5 Freelance Writer Tax Tips to consider
1. Get the Skinny on Self careers Taxes
You may not have the CPE hours required to be a tax seasoned, But have to have still know the basics of how the US tax system works.
for example, Do you know the difference between being self employed or being an employee? If you hired by a company, Your [-censured-=https://twitter.com/charmingdatess]charmingdate[/-censured-] employer pays up to half the required taxes you owe, invariably around 7.65%.
But as a self-employed independent contractor, You regarding all your taxes. Experts recommend putting away at least 30% of your total earnings for tax time.
2. ought to, You can deduct additional than you earn.
It it up to every individual (yet you) To make an honest determination of his writing. Is it truly your store, Or is it a hobby?
3. Determine Your reductions
goodness me, deductions. these represent the tax tips everyone waits for.
The short answer is there no one size fits all solution for every individual. If you have a dedicated space at your house for your writing, You justmight claim a home office deduction.
If your writing requires you to get information for research, You will be able to claim expenses for travel, eating, And accommodation. The key is to do your research and discover what you eligible for what you aren Stay Organized
the spot that the receipt for this? Where did you put the application for that?
Don wait until April 14th to set up your records and receipts. Stay organized all year round by keeping detailed records of your income and expenses.
Use a plan like Excel, speed, nor Quickbooks. Have a passionate place to store receipts, models, And electronic files. this way, with regards to time to file, You have all you need at your fingertips.
5. Know Your documents
When you employed by a company, You generally be given a W 2 tax form. These are straightforward and simple to implement.
As a freelance writer, You entering a totally world. you might have several (Even a good deal) Of 1099 forms to handle, conditional upon how many writing jobs you had.
You have to fill out a Schedule C form to you truly need taxes you owe and what deductions you can take. If you new to these forms and terms, Use tax software or consider hiring specialist to help.