I do some business consulting work through a registered sole proprietorship in the United States. I invoice my clients on a monthly basis through a paypal for business account, and have been transferring the money to an old personal checking account that I had previously only been using as a passthrough for paychecks.
The number of transactions is very low, the account only has money from the consulting business in it, and there are no other income streams going into the account.
I know that it is generally a good idea to have a separate business account, but is there any reason I would need to open up an actual business account for this money?
I’m assuming you’re talking about the type of account, business, or persona, not just the number of accounts.
I’ve been in a low transaction volume business for 20+ years using only personal accounts. I use one account for business and a second for personal expenses. Quicken is used to track each transaction for taxes & financial reporting.
Using personal accounts is less expensive and sometimes has better integration on bank websites. I.e. one login, all accounts accessible as opposed to separate personal & business logins and only business or personal accounts accessible.