Self-employed deductions 2022 – These are the eight ways you can pay less tax if you are a freelancer… – The US Sun

WITH the impact of Covid on the traditional workforce, more people are choosing to become freelancers.

Whether you are earning a good income or are currently at a loss, you are required to pay taxes to the Internal Revenue Service as a self-employed person.

2

Freelancers can take advantage of several tax deductions any freelancer can useCredit: Getty

But there are several tax deductions any freelancer can use:

1. Training and Education Deductions

Most work-related education costs are fully tax deductible. These can include workshops, classes, seminars, books, and other sources of information. Education expenses that are not related to your current business, or are towards a new career are not deductible.

2. Travel Deductions

If you are travelling for business purposes – by car, air or rail – keep your receipts. You can deduct all those expenses.

3. Home Office Deduction

With more people working from home as freelancers, it is important to know that expenses such as rent, insurance and utilities are deductible.

4. Phone Deductions

In the same way, you can deduct expenses related to any phone bills – as long as you use that/those phone/s for work.

5. Health Insurance Deductions

It is known that some of the costliest expenses for freelancers are health insurance plans. The good news is that provision exist to write off this charge as a tax deductible.

6. Retirement Savings Deductions

Because you are no longer on a corporate pay-roll and pension, contributions towards several retirement plans (401(K) plan or SEP IRA. A) are eligible.

Most read in Money

7. Advertising Deduction

To make your mark in the world, advertising your business is essential. Whether you decide to opt for billboards or social media paid ads, these expenses are tax deductible.

8. Rent Deduction

If you work from home, any rent expenses going out for a property you don’t know are also deductible as it classifies as a business expense.

2

Don’t forget to keep all your receipts and billsCredit: Getty

Techyrack Website stock market day trading and youtube monetization and adsense Approval

Adsense Arbitrage website traffic Get Adsense Approval Google Adsense Earnings Traffic Arbitrage YouTube Monetization YouTube Monetization, Watchtime and Subscribers Ready Monetized Autoblog

from Freelancing Jobs – My Blog https://ift.tt/JjDTxfk
via IFTTT