Now now, don't go usin' no high faluttin' words on us here now. We's just simple folks...
I wonder what the IRS would think about that hobby money that you save up for family vacations? Just a hobby?
The primary difference between a hobby and a business in the United States, according to the IRS, is that a business actively tries to earn a profit while a hobby does not.
For tax purposes, it's a business and I account for it as such. Personally, it's still basically a hobby. The two are not incompatible.