Hello, I am 17 years old from the US, and I am looking forward to starting a Shopify store. I have a few concerns about the payment setup: Do I need to use the name and SSN of my parents, as well as their banking information, or can I use my bank account? Will it affect my parents' taxes? How can I manage the money I own if I use my parents' banking info on Shopify?
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Shopify's terms of service state that you must be at least 18 years or older to open an account. I'd suggest speaking with your parents and letting them know you'd like to create an online store to start a business. This means that your parents will need to create and manage the Shopify account until you become of age to manage the account yourself. Given that your parent's banking information and personal information will be used to create the account, any income will affect your parent's taxes as the income would be under their name (and not your own). I'd suggest speaking with your parents about how the money can be managed from any sales that are made.
Best of luck,
Nick here from Shopify.
Great questions and @Scott-Marshall pretty much nailed a lot of them on the head here. To follow up a little further from what Scott said, you can see the Shopify Terms of Service where this is stated here and highlighted in the screenshot below:
Something else which might be worth talking to your parents about is registering the business and if that can be done in your name or would it need to be in your parent's name also. This could be different for different places around the world so I would definitely suggest talking to a local accountant or tax office about this to be sure.
All the best, Nick
Hello I really need help, I did not realize that you have to be 18 and entered my Bank account and now my payout is locked, How do I change my SSN and DOB to my parents name but still get the funds? and why does it have to go through the bank? is there a way i can make it go to my paypal? Like I said I really need help so thank you for your time.
Yes, as per the Shopify Terms of Service you must be 18 yrs old to be an account owner. You would need to discuss with your parents after making them the account owners and attaching their bank and SSN details to the store about how you want to work the payout situation.
Regarding PayPal, you can set up PayPal as a payment gateway on your store in addition to Shopify Payments if you like and the sales made by customers who choose PayPal would go directly to your PayPal account then.
I hope this helps answer your questions!