Altering payee name on a check?

Question

Hello,
I do some computer work as JB Consulting, although I never really registered the business name nor do I have a bank account under that name. I ask all my clients to make their checks out to Joe Blow instead of JB Consulting. One of my clients just sent a check made out to JB Consulting. Can I alter the payee on the check with (Joe Blow)? How much 'trouble' can I get into? Will the bank accept a check made out to JB Consulting (Joe Blow) to my Joe Blow account? This client is always late paying me (this one is for 3 months work even though I bill monthly) otherwise I would just ask him to make out another check.
TIA

Answer 1

The advantages to having a home based business are well worth registering the business and a business account.

At the same time, it is not pleasant to experience the tax man crawling into your rectal cavity if they suspect you have been hiding income.

Answer 2

I had that happen to me too, I got around it by opening another savings account at the bank I use and put both my name and my small business name on the account, and then put the check in. It wasn't one of their 'business accounts' that they charge for, this was a small one that was free--they have them for people who do craft shows and such where they may be under another name for a bit but it's not a full time business.

Check with your bank about having two names on a savings account and they'll let you know if this is something they do or not. I'm with TCF and they were ok with it.

Answer 3

Don't do that.

Just endorse the check:
Joe Blow, DBA JB Consulting.

Then, go open a business checking account. You will thank yoruself at tax time.