout, assignmentAssignment fee income
  • Skip trace subscriptionSkip tracing and data costs
  • Direct mail printingDirect mail and marketing
  • Earnest money, Elm StEarnest money deposits
  • Virtual assistant payrollCold calling and VA staff
Money in$34,000
Money out$21,600
Set aside for taxes$3,100
An example month. Yours will have your numbers.

Why your books are different

Wholesaling books go wrong because you never own the house.

A wholesaler makes money on the spread between a contract price and an assignment fee, not on the property itself. When the books treat a contract like a purchase, or an earnest money deposit like a sunk cost the moment it is written, the real economics of the business disappear.

  1. 1

    An assignment fee looks like a full property sale

    The money that lands at closing is an assignment fee for the contract, not the sale price of a house you owned, and if it is booked like a real estate sale, both the income and the tax picture come out wrong.

    What we doBooks assignment fee income as its own category, separate from any property purchase, so the real nature of the income is clear from day one.
  2. 2

    Earnest money at risk gets written off the moment it is deposited

    An earnest money deposit put down to lock up a contract is not necessarily lost, it can come back if a deal falls through under the contract's terms, and writing it off immediately overstates the loss on a deal that never closes.

    What we doTracks earnest money as its own line and updates it if it is returned, so a deal falling through does not get counted as a permanent loss it never was.
  3. 3

    A double close hides the two separate transactions inside it

    Buying a property and reselling it the same day through a title company involves two closings back to back, and if only the net proceeds are booked, it is unclear what was actually paid, what it sold for, and what the real spread was.

    What we doBooks both legs of a double close, the purchase and the resale, so the actual spread on the deal is visible, not just a lump sum.
  4. 4

    List and skip tracing costs never get weighed against what they produce

    Skip tracing subscriptions, direct mail campaigns, and cold calling all cost money every month whether or not a contract results, and without tracking it against assignment fees, there is no way to know if the marketing spend is paying off.

    What we doKeeps marketing and data costs in their own line against assignment income for the month, so you can see whether the spend is earning its keep.

Your categories

The categories Gus keeps for a wholesaler.

Set up once for how a contract turns into a fee. You never pick a category. He does, and an accountant checks it.

Money in

  • Assignment fee incomeThe fee earned for assigning a purchase contract to an end buyer.
  • Double close proceedsResale proceeds when you briefly take title instead of assigning the contract.
  • Referral fees receivedFees for sending a deal to another investor or wholesaler.
  • Coaching or list sale incomeMoney earned selling a lead list or coaching newer wholesalers, kept apart from deal income.

Money out

  • Earnest money depositsFunds put down to lock up a contract, tracked until returned or forfeited.
  • Skip tracing and data costsSubscriptions for finding owner contact information on target lists.
  • Direct mail and marketingPostcards, letters, and printing sent to seller lists.
  • Cold calling and VA staffPayroll or contractor pay for callers and virtual assistants working leads.
  • Title and closing costsFees paid at closing on an assignment or double close.
  • Driving for dollars costsMileage and fuel from scouting distressed properties in person.

What we watch for you

  • Assignment fee per deal

    The actual spread earned on each contract, not just the total closing check.

  • Cost per contract signed

    Marketing and data spend against contracts actually locked up, to see what is working.

  • Earnest money outstanding

    Deposits currently tied up on deals not yet closed, so cash on hand is not overstated.

  • The set-aside

    What you will owe, tracked every month even between deals, so April is a number you already knew.

Ask Gus

Things wholesalers ask Gus.

Text him like you would text anybody. He answers in plain English, and when a question is above his pay grade, an accountant looks and gets back to you.

The Elm Street deal fell through and I got my earnest money back. Do I still owe tax on that as a loss?

No. I moved that deposit back out of the loss column once it was returned, since it was never actually spent. Your books reflect the real outcome.

I did a double close last week where I briefly owned the house. Does that change how it is taxed?

I booked both the purchase and the resale, so the real spread is what shows up as your income, similar to a straight assignment fee.

Should I set up an LLC for each deal or just one for the whole business?

That is above my pay grade. A real accountant looks at your deal volume and structure and tells you what makes sense.

The tax side

The tax side of wholesaling.

Most of what matters here is that assignment income is ordinary business income, and that earnest money is not automatically a loss.

What your return has to get right

Your accountant signs it, so it gets done right the first time.

  • Dealer status and ordinary incomeAssignment fees and double close profits are usually taxed as ordinary business income, since a wholesaler is buying and reselling contracts quickly, similar to how a flipper's profit is treated.
  • Self-employment tax on assignment incomeAssignment fee profit carries self-employment tax at 15.3 percent up to the Social Security wage base of $184,500.
  • Quarterly estimated paymentsWith assignment fees landing unevenly deal by deal, estimated payments due April 15, June 15, September 15, and January 15 need a real look at expected closings.
  • Contractor 1099s for VAs and callersA virtual assistant or caller not on payroll who is paid $2,000 or more in 2026 gets a 1099-NEC by January 31. Gus keeps that list running all year.

Deductions real estate wholesalers miss

Your bookkeeper knows what to look for in your statements. You never have to.

  • Skip tracing and data subscriptions
  • Direct mail printing and postage
  • Cold calling software and dialers
  • Virtual assistant and caller pay
  • Driving for dollars mileage
  • Title and closing costs on assignments
  • Earnest money forfeited on a dead deal
  • CRM software for lead management
  • Phone and data plan
  • Home office for a dedicated workspace
  • Business cards and yard signs
  • List purchase costs

General information about 2026 federal rules, not advice for your business. Your accountant looks at your actual numbers before anything gets filed.

All year, not just April

A wholesaler's year, kept every month.

Contracts can close within days of being signed or drag for months. Your team keeps you ahead of the tax side either way. Every month in between, your bookkeeper closes the books and speaks up the moment something looks off.

  1. January

    Plan the year

    Last year's return gets started, 1099s go out to VAs and callers paid outside payroll, and a monthly set-aside is planned for the year ahead.

  2. April

    Filed. Done.

    Your return is filed and signed. No surprise bill, because the set-aside has been running since January.

  3. July

    Halfway check

    Where you stand, what you will owe, and whether this year's deal volume changed the number.

  4. October

    Before year-end deals

    Some sellers want to close before year end for their own reasons. Gus looks at what is worth doing or buying before December while there is still time.

What you get

Starts at$197a month

What you pay depends on what your business needs, and it does not move after that, busy season or slow. No hourly bills, no surprise invoices, no setup fee.

Book a call
  • Monthly bookkeeping

    Every transaction sorted into categories set up for real estate wholesalers. You never categorize a thing.

  • An accountant checks every transaction

    Real review, every month, before your books close. Not a spot check.

  • Your business tax return, filed

    Prepared, reviewed, and signed by that same accountant every year.

  • The monthly number

    What you made, what you spent, what to set aside for taxes.

  • Your own bookkeeper

    A real person assigned to your business, in the app whenever you need them. No hold music.

  • On your books all year

    Every month, not just in April. Your team speaks up whenever something is worth your attention.

  • Cancel any time

    No contract. No cancellation call. Your books are yours.

Straight answers

Questions wholesalers ask first.

How does Gus handle earnest money on a deal that never closes?

It stays tracked as its own line item. If it is returned under the contract's terms, it never counts as a loss. If it is forfeited, it becomes a real cost of that dead deal.

I sometimes do a double close instead of a straight assignment. Does the tax treatment change?

Both legs of the double close get booked, the purchase and the resale, so the real spread comes out the same way an assignment fee would, as ordinary business income.

My skip tracing and mailing costs come out before I know if any contracts will result. How does that get tracked?

Those costs are kept in their own category against whatever assignment income lands that month, so you can see over time whether the marketing spend is paying off.

I pay a couple of virtual assistants who work from overseas. Does that change anything?

If they are working as contractors rather than employees, Gus tracks their pay the same way as any contractor cost. The 1099 rules apply to US-based payments; the accountant can confirm what applies to your specific arrangement.

I have three deals moving at once with earnest money out on all of them. Can Gus keep that straight?

Yes. Each deposit is tracked against the specific contract it belongs to, so you always know what is tied up and what has come back.

My books have not been touched in months across a dozen contracts. Can Gus catch up?

Yes. Send the bank and title statements you have. Gus sorts every deposit and fee by deal, and most wholesalers know where they stand within a couple of weeks.

Is a real accountant checking my books?

Yes. You get your own bookkeeper, Gus does the first pass on every transaction, and an accountant checks every one before your month closes. That same accountant prepares, signs, and files your business return. Goatkeeper is not a CPA firm, and we never pretend a person looked when they did not.

What does it cost, and can I cancel?

It starts at $197 a month, depending on what your business needs. No setup fee, no hourly bills, no contract. Cancel any time from the app, and your books go with you.

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Book a call

Pick a time. That's the whole signup.

Fifteen minutes with a real person on our team. They look at where your books are, tell you straight what it takes to get caught up, and get you set up on the spot if it fits.

  • $197 a month to start
  • An accountant on every transaction
  • Cancel whenever