Alright folks, I know I'm hair crazy, everything seems to keep happening in the morning hours, which is a little nuts for me since I deal with a lot of my children's school stuff then, but here we are and we're talking about GameXplain again. Now I said last video that I meant it, that I would not make any more videos about GameXplain until Andre Seegers, the owner, founder, everything of GameXplain responded and he did, he actually responded yesterday evening, I was just too busy to get anything out and not only did he respond, we have a whole bunch of responses to his response, we have a whole bunch of statements now from other people including moderators of the GameXplain Discord server, we also have a response from a current full-time employee and also some other part-time employee, another one anyways, that said something rather interesting. Before I get into Andre's response, because that's what we're going to call it, I'm not going to say it's an apology, I want to remind you guys we are giving away a PlayStation 5, an Xbox Series X or a Nintendo Switch, details down in the description or in the comments, this is rough, here we go. Andre Seegers, statement by Andre Seegers of GameXplain, for many years I worked with a group of talented and driven independent contractors on our videos, remember independent contractors, keyword there, we shared a deep love of gaming and I'm forever grateful for their contributions as our channel grew from an idea to an incredible online community full of amazing fans. When these contractors, again second time you use that word, chose to branch off to launch their own YouTube channel, I gave them my full support and to this day wish them every success. I was quite upset to hear their experiences because I consider them to be true friends and I hate that they felt subjected in any way to unfair compensation or unrealistic deadlines, often a result of adhering to tight embargo deadlines beyond our control, it's not beyond your control, you could just tell them they don't have to have the review out by the embargo date, which it appears he might have actually fixed since losing the staff, but we'll get into that in a moment, so it says it was never my intention as I respect those former colleagues immensely, professionally and personally, so he says I am not a perfect person and there are enormous challenges in managing a channel, but I promise that I am absolutely committed to ensuring open communications, a positive work-life balance and fair timely compensation for my team as we move forward and navigate the pressures of the gaming industry. So my initial thoughts before I get into other people's responses is that this statement is a legal statement, he is legally protecting himself, now it's notable you'll see people who can reply, only people that mention that the Andre mentioned, but she doesn't mention anyone, so you can't reply, you hit this, nothing happens, it says who can reply, you can't do it, you can retweet it of course and do a retweet reply, but you know other people can't read those replies, so literally you cannot reply to this statement, so for someone who in the statement says he commits to open communication, he's preventing others from being able to communicate with him or respond to him, at least in a direct fashion, so this literally reads like a lawyer wrote it, he's protecting himself legally, because these were some serious allegations or serious stories that came out, Andre's not denying any of those stories by the way, there's no denial, there's also no admitting, there's no apology, there's nothing, you know he says you know I hate that they felt, but you're the reason they felt that way, there's no admittance of that, there's twice mentions of them being contractors, before he says I consider them to be true friends, that's because this is a legal statement, this was never a legal issue in the first place, no one was accusing Andre of doing illegal activity beyond the whole pay thing and not paying on time, you could argue that might have some legal ease that you could put into it, actually paid, it is what it is, but this statement is nothing but I am legally protected, so we're moving on, that's the route Andre chose to go, he's dehumanizing himself, he's disconnecting from being a forward thinking person and instead not taking responsibility, not taking blame, not refuting anything, just oh hey they were contractors, which is kind of the attitude we were told the whole time, now there is one person who has been defending Andre, that is Joey Ferris, now Joey Ferris is someone that I have worked with, full disclosure he's been on my podcast before, the Nintendo Prime podcast, I think he was on last year for an episode, I have open communications with Joey Ferris, I have talked to him privately before, not about this because out of respect to the situation, I have not been reaching out to current employees to figure out their side of the story, I'll let them respond on their own time, he put this up yesterday basically right at the time that Andre put his statement out, or right before I think it was, so his statement says, hi everyone, in case you don't know me my name is Joey Ferris and I've been working full time as a news and features editor slash reviewer for GameXplain since October of 2020, it has always been a dream of mine to work in games media and it's an incredible blessing to be able to do that under the GameXplain banner, I cannot thank Andre enough for giving me this opportunity to make a living doing what I love, that said there's a narrative going around that Andre underpays and overworks his employees, from my experience this has not been the case, I've had a lot of jobs over the years and I've had to deal with a lot of horrible bosses and Andre is not one of them by a long shot. Now not only am I being paid enough to support myself and my wife, but not once have I been pressured to overwork, as a matter of fact I've been encouraged by Andre not to burn myself out on the job or take on more than I can handle, there was an instance where I wasn't able to meet a deadline for a project without working outside my normal hours, I brought this to Andre's attention and he suggested I turn what was supposed to be a video review into a review in progress discussion which saved me a lot of time, this was only possible because I communicated what I needed to Andre and he's always been available to talk to which we've heard from others wasn't the case before, this is just one example of the many ways he's been supportive and understanding, in my time at GameXplain I've had nothing but happy Andre has encouraged me to take time off for my mental and physical health and to spend time with family especially during the holidays, I look forward to continuing to make content for the fans at GameXplain, I truly couldn't have asked for a better job, now this is fine I'm not going to sit here and refute him point by point because that very well could be his experience, I don't know if this is a canned response and you're going to understand why I'm questioning if this is a canned response in a moment, but hey, it's possible that this is actually a good sign, this could be the first real sign that Andre has learned after losing almost his entire staff at the same time, it's possible the reasons he lost them are well aware to him because after all they did bring up these reasons directly to Andre before leaving and he chose to be better about it moving forward, this could be actual positive evidence that Andre potentially could have even referenced saying hey you know I have learned from my mistakes because he mentioned he's not perfect so he's kind of admitting he makes mistakes but not really admitting to what those mistakes are and this could be a nice example of hey look I am learning, this is the new staff, this is how I'm treating them, I am not going to go back down the path that I did with the old staff but again I don't know this could be canned and I'm saying this could be canned because of this, Andre asked freelancers to share positive experiences, he couldn't get enough people saying good things to share them alongside his statement so this has been verified and confirmed to come from a part-time person who used to work at I do well did occasional freelance work for GameXplain and Andre, he did message me a few days ago asking if I could share some positive experiences, I decided not to respond until morning wasn't going to participate but he had deleted the discord message by then so it's like a notification on the phone and then when you went to respond it was gone, here's the thing he's soliciting people to say positive things, if you have a lot of positive experience from your staff you shouldn't have to solicit them to defend you, they should easily defend you without question without asking but they're not, the only person to do so so far is Joey Ferris, either Joey Ferris was also asked and is dying on that hill of supporting Andre or Andre legitimately is actually treating him really well and possibly making him a full-time right-hand man kind of person I'm not sure but whatever he's got one current staff member on his side but those are all current see that's the thing it's possible Andre has learned and is doing better which I hope he is but that doesn't change what happened moving on we see here that Steve's wife who liked a couple posts that were you know basically critical of his response in a way and I haven't actually looked at the responses you know ginger Bob he says like Joey I love you man but this is bogus the statement goes on about your experiences with Andre and games without acknowledging John Derek Ash and Steve's experiences it's completely pointless to go on about what it's like now when the issue is in the past um you know he and to Joey's credit says I can't speak for them obviously um you know I really want to believe this but some of the things said contradict statements the former crew have spoken about for leaving again this is about what happened in the past not what's happening now but again I hope the things are going well for Joey Steve's wife getting banned or blocked by him because she'd like some post-critical of him whatever it is what it is um but this is a mod of their discord server says all right well hesitant to say anything on this until more information came out but seeing where everything is going in the statements released over the night I feel I need to go into this uh long thread important to those who know of my past history of game explain I was one of the moderators on the discord server one of my most influential eras where I met so many people and helped me become a better person I joined in May of 2018 and on request to John got the position and did my part in helping blossom a community now while this is all well and good actually getting the server to be recognized was another issue Andre typically would leave us hanging when we needed to consult him or not respond at all when we needed the staff others such as Derek John and Matthew were much more helpful in getting changes done but it all had the issue of so much having to go through Andre and the only reason we were able to grow the server so much was because we pushed about it which made the whole process so draining but it's not like they acknowledged our presence we were typically ignored it made me distant from the content you'd see on the main channel even though any of the mods could tell you that we were a huge backbone in the making a game explain community thrive we loved the people and server Andre would almost never check in on us for better or worse and as such we just took it as we went this all goes until 2020 as most of the staff leaves you've probably seen that the story go around enough already but that November I left the server and stepped down as mod mainly to take better control of my time and projects though there was a feeling I didn't belong anymore and in August I sort of realized this on my attempt to set up a charity stream I tried to contract Andre about helping out with it and the falsehood of my mind that I and other mods meant something to game explain only to be put on read only even when I was told he would respond later this is all to cement the word Derek gave out but again so please don't harass anyone about this I've just had a lot on my chest about this and it's a very involved part of my life I'm just glad now I still have contacts with people from the server because they're people I truly care about and of course I hope the best for the new staff game explain they're all good people and I hope things get better because it hurts that it came to this so Andre again not taking care of his own community not supporting it telling people that he'll do things and then just silencing them pretty par for the course for all the other accusations we have espion here what an absolute lie and non-apology for those who don't know I used to be a moderator for game explains discord server and it was certainly a time I'd been less active in the months leading up to what recently and was already considered stepping down from the mod team Derek's statement is what ultimately led me to decide to step down shortly after the reset era thread was posted and started gaining traction which is a forum where a lot of the stuff's being talked about Andre called an emergency meeting with the mod team by pinging us all in the chat and saying hey let's do something wild okay that's Andre there was no indication that it was going to be a serious discussion before I joined the voice chat in any case this discussion gave me pretty bad vibes to he kept vaguely mentioning one specific ex-member with his frustration in his voice as if they were the source of this or whatever like the source of his frustration by the way he does not John has not followed Derek and has not said anything to Derek and quite some time he's the one member of all of this that that Andre is actively just avoiding like the flag for some reason and Derek as you know it was one of the biggest people I gave explain all right he made no effort to say that he would take responsibility for this and essentially told the mods hey you all are going to have to deal with this soon good luck wow eventually decided to redirect all discussions of the reset era thread to the support channel because you know not allowing it at all would come off as suspicious you know like not letting people reply to your actual official response so he essentially left the mod team to deal with a ton of messages all pouring into the same channel as he did nothing to address the problem that he had created himself before this all happened I was frustrated doing a lot of things on the server because the mod team was given very little agency initially we had to ask for permission to add delete edit channels but we were eventually given agency over that things like changing the server's icon the rules etc all had to go through Andre which seems fine enough on paper right except for the fact that he would take forever to get back to us again more evidence of him not making himself available the only times he really had a presence in the server was when he needed to for a bit of personal story there was a personal drama between me and another x mod won't give names since that's not relevant here because they follow my private account at some point but I soft blocked them because I needed to vent about how the mod team was about to confront them but their tendency to argue with other users this culminated in the other x mod sending a massive message to my discord DMs saying a ton of harmful stuff to me calling me a liar things like that it took over a month for Andre to resolve this situation eventually we asked other game explaining staff members to help out and step in ash and john ended up taking a talking to this x mod and instead of Andre since he just did absolutely nothing to help I like to close out the thread by sharing another story and then we get to that please don't direct your ire at the new game explain step they're all wonderful and I don't think they had an idea what was going on this is all on Andre his statement apologizes for nothing doesn't even mention issues they had with them and does not provide any clear intention that things will change now again if we go off of Joey Ferris's statement it does appear that Andre has changed and he has been going bending over backwards to encourage mental health and that's before this stuff came out so again it's possible Andre has changed okay I'm not here to debate whether Andre's learned from this situation whether things are better now a game explain than they were before I sincerely hope that joey's joy ferris's statement was not one that you know that Andre had to specifically ask which the timing of its release makes it seem like it's something Andre asked for but I'm hoping that it wasn't coerced I'm hoping it wasn't influenced like he was trying to do with some of the other former staff members but it is what it is this is what we have to go off of all I know is Andre's statement if we just look at that on its own is very very telling for the way that Andre Segers has managed game explain it is very much a business to him okay now there's nothing wrong with that because all of us that make money on YouTube we're legal businesses this channel is a legal business I file business taxes I have a business license this is a business okay now not all youtubers have a business license some of them run it as a sole proprietorship which you do not need a business license for you end up using your own social security code as your business tax ID all that jazz basically everything falls on you and there's a lot of easy units with that there's also a lot of risk with that but we are all legal businesses because we make money and we're paid by YouTube paid by Google specifically so that's fine and if game explainer so large treated like a business makes a lot of sense you're gonna have a team of people you're gonna manage that team you're gonna have payroll you're gonna have taxes you're gonna have business expenses all that jazz you're gonna have a lot of stuff under the sun to deal with so treating it like a business is fine but this was never a question of business acumen yes we could talk about the one to two dollar pay accusations we could talk per hour we could talk about the overworking we could talk about the laughing at them for their request to get paid on time on a timely schedule that happens on the same day people begging to get their pay checks some people not even getting paid for nine plus months you know Steve not getting paid for nine plus plus months you had John not getting paid for the same amount of time about nine plus months before he started getting paid and then John not realizing that Derek as an example was making significantly more than him and despite him doing the same amount of work as Derek and Derek not realizing that nobody else was getting paid like he thought everyone was getting paid around what he was getting paid and that turned out to not be the case they weren't getting paid where Derek was getting paid which Derek was the only one getting paid what I would consider a reasonable wage not the greatest of wages of course for the amount of hours he was putting in but still he was getting paid a reasonable wage and if everyone was being paid that reasonable wage he was making about you know well I think it was 60 000 a year if everyone was being paid that I think things could have been a lot different but that wasn't the case and then when he offered contracts poison pills put in contracts and stuff like that that could hurt people like Steve so there's again there's been so much information and so many accusations that have come out it's baffling to me just completely baffling to me that this is Andres response I mean I'm gonna look over to the side here and just look at it one more time for many years I worked with a group of talented and driven independent again first thing he calls them is contractors if they're true friends okay he later calls them true friends if they are true friends you stop referencing them as contractors the only reason to reference them as independent contractors is specifically because he's protecting his ass legally if he comes out and admits I underpaid my staff I overworked my staff if he comes out and fully admits to this stuff instead of saying you know I'm not a perfect person and there are enormous challenges in managing the channel like he's kind of saying I made mistakes but I'm not going to tell you what those mistakes are because if he admits to them there is a legal liability factor that could lead to him um facing lawsuits now none of the former staff members by the way have indicated at all that they want to actually go after Andre and pursue legal actions and get back payments or whatever for work done or work done they weren't paid for it doesn't sound like anyone's even interested in doing that but from a legal standpoint this was written by a lawyer absolutely 100% written by it reads like a lawyer statement it comes off like a lawyer statement it's very technical it it's very much uh we are not going to admit any fault however clearly you know we're sorry that other people feel like there was a problem so it's kind of like oh the problem's them not me uh but it says we shared a deep love of game of gaming and I am forever grateful for their contributions as our channel grew from an idea so he admits that some of these people like Derek were there before the channel was anything to an incredible online community full of amazing fans fans have nothing to do with it things right now but that's okay one of those contractors again chose to branch off to launch their own youtube channel I gave them my full support and publicly he did he told them all he wished them all well besides Derek uh and uh he did sponsor like one of their early episodes of today's news tonight so um again he publicly was showing good will towards them of course to show negative will towards them at the time wouldn't have looked good on him so take that for what it is I was quite upset to hear their experiences because I consider them true friends if you consider them true friends you'd stop referencing them as independent contractors look I plan to if my channel ever gets big enough and can afford to hire a video editor someday to make my videos even better and I the video editor will highly likely be an independent contractor like legally but I will never reference them to their face or behind the scenes or publicly as an independent contractor they are a person they are a person that yes is performing a job I will be paying them for but they are a person okay so even if they I didn't consider that the they got to be a friend and he was just like an employee which technically legally independent contractors are not considered employees but that they're doing work for me even if uh even if they aren't my friend I'll never reference them as just a contractor I I don't I don't understand what Andres is doing um I mean I get it I said there was a couple ways he could have responded he could have copped to everything uh said oh sorry he was and gave examples of things like Joey Ferris mentioned uh that he is doing better now or he could just say nothing and this statement is akin to nothing it would be better if Andres never responded this comes off as callous this comes off as out of touch this comes off as I'm not admitting fault but I'm also not denying these things happen so he's not denying he's not admitting he's just hey they were independent contractors and I'm sorry they felt that way all right folks that's all I got thank you so much for tuning in I am Nathan Robodance from The Tanner Prime sad situation I don't think we're gonna have anything more to talk about unless Andres or you know decides to say something other allegations I'm sure are going to come out just as we got from the mod team I'm sure there's gonna be more and more uh you know independent people saying that they were solicited for positive commentary I'm sure that there is going to be more things added to this story over time but unless something major happens on game explain side or there's another follow-up with the new staff uh or like if Joey came out and said he was co-hosted into a statement or whatever the case might be unless something big comes out from the new staff or Andres after this I don't think there's really anything else we can do um and out of all this good vibes gaming is blowing up in fact I don't even know what's good vibes gaming at right now there were over 50,000 last I checked but I have no idea what they're at now I did not check this morning they've been gaining like 5,000 subs a day or something like that um but I'm actually curious where they're at currently and yeah there are 55,000 that that that that checks there are 50k yesterday 55 today probably 60 tomorrow they deserve all the success I hope they pass my channel here in the next few days because they are way better content creators than I am and I am not afraid to say that kudos to them all right folks catch you guys in the next video


Hello, my sniffers! Okay, bad angle, really hot. Anyway, you'll never believe what's happening today. Christina is here. Straight up went from going to bird stores to now she's in my house. And guess why? The most exciting thing. She brought a bird for me to see. Are you guys excited? It's her bird. Just so you guys know. Ta-da! Can she come out? Of course she can. Oh my God, I'm dying. This is my first time not seeing a mustache parakeet obviously, since Picasso, but like holding one.  Okay, for those of you new here, thank you so much for being here. We love birds.  And Christina's been talking and posting about her on parrot station. So I said, could you please bring her over? Hi! George, what do you think? This is Evee, you guys. Jersey, I want you to see somebody. Look, what do you think? It's not Picasso though. You said it's not Picasso, but it's Picasso's family member. What do you think of that? It's Picasso's sister came with busy youth from out of town. Hi, how long have you had her? Three months now? She's so cute. She likes to talk a lot. She's very talkative. And she likes my earrings. George, don't you wanna come see this up close? Hello. Hi. She complains a lot when my husband touches her while she's on me. She doesn't bite, don't you think?  That's how Picasso was. Yeah. I got you.  I really want her to learn other people. So this is a very good experience for her. Yeah, she only gets me 24 seven, it's just okay. This is what I realized. And maybe your husband does this because George kinda does this too. Other people in the family, they're like, oh, we got a new bird. I want the bird to like me. This will be the one. But then there's someone in the family good with birds like you or me. And the bird like bonds with us very quickly.  And they stop trying to socialize. They stop putting in the effort and that's the problem. Right? I mean, he's not stopping because every day he'll go up to my most nippy and he will still attempt to touch her. Maybe you should start with the less nippy ones. I actually got her after watching me work all of your Picasso videos. Oh, you came because of Picasso. She was an inspiration. So you have four birds. I do one of the babies, not home yet. Okay, you have four birds. Would you be interested in meeting Nelly? I'm open and interested and yeah. And Monty, here's the thing though, right now they're both like attached to me. But so they need someone like you that knows how to make birds attached to them. They can't really have like a beginner. Do you know what I mean? They could because they're loving but like they need someone that like just knows how to handle birds. That's it really, you know? Oh my God, I thought I was gonna cry when I saw this bird. Churji, don't be jealous. I grew up with the craziest type of bird you could have and that's a cockatoo.   You have a family that loves birds. Due to dad, yes. Me too, due to dad, sort of due to dad. Okay, if my mom hears this, she's gonna be so mad. Dad always loved animals. Us loving animals is because of my dad. 100%, uh-oh, somebody's jealous. Dad surprised me with my first bird and he wouldn't let me get a bird. He said, bird should not be in cages. And I said, but if I have a bird, he won't wait. And he said, we can't have animals where they're in the cage. And then he surprised me with the one once he saw the potential and then the whole family became in love with birds. But the way that story goes, my mom's very mad at, she goes, you know, it's not fair. I'm the one that told him to go get the bird and now he gets all the credit. Hey, Churji. Hi. Hey, Patrick. You're busy, you're busy looking at other birdies. Hi, sweetie. You're just the cutest cockatoo in the world, aren't you? Yes, you are.  I've grown to accept this. She's got that same Picasso thing that where you could just, like where they wanna just like snuggle. The same snuggle. My first mustache parakeet was not like this. He was cray cray. My Malibu. Oh my God, he sounds like Picasso. She. She. She doesn't. She does not smell like Picasso. She's got a different type of musk. Yeah, she does. She has a musky smell, but it's so, I don't care, I love it. Mix of baby powder. Yes. And then there is like fruit because I give them apples and strawberries and her favorite is pomegranate. She goes crazy for pomegranate. Oh my God. So do my birds. They love pomegranate.  Yeah. Who's crazy birds? Parakeet, and you have a con year. So what is. Like the difference between the two? A lot of my viewers are like, which bird should I get? And like, I always recommend con year. I've previously recommended mustache parakeets. I don't think they're the best for beginners, but they can be really good. Like, but. You know, I wouldn't. Okay, mustache parakeets are great birds, but they're shy. So if you're looking for a bird that you're gonna just get in the feathers, they are not open to that at first. No. You really gotta work with them. But they do snitch position. Look. I mean, no, two birds are the same, but this is totally a Picasso look. That's exactly what I did with Picasso all day. All day long. She would be able to sleep, and he'll be like con, just like he'll cozy up into it. Yeah. That's all I needed. You know, I didn't need like, to get all up in the feathers. Like I just wanted like that, that sniff position. Yeah. This position right here is what George is doing now. So this is essentially Picasso and Eevee. Go ahead, Eevee. Just sniff position. Yeah. She goes right into it. Not all birds are the same, but I mean, if you can get your bird to do that, you're definitely in a good place. I definitely recommend conures for our first time bird owners. I know people say cockatiels, but a cockatiel wasn't enough for me. Why? It was so enough for me. I love cockatiels. I had a cockatiel since I was five. I started with a cockatiel and my dad trained it. It could step up and kiss and hug and all that. But as soon as I went to the store and I saw the pineapple conures silver tough, it was over. I paid right there. It was done. She was mine. I understand what you're saying, but mine duly was just like such a personality. Yeah. I just love cockatiels. Yeah, it was a cockatiel. My neck is killing me from doing this. Yeah, but you keep doing it. Okay. Who else wants to come out? Vinnie sees a box right there that he already tried to kill George over today. Go over there. Kelly and Monty before I let them all loose. Hi, you said. Meanwhile, let's see what Vinnie's doing. Vinnie, how quiet are all my birds? Pretty quiet. Are they quiet? Yeah. Like they don't make noises. I think the only noise you would hear all day is maybe Vinnie scratching up his box. Yeah, that's it. Okay. Somebody wants to meet you. Look, he's got his wings up. He has his wings up. Say hi. Will you step up? Hi, baby. I'm not scared of you. You're doing such a good job. I'm not scared of you. You're such a good baby.  You're doing such a good job with him. Hi. Isn't he cute? Hi, baby.  I'm not scared of you. That's exactly what he needs. Hi. Is like someone to get past that. But I can pick him up, turn him upside down, love him, like everything. Hi. He is one of the most handleable birds. Oh, good. That I've ever, both him and Nelly. You want to hold him? You're not scary. Step up. Oh, hi. I think the gender is going to be a screamer too. So we're already going to have another screamer in the house. Yeah. He's screaming right now because he sees Cody and he hasn't really, you know, he hasn't like really been with these other birds. Yeah. So he needs to still like coming out of quarantine. He still needs to learn how to interact with the idea of not being the only one. Yeah. So when he gets around Nelly, he does this too. He's like. And then he like lifts his wings because he's all mad that like he, he'll do fine in another flock, but he doesn't do well with Nelly because Nelly is kind of aggressive. Whereas imagine he's in a flock where the other birds are not super jealous and you can just be included. Check this out. There's a lot of action going on.  He's the sweetest. You're so sweet. Isn't he cute? Hi, my cute. My only problem with the noise is living in a condo. It's my fear that I'm going to get a letter on the door one day and they're going to say, Hey, you got to get rid of all your birds. Peek-a-boo. Doing a gang standing back into his books. Just like having Picasso in Jersey again. No. He's a kind of bird that like he's quiet if you're around. Like, so if you're home all day and he's also much more chill on you then Nelly, Nelly will want head scratches the whole time. Wow. You do well with birds. Thank you. Okay. So when the camera was off, she asked me if Monty was kind of like how we have all the cages lined up. If Monty was on top of the cage and her other birds were on top of the cage, would he be aggressive or go over and attack? No, but Nelly might. Nelly is a very jealous personality. Here's the thing with Monty. Obviously, I don't have the most amount of information about their previous life, but it seems to me like when you meet Nelly, you'll know she absorbs all the love and it's easy for her to get love because she gives it. So imagine you have two birds and one knows how to get head scratches and love and everything and the other one kind of always pushed aside. Yeah. That's him and she like will kick him out to get love. He doesn't want to know that he's getting any love. So like Monty is the underdog and he's been doing really well up in my room by himself because like he gives all the love alone. So I don't think he has it in him to be the aggressor towards other birds. I think he could fit into a flock, but I don't know if Nelly could. Okay. Because like if Nelly is on your shoulder and so is Evie, Nelly I think would get jealous and be like get out of here because if she does it to him, I think she would do it to another bird. He is just a pushed away bird. I've never seen him go for her. Like he's screaming right now because she's screaming over somewhere else. What do you think of him? By the way guys, this is not a video about her taking the birds, but obviously you know I need to re-home them. So if I know of someone that's really good with birds and she's home all day and she takes really good care of her birds and she works from home. So you could see how well she's adjusting to a bird that everyone else is like oh they just love you. So just like an option I'm presenting her with. Oh my God guys I forgot. This is how I keep my birds like chill. Like I give them these little hideouts and by the way he's not aggressive at all. Here let me show you. This does not make him aggressive. I can come in here and scratch his head and everything. Honestly I will say they're pretty quiet all day. They're a loud one. They hear each other. He's pretty decent like when he is with me. He loves the shower. He loves the shower water. He comes in the shower with me every morning and he like doesn't mind getting a little wet. Yeah. It's cute. Like he's like he wants to try to drink the water. Oh. It's cute.  It's really good because most birds when they first meet another bird instinctually they'll either attack it or ignore it. So the fact that he's not attacking right away and he's like walking away it's really good to see that. In my house my condo is kind of the queen. She's the queen. She's in charge of everybody. Wee. You're so cute. I can't. Oh my God. Evie's in there talking. She doesn't want to be bothered. She's trying to grumble him when he is over it. She likes to pick it through my ears. Look at Jersey. She's literally sleeping. So here's what I'm thinking. You go in first because maybe she'll say hi now lady or something. Hi. Watch this. Watch how she kisses. Did you hear it? Yeah. Whoops. That's her. You want to dance? Nellie. She's a little aggressive towards like she likes to be the only one but she can copy like any noise. She can talk a lot. That's really good.  Are you just the best? Are you just the bestest bird? Do I get the butt? Why do I always get the butt? This is like, this is like my life is the butt. You are so sweet. Hi. It really, the way to bond with Nellie is to sit down and just like what George is doing with the baby, just that. Yeah. Go with Nellie. You're purring. I can do it good. And she like will accept love from anybody. Let's say all she had was your husband and you weren't around and she like she would accept love from him. I think that's good because he needs a loving bird. Yeah. But if she fell for you. If I'm in the room. Yeah. It's gonna be me. Just okay with me. Nellie. Nellie. Nellie. Nellie. Nellie. Nellie. Nellie. Nellie. Nellie. Nellie.   I did it again. I did it again. I did it again. She's funny too. She's like a funny bird. Like when I go to put her back, she'll go oh. And like if when I pull her out she'll go hi Nellie.  Or she'll go, Nellie! And then if sometimes I'll say something, she'll go, no. I think you love birds the way I love them.  You know what I mean? Who's waiting for me out here? Oh my baby, I heard you calling me. Let's have your husband come over and meet them. CFP approved. Ah, tasty. Is it good, baby? You like that? There you go. Yummy. Like the apple? She's enjoying getting her own little weird way. There, now you have an apple pile.  I'm so jealous of you, you're one of us to ask for a date. I mean, I don't want to cause trouble. I'm the worst, I will encourage it. I will encourage it and encourage it. I would dream of having a baby mustache. No, like I want Picasso, but I, like, it's like if I can't have Picasso, I need to have a baby mustache. But I fell in love for you, will you get it? Possibly. But I want a male. Oh, we gotta do this, find that little orange peak, and you're good to go. I want to be Picasso.  What's the difference for male and female? Why are you saying you want male more than female? Because Picasso is a male. You want a hug? I want to have like, I don't know. There's no good reason, except like all of my mustache parakeets have been males. Oh, I thought the first one was female. Male. Interesting, okay. So I'm no good reason. It's just the difference for you. I also just like, I don't know, like cute orange peak. I just want, I don't know. It's just like how I wanted my African grade to have a white foot. And it doesn't. You don't love him any less? No, I don't. I mean, if a female came to me, I'd probably, I think if I was, because you know I don't really buy birds, they're all rescues.  Yeah. I'm sort of the same when it comes to animals like for the female over the male. I don't know if it's a hormonal thing. I don't know if it's it. I don't make a mess. Female birds that pluck, it's harder to get them to stop. I haven't had any problems with plucking. I just feel like if you give them the time, the attention, the love and care and good food. You don't really have the type of birds that pluck though. If you had a cockatoo, right? Our lesser self-aggressive cockatoo tie was a plucker when we got him. And he's beautiful now. And he's beautiful now. By the way, no more plucking. Jersey did not get fixed. And you see, she has lots of love. She has lots of affection. Nice. Nice. Oh my God, what's happening here? Kiss, kiss, kiss, kiss, kiss, kiss, kiss. Be nice. Kiss, kiss, kiss, kiss, kiss, kiss, kiss talking. That's her. Hey guys. Okay, look. That's the bird's bedtime. Jersey's eating. Are you ready for bed, Leo? Are you ready for bed? You've been bonding with who? Nelly? Not Nelly. We have Monty over here. Monty's the cutest. Vinny's still in his box. Cody has been in trouble for biting Johnny because Johnny went to the kitchen sink and nobody's allowed in the kitchen sink. Did I get a cover on the bird? We have Rocky watching this TV. And then, George is still obsessed with Evie. There's George and Evie. Ah. So, we're all going to eat now. Yes. Okay guys, so here's the update on what this video's about. Me, obviously, hanging out with a mustache, parakeet, Evie, which George actually hung out with the whole entire time. Christina meeting my birds and possibly considering Nelly and Monty. How do you feel so far? I want Monty and Nelly. But definitely one of them? Definitely one of them. For those of you who haven't seen my videos in a while, the conclusion is that Monty and Nelly have got to be separated. I think I'll have to go into another video and explain why. But it's definitely true. I know you hear them calling each other, but if they even go near each other, they lose their minds. It's not a joke. They're not each mixing a toenail for no reason. They both have damage on their eyes. This is all from before I got them. They're not a bonded pair of birds. They're more like brother and sister fighting for love and they're never going to get it so they want to kill each other. If you guys want a video on that, let me know. Anyway, that's the story. I love you guys so, so much. What's it like watching me on YouTube and then being in the house? It's a lot of fun. Is it fun? Ooh, Nelly. My parents akin it to being in a zoo and I feel like that's the best type of experience you can get is being in a zoo with a bunch of animals and getting love from everybody. I think so too. I love you guys. Bye. Guys, Christina already went home but I want to tell you something kind of crazy. So she told me she got a mustache parakeet because she watched my videos. Obviously I didn't, we didn't know each other. She just watched me on YouTube and so she got this mustache parakeet she drove all the way to San Diego to get him. I keep saying him because of Picasso. So she drove all the way to San Diego to get her and then she said when she picked up her bird she said to herself one day Marlene is gonna meet this bird and it's kind of funny like cause I did but it's also kind of funny that like even though I've seen other mustache parakeets in the bird stores since I lost Picasso I haven't really gotten to hold a mustache parakeet. It's just kind of funny that like how full circle things come and she eventually brought me Evie to hug and hold after I lost Picasso. So if I didn't make the videos I make there wouldn't be a person out there that got the bird that I love and then I might not have gotten this chance to hold a mustache parakeet again that put herself in sniff position exactly like Picasso. So she got the bird because of me then brought me the bird. So like I caused my own self in the future to be able to hold the exact bird that I needed to hold at that moment. Do you guys understand where I'm going with this? Let's all.


Now this is what you love to see. All right, people got mad that I thought radioactive foxy didn't look that good. Really, only the hooked looked good because it was just green glowing foxy. It's like they took Foco's glow-in-the-dark foxy and just made it into a skin. But this actually looks good. I like the bubbles up there. You can see like all the bubbly things around him. Kind of like the twisted spring trap. That'd be cool. He's also purple. He's literally the man behind the slaughter and he's purple. It's great, but mostly I love the bubbles. I'm like all the, like they're infecting him. It looks good. This is a lot better. We know it's not good. Getting a new phone that doesn't have the headphone jack anymore. Now I gotta use these dookie ear buds. They suck, bro.  If I play bad, I'm blaming it on the ear buds. No notification. Cool. Toxic spring trap. That's a nice little icon right there. Does he really have three ear segments? Does he? Wait, wait, wait, wait, wait. That looks like a cool thing right there. Does he really have three ear segments? Nope, he has two. Clickteam, what are you doing? All right, so here he is, 11 bucks. OK, so $9. I like how they increased it because it's spring trap. Thanks, thanks. Did I say clickteam? I meant alumix. Sorry, I just got done playing sister location on the switch and I just sent a message to clickteam. Yeah, I really liked how they increased the money because it's a spring trap skin. And spring traps rare and people love spring trap.   And people wonder why I don't really like FNAF AR that much. Take a look at this. You can see it right there. It's great. I really do hope. And I was meaning to talk about this in today's episode, but I guess I'm talking about it right at the beginning. I really do hope when alumix comes back to their studio and they start to walk on the game together again, they can really address lots of problems that the game has and has had for over half a year. The game was released late November and right now it's June 8. It's mid June, it's mid June. Can't talk. It is mid June and there's still so many problems. Like I, loading the game up, for example, loading the game up and trying to get it to work, it got stuck at 90% three times. And I know everyone else has that problem. Of course we would want you to wait a bit. Keep playing our game. Have more play time on our game.  And of course they were releasing Moj now for the people that are obsessed with this fantastic game. I've been hinting to it for a long time now ever since the game got released and we were like a few episodes in. But FNAF AR and alumix, not the best. Real not the best. I'm glad I can finally just outright say it. Like, hey, this app has many problems. The company running the app has many problems. It's just, it's ridiculous. And I feel bad that none of the big YouTubers are talking about it like Dock or Fusion. Cause they just act up like, oh my God, new character boys. It's, it's really sad. It is really sad. Anyways, did I activate it already? I think I did. We're just gonna wait now. Challenges, need fixing. The remnant situation. How's it going on with that, man? You guys realize that FNAF is like $8? You can buy a new FNAF game.  Just, it's just ridiculous really. And I know people will hate it when I say this about the game. But when you take a step back, it's really true. I just wish they would do more than just characters. Like folks on the game. Also, like what happened to messages? I'm not recording the screen right now, but what do we even got a message in months? There he is. Hey, buddy. How are we doing, man? We're looking at him all the way out there. You really gonna get here before him, right? Of course. Of course. Now that just makes sense, guys. God, just give me the lower character. I want it for a reason. That's why I lowered it game. Illumix. People have been complaining about that ever since Lowe's War thing. Look at this. I lowered him so long ago. He's just so close. They're both effing here. Guys, you're telling me this makes sense, right? You want this in your game? Oh my God. Illumix. Guys, please. I don't like being like this, by the way.  I want it to be good. And it has so much potential. It's just not in a good state right now. And in my opinion, it really hasn't been in a good state for a long time. So I'm just giving suggestions. Jesus Christ, oh my God. You know what's even better? I could, look, he's speaking to me again. That's the third time. I've been recording for 15 minutes and he's still not here. Oh, Freddie's here, though. Okay, can't see the screen. I could speed him up for some tokens, but that would be giving him money, you see? It all starts and makes sense. Oh look, Shami's here, too. Ridiculous, dude. Finally, I've only been recording for 17 minutes. Yay, great. That's great, I love that.  Thank you so much. We can finally get the video on now. Okay, he's gonna be just like Springtrap, I bet. I mean, that's how these skins work, so. Yeah, Springtrap's kind of annoying, too. So here-ish. Where are you? Bloody boo. Oh, right here. Over here. Nope, nope, don't look at him, that was good. Good thing I've got the spinning chair. Nope, nope, don't look. Every time, I'm guessing won't save me. No, it won't, I'm interested in it. Yeah, that was right. Spin, spin. It's kind of hard to see the skin. I'm like so many of the others. It's kind of hard to see the skin, but that's because it's door purple. I like how he flips upside down, that makes sense. Springtrap does the back flip. Oh, only two. Interesting. Springtrap is one of the funner characters to go against. My hands are sweating. Fun, but not easy. I have so many batteries, I can spare some. Can spare a lot, Jesus. 27. Pretty sure Fusion has like 50. Hey, Jesus.  He does look so cool. Yeah, they like, yeah, it's disgusting. Cool though. So, yeah, mod though. What mod? Oh, mangle's here. I don't need mangle, actually. I got a mangle. Same thing with a 8-bit baby. Who am I missing, actually? Viantor Freddy. Lumboy doesn't have anything, she doesn't have everything. Right, Toxic Foxy. And this new skin. So I'm actually not missing a whole lot. But I'm guessing because it was Foxy and then Springtrap. That's a weird character switch. I'm guessing it's going to be characters that don't have skins because Foxy didn't have a skin. Springtrap didn't have a skin. So I would expect baby, maybe. Let's see, baby, she got in a balloon boy. Yes, no. If they do four weeks, which is one month, which is what they did for Alkin Mayhem, it's gonna be either baby, Chica or balloon boy that's gonna be getting a skin. I'm guessing they'll probably skip out on balloon boy just because not many people like him. But then again, he does walk pretty cool in this game. So maybe they won't.  I like Chica though. So I'm guessing if it is four weeks, balloon boy and baby. But if they extended one more week just to get every single character, it will probably be baby, Chica and baby. That's my guess. That's my guess. Unless they introduce a brand new character at the end, like a baby, which they could do, maybe. I see that happening. Like every event, you get three skins and a brand new character on the final week. I see that happening. So, what's this guy? I don't think, yeah, 800. It's ridiculous. Like you go from $700 to $8. I mean, $708 to $809. That's pretty dumb. I'm gonna say it right now. That's heckin' dumb, all right? So, yeah, that's ridiculous.  I don't wanna buy it because A, I don't have enough and B, even if I did, I don't really wanna buy it because I don't wanna support them doing this type of stuff because that's dumb and ridiculous. I really hate that they're doing it, but it is a cool skin. Don't get me wrong. I like it. I like the bubbles. I do like the bubbles. It's just, God, this was really dumb. And I really, really hope they don't do it again. The skin's great, but this whole thing is absolutely ridiculous. And we've had problems with the store's items a lot throughout the history of the game, so I'm honestly not surprised.  And Alumix has, they've said things. You know, they've said things. They were like, hey, we're even walking with Scott to fix some things. And their idea was the ad system. Cool. Free game always needs ads, right? You get 10 coins and then after like five or 10, you get two coins. Yeah. You're gonna have to watch a lot of ads to get eight F and 100 to take a listen. And they're like, oh, we'll add challenges. Oh yeah, let's see. What do we get for doing challenges? Right? 10 to 15. And then just low, lowes. Great. You don't even get baby in spring trap. It's dumb. And I'm honestly really sad that I'm the only one seeing past this, you know, on the platform-wise. I know there's a lot of people on Reddit saying, you know, this is ridiculous too. I'm just really upset that Darko and Fusion, you know, those main two guys aren't saying anything, I think. If they did, and you know, Darko has contacts with the Lumix. I really wish he would reach out and say stuff, but what can you do? So yeah, that's it. Thanks for watching. See you on the flip side. I guess I'll see you next week for a new skin. Goodbye.


Income tax 2022-2023, reporting rental income, expenses and losses, limits on rental losses. Tax software example. Let's do some wealth preservation with some tax preparation. Here we are in our example. Form 1040 populated with LASERT tax software. You don't need tax software to follow along, but it's a great tool to run scenarios with. You can also get access to the Form 1040 related forms and schedules at the IRS website, irs.gov, irs.gov, starting point, single filer, Mr. Anderson, 90210 Beverly Hills, living in. We're going to start off with the W2 income and then think about if we have losses first with a Schedule C type of situation and then compare that to a Schedule E rental income type of situation. So we're starting with W2 income, 100,000, 12,950 standard deduction, 87,050 taxable income, page number two, calculating the tax at 14774. That is the total tax, no self-employment tax or anything like that with the W2 income. Back to page number one. So let's first think about a situation in which we had a loss with a Schedule C. Now remember, the general rule is that if you have income, obviously the IRS wants a piece of it, no big deal or nothing really unusual, but if you have a loss, then you could have certain situations where the loss could be limited. So if we have a loss, we would support accounting instruction by clicking the link below, giving you a free month membership to all of the content on our website broken out by category further broken out by course. Each course then organized in a logical, reasonable fashion, making it much more easy to find what you need than can be done on a YouTube page. We also include added resources such as Excel practice problems, PDF files and more like QuickBooks backup files when applicable. So once again, click the link below for a free month membership to our website and all the content on it. I like to be able to take that loss against other income and we have more restrictions typically for those losses on a Schedule E versus a Schedule C. So let's start off with the Schedule C and then we'll go to the Schedule E to compare and contrast. So I'm going to say, all right, let's let's say we have a Schedule C here. We'll just put a generic Schedule C and let's pull that in and see what the difference is. If I go to the Schedule C then I'm going to say that we had 100,000 of income, 130,000 of expenses resulting in a 30,000 loss. We have a fairly significant loss here. So what's going to happen with that loss? If I if I pull it over to Schedule 1, we now have a loss for the business income here pulling in and that basically pulls into kind of like where normally the income line items are up top. We have this loss that's going to be pulling in with a negative kind of income item, which is great. It's basically taking kind of a deduction for the loss, pulling our 100,000 income from W2 income down to 70,000 bringing our taxable income after the standard deduction to 57,050, which of course has a very good positive impact on our tax. Now note with a with a normal loss the iris is going to be skeptical of these losses if for example they're questioning if it was a for business item or a hobby. So for example if you had race horses apparently there was a hobby of rich people with race horses for a while and they ran losses for for quite some time and the iris is saying hey that just looks like an expensive hobby rather than rather than an actual for profit business. But if it is a for profit business you would think it would be fair to take a loss at some point because of course the losses that you incur when you start a business are often necessary in order to generate the revenue in the future. So you would think that you would get some tax benefit for for the loss at some point. With the rental income we have more of the passive rules that are going to take place with it. So now let's see what happens what if I don't have any income to take against the loss. So let's let's say my my actual wages are zero I don't have any W2 let's just delete the whole thing. So now hold on a second we have this loss here of the 30,000 but there's no income to take against it. So obviously my my tax taxable income cannot go below zero because if it did that would result in a negative tax it result in the government paying us for the negative income the government doesn't want to be paying us they want to take a piece of our profits not be subject to our losses. So we might still get a benefit from that loss but it would have to be a carryover. So now we've got this NOL worksheet possibly being able to carry over the loss to a future time period. We can also see form 8995 qualified business income deduction simplified computation where we see down here we've got line 16 total qualified business loss carry forward and so on of the 30,000. So that means the IRS is saying I'm not going to pay you for the loss but you might still get a tax benefit possibly if you can match it out against income in the future. Okay we've got a similar kind of thing with the Schedule E but we might have some further limitations with the Schedule E. So let's start off with having income just from a Schedule E now so if we're a single filer and now we've got income rolling in from the Schedule E of 100,000 instead of the W2 income. So we've got Schedule E instead of the Schedule C and it's going to net out an income statement, nets out to the 100,000. Now generally because it's usually more of a passive activity we might not be subject to the self-employment tax which is a huge benefit but and then the IRS still wants their share of it because it's income. So that's going to pull into the 100,000 here and then it's going to pull into the form 1040. So there's the 100,000 now from the Schedule E 12,950 and 87,050. So pretty straightforward scenario if we have income in most cases because again the IRS is happy you made money and IRS wants a piece of it. So now let's imagine that we have a loss. So if we have a loss so now we've got an income statement in essence income minus expenses for the rental property resulting in a loss. So here's where the terms become very important for the ability to take the loss of are you a real estate professional? Are you actively participating or not right? So I'm going to say that we're not a real estate professional not actively participating first and therefore the passive law rules activity rules are basically kicking in not allowing the entire amount. Now if we actively participate we're going to get a piece of that generally but let's start out here and so we don't get any of that 30,000 and you can basically see that over on the form 8525 passive activity loss limits. So here's the 30,000 pulling in for the loss limit 30,000 that's pulling in here and that's the general idea. Now what's going to happen with that loss? We should be able to basically roll it over so that so that we get a benefit possibly in a following period but we would have to have a rental income in order to match up against the loss. So you can see a little cert basically saying here federal carryovers, unallowed passive losses. So now let's imagine that we step it up and we say that I'm not a real estate professional but I do actively participate and this is kind of like the default position oftentimes because oftentimes that's what you want to kind of shoot for if you're not a real estate professional you would like to be able to shoot for actively participating so that possibly when you have those losses you could take advantage of at least part of the losses. So this is kind of the in-between area so we're going to say we actively participate so now if I go back on over to the Schedule E same income statement there's the $30,000 loss but then we have the deductible rental real estate $25,000 so that's kind of the the maximum cap notice there's a $30,000 loss they won't give us all of it but they've given us the $25,000 if I look at my passive activity rules here passive activity rules then we've got the $30,000 up top and then special allowance for rental real estate activities with active participation so there's the $30,000 the phase out if it goes over $150,000 starts to phase that $25,000 down so if I'm over $150,000 of income then I'll lose that $25,000 but currently I have the $25,000 here so if I go through it we got $30,000 of the loss $5,000 has not been taken and you would think then the $5,000 would once again kind of roll forward to future years possibly being able to take in a future year if it's allowable at that time so now if I go back to the form 1040 you'll note that I have $25,000 that is allowable but I don't have any other income to take it against so now that's when the NOL basically kicks in so I've got a normal kind of NOL situation similar to the Schedule C situation because I don't have any other income to take it against if I had other income it would be similar to the Schedule C but limited to that $25,000 so the W-2 income here if that was $100,000 again now we're saying okay now I get to take that rental loss against possibly other income and remember a lot of times the rental property might run losses because people might be investing in the rental property to try to have the real estate property itself go up in value so it could be quite important to be able to take the losses so the plan would be we bought this house we're hoping it goes up in value just due to the location and that kind of stuff and if we have to run losses on the rental income then it is what it is we can if we could take the losses against other income that would be great right so if that is the strategy if there's a plan like that you can imagine that they're going to run losses they might not have rental income in future periods as opposed to a Schedule C type of business which is which obviously is a situation where you're where you're you need to have income for the for the for the business to continue in most cases so if you have a loss you would expect rental income and in future periods with the rental property you're probably you might be aiming for rental income but you know you're also hoping that the property value goes up and if you could take the losses against other income you know that would be good so you still want to have that income kind of goal but obviously there's this other factor that comes into play and being able to take the losses would be good and there's that limitation now that limitation as your income goes up will start to phase out so if I go up above 100,000 to like 115,000 it's going to start to phase out so if I go into the 1040 we can see what's pulling in here instead of 25,000 it's 17,5 and if we bring it up to the complete phase out over 150,000 then I no longer get the 25,000 so what we need to know when we're doing our planning is well I get to take the losses it's losses that are a problem if I have losses I would like to be able to take the losses if I'm actively participating I might be able to take losses up to 25,000 which is great but there's an income limit which starts to phase out at 100,000 and it's completely gone at 150,000 so and you would think that that would also don't like be higher for married filing joint but it's not so if I go to married filing joint we still have that same same limit here so we're not getting any any added benefit you would think that the limits would kind of double you know so so if I go back to 100,000 married filing joint 100,000 and pull it on over now we have the 25,000 and if I bring it up to 150 the software still saying you're losing the the 25,000 capacity to take to take that amount even married filing joint so it's a little bit weird but that is what it is so now let's go back I'm going to go back to single just to keep it keep it the same and then now let's say that that we actively participate I mean wait a sec I'm going to say we're a real estate professional real estate professional okay so then if I go back on over real estate professional it's pulling in the full 30,000 and again you can kind of think of the idea the thought process on this the IRS is saying hey we don't think rich like wealthy people taking massive losses on rental property that's passive we're going to wipe that out so they wipe it out and then people say hey wait a second I'm a real estate professional I should get a benefit like anybody else I'm not like a super wealthy person that's just having passive income this is my business so in that case you would think okay well they're going to allow the in that case or and then in the middle case well I'm not a I'm not a completely wealthy person perhaps I have I have real estate but I I actively participate in it it takes time and effort so I should get and that's the 25,000 middle point so then you want to make sure when you're when you're thinking about these categories whether you qualify most people would probably be shooting for the active participation unless of course they're real estate professional in which case you want to make sure that you qualify for the real estate professional now you also kind of want to be careful in terms of if you are like running something like a hotel or something like that whether or not you're going to be using a schedule E or a schedule C in that case all together is it should it be a schedule C type of business or a schedule E type of situation in that case and as we saw with the schedule C then you might be subject generally schedule C is going to be self-employment subject income that you'll have self-employment taxes that will have to be dealt with generally there all right so now I brought the income back down W to income 100,000 so we're not going to hit the threshold and then if I go into schedule E you can also imagine you have multiple properties now typically you're going to have a separate schedule E column at least if not other worksheet for each of the properties which will in essence be an income statement in and of itself so property A here we still have the $30,000 loss property B we're going to say we had a $10,000 gain and we're going to say that we actively participate in this case so in essence you're going to say okay well there's these two things will basically net out so now the gain was able to to absorb some of those losses to get us under the $25,000 threshold so if we net those out we're at $20,000 so the general idea here being that the passive income can offset passive losses whereas you're limited to be able to take the passive losses against other income such as W to income now we brought it down to 20,000 20,000 which was below the $25,000 threshold for the passive activities and and and we're under 100,000 AGI or 150,000 therefore we should be able to take the full amount we're under 100,000 and starts to phase out at 100 also note that if you're married and you both own the property you would think that you would have like the two taxpayers are now one entity for taxes but sometimes it can be a little bit more confusing than that usually that becomes more confusing with like a schedule C situation because you have to deal with the self-employment tax with the rental property you might not have that self-employment tax kind of situation you have to deal with but you have the same kind of concept in play in that you actually have two individuals which usually if you're not married would mean that you would need a partnership type of return unless you're going to be qualifying for like a qualified joint venture and if you're in a community property state sometimes the rules can change so you want to be aware of that might be able to basically choose instead of taxpayer we're going to have joint so so now it'll be joint between the two so for the schedule E but in any case in a in a married situation you want to take a look at the community community property rules for the state and think about whether you need a qualified joint venture what i mean about the self-employment tax is the idea that you notice that i'm not calculating any self-employment tax so the impact on the income oftentimes is going to be similar unless there's kind of like phase outs in terms of the allocation of income for other types of things from one spouse to the other in terms like of like investing into an IRA or something like that and allocating the income to the proper spouse in order to to deal with that otherwise you would think for a married couple it would result in you know similar federal income tax usually let's just take a look at a quick scenario with a schedule C so you can see what i'm talking about with the self-employment tax by contrast so now if i say we had schedule C income income 100 000 then that would mean we have to be dealing with the self-employment tax the self-employment tax calculation now if they were if there was a married couple then it's going to be important to calculate the self-employment tax per social security number not just because it might have an impact on the taxes overall but because it also will have an impact on the benefits from the social security so for example the tax here if i assign it to just one spouse the added tax for social security is that 8506 now if i say that they're joint i'm going to pretend they're like a community property state and i can just say joint so they split it you know down the middle type of thing that it gets a little bit messed up here because now it jumped up like whoa 14 130 and that's because we had this issue with a cap for the social security because of 100 000 of the income that's being assigned to one of the spouses but in essence this the self-employment tax is being split between the two of them which becomes important now if if they didn't have other income and they didn't hit the cap for the self-employment threshold let's take this w2 off here and delete that and say now they just have the schedule c income that's subject to the to the self-employment tax and then page 2 is at the 130 000 if i go back on over and i was to say just for one taxpayer we're still at the 14 129 it's basically the same if i but if i go into the schedule se then we only have it being assigned to uh the one spouse and not the other so if i was to say now i'm going to be joint then now we have the same total tax but now it's being split up between two forms one for one spouse and one for the other spouse so in this case because they're both under the threshold which does kind of mess things up the threshold is at 147 000 on a social security by social security so if you go over that the social security caps out so if you had other income or if this income goes over that if you had w2 income that can kind of skew things but if you're under that amount then you could see in this scenario we have both of those calculations ending with the same 14 130 may not have an impact on the federal income tax or the tax calculation at present but it can still be important because the money's going into the social security funds per social security number which will impact the benefits that people get at uh retirement which is going to be calculated on a per social security number type of basis